10 Evaluate a Property Development Site for Zoning, Feasibility and Profitability

Bonus Update - Site Analysis - Bonus Update

:key: Summary

  • :round_pushpin: Evaluating a Development Site – The video discusses the process of analyzing a potential property development site, from basic measurements to feasibility studies.
  • :bar_chart: Using Google Maps for Initial Analysis – Measuring site dimensions using Google Maps to determine the feasibility of development.
  • :house_with_garden: Site Dimensions & Density – How depth, width, and total area impact development potential.
  • :triangular_ruler: Feasibility Study Using Smart Feasibility Calculator – Assessing site viability using development software for cost and return estimations.
  • :hammer_and_wrench: Architect’s Initial Design Approach – The process of working with architects on design schematics and layouts.
  • :building_construction: Adjusting Plans to Meet Council Regulations – How zoning laws and council feedback impact project approvals.
  • :mag: Due Diligence in Real Estate – Conducting in-depth site analysis, including zoning, overlays, and legal considerations.
  • :chart_with_downwards_trend: Project Profitability Analysis – Understanding development costs, potential sales prices, and profit margins.
  • :chart_with_upwards_trend: Understanding Developer Contributions – Costs imposed by councils for infrastructure and sewer upgrades.
  • :construction: Common Challenges in Development – Parking requirements, setbacks, legal discharge points, and site access constraints.

:bar_chart: Insights Based on Numbers

  • :straight_ruler: Minimum Site Depth for Development – A depth of at least 50 meters is ideal for townhouse projects.
  • :house_with_garden: Optimal Site Width – At least 16-18 meters, though 15 meters may still be viable.
  • :bar_chart: Feasibility Calculation Results – Estimated sales price per unit: $580,000, total estimated profit: $400,000.
  • :oncoming_automobile: Parking Standards – Minimum 1 car park per 2-bedroom unit, visitor parking required.
  • :moneybag: Construction & Infrastructure Impact – Council regulations can increase costs by $45,000+ for stormwater adjustments.
  • :chart_with_upwards_trend: Property Valuation Comparisons – Developer calculations vs. lender appraisals: $650,000 vs. $665,000, demonstrating a conservative estimate approach.