Highest & Best Use Study is the rationally probable and legal use of property, that is physically possible, appropriately supported, financially feasible, and that results in the highest value.
Our Highest and Best Use Analysis provides clear, research-backed development options covering development massing, property uses, market positioning and optimal strategy.
Supporting the work of master planners and architects, our Highest and Best Use Analysis assists developers in converting open land to the master-planned developments of tomorrow.
At INSIGHTS, we clearly comprehend that the value of a property and its use are directly related to its highest and best use is that which results in the best present value and brings in the highest net return over a given period or for the probable future.
Insights Highest & Best Use Studies mainly comprised of 6 phases:
- Site Assessment & Location Study.
- Access & Egress Analysis.
- Site visibility & attractiveness.
- Potential catchment analysis.
- Site SWOT Analysis.
- Socio-Economic Analysis, & Market Dynamics.
- Utilize published data to establish socio-economic drivers of the relevant market.
- Characteristics of real estate market.
- Key trends in real estate market.
- Major demand generators.
- Market Analysis
- Real Estate Market Overview.
- Demand and supply matrix.
- Targeted segment Analysis.
- Occupancy & Vacancy Rates.
- Initial Conception of Three Development Options.
- Initial development of three options.
- Detailed description of each development concept and its components.
- Market absorption analysis of each development option.
- Highest & Best Use Financial Analysis.
- Financial analysis of each development option.
- Determine optimal development option for the subjected site by considering:
- Return on Investment (ROI) Analysis.
- Project IRR.
- Investors IRR.
- Pay Back period.
- Net Present Value.
- Cash flow analysis.
- Sensitivity Analysis.
- Development Recommendations & Consultant’s Recommendations.
- Data Analysis & Compiling.
- Detailed description of preferred development scenario based on financial performance and market demand.
- Development recommendations based on consultant’s experience and market demand.