Land Class FULL Handout

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Table of Contents

➢ ( 1 ) – Table of Contents

➢ ( 2 ) – Class Objectives

➢ ( 3 ) – On Solving Problems or Challenges

• WHY Agents should Tune In and get excited

➢ ( 4 ) – What is HBU? Why is it Important?

➢ ( 5 ) – HBU & Zoning Change Illustration

➢ ( 6 ) – Explaining HBU to a Landowner or Seller

➢ ( 7-8 ) – Residential Land Dev. Terms, Acronyms, and Lingo

➢ ( 9-11 ) – Valuation of Residential Development LAND

➢ ( 12 ) Hypothetical Development Spotlights • ***Residential Development Pro-Forma***

➢ ( 13-16 ) – A Complete Guide to Residential Land Development

➢ ( 17-18) – Agent Tips for Success in Res. Land Development

➢ ( 19-21) – Government Relationship Target List

➢ ( 22-24) – Building Your Professional Network -AList, Tips, and Guide

➢ ( 25-27) – Guide to Reading a Plat & Site Plan

➢ ( 28-29) – Phases of Due Diligence for Residential Land Development

➢ (30-31) – Residential Land Development Specialist Toolbox

➢ ( 32 ) – LDP 101

Class Objectives

Note: I have personally seen & experienced this class result in millions of dollars of commission earned!!!

By the end of this course, participants will be able to:

1. Confidently determine and present Fair Market Value for land whose highest and best use is residential subdivision development.

2. Identify, evaluate, and compellingly present a land development opportunity that would be difficult for any serious developer to decline.

Participants will also gain:

• A solid understanding of key terms, concepts, and industry language related to land development projects.

• The ability to deliver high-value insights and solutions to both land buyers and sellers.

• A clear, start-to-finish understanding of the residential land development process.

• Increased professional confidence in discussing, marketing, and negotiating land deals.

• The potential to build valuable new relationships that could lead to more successful real estate transactions.

Please Scan at END of class to receive CE Credit

Addressing & Overcoming PROBLEMS

Definition: The highest and best use of a property is the most profitable, legally permissible, physically possible, and financially feasible use of the land that results in its HIGHEST VALUE.

Four Key Tests of Highest and Best Use

For a use to qualify as HBU, it must pass all four of these tests:

1. Legally Permissible

o Does zoning, land use regs, or deed restrictions allow it?

o Example: Multifamily may not be allowed on land zoned only for agriculture.

2. Physically Possible

o Can the land physically support the intended use?

o Consider: topography, size, access, utility availability, flood zones.

3. Financially Feasible

o Will the development generate a return on investment?

o Example: Building condos may be legal, but not profitable in a weak market.

4. Maximally Productive

o Of the feasible options, which use gives the highest return or value?

Why It Matters to Land Development Specialists

• Helps Clients Unlock Value: Identifying the HBU shows landowners, investors, or developers how to reposition the property for maximum equity gain.

• Shapes Development Strategy: Guides rezoning, subdivision, and marketing strategies.

• Influences Land Valuation: Appraisers use HBU to estimate market value. A parcel may appraise significantly higher based on its HBU not its current use.

Example in Practice (Georgia-Based)

A 10-acre parcel in Forsyth County currently zoned AG (agriculture):

• Current Use: Horse pasture.

• HBU Analysis:

o Legally Permissible: Submit rezoning request for Res-3 or TND.

o Physically Possible: Gentle topography and road frontage = good.

o Financially Feasible: Builders actively buying in the area.

o Maximally Productive: Likely a townhome or small lot detached home subdivision

Result: The agent helps owner reposition land, leading to a 3X increase in value.

Pro Tip for Agents

Use this question with landowners: “Have you ever had a feasibility or HBU study done? You may be sitting on significantly more equity than you realize.”

Large estate lots; limited buyer pool; value driven by rural residential demand.

Slightly higher density allows smaller lots; more buyers; modest infrastructure costs.

Subdivision potential increases; more total homes per acre; developers can pay more.

Strong appeal to tract builders; more efficient land use; higher absorption rate.

Maximizes single-family density; smaller lot sizes; maximizes profit margins for builders.

Townhome or garden-style apartment zoning; higher rental yield potential.

Larger apartment complexes; investordriven pricing; steady rental income projections.

Higher per-acre value than residential in some markets; depends on location visibility.

Daily needs retail; strip centers; typically higher value than office if near rooftops.

Greater commercial flexibility;

counts become a key driver of

Large-scale retail or specialty uses; high traffic, high visibility locations.

Depends on logistics demand; often less than prime retail but more than rural res.

Flexibility attracts developers; can stack uses vertically; depends on demand balance.

Prime

or

Explaining HBU: Here’s a professional but easy-to-follow dialogue you could use when speaking to a land seller. I’ll make it conversational but still authoritative, so they feel informed without getting lost in jargon.

You: "Before we even talk numbers, the very first step in pricing land is figuring out its Highest and Best Use, or HBU. That’s a real estate term that basically means: What is the most valuable and legally allowable way this property could be used right now?

Think of it like this if your land could be used for a single home, a subdivision, or even a commercial project, we want to first identify which of those uses the market would pay the most for, given zoning, utilities, road access, and demand.

In your case, after looking at zoning, location, and the surrounding development patterns, the highest and best use points toward a residential subdivision not just a single homesite. That’s important because the type of buyer changes completely instead of a homeowner, we’d be talking to a builder or developer who’s looking at the project as an investment."

Seller: "Okay, so if it’s a subdivision, do we just look at recent sales of similar land?"

You: "That’s actually where a lot of people go wrong. For subdivision land, we can’t just pull up comparable sales like we do with houses. Developers don’t buy based on comps alone they buy based on a financial proforma.

That’s just a fancy way of saying they run the numbers:

• How many lots can they create?

• What will each lot sell for?

• What will it cost to install roads, utilities, and meet county requirements?

• How much time will it take?

Once they have all that, they back into the number they can afford to pay for the land and still make a reasonable return.

So in a subdivision scenario, the land value is determined by the project’s math, not by what your neighbor sold a few acres for last year. That’s why getting the highest and best use right from the start is crucial it shapes how we market the property, who we target, and how we justify the price."

Seller: "Got it so first we figure out the best possible use, and then for something like a subdivision, the value comes from what it can earn a builder, not just what similar properties sold for."

You: "Exactly. It’s a two-step process Highest and Best Use first, then the financial reality of that use. And in your case, the subdivision potential is what unlocks the most value, so that’s the path I’d recommend we pursue."

Residential Land Development Terms, Acronyms, and Lingo

Here's a list of 50+ essential residential land development terms, acronyms, and lingo that every real estate agent working with land, developers, and builders should know. These are grouped by category to help with understanding and application.

Planning & Zoning Terms

1. Zoning – Local regulations that govern land use.

2. Future Land Use Map (FLUM) – Shows planned development patterns.

3. Master Plan / Comprehensive Plan – Community-wide long-term planning document.

4. Rezoning – Process of changing land’s zoning classification.

5. Conditional Use Permit (CUP) – Special allowance for non-conforming use.

6. Variance – Permission to deviate from zoning rules.

7. Density – Number of units per acre (e.g., 4 DU/AC).

8. DU/AC (Dwelling Units per Acre) – Measure of residential density.

9. Overlay District – Adds requirements or protections on top of base zoning.

10. Entitlements – Legal rights to develop a property.

Engineering & Surveying Terms

11. Topo (Topographic Survey) – Map showing elevation and natural features.

12. Boundary Survey – Establishes property lines.

13. ALTA Survey – Detailed commercial-level survey (American Land Title Association).

14. Wetlands Delineation – Identifies protected wetlands.

15. Floodplain – Low-lying land subject to flooding.

16. Perk Test (Percolation Test) – Tests soil for septic suitability.

17. Soils Report / Geotech Report – Analyzes soil stability and composition.

18. Grading Plan – Blueprint showing how land will be leveled or reshaped.

19. Erosion Control Plan – Strategy to prevent sediment runoff.

20. Tree Survey – Inventory of existing trees on the site.

Development & Construction Terms

21. Site Plan – Scaled drawing of proposed development.

22. Preliminary Plat – Initial layout of lots, streets, and open space.

23. Final Plat – Approved, recorded subdivision layout.

24. Lot Yield – Number of developable lots per parcel.

25. Retention Pond – Permanent water collection area for runoff.

26. Detention Pond – Temporarily holds water to prevent flooding.

27. Cut and Fill – Moving earth to level site.

28. Setbacks – Required distance between structure and property lines.

29. Impervious Surface – Surfaces that prevent water absorption (e.g., roads).

30. Infrastructure – Roads, water, sewer, utilities, etc.

Residential Land Development Terms, Acronyms, and Lingo

Legal & Transactional Terms

31. Title Commitment – Summary of title status before closing.

32. Deed Restrictions / CCRs – Rules limiting property use.

33. Due Diligence Period – Time to inspect and investigate before closing.

34. Feasibility Study – Examines if development is practical and profitable.

35. LOI (Letter of Intent) – Preliminary agreement before contract.

36. PSA (Purchase and Sale Agreement) – Binding sales contract.

37. Option Agreement – Right to purchase land in future under certain terms.

38. Assemblage – Combining multiple parcels for larger project.

39. Land Banking – Holding land for future development.

Financial & Investment Terms

40. Pro Forma – Financial projection for development.

41. Cap Rate (Capitalization Rate) – Return on investment for income properties.

42. IRR (Internal Rate of Return) – Profitability metric.

43. Carrying Costs – Expenses for holding undeveloped land.

44. Impact Fees – Charges to offset infrastructure burden of new development.

45. Development Costs – All costs to bring raw land to build-ready condition.

Government & Regulatory Agencies

46. DOT (Department of Transportation) – Controls road access.

47. DNR (Department of Natural Resources) – Regulates wetlands, trees, water.

48. EPA (Environmental Protection Agency) – Environmental regulations.

49. Army Corps of Engineers – Oversees wetlands and waterways.

50. County Commission / Planning Board – Approves zoning and subdivisions.

51. TIS (Traffic Impact Study) – Required analysis of how development affects roads.

BONUS: Must-Know Slang & Lingo

52. Raw Land – Unimproved, undeveloped land.

53. Entitled Land – Land that has secured approvals to build.

54. Pad-Ready – Land with infrastructure in place, ready for construction.

55. Paper Lots – Lots approved on paper but not yet built.

56. Flag Lot – A lot with a narrow access “flagpole” leading to the main parcel.

Valuation of Residential Development LAND

When the highest and best use (HBU) of a property is residential land development, real estate agents must go beyond comps and consider land from a developer’s perspective. Here are the key elements and formulas to understand land valuation in this context:

Key Elements in Land Valuation for Residential Development

1. Zoning & Density

• Determines how many units (lots) you can build.

• Must confirm with the county/city (not just tax records).

2. Lot Yield / Usable Acreage

• Not all land is buildable subtract floodplain, buffers, setbacks, utility easements, etc.

• Use yield percentages:

o Raw land: 60–75% yield is common in suburban markets.

o Example: 10 acres × 70% = 7 usable acres.

3. Topography & Access

• Steep slopes, wetlands, or lack of road access reduce value.

4. Utility Availability

• Cost and proximity of water, sewer, electricity, and gas impact feasibility.

5. Absorption Rate

• How quickly lots/homes will sell in the market (important for back-end valuation).

6. Entitlement Risk

• Raw land has zoning or approval risks; entitled land (approved plat) is worth more.

1.

Valuation of Residential Development LAND

Key Valuation Formulas & Approaches

Residual Land Value Formula

Used by developers to determine what they can pay for land.

Formula:

Estimated Gross Revenue (after development and sales)

- Total Development Costs (construction, permits, profit, soft costs)

= Residual Land Value (Max they can pay for the land)

Example:

• 20 lots × $125,000 (lot sales price) = $2,500,000 revenue

• Development costs = $1,600,000

• Desired developer profit = $400,000

• Residual Land Value = $500,000

That’s the max a developer could offer for the land.

2. Land Value per Buildable Lot

Simple way to value based on finished lot potential.

Formula:

Estimated # of Buildable Lots × Price Per Finished Lot = Land Value

• Often subtracts off-site costs to determine what to pay today.

• Useful in suburban areas where comps exist for finished lots.

3. Land Price per Front Foot or Acre

Still used in raw land deals but less precise.

• Example: $35,000 per usable acre

• Or: $500 per linear front foot on major road

Use cautiously needs adjustment based on use, access, and zoning.

Valuation of Residential Development LAND

4. Price per Unit Density

Often used when zoning allows a certain number of homes per acre (e.g., 4 units/acre).

Formula:

$ per Unit × Allowed Density × Acreage = Land Value

• Example: $10,000/unit × 4 units/acre × 10 acres = $400,000

5. Backwards from Builder’s Lot Price

If you know what builders are paying for lots in the area:

Formula:

Lot Price Paid by Builder – Lot Development Cost = Raw Land Value Per Lot Then: × Number of Lots = Total Land Value

Pro Tips for Agents

• Use a Feasibility Worksheet to model potential yield and costs (I can give you one).

• Don’t forget timing: If it takes 2 years to entitle and develop, that reduces current value.

• Know local impact fees, sewer tap fees, and road improvement fees they eat into margins.

• If uncertain, bring in a civil engineer or land planner early.

Would you like a downloadable Feasibility Worksheet, Sample Yield Calculation, or a Land Valuation Cheat Sheet PDF?

Hypothetical Development Spotlights

• RawAcreage:________________________________________________

• Physical Limitations:__________________________________________

• Current Zoning:______________________________________________

o Current Use:_____________________________________________

• HBU:_______________________________________________________

o ReZone:________________________________________________

o New Use:_______________________________________________

• Notes:______________________________________________________

• Lot Ratio:________% Target Price Point: $______________

• Land $___________ Development $ ___________ Margin $__________ __________________________________________________________

• RawAcreage:________________________________________________

• Physical Limitations:__________________________________________

• Current Zoning:______________________________________________

o Current Use:_____________________________________________

• HBU:_______________________________________________________

o ReZone:________________________________________________

o New Use:_______________________________________________

• Notes:______________________________________________________

• Lot Ratio:________% Target Price Point: $______________

• Land $___________ Development $ ___________ Margin $__________

• RawAcreage:________________________________________________

• Physical Limitations:__________________________________________

• Current Zoning:______________________________________________

o Current Use:_____________________________________________

• HBU:_______________________________________________________

o ReZone:________________________________________________

o New Use:_______________________________________________

• Notes:______________________________________________________

• Lot Ratio:________% Target Price Point: $______________

• Land $___________ Development $ ___________ Margin $__________

A Complete Guide to Residential Land Development From Raw Land to

Turnkey Community

Land development projects follow a structured path, moving through a series of strategic phases that balance legal, financial, environmental, and infrastructure demands. As a real estate agent or land professional, understanding these steps can elevate your ability to guide developers, investors, and builders to success.

1. Pre-Acquisition & Feasibility Phase

This is the foundation of the entire project. Mistakes here can be extremely costly, so comprehensive due diligence is essential.

Key Steps:

• Market Analysis: Evaluate local demand, pricing, absorption, and competition.

• Site Identification: Assess location, access, topography, and surrounding land uses.

• Due Diligence Checklist:

o Legal & Title: Clean title, easements, liens, encroachments, deed restrictions.

o Zoning & Land Use: Current zoning vs. desired use; overlays or moratoriums?

o Access Verification: Confirm legal and physical access via public road or deeded easement.

o Surveys: Boundary, topographic, and ALTA (if applicable).

o Environmental Review: Wetlands, floodplain, endangered species, environmental contamination.

o Geotechnical & Soils Testing: Rock, groundwater, septic feasibility (perc tests), slope stability.

o Utility Feasibility: Access and capacity for water, sewer, electricity, gas, and internet.

o Stormwater Management: Preliminary drainage assessment and feasibility.

o Road/DOT Access: Driveway permits, traffic counts, curb cuts.

Agent’s Role:

• Order title and surveys, coordinate professionals (engineers, attorneys, consultants).

• Interpret zoning codes and planning documents.

• Provide comps and market insights.

• Guide client through county or city planning meetings.

Important Elements:

• Preliminary Site Concept: Sketch layout to estimate lot yield and design options.

• Financial Feasibility: Compare projected revenue vs. land and development costs.

• Risk Identification: Legal, environmental, infrastructure, or political hurdles.

• Stakeholder Engagement: Early discussions with city staff, neighbors, and engineers.

A Complete Guide to Residential Land Development

2. Acquisition Phase

Once feasibility is positive, the focus shifts to acquiring the land ideally on terms that allow time to secure approvals.

Key Steps:

• Negotiate and execute a purchase contract, often contingent on feasibility or rezoning.

• Secure funding (equity partners or lenders).

• Use extension clauses and purchase price adjustments to reduce risk if surprises arise.

Agent’s Role:

• Draft and negotiate favorable contract terms.

• Structure contracts as assignable if working with partners.

• Ensure clients understand the value of option contracts or contingent closings

3. Entitlement & Approval Phase

This is where you obtain the legal rights to develop the land for its intended purpose.

Key Steps:

• Rezoning (if required): Public hearings with Planning Commission and City/County Council.

• Site Plan Approvals: Submit concept plan, get preliminary plat approval.

• Engineering & Infrastructure Design: Grading, stormwater, roads, sewer/water, and utilities.

• Environmental Permitting: Federal, state, and local permits (wetlands, stormwater, etc.).

Agent’s Role:

• Attend pre-application meetings with local planners.

• Identify timeline risks or public opposition (NIMBY).

• Help clients understand comp plan alignment and political climate.

Important Elements:

• Develop relationships with planning staff and engineers.

• Expect timelines of 6–18+ months for full approvals.

• Secure capacity letters from utility providers.

A Complete Guide to Residential Land Development From

4. Development Phase (Site Work & Infrastructure)

This phase transforms raw land into buildable lots.

Key Steps:

• Land Clearing & Grading

• Install Infrastructure: Roads, water/sewer, stormwater management, power.

• Final Plat Approval: Once infrastructure passes inspection.

• Bonding & Erosion Control Compliance

Agent’s Role:

• Stay in contact with civil engineers and contractors.

• Ensure timelines are aligned with builder demand or investor requirements.

5. Vertical Construction or Sale Phase

Depending on the strategy, the developer will either build homes or sell finished lots to builders.

Key Steps:

• Build Homes: For builder-developers.

• Sell Lots: For land developers selling to third-party builders.

Important Elements:

• Lot pricing, phasing strategy, and permitting coordination.

• Set up HOA and record CCRs (Conditions, Covenants, and Restrictions).

Agent’s Role:

• Market lots to builders or new homes to buyers.

• Facilitate permitting and builder partnerships.

A Complete Guide to Residential Land Development From

6. Closeout & Turnover Phase

The final wrap-up of the project includes legal, financial, and operational transitions.

Key Steps:

• Final Inspections and as-built surveys.

• Dedication of roads and utilities to local governments.

• HOA Transition: Control transferred to residents.

• Bond Release & Final Accounting

Agent’s Role:

• Coordinate with attorneys, engineers, and local agencies.

• Support HOA planning or identify property management options.

Supporting Documents You Should Know

• Feasibility worksheet

• Land acquisition checklist

• Site plans & preliminary plats

• Financial pro forma

• HOA setup docs and CCRs

Summary: The Agent’s Strategic Value

Agents play a critical role in land development by:

• Coordinating due diligence teams

• Guiding entitlement navigation

• Helping developers make data-driven decisions

• Serving as a market expert and municipal liaison

Understanding this process not only helps you better serve your clients it positions you as an indispensable asset in Georgia’s growing development landscape.

Agent Tips for Success in Residential Land Development

1. Understand the Development Process

• Know the phases: from raw land to lots to vertical construction.

• Learn how zoning, density, sewer access, and topography affect land value.

2. Build Relationships with Local Government

• Attend planning commission and zoning board meetings.

• Get to know city/county planners, inspectors, and permitting staff.

3. Develop a Network of Experts

• Civil engineers, land use attorneys, surveyors, environmental consultants.

• These connections help you become a one-stop resource for developers.

4. Learn to Read a Plat and Site Plan

• Understand setbacks, lot sizes, floodplains, and proposed infrastructure.

• This adds real credibility when consulting with landowners or builders.

5. Master Land Valuation

• Learn to value raw land based on potential lot yield and absorption rate.

• Know how to use residual land value or land per front foot methods.

Opportunities to Create Value and Income

1. Connect Landowners with Developers

• Represent landowners who have property suitable for development.

• Match them with small developers or builders needing land.

2. Sell Finished Lots to Builders

• Once the subdivision is developed, represent the developer to sell lots.

• Become the go-to agent for inventory lot sales to small-to-medium builders.

3. Consult on Assemblages

• Help developers acquire multiple parcels to create buildable sites.

• Use option contracts and off-market outreach.

4. Teach and Guide

• Educate agents, investors, or landowners through classes or consultations.

• Charge for consulting, especially on zoning or entitlement strategy.

Agent Tips for Success in Residential Land Development

5. Referral Fees

• Refer clients to attorneys, engineers, or investors.

• Participate in deals passively via syndication, assignment, or finder's fee (when legal).

Challenges to Be Aware Of

1. Long Timelines

• Development deals can take 12–36 months or more to close and pay out.

2. Financing Complexity

• Developers may struggle to secure funding; deals can fall through unexpectedly.

3. Zoning Risk

• Rezoning is uncertain and often faces community resistance or political shifts.

4. Knowledge Barrier

• Land development is technical agents must invest heavily in education.

5. Deal Assembly

• Convincing multiple landowners to sell at the same time is difficult.

Good Advice for Agents in Land Development

• Think like a developer: What would you need to know before risking capital?

• Document everything: Land deals are legal and complex use LOIs, option agreements, and attorneys.

• Don’t guess on zoning or yield: Always refer clients to professionals for site feasibility.

• Get paid multiple ways: Think beyond commissions consulting, equity shares, wholesale fees.

• Stay educated: Take classes on land use, engineering basics, and development finance.

Government

A land development–focused real estate agent should intentionally build relationships with key government officials and departments that influence zoning, land use, permitting, and infrastructure. These relationships are invaluable for staying ahead of changes, guiding developers intelligently, and becoming a go-to local expert.

Government Officials & Departments to Know

1. Planning & Zoning Staff

• City/County Planning Directors

• Zoning Administrators

• Land Use Planners

• Long-Range Planning/Comp Plan Staff

Why: These people interpret and apply the rules on land use, density, and future development.

How to connect:

• Attend local planning commission meetings

• Schedule informational meetings to ask about zoning and planning processes

• Be respectful, curious, and show you're trying to learn not pushing an agenda

2. Planning Commission Members

• Appointed or elected volunteers who vote on rezoning, variances, and land use cases.

Why: Building trust and credibility with them helps when your client has a project before them.

How to connect:

• Attend meetings and introduce yourself after

• Volunteer for a civic or planning committee

• Avoid lobbying offer your market expertise and ask thoughtful questions

Government

3. Elected Officials

• City Councilmembers / County Commissioners

• Mayor (in smaller towns)

Why: They vote on rezonings, annexations, and infrastructure investments.

How to connect:

• Meet them at community or chamber of commerce events

• Offer to be a resource on real estate trends

• Maintain neutrality and professionalism don't get overly political

4. Building & Development Services Department

• Permit Coordinators

• Inspection Officials

• Development Review Staff

Why: These people guide development timelines, permits, and construction approvals.

How to connect:

• Walk through the development permit process with a client and ask questions

• Attend developer roundtables or workshops if offered

5. Public Works & Utility Departments

• Water & Sewer Authority

• Stormwater & Roadway Engineers

• Transportation Planners

Why: Infrastructure access is often a deal breaker in land deals.

How to connect:

• Schedule pre-development meetings (these are often free)

• Build relationships through your developer clients’ interactions

6. Economic Development or Community Development Departments

• Helpful in larger jurisdictions that have strategic development initiatives.

Why: They often guide developers to incentives or planned areas for growth.

How to connect:

• Attend local business/economic development summits

• Ask for meetings to understand future growth areas and priorities

How to Build & Nurture These Relationships

Strategy Tips

Be Present

Attend planning commission, council, and zoning board meetings regularly even when you don’t have a deal.

Be Useful Offer market insights, housing demand data, or real estate perspectives not just questions.

Stay Neutral & Professional

Follow Up

Bring Others In

Don’t be adversarial or combative. Be seen as an informed, respectful stakeholder.

Send thank-you emails after meetings. Share positive updates or outcomes.

Invite local officials to speak at real estate office meetings or educational panels.

Stay Current Read your local comp plan, zoning code updates, or transportation plans. Show you're informed.

Building Your Professional Network -AList, Tips, and Guide for the

Core Network of Expert Professionals for Residential Land Development Agents

Land & Site Development Experts

1. Civil Engineers – Site layout, grading, drainage, utility design

2. Surveyors – Boundary surveys, topography, platting

3. Environmental Consultants – Wetlands delineation, endangered species, phase I environmental reports

4. Soils & Geotech Engineers – Perc testing, compaction, stormwater feasibility

Legal & Regulatory Professionals

5. Land Use/Zoning Attorneys – Rezoning, variances, conditional use permits

6. Real Estate Attorneys – Land contracts, option agreements, syndication deals

7. Title Companies – Search for easements, liens, ownership history

Construction & Infrastructure

8. Land Developers – Those who entitle and improve land

9. Builders – Production and custom homebuilders who buy lots or partner on projects

10. Site Contractors – Handle grading, roads, utility install

11. Utility Consultants – Help plan water, sewer, electric connections

Financial & Investment Advisors

12. Commercial Lenders – Specialize in land acquisition and development loans

13. Private Equity / Investors – Fund land development deals

14. CPAs & Tax Strategists – 1031 exchange, cost segregation, capital gains planning

Planning & Analysis

15. Urban Planners / Land Planners – Help lay out community designs that pass approvals

16. Market Analysts – Feasibility studies, absorption rate, comps

17. Appraisers (Land Specific) – Understand highest and best use

Marketing & Community Experts

18. Public Relations / Community Engagement Pros – Help win over community during rezoning

19. Architects & Landscape Architects – Design curb appeal and streetscapes

20. GIS / Mapping Specialists – Visual tools for site analysis and presentation

Real Estate Professionals to Include

Inside Your Brokerage (Safe for Commission Collaboration)

1. New Construction Specialists

o Agents who primarily list or sell for builders.

o Opportunity: Sell lots to their builders, refer clients to them for spec homes.

2. Land Acquisition / Farm & Ranch Agents

o Those who work large tracts, timber, or estate property.

o Opportunity: Co-list development tracts or work together on assemblages.

3. Investor-Focused Agents

o Agents who work with cash buyers, flippers, or BTR (Build-to-Rent) clients.

o Opportunity: Feed them entitled land, finished lots, or small projects.

4. Commercial Real Estate Agents

o Especially those doing mixed-use, retail pad sites, or land banking.

o Opportunity: Collaborate on commercial components of a residential development.

5. Luxury Buyer Agents

o Often know clients with excess land, estate lots, or 1031 needs.

o Opportunity: Identify land sellers and upscale development ideas.

6. 1031 Exchange Specialists (Agent or In-House Staff)

o For clients exchanging into or out of development projects.

o Opportunity: Structure 1031 deals with landowners or developers.

Outside Your Brokerage (Strategic & Selective)

7. Auction Agents or Land Wholesalers

o Source off-market land or distressed tracts.

o Good for access, but vet compensation structure up front.

8. Farm BPO/Valuation Experts

o Helpful for pricing unzoned, agricultural land before development potential is known.

9. Agents Working Planning or Government Roles (Ethics Permitting)

o Useful for insight on upcoming infrastructure, rezonings, or land use plan updates.

10. Development-Only Brokers or Boutique Land Firms

• Sometimes collaborate on larger deals as co-agents, consultants, or project-based partnerships.

Building Your Professional Network -AList, Tips, and Guide

How to Integrate Them Into Your Workflow

Tiered System

• Core Network – You co-market, co-consult, or co-list with them (same brokerage ideal).

• Referral Partners – You send or receive land-specific leads for a set % or fee.

• Special Advisers – Brought in on select deals for their expertise or access (engineers, appraisers, etc.).

Suggested Actions:

• Build a private database or spreadsheet (with names, specialties, contact info, strengths)

• Host quarterly mixers or Zoom roundtables around land or zoning topics

• Create a "Dream Team" pitch deck to show landowners you have a full development-ready squad

How to Acquire & Nurture This Network

Step 1: Identify & Outreach

• Attend local planning commission or zoning board meetings

• Join groups like:

o Urban Land Institute (ULI)

o Builders Association or HBA

o Chamber of Commerce Land Use Committees

• Search LinkedIn, local business directories, or referrals from agents and developers

Step 2: Initiate Contact Strategically

• Reach out with intent: “I’m building a specialist network to support residential land projects in [Your Area]. Can we connect for 15 minutes?”

• Offer a win: referrals, exposure, or inclusion in a preferred vendor list.

Step 3: Nurture Relationships

• Host roundtables or webinars on development topics

• Send warm referrals or include them in land feasibility consultations

• Create a development vendor list PDF or web page and spotlight them

• Meet quarterly for coffee or walk sites together to brainstorm

Step 4: Collaborate Often

• Partner on seminars or CE classes (e.g., "Intro to Zoning for Agents")

• Loop them into landowner consults so they see your team in action

• Use them as expert contributors on proposals or rezoning packages

Guide to Reading a Plat & Site Plan For Real

Estate Agents Specializing in Land Development

1.

Why It's Essential

Understanding plats and site plans allows you to:

• Identify lot boundaries, access points, easements, and buildable areas

• Help developers estimate lot yield and site constraints

• Spot potential deal-breakers early (e.g., flood zones, setbacks, utility issues)

• Communicate clearly with engineers, planners, and clients

• Build credibility and provide actual value not just sales talk

2. Understanding a Plat (Recorded Subdivision Map)

Aplat is a legal map that shows how a parcel of land is divided into lots.

Key Elements to Read:

Feature What It Shows

Lot Lines & Numbers

Individual parcels in the subdivision

Why It Matters

Used for marketing and estimating sales

Dimensions Linear feet of front, sides, rear of each lot Helps assess building envelope

Easements

Right-of-Way (ROW)

Setbacks

Open Space/Detention Areas

Floodplain Lines

Utility or access rights across lots

Public or private streets

May restrict building or require setbacks

Affects road access, turnarounds, and driveways

Required space between structures and property lines Affects buildable area

Community green areas or stormwater features

FEMA-regulated areas prone to flooding

Cannot be built on, may affect yield

May limit use or require elevated construction

Guide to Reading a Plat & Site Plan For Real

Estate Agents Specializing in Land Development

3. Understanding a Site Plan (Preliminary or Final)

Asite plan is a detailed engineering drawing showing how a specific development will be laid out.

Key Elements to Review:

Feature What It Tells You

TotalAcreage & Lot Yield

Topography / Contours

Road Layout

Gross and net buildable area

Elevation and slope changes

Street configuration, ingress/egress

Water/Sewer Layout Where public utilities are accessed

Retention/Detention Ponds

Zoning Labels

Buffers & Tree Save Areas

Stormwater management areas

Parcel's zoning classification

Why It Matters

Basis for pricing, yield, and feasibility

Steep sites may reduce yield or increase costs

Impacts traffic flow, utility layout, access

Determines feasibility and cost of service

May reduce usable acreage

Confirms use and density restrictions

Required green space between development and neighbors Can impact lot yield and aesthetics

Phase Lines If development will occur in stages

Useful for builders planning cash flow

Guide to Reading a Plat & Site Plan For Real

Estate Agents Specializing in Land Development

4. How to Learn to Read These Plans

Tips forAgents:

• Ask civil engineers to walk you through real plans during feasibility

• Attend pre-submittal or planning meetings with clients

• Pull recorded plats from the county’s GIS or deed records to practice

• Use a scale ruler to measure distances when reviewing physical plans

• Overlay GIS info (flood, topo, zoning) onto site plans using county tools

5. Common Mistakes toAvoid

• Ignoring easements that restrict usable land

• Misunderstanding gross vs. net density

• Overlooking access issues (landlocked parcels or unbuilt roads)

• Failing to factor in stormwater and setbacks that reduce buildable space

• Assuming zoning allows max yield without verifying with planners

Pro Tip:

“One of the fastest ways to gain credibility with a developer is to walk them through a site plan and point out risk or opportunity before their engineer does.”

Phases of Due Diligence for Residential Land Development

Feasibility, due diligence, and inspections are absolutely critical in residential land development. As a real estate agent, your value skyrockets when you can guide developers through these steps to avoid costly surprises and make confident acquisition decisions.

These are typically done during the contract's feasibility/inspection period (30–120 days). Each item below should be reviewed by either the developer, the agent, or the hired professionals with the agent helping organize, recommend, and interpret the process.

1. Legal & Title Due Diligence

• Ownership & Title Search: Check for clean title, easements, liens, or encroachments.

• Legal Access: Confirm public road access or deeded easement.

• Surveys: Boundary survey, topo survey, and ALTA survey (if needed).

• Zoning Verification: What’s allowed by right? Any overlays or moratoriums?

• HOA/CCR Restrictions: On subdivisions or neighboring parcels.

Agent's Role: Order title, recommend land-use attorneys, review zoning maps.

2. Physical & Environmental Conditions

• Wetlands Delineation (by a certified environmental consultant)

• Floodplain Review: FEMA flood zones or local overlays

• Topography: Steep slopes, ravines, cliffs affect yield and costs

• Soils & Perc Tests: Required if on septic; assess soil suitability

• Geotechnical Report: Test for soil stability, rock, or groundwater

Agent's Role: Connect with surveyors, geotechs, and environmental consultants.

3. Infrastructure Feasibility

• Utility Access: Water, sewer, electricity, gas, internet – are they on-site or off-site?

• Capacity Letters: Especially for sewer/water – does the county or utility have capacity?

• Stormwater Feasibility: Determine if detention ponds, drainage easements needed

• Road Access / DOT Review: Will a driveway permit or new curb cut be allowed?

Agent's Role: Coordinate meetings with utility providers and engineers.

Phases of Due Diligence for Residential Land Development

4. Entitlement / Approval Risks

• Rezoning Required?: Is the current zoning correct for the intended use?

• Subdivision Approval Timeline: County process for concept plans, plats, etc.

• Planning Department Review: Check for comp plan conflicts or upcoming changes.

• Community Opposition Risk: NIMBY concerns, political risk.

Agent's Role: Attend pre-application meetings; speak with planning staff.

5. Financial Viability

• Lot Yield Estimate: Based on zoning, setbacks, road layout, topo, and buffers.

• Development Cost Estimate: Per-lot or per-acre cost (grading, roads, utilities, permits)

• Sales Comparables: Support for lot/home values

• Absorption Rates: How quickly similar lots/homes have sold nearby

• Impact Fees: Local city/county fees per lot (can be $5k–$30k+)

Agent's Role: Provide comps, builder contacts, and market insights.

6. Contractual and Exit Considerations

• Feasibility/Inspection Period: Sufficient time to complete all reviews

• Extension Clauses: Option to extend due diligence if needed

• Purchase Price Adjustments: Based on findings (e.g., lower yield, utility costs)

• Option or Contingent Purchase Structure: Delays closing until approvals

Agent's Role: Negotiate terms that protect the buyer and allow time for study.

Residential Land Development Specialist Toolbox

KNOWLEDGE & EDUCATION RESOURCES

• Georgia MLS / FMLS Training Portals – For staying current with systems and listings.

• Local Planning Commission Websites – Zoning maps, meeting agendas, land use plans.

• Georgia Realty School or CE-approved courses – Continuing education focused on land, development, and investing.

• ULI (Urban Land Institute) Membership – Research, trends, and networking.

• Builder Developer Councils (e.g., Greater Atlanta Home Builders Association) – Insights on local builder activity and development laws.

• YouTube Channels / Podcasts

o Dirt to Development (Podcast)

o The Real Deal with Realtors

o Land Academy

MOBILE & FIELD TOOLS

• LandGlide / Parlay – Parcel boundary data and owner information on the go.

• Google Earth Pro – For topography, overlays, and visualizing development potential.

• OnX Hunt (Land Use version) – Parcel overlays, land ownership, topo, and access paths.

• GIS Mobile Apps (e.g., county-specific apps) – Access to real-time parcel data and overlays.

• Scanner App (e.g., Adobe Scan) – Quickly digitize paper docs or sketches on-site.

DEAL & DEVELOPMENT ANALYSIS TOOLS

• Zilculator / Enriched Data / DealCheck – Run feasibility, ROI, or hold/sell analysis.

• Excel Feasibility Templates – Custom pro formas for land development.

• LotNetwork.com – Nationwide database of land and lots for sale.

• CoStar / Reonomy – Commercial and land parcel research.

• Esri ArcGIS – Advanced mapping, zoning overlays, floodplain analysis.

MAPPING & PLANNING TOOLS

• QGIS (Free GIS Tool) – Professional-level spatial analysis.

• Google Maps “My Maps” Tool – Create custom site maps and routes.

• County GIS / Zoning Maps – Zoning classifications, flood zones, soil maps.

• TopoZone / USGS Maps – Elevation, slope, and terrain data.

CLIENT SERVICE & TRANSACTION TOOLS

• Dotloop / Skyslope / DocuSign – Document management and e-signatures.

• Trello / Monday.com / Notion – Project management for tracking development phases.

• Cloud Storage (Google Drive, Dropbox) – Organize surveys, plats, and due diligence docs.

• Calendly + Zoom + CRM Integration – Streamlined client meetings and follow-ups.

Residential Land Development Specialist Toolbox

SITE ANALYSIS & DUE DILIGENCE RESOURCES

• SoilWeb / Web Soil Survey (USDA) – Soil classification and suitability for septic.

• Flood Factor / FEMA Flood Map – Floodplain data and environmental risk.

• Department of Transportation Traffic Count Maps (GDOT) – Assess road impact and access.

• Utility Providers & County Engineers – Direct contact lists for water/sewer/electric access confirmation.

MARKETING & PRESENTATION TOOLS

• Canva Pro – Branded maps, flyers, and land listing presentations.

• ChatGPT or Jasper.ai – Generate persuasive copy or ad content.

• REMarketing Automation Tools – Follow-up drip campaigns, market reports.

• Drone Photography + Video Editing Tools (iMovie, InShot) – Aerial site views for promotion.

NETWORKING & COLLABORATION RESOURCES

• Slack / Microsoft Teams – Team communication for agent-builder-civil engineer teams.

• LinkedIn & Facebook Groups

o Land Investors in Georgia

o Residential Developers Network

• Buildertrend / CoConstruct (if advising builders) – Project timeline and updates.

• Meetup / Eventbrite – Land or development-related networking events.

PAPERWORK & PROCESS TEMPLATES

• Due Diligence Checklists – Pre-built for raw land or development parcels.

• LOI (Letter of Intent) Templates

• Entitlement Process Guides – From rezoning to final plat approval.

• Sample Purchase Agreements (with land contingencies)

BONUS TOOLS FOR STAYING AHEAD

• AI-Powered Property Valuation Tools (HouseCanary, Clear Capital)

• CRMs Tailored to Land/Investor Clients (e.g., REI BlackBook, Real Geeks)

• Custom Land Development Timeline Generator (via Notion or Trello templates)

LDP 101

A Land Disturbance Permit (LDP) is an official authorization issued by a local government (typically the county or city where the property is located) that allows the holder to begin grading, clearing, excavating, or otherwise disturbing the earth on a piece of property. It is a crucial step in the development process especially for residential, commercial, or mixed-use projects.

Why Is a Land Disturbance Permit Important?

1. Environmental Protection: It ensures that erosion and sedimentation controls are in place to protect nearby waterways and ecosystems during construction.

2. Legal Compliance: Required under state and federal laws, such as the Georgia Erosion and Sedimentation Act and the Clean Water Act.

3. Construction Authorization: Without an LDP, most site work (clearing trees, moving earth, cutting roads) is illegal and subject to heavy fines or stop-work orders.

4. Utility Coordination & Site Engineering: It confirms that the site plan has been reviewed for proper grading, drainage, and utility infrastructure.

How Do You Obtain a Land Disturbance Permit?

The process typically involves the following steps:

1. Submit a Site Development Plan:

o Includes grading plan, utility plan, erosion control measures, tree protection plan, and stormwater management design.

o Must be sealed by a licensed civil engineer or landscape architect.

2. Erosion and Sediment Control (ESC) Measures:

o Plans must comply with Georgia’s Manual for Erosion and Sediment Control (the "Green Book").

o Sometimes requires certification of a Level II Certified Design Professional.

3. Environmental Impact Review (if applicable):

o Wetlands, floodplains, stream buffers, or endangered species areas must be accounted for.

4. Pay Fees:

o Fees vary by county/city and are typically based on the acreage disturbed.

5. Pre-Construction Meeting:

o A site visit may be required before the LDP is officially issued.

6. Approval and Issuance:

o Once reviewed and approved, the LDP is issued and posted on-site during all phases of land disturbance.

Examples in Georgia (e.g., Forsyth County):

Forsyth County requires:

• A complete LDP application.

• Site development plans.

• Proof of NPDES Notice of Intent (NOI) filing with the Georgia EPD.

• Performance bonds (if applicable).

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