{"id":326407,"date":"2025-08-08T08:50:21","date_gmt":"2025-08-08T14:50:21","guid":{"rendered":"https:\/\/www.adventuresincre.com\/?p=326407"},"modified":"2025-08-08T09:59:39","modified_gmt":"2025-08-08T15:59:39","slug":"flexible-land-development-model","status":"publish","type":"post","link":"https:\/\/www.adventuresincre.com\/flexible-land-development-model\/","title":{"rendered":"Land Development Model – Multi-Scenario (Updated Aug 2025)"},"content":{"rendered":"

Over the years, we’ve shared eight development-focused real estate financial models and numerous development-specific tools to the A.CRE Library of Excel Models<\/a>. Nevertheless, there’s been a hole in the development offerings in our library. The library has been missing a model to analyze general land development scenarios, such as master-planned residential and commercial developer opportunities as well as townhome developments.<\/p>\n

Prior to today, when an A.CRE reader had asked for help with those scenarios, we’d suggest to readers our Residential Land Development Pro Forma<\/a> or our Condo Development Model<\/a>. Neither was an ideal solution, but acted as sufficient workarounds.<\/p>\n

But today, I’m excited to share a new alternative: this Multi-Scenario Land Development Model. This model offers greater flexibility to analyze a variety of unique residential land development, commercial land development, townhome development, and other build-to-sell situations.<\/p>\n

Note:<\/strong> In version 0.75, I used a ChatGPT custom GPT<\/a>\u00a0we built called the \u2018A.CRE Code Helper for Financial Models<\/a>\u2018 to improve the code and add code comments to all macros in this model. I then tested each macro. However, given the GPT made hundreds of code changes, there may be bugs I didn\u2019t catch. So, please let us know<\/a>\u00a0if you run into any issues.<\/em><\/p>\n

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A model to handle any number of for-sale development scenarios, such as residential land development, commercial land development, townhome development, and single-family development.<\/p><\/div>\n

Basic Objectives – Land Development Model<\/h2>\n

The purpose of this land development model is to provide a foundation upon which you (and me) can analyze a variety of different and unique land development scenarios.<\/p>\n

The development cash flow module is robust, and the general framework is quite sophisticated. But beyond that, the various modules that make up this model are in need of further expansion.<\/p>\n

However, the structure of the model and the general methodology make this tool easily expandable. Thus, my intention in the coming months is to create comprehensive off-shoot models, using this model as a foundation.<\/p>\n

So for instance. I plan to take this model and expand the Unit Sale (Reversion Cash Flow) module to build a solid Townhome Development Model. I also plan to add multi-phase functionality to this model.<\/p>\n

Ultimately, the objective of this model is to provide the flexibility to handle most any for-sale development scenario.<\/p>\n

Overview – Land Development Model<\/h2>\n

The Multi-Scenario Land Development model uses my single-tab underwriting technique, common to the models I’ve released in recent years. This means the great majority of underwriting inputs are entered on the Underwriting tab, providing a more intuitive and easy-to-use experience. Here are all of the tabs included in the model:<\/p>\n

Version Tab (Visible by default)<\/h4>\n

The model opens initially to this tab so you can see what changes have been made in the most recent version of the model. On this tab you can also find links to model tutorials, guides, support, and other information.<\/p>\n

Underwriting Tab (Visible by default)<\/h4>\n

The Underwriting tab is where all of your primary inputs are entered. The tab is broken up into five sections, built from top to bottom. The sections can be accessed by scrolling down to each or using the convenient navigation buttons at the top of the Underwriting tab.<\/p>\n

The five sections are ‘Investment Description’,\u00a0 ‘Development Cash Flows (Investment)’, ‘Sale Cash Flows (Reversion)’, ‘Project-Level Cash Flow and Returns’, and ‘Partnership-Level Cash Flow and Returns’.<\/p>\n

Summary Tab (Visible by default)<\/h4>\n

The Summary tab includes a ‘Model Setup’ section, as well as ‘Investment Description’, ‘Key Assumptions and Return Metrics’, and ‘Project-Level Cash Flow Visualization’ sections. The tab is designed to be printed, and contains the key metrics important to the project that you might share with third-parties.<\/p>\n

The model setup section includes a drop-down menu for ‘Model Type’, which dynamically updates various labels based on the model type.<\/p>\n

Annual Cash Flow (Hidden by default)<\/h4>\n

Coming Soon.<\/p>\n

Features – Land Development Model<\/h2>\n

Here is a summary list of the features included in the latest version of the model:<\/p>\n