You Found the Perfect Development Site. Now What?

A property may appear to check every box. It is in the right location, has good visibility, offers enough space, and fits the budget. But before you buy, lease, or get too far into the design process, there is one important question to answer:

Can the site actually support what you want to build?

A zoning requirement, utility limitation, access issue, or public hearing can change the project’s yield, cost, and schedule. Finding those issues early gives you time to adjust the plan, renegotiate the deal, or decide whether the property is still the right fit.

That is where good pre-development due diligence comes in.

The goal is not just to determine whether a property can be developed. It is to determine whether the project you have in mind can be approved without changing the numbers or schedule so much that the deal no longer works.

1. Start with the zoning

First, confirm the property’s current zoning and the rules that apply to it. A listing that describes a property as “commercial” or “mixed-use” does not necessarily mean your specific use is permitted.

You will want to confirm:

• Whether the proposed use is allowed by right

• Whether the use is subject to any conditions or limitations

• Whether you will need a Specific Use Permit, variance, rezoning, or another approval

• Whether the property is within an overlay district, planned development district, historic district, or another specially regulated area

• Whether any pending code changes or area plans could affect the project

This review will help you understand whether the project has a relatively straightforward path or will require a more involved entitlement process.

2. Make sure the project fits the site

Even if the use is allowed, the proposed development may not fit on the property the way you expect.

Review the site against the applicable development standards, including:

• Setbacks

• Building height

• Lot coverage

• Floor area ratio

• Open-space requirements

• Landscaping and screening

• Building design standards

• Parking, loading, and queuing requirements

These standards can affect building placement, usable acreage, unit count, and tenant layout. A requirement that looks minor in the zoning code can have a meaningful impact on the overall project.

Access and circulation also matter. Can the property accommodate appropriate driveways, fire access, internal traffic flow, pedestrian connections, and connections to surrounding streets?

You should also confirm that water, wastewater, storm drainage, electricity, and other utilities are available. More importantly, determine whether there is enough capacity for the proposed development. Required infrastructure improvements can add both cost and time.

3. Look for constraints that may not be obvious

Some of the biggest development challenges are not visible during a quick site visit.

Due diligence should identify potential issues such as:

• Floodplains and creek buffers

• Wetlands or other environmentally sensitive areas

• Protected trees or habitat

• Easements that affect building placement

• Deed restrictions or private covenants

• Existing plats and development agreements

• Utility or access limitations

Recorded documents should be reviewed along with the physical conditions of the property. An easement, plat note, or private restriction may affect the project even if the zoning allows the proposed use.

It is also important to understand the surrounding community, especially if the project will require a public hearing. Nearby neighborhoods, previous zoning cases, planned public improvements, and community concerns may influence the approval process.

Knowing that context early gives you time to refine the proposal and determine how best to present the project.

4. Understand the approval process

A realistic development schedule needs to account for the municipal approval process, not just design and construction.

Before setting your timeline, determine:

• Which applications and approvals are required

• Whether approvals can be handled administratively or require public hearings

• Which boards, commissions, or elected bodies will review the request

• When applications must be submitted

• How long staff review and revision cycles typically take

• Whether neighborhood meetings or public notices are required

• What application, review, and impact fees should be anticipated

Depending on the request and jurisdiction, the project may need approval from municipal staff, the Planning and Zoning Commission, City Council, the Board of Adjustment, or another governing body.

Submittal deadlines are also important. Missing a deadline by a few days may push a hearing into the following month. Understanding the schedule early helps you create a more reliable plan for acquisition, financing, design, and construction.

5. Bring in the right team early

It is much easier to address an issue before the site plan is complete and major decisions have already been made.

Depending on the property and proposed use, your early team may include:

• A land use and zoning consultant

• A civil engineer

• A land surveyor

• An architect

• A real estate or land use attorney

• Environmental and traffic specialists

A pre-application meeting with municipal staff may also be helpful. These meetings can clarify requirements, identify needed studies, and uncover concerns that may not be obvious from reading the development code.

At the end of the due diligence process, you should have a clear understanding of:

• What is permitted today

• What approvals will be required

• Which constraints could affect the development plan

• What additional studies or professional services may be needed

• How long the approval process is likely to take

• What your next steps should be

Five questions to answer before moving forward

Before committing to a site, make sure you can answer these five questions:

1. Can the intended use be approved?

2. Can the site physically accommodate the proposed project?

3. What could reduce the project’s yield or increase its cost?

4. What is the realistic approval process and timeline?

5. Does the opportunity still make sense based on the risks identified?

The right site can set your project up for success. Taking the time to ask the right questions early can help you avoid surprises later.

Let’s figure out what is possible

Masterplan Consultants helps developers evaluate zoning, development standards, entitlement requirements, and municipal approval processes before they commit significant time and money to a project.

From early site due diligence through land use approvals, our team can identify potential obstacles, explain the approval process, and develop a practical strategy for moving the project forward.

Considering a new development site? Let’s take a closer look before you commit.

Connect With Our Team

This article is provided for informational purposes only and does not constitute legal, planning, engineering, or other professional advice. Regulations vary by jurisdiction and may change. Consult qualified professionals and the appropriate local authorities regarding your specific project.