Development advisory
Community Land & Cost Sharing
Alternative development scenarios and land values to inform a landowner cost sharing agreement.
The assignment
gsi prepared an appraisal and consulting study of community use lands within a planned development area. The work was intended to assist a landowner group in negotiations concerning a cost sharing agreement.
Key considerations
The assignment required the lands to be considered on the specified assumption that the community use overlay did not apply. It also called for analysis with and without planning approvals. These were distinct valuation scenarios, not a statement that alternative uses had already been approved. Different residential built forms and densities required consideration of their implications for development capacity and land value. The effect of approval status was an important part of the comparison.
Our approach
gsi reviewed the planning context and developed a series of residential valuation scenarios. Market evidence was analyzed to estimate values corresponding to the assumed built forms, densities and approval conditions. The results were organized to allow the landowners to compare the scenarios on a consistent basis, with the hypothetical treatment of the community use overlay made explicit.
Purpose of the advice
The study provided a range of valuation evidence to inform cost sharing discussions and the consideration of alternatives. Its purpose was to support negotiations through a clear explanation of the assumptions and development scenarios underlying the land values.
Related expertise
Assignment details have been generalized to protect client and property confidentiality.