Explain how land cost becomes per-unit cost through yield, zoning constraints, timelines, and entitlement risk. Move from 'land is expensive' to understanding why and what specific changes could help.
Builds on: A1 (cost elements and baseline) · Leads to: A3 (permits/fees), A4 (site infrastructure), A9 (financing) · Cross-series: P2 Environmental Conditions
P/A bridge: Environmental exposure and zoning constraints jointly determine feasible yield - drainage, wildfire setbacks, solar orientation, and access standards all reduce buildable area.
Land (B01-Land) - Price driven by location, zoning, and allowed density. Cost per unit is often the real problem, not cost per acre.
Risk: A small parking increase reduces yield; per-unit land cost rises and feasibility collapses.
AF: B01 - CRO-DENSITY, CRO-DURATION, CRO-FIN_PREDICTABILITY
Pre-development (B02-PreDev) - Cost of holding land during entitlement: interest, taxes, opportunity cost. Uncertainty becomes required return, which becomes price.
AF: B02 - CRO-DURATION, CRO-FIN_PREDICTABILITY
1-acre parcel zoned for 20 units at $1M land cost = $50K/unit.
Add 1 required parking space per unit: usable area drops, yield falls to ~16 units = $62.5K/unit.
That single standard change added ~$12.5K per unit in land cost alone - before any construction begins. Parking, setbacks, open-space ratios, and height limits all work through this mechanism.