Anybody who has touched development, would like to get your thoughts on the following: What are some of the most important pieces of information you would like to have if you were considering a development in a given area?
I would like to think the general state of the market in that given area, future developments in the area (i.e. Pro Sports Team X is moving their stadium/Fortune 500 Company Z is moving HQ here in a few years), the current zoning, and the replacement cost of a standing building vs. ground-up development would be good starting points.
But, anything to add would be greatly appreciated...
comps
Zoning info/opinion letter outlining what you are allowed to program and how long it might take to change; conceptual site plan showing how much density you can achieve; construction pricing estimate based on product/construction type; land comps to toggle your land basis; rent comps to see what you can charge; impact/development fee schedule; and maybe an estimate or two from big ticket consultants like architect, civil engineer and land use counsel.
Most of the important factors have already been mentioned: - Land Use/Zoning: Taking a site through a rezone or LUPA is a very long lead item (some municipalities can take over a year). Height restrictions, density limitations, setback and parking requirements. All of these factors will dictate your programming. - Demographics/Comps (Land/Rent/Sales): Need to understand the makeup and profile of the area you're investing in (Population and Pop. Growth, HH Income, traffic counts, avg/median age, etc.) Comparable properties to see where rent/expenses are for your proposed product type and what recent transactions have traded for. - Site Constraints: Site dimensions; Is it a greenfield, brownfield, urban infill, etc; Is it located in a wetland; Ingress/Egress and visibility - Impact Fees/Building Permit Fees/Connection Fees
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