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    Real estate development feasibility

    Real estate entitlement and site feasibility, explained.

    Before a pro forma can tell you whether a development is worth pursuing, the site has to support the project the model assumes. Resolve the parcel, jurisdiction, approval path, and civil constraints before the project becomes expensive to change.

    Site + jurisdiction First test
    Financial feasibility Connected test
    Human authority Final decisions

    Direct answer

    What site and regulatory feasibility actually tests.

    Site and regulatory feasibility is the sourced evaluation of what a parcel, jurisdiction, approval pathway, and physical conditions can support. Financial feasibility is a connected—but distinct—test of whether the viable program produces acceptable economics.

    Decision guide

    Five feasibility questions, one development decision

    CriterionPrimary questionCore inputsBottom line
    RegulatoryCan the proposed use and development program comply with the parcel’s zoning and applicable plans?Use, density, FAR, height, setbacks, lot coverage, open space, parking, overlays, and specific plans.Establish what the rules allow before relying on the program.
    EntitlementWhat planning approvals and review path are likely required?By-right or discretionary path, approval bodies, studies, hearings, findings, conditions, and milestones.Map the approval path and the questions that still require agency confirmation.
    Physical + civilCan the site support the proposed program in practice?Topography, grading, access, frontage, utilities, stormwater, detention, easements, and existing conditions.Surface the constraints that can change scope, cost, or sequence.
    FinancialDo the economics work for the viable project?Revenue, cost drivers, fees, exactions, financing, timing, and return assumptions.Test the economics using site and entitlement assumptions the team can defend.

    These disciplines should iterate. The distinction is not a universal order of operations; it is a way to keep financial assumptions tied to the site and approval context that create them.

    Planning approval

    What is real estate entitlement?

    Real estate entitlement is the process of securing the planning and land-use approvals required for a proposed development.

    The exact path depends on the jurisdiction, parcel, and project. Entitlement establishes whether and under what conditions a project may proceed. It is not the same as a building permit, which addresses the construction documents and technical requirements that follow.

    Examples: Los Angeles planning approvals · Sacramento entitlements

    1. Path 01

      By-right or ministerial

      The project generally proceeds when it meets applicable objective standards and does not require additional formal planning approvals.

    2. Path 02

      Discretionary

      The project requires judgment, findings, or additional approval and may involve hearings, conditions, or revisions.

    These are common categories, not one universal sequence. Every project must be checked against the terminology and process of its reviewing jurisdiction.

    What changes by workflow

    A regulatory and entitlement feasibility workflow

    1. 01

      Start with the parcel and program

      Identify the site, intended use, and decision to be made. Add surveys, title information, program targets, or preliminary drawings when available.

    2. 02

      Resolve the regulatory envelope

      Bring use, density, FAR, height, setbacks, lot coverage, open space, parking, overlays, and specific plans into one buildable view, with governing sections cited.

    3. 03

      Map the entitlement pathway

      Establish whether the project appears by-right or may require administrative or discretionary approval, then identify likely bodies, studies, findings, conditions, and milestones.

    4. 04

      Add jurisdiction insight

      Review comparable approvals to see what was requested, approved, conditioned, or reduced—without treating precedent as a guarantee.

    5. 05

      Screen civil constraints

      Evaluate topography, grading, access, frontage, utilities, stormwater, detention, easements, and existing conditions that could affect scope, cost, or sequence.

    6. 06

      Test massing and yield

      Turn the buildable envelope into program, floor-plate, parking, efficiency, and circulation options tested against the same constraints.

    7. 07

      Translate options into economics

      Feed yield, fees, exactions, infrastructure, conditions, and schedule assumptions into the financial model.

    8. 08

      Keep the decision traceable

      Record the sources, reasoning, open questions, and verification needs behind a go, revise, pause, or no-go recommendation.

    One study, every discipline

    What a defensible feasibility study should include

    The useful output is not a collection of disconnected checklists. It is one visible chain of reasoning from parcel rules to approval path, site constraints, concept options, and the investment decision.

    Zoning and regulatory envelope

    Use, density, FAR, height, setbacks, lot coverage, open space, and parking resolved into a buildable envelope, with governing sections attached.

    Jurisdiction insight

    Overlays, specific plans, likely discretionary steps, commonly requested studies, and the local review context.

    Precedent projects

    Comparable proposals, approvals, conditions, and reductions that clarify local practice without promising the same outcome.

    Concept massing and yield

    Program mix, floor plates, efficiency, parking strategy, and circulation tested against the site constraints.

    Entitlement pathway

    By-right versus discretionary, approval bodies, likely conditions, required studies, and a realistic milestone sequence.

    Civil due diligence

    Topography, grading, access, frontage, utilities, stormwater, detention, easements, and existing conditions.

    Deal terms and financials

    Revenue program, cost drivers, fees, exactions, and timeline assumptions built from the viable project.

    A structured, sourced report

    Requirements tied to governing sources, assumptions stated, and unresolved questions left visible for the right professional or agency.

    The downstream handoff

    How feasibility connects to plan review

    Feasibility identifies the likely rules, agencies, studies, constraints, and approval pathway while the project is still being shaped. Entitlement and design turn that early understanding into a proposed project and, eventually, a coordinated set of documents.

    Building plan review examines submitted construction documents for compliance with applicable codes and standards. The goal is not to predict or replace the plan checker. It is to give every phase the same sourced project context.

    Fairfax County definition · Sacramento definition

    1. 01

      Feasibility

    2. 02

      Entitlement

    3. 03

      Design

    4. 04

      Completeness

    5. 05

      Compliance

    6. 06

      Plan review

    One project context

    Sources and assumptions carried forward.

    Connected intelligence

    From one feasibility study to a project intelligence system

    AutoSitu’s operating-system approach starts with one site model that brings together the zoning and regulatory envelope, jurisdiction practice, entitlement pathway, civil due diligence, concept massing, yield, and deal assumptions.

    As the project moves forward, that context can carry into design review, submittal completeness, compliance, enterprise QA/QC, takeoff, scope analysis, and construction readiness. Requirements remain tied to sources, findings remain reviewable, and human teams and public agencies retain authority over decisions.

    1. 01

      Feasibility

    2. 02

      Entitlement

    3. 03

      Design review

    4. 04

      Completeness

    5. 05

      Compliance

    6. 06

      QA/QC

    7. 07

      Takeoff

    8. 08

      Scope

    9. 09

      Construction readiness

    One evolving project intelligence layer beneath every phase.

    Decision timing

    When to run a site feasibility analysis

    The objective is not certainty where none exists. It is a defensible early read: what the team knows, what the sources support, what appears viable, and what must be confirmed next.

    1. 01

      Before acquisition or land control

    2. 02

      When comparing multiple sites or development programs

    3. 03

      Before major architecture, engineering, or entitlement spend

    4. 04

      When entering an unfamiliar jurisdiction

    5. 05

      When a project may require discretionary approvals

    6. 06

      When overlays, incentives, parking, or interpretation may affect yield

    7. 07

      When access, utilities, grading, drainage, frontage, or easements may change scope

    8. 08

      Before relying on a pro forma built from unverified site assumptions

    Entitlement and feasibility FAQ

    Frequently asked questions

    Direct answers for teams evaluating a parcel, an approval pathway, and the assumptions behind a development decision.

    Evidence

    Sources used for this guide

    Planning-path and plan-review definitions were checked against municipal sources. AutoSitu capability language was checked against the current feasibility product page.

    1. 01AutoSitu: Site feasibility analysis
    2. 02Los Angeles City Planning: Planning approvals
    3. 03City of Sacramento: Entitlements
    4. 04City of Redlands: Development and entitlement process
    5. 05Fairfax County: Building plan review
    6. 06City of Sacramento: Plan review

    Know what the site can really become.

    Bring zoning, jurisdiction practice, entitlement pathway, civil due diligence, concept massing, yield, and deal assumptions into one sourced feasibility study—before the project becomes expensive to change.

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