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For landowners · Greater London

Land Option Agreements in Carshalton

How does a land option agreement work in Carshalton?

Think of an option on land in Carshalton as a reservation with conditions attached. You agree not to sell to anyone else for a set term. In return, Land to Homes funds the planning work and pays your reasonable legal fees, agreed up front in the heads of terms. If permission is granted, we can buy at the formula price you agreed.

Misty paddock at sunrise on the edge of a market town with a church spireCarshalton · SM5

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  • Free site appraisalNo cost, no obligation
  • Legal fees coveredReasonable fees, on options and promotion
  • Nothing to pay upfrontOn promotion: we fund planning
  • Direct purchaseSuitable sites, with or without planning
  • UK-wideEngland, Wales, Scotland and NI

Land we look at around Carshalton

We cover Carshalton as part of Greater London. It is about 10 miles south of London, around postcode district SM5. The nearest other places we cover are Wallington (1 mile), Sutton (2 miles) and Mitcham (2 miles). Within England, Carshalton falls in the London region.

Around Carshalton we look at former garage blocks and yards, fields put forward or allocated in the local plan and land that already has planning permission. In England, where Carshalton sits, planning decisions are made by the local planning authority, usually the district, borough, city or unitary council (or a national park authority).

Tell us where your land is around Carshalton and we will explain the routes open to you.

How we work in Carshalton

Your legal fees paid

On option agreements we pay your reasonable legal fees, with the amount agreed up front in the heads of terms, so you can instruct your own solicitor to review every clause.

Keep using your land

You normally stay in possession during the option. Farming, grazing or existing lettings can usually continue, subject to access for surveys and limits on granting new long-term tenancies.

Longstop dates and extensions

The option usually ends on a fixed date, sometimes with an extension if an application or appeal is still running. Clear limits stop your land being tied up for longer than you agreed.

Deductions agreed in advance

Costs such as planning obligations, abnormal ground works or infrastructure are often deducted from the price. The agreement should list exactly what can be deducted, so the price cannot be eroded later.

Planning in Carshalton: the English rules

In England, most planning applications for new homes in Carshalton are decided by the local planning authority, usually the council, using its Local Plan and the National Planning Policy Framework. Many landowners sell without planning, either outright or through an option or promotion agreement that funds the application first. Land to Homes offers a free site appraisal, pays your reasonable legal fees on option and promotion agreements, and can buy suitable sites directly, subject to survey, title and contract.

In England, an option is usually protected by a notice on your title at HM Land Registry. Planning is pursued through the Local Plan or an application judged against the NPPF, and price deductions often cover Section 106 obligations, the Community Infrastructure Levy and, where it applies, the cost of meeting biodiversity net gain.

Key rules in Carshalton
National planning policyNational Planning Policy Framework (NPPF), revised August 2026, with national planning practice guidance
Local planning documentLocal Plan
Land transaction tax (paid by the buyer)Stamp Duty Land Tax (SDLT)
Developer contributionsSection 106 planning obligations, plus the Community Infrastructure Levy (CIL) where the council charges it

Your questions answered for Carshalton

Can I sell my land while it is under option?

Not without dealing with the option first. The developer's rights are normally protected against your title, so a buyer would take the land subject to them. Selling to the option holder or negotiating a release are the usual routes. Your solicitor will explain the effect where your land is.

What is the difference between an option and a promotion agreement?

Under an option, the developer buys the land itself at a formula price, so it benefits from a lower valuation. Under a promotion agreement, the promoter sells the land on the open market with you and takes a fee from the proceeds, so both sides want the highest price. Our guide compares the two in detail.

What happens if planning is refused during an option?

The developer can usually appeal, submit a revised scheme or wait for a new local plan, as long as the option term allows. If no suitable permission is secured by the end date, the option lapses and you are free to deal with the land again, normally keeping any premium already paid.

What is an option premium?

It is a payment a developer may make when the option is signed, in return for exclusive rights over the land. The amount varies widely from site to site and is negotiated. Some agreements deduct it from the final purchase price, while others do not, so the heads of terms should say which applies.

Is Carshalton an area you cover for land?

Yes, we cover land in Carshalton and elsewhere in Greater London, including Becontree, Ruislip and Putney. Where a site suits us we can buy it directly, or set up an option or promotion agreement. On promotion there is nothing to pay upfront.

Read more: Land Option Agreements · Guide: Who pays for land promotion? Fees, costs and legal fees explained

Own land that could take new homes?

Start with a free, no-obligation site appraisal. On option and promotion agreements we fund the planning work and pay your reasonable legal fees.

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