Part 5Enterprise investment scheme

Chapter 4The issuing company

Excluded activities

196Excluded activities: property development

1

This section supplements section 192(1)(g).

2

Property development” means the development of land—

a

by a company which has, or at any time has had, an interest in the land, and

b

with the sole or main object of realising a gain from the disposal of an interest in the land when it is developed.

3

For this purpose “interest in land” means, subject to subsection (4)—

a

any estate, interest or right in or over land, including any right affecting the use or disposition of land, or

b

any right to obtain such an estate, interest or right from another which is conditional on the other's ability to grant it.

4

References in this section to an interest in land do not include—

a

the interest of a creditor (other than a creditor in respect of a rentcharge) whose debt is secured by way of mortgage, an agreement for a mortgage or a charge of any kind over land, or

b

in the case of land in Scotland, the interest of a creditor in a charge or security of any kind over land.