land acquisition and development - session iii€¦ · 03/02/2018 · –assumptions on raw land...
TRANSCRIPT
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LAND ACQUISITION AND
DEVELOPMENT -
SESSION III
MATT KROLL, WILLOWSFORD
HOWARD B. KATZ, NVR
ALICIA SKOUG, DREES HOMES
RYAN CONNOR, URBAN ENGINEERING
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OVERVIEW OF SESSION III
• General Discussion
• Land Acquisition – Continued from Session II
• Engineering
• Land Development
• Case Study: Bethesda Mews
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ACQUISITION – THE GROUND
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ENGINEERING
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CONSTRUCTION
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TIME VALUE (TIME = MONEY)
• Cost of Land = $10M @ 9 % – Cost per year = $900,000/yr
– Cost per month = $75,000/mo
– Cost per day = $2,500
• Time to Process – Zoning = 12-24 mo
– Construction Plan = 6-12 mo
– Land Development = 6-9 mo
– Home Construction = 4-9 mo
– Time from Zoning – Home Settlements = 2-4 years for move in
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LAND ACQUISITION – THE LAND
• Raw Land – cost vs. risk – Subdivision Required
• Entitled Land – cost vs. risk – Approved by County – “Shovel Ready”
• Finished Lots – cost vs. risk – Builder Buys the finished lot
– Developer Obligations
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FINISHED LOT CONDITIONS
Developer
• Lots recorded
• Bonds and Permits
• Roads Base paved
• SWM
• Community Landscaping
• Off-Site Improvements
• Private Utilities available
• Amenities
Builder
• On-Lot Erosion Control
• Home Construction
• Section Snow removal
• Interim Grading
• On-Lot – Walls
– Excavation
– Utility services to house
– Driveway
– Permits
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LAND ACQUISITION - FEASIBILITY
– Time Value – time to build
– Acquisition Budget- proforma
– Competitive Market Analysis (CMA)
– Feasibility Study
– Preliminary Engineering
– Product fit
– Purchase Contract Conditions
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LAND ACQUISITION - PROFORMA
– Assumptions on raw land vs. finished lots
• Development cost (raw)
• Time (raw)
• Deposit
• Interest to carry land (raw)
• Sale price
• Absorption
• Overall Margin or IRR (Internal Rate of Return)
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LAND DEVELOPMENT COSTS
• Soft Costs
– Studies
– Architecture Design
– Engineering &
Landscape Architecture
– Environmental
– Inspections
– Bonds and Permits
– Legal
– Submission & Inspection
• Hard Costs – Clearing & Grading
– Rock Manipulation
– Earthwork
– Erosion Control
– Pipework
– Streets and Sidewalks
– Dry Utilities
– Structures
– Bond Release
– Amenities
– Hardscape
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LAND ACQUISITION – CMA
• What is the competitive market
• Competition
• Absorption
• Average square foot price
• What are they including
• Who is selling well and why
• From this you can determine a market
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LAND ACQUISITION – OTHER CONSIDERATIONS
• Size of pad – fit product (finished lots)
• Environmental – wetlands and hazards
• Geotech – soil and rock
• Title Issues
• Utilities
• Land plan/topography
• HOA Docs/Design Guidelines
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LAND ACQUISITION – EXAMPLE OF ISSUES FOUND IN STUDY PERIOD
• Acidic soils - remediation
• Covenant from neighboring property
• Rock hauling
• Hazardous waste /clean up
• Age of finished lot
• Zoning density
• Architectural review
• Plans and Specifications…….
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ZONING - ENTITLEMENT
– Rezoning of Land: Changes designation of land for greater density or different use
– Comprehensive Plan
– Waivers and Modifications
– Traffic and Transportation, Schools, Environment, SWM, Parks, Tree Preservation, Affordable Housing
– Proffers
• Mitigates possible impact of additional density or use.
– No Expiration
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SAMPLE ZONING PLAN
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PRELIMINARY PLAT – VESTING
• Components of a Preliminary Plat
– Vesting of Density and Design Criteria
• Significant Governmental Action
– Conceptual Layout
– Limited level of detail
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SAMPLE PRELIMINARY PLAT
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THE CONSTRUCTION PLAN
Construction Details, Layout and Design, Grading, road design, stormwater, sewer, domestic water, fire coverage, landscaping, erosion and sediment control, water quality, floodplain, environmental features, soils, parking, amenities, etc.
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SAMPLE GRADING PLAN
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SAMPLE ROAD PROFILE
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SAMPLE – STORM WATER MANAGEMENT
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SAMPLE - WATER QUALITY
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SUBDIVISION DOCUMENTS
The plat is the picture and the deed is the words.
– Deed
– Plat
– Homeowners Associations: Maintenance responsibility of commonly owned property
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SAMPLE RECORD PLAT
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BONDS, PERMITS & INSPECTIONS
• Bonds
• Permits – VDOT
– County Grading
– County Performance
– Water and Sewer
– Environmental permits (Wetlands, SWM, monitoring)
• Inspections - Bond Release – Inspections
– Street Acceptance
– Maintenance Bonds
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BID AND CONTRACTS
• Construction Bid
– Turn Key
– Bid to 3
– Classified vs. Unclassified
– On-site vs. Off-site • Borrow or Excess
• Construction Contracts
– Scope
– General Conditions
– Cost and Time
– Plans and Specs
– Insurance
– Substantial Completion
– Dispute Resolution
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THE CONSTRUCTION PROCESS
• Clearing & Erosion Control
• Earthwork
• Pipework
• Road construction
• Private Utilities
• Final Paving – Bond Release
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CLEARING & EROSION CONTROL
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EARTHWORK
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EARTHWORK
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PIPEWORK
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ROAD WORK
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DRY UTILITIES
• Power
• Phone
• Natural Gas
• Cable
• Utility Relocation
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LAND DEVELOPMENT – OTHER CONSIDERATIONS
• Alternate sewer and water
– Pump Stations
– Wells and Drain Fields
• Wetlands and Streams
• Off-Site Improvements
– Utility extensions
– Roads
• Off-site easements
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CASE STUDY
The following case study provides an
additional opportunity to further
understand the land acquisition and
development process.
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CASE STUDY
BETHESDA MEWS
BETHESDA MEWS
(AKA AMERICAN COLLEGE OF CARDIOLOGY)
LAND AREA YEAR YEAR
(ZONING) CONTRACTED PURCHASED 44444
9.7 ACRES (R-60) OCTOBER 22, 2010 NOVEMBER 7, 2013
Site is located on east side of Old Georgetown Road just north of Cedar
Lane and NIH. The subject property had an impervious area constraint
due to the high cost of downstream storm water improvements that
would be required if we exceeded the existing office building and
parking lot impervious area of 155,807 square feet. Forest Conservation
Law required a minimum forest threshold of two acres. Category I
Forest protected a retained forest area of 1.97 acres, Category II
Conservation Easement of .30 acres along Old Georgetown Road
provided long term protection of existing trees and met the Master Plan
requirements for preservation of trees along property frontage.
Approved plan incorporated tot lot into environmental site design
feature for storm water management and provided pedestrian
connection from Old Georgetown Road to the Maplewood neighborhood.
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Proposed development under the R-60 optional
method that would require
Moderately Priced Dwelling Units (MPDUs)
29 SFD / 5 Plex MPDUs (12.5%)
Subdivision Process Required:
Preliminary Plan
Final Site Plan
Certified Site Plan
Record Plat _______________________________________________________________________________________________________
Variances by Planning Board:
Impact on Critical Root Zones for Protected Trees
Public Street Width Modification
Elimination of sidewalk along one side of Camberley Avenue
CASE STUDY
BETHESDA MEWS
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CASE STUDY
BETHESDA MEWS
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CASE STUDY
BETHESDA MEWS
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CASE STUDY
BETHESDA MEWS
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CASE STUDY
BETHESDA MEWS
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CASE STUDY
BETHESDA MEWS
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CASE STUDY
BETHESDA MEWS