Investment Feasibility: Costs, Revenue Assumptions and Risks

In real estate development studies, Koloni Architecture considers the development option alongside cost and revenue expectations. The intended use, approximate size and development model are defined at the outset to provide a consistent basis for comparison.

Depending on the agreed scope, the study considers construction costs, projected sale or rental revenue and timing assumptions. The date and coverage of the information are stated; estimates are revisited as the design develops or market conditions change.

Options are compared using different cost, revenue or schedule assumptions. A return percentage and a payback period are different measures and are stated separately. Results support the decision process when considered alongside their underlying assumptions and the currency of the information.

Share the site details, any architectural studies, intended use and development model, and available cost or market information. The study's scope, information gaps and options to be compared are established at the outset.