Electricity substations play a vital role in the UK’s energy infrastructure, but for landowners they can also represent a long-term commitment that is often underestimated at the outset. Whether negotiating a new lease or considering the sale of a substation site, securing the right commercial and legal terms is essential to protecting long-term value.

At Land Utilities Advisory Group, we act exclusively on behalf of our clients to ensure that substation agreements properly reflect market conditions, operational realities, and future risk.

New Substation Leases

New leases are rarely “standard”, despite being presented as such. Key terms such as rent, review mechanisms, access rights, security provisions, and restrictions on land use can have significant implications for the wider estate. Poorly drafted rights or undervalued rents can restrict development potential and reduce land value for decades.

We support clients throughout the negotiation process, ensuring that lease terms are robust, future-proofed, and aligned with both current market evidence and long-term land strategy.

Sale of Substation Sites

In some cases, landowners may be offered the opportunity to sell a substation site outright. While a capital receipt can be attractive, it is essential to fully understand the true value of the asset, the impact on surrounding land, and any retained rights or liabilities.

Independent advice is critical. We assess offers against comparable transactions, consider alternative options, and negotiate improved terms where appropriate—ensuring our clients make informed decisions rather than reactive ones.

Acting in Our Clients’ Interests

Utility operators are experienced and well-resourced negotiators. Without specialist representation, landowners can be left at a disadvantage. Our role is to level the playing field, providing clear advice, strategic negotiation, and commercial clarity at every stage.

If you are facing a new substation agreement or have been approached about the sale of an existing site, early advice can make a material difference to the outcome.