Why We’d Rather Say No to a Deal Than Risk Investor Trust

At PropInvest, we’ve learned something that might sound counterintuitive in a world where “more deals” often means “more success”:

Sometimes, the smartest thing you can do is walk away.

Not because the numbers might not stack. Not because you’re risk-averse. But because protecting investor trust is more important than padding your pipeline.

The Deal We Didn’t Take

A few years ago, we were offered a development opportunity that (on paper) looked like a slam dunk.

• Good area

• Discounted price

• Motivated seller

• Potential for planning uplift

But as we dug deeper, a few issues began to surface.

• The title was messy — an unresolved access dispute with a neighbouring property.

• The vendor was evasive — delaying legals and refusing full disclosure of prior planning refusals.

• The build cost forecast was too optimistic — based on old pricing, not real contractor quotes.

• The planning risk was higher than we were comfortable with — multiple applications had failed previously for similar schemes.

It was a classic “looks good at first glance” situation. But when you’ve been in the game long enough, you start to trust your gut, and your systems.

We ran it through our internal filters, flagged the risk factors, and made the call:

We’re out.

And that decision to walk away is a big part of why our investors stay.

Our Filtering Process & What We Always Look For

Every opportunity we evaluate goes through the same rigorous process. Not because we’re trying to find reasons to say no, but because we’re serious about earning long-term trust.

Here’s what we assess before we even consider offering a deal to an investor:

1. Planning and Legal Clarity

We work with planning consultants and legal professionals early, not once the deal is done. If there’s ambiguity on access, usage, or planning precedent, we step back. No guesswork. No hoping for the best.

2. Real Contractor Input

We don’t trust spreadsheet assumptions. We go to our tried-and-tested contractors and get real, itemised build costings. If those numbers don’t make sense for the location and the GDV, it’s a no.

3. Market Demand and Exit Insight

We analyse exit strategies as if we’re the end buyer. Who’s buying this? Why? At what price? If we can’t see clear, realistic exits backed by demand, we won’t touch it.

4. Investor Fit

Not every deal is right for every investor. We ask: Who is this deal best suited to? Do we have a partner who understands the risk profile, timeline, and capital required?

If not, we walk away.

Saying No Builds More Trust Than Saying Yes

In this industry, saying “yes” is easy. Saying “no” is where integrity lives.

We’ve passed on deals where we could have earned sourcing fees, management fees, or fast PR wins. But if the long-term cost is a dent in our investor relationships? It's not worth it.

We’ve seen what happens when developers chase deals that are “just about viable.” Corners get cut. Build issues creep in. Timelines slip. Confidence erodes.

That’s not the kind of business we’re building.

The Payoff of Discipline

Today, over 70% of our development capital comes from repeat investors. Why?

Because we’ve proven that their money matters more to us than our ego.

Because we treat every deal like we’d be putting our own savings into it. (Often, we are.)

Because our investors know that if we’re presenting them with an opportunity, we’ve already passed on ten that didn’t meet the bar.

That filtering process is what makes our model work, not just for one deal, but for the long haul.

Final Word

If you’re a developer, don’t be afraid to say no. Discipline compounds. Reputation compounds. So does investor trust.

And if you’re an investor looking to build a long-term, transparent partnership? Ask the people you're working with:

👉 “What’s the last deal you walked away from, and why?”

If they can’t give you a clear answer… they probably say “yes” too easily.

Want to work with a team that prioritises trust over volume?

Drop us a message. We’ll happily walk you through our deal-vetting process, and show you exactly how we protect your capital.

Contact us today!