BUILDERS are "on the hunt" for brownfield sites in villages and on the outskirts of towns, according to a Worcestershire land survey and valuation firm.

Anthony Mayell, a specialist with Fisher German, in Dumbleton, near Evesham, said the Government had set a target to build 60 per cent of all new houses on previously developed land.

Brownfield sites are "previously developed land" and can include petrol stations, workshops, haulage yards and warehousing, but not buildings used for agricultural and forestry purposes.

"In some villages, brownfield sites next to existing developments are now exceeding values of £650,000 per acre," said Mr Mayell.

"There is a huge shortage of land coming forward for new housing because people often don't realise that they own a brownfield site."

He said one of his clients, who had rented out an old barn and workshop on the edge of town "for years", could now expect to generate more than £500,000 from his brownfield site, with planning permission for a mixed development combining residential and small office units.

He said owners should first consider whether it was feasible to develop a brownfield site and whether it would be economically viable.

"These sites are often in use and tenants have to be compensated to vacate them," he said.

"Secondly, consider demolition and decontamination costs. Previous use of the land may include contamination from pollutants such as leaking fuel tanks and the dumping of materials and hazardous waste products."

"While demand remains high these development opportunities should be investigated."