Scottish Planning Series: Planning Circular 5 2011: Disposal of Surplus Government Land - The Crichel Down Rules

This circular sets out the revised non-statutory arrangements known as the‘Crichel Down Rules’ under which surplus Government land which wasacquired by, or under a threat of, compulsion should be offered back to formerowners and their successors


Terms of resale

24. Disposals to former owners under these arrangements will be at market value, as advised by the disposing department's professionally qualified, appointed valuer. The parties will have three months to agree the price. If, at the end of that time, there is no agreement, the matter is to be referred, either jointly or by either party, to an independent expert for determination. Any such expert is to be a suitably qualified and experienced valuer who meets the requirements of the International Valuation Standards ( IVS). In the event that agreement is not reached on the appointment of the independent expert, the matter is to be referred to the Chairman of the Royal Institution of Chartered Surveyors in Scotland to make an appointment. The independent expert will offer the parties the opportunity to make representations prior to his determination and will have the discretion to award the costs of his appointment. If the prospective purchaser does not wish to refer the matter to an independent expert for determination, the disposing department may withdraw from the negotiations and seek to dispose of the property under its normal procedures for the disposal of surplus property.

25. As a general rule, departments should obtain planning consent before disposing of properties which have potential for development. But where it would not be practicable or appropriate for departments to take action to establish the planning position at the time of disposal; or where it seems that the likelihood of obtaining planning permission (including a more valuable permission) is not adequately reflected in the market value, the terms of sale should include clawback provisions in order to fulfil the Government's obligation to the taxpayer to obtain the best price. The precise terms of clawback will be a matter for negotiation in each case.

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