Development Impact Assessments
A special focus of predevelopment feasibility services includes impact assessments. These assessments include both short – term and long – term evaluations with which often include oral testimony and written reports. Vantage Point Real Estate Development Management, LLC, professionals have performed these impact analyses primarily at the request of public sector entities as part of their LAN user master planning review processes. At times, private sector parties applying for development approvals also retain our senior professionals to prepare these analyses as part of negotiations on re-zonings and other development approvals.
These impact assessments consider both the direct and induced economic efforts of development such as material purchases, employment generation and spending by the new workforce. Our analyses describe these factors both for proposed construction and operating phases. Evaluations generally include projecting development by land-use type, secondary development, estimating new employment and payroll spin-off revenues, and translating the development demographic projections in the fiscal costs and revenues.
The results of these impact analyses are used by decision makers to estimate the impact of the development or land-use change on the costs and revenues of government units serving and supporting the development. The analyses are generally based on the fiscal characteristics of a community (revenues, expenditures, land values) and characteristics of the development or land-use change (type of land-use and distance from central facilities). The analyses enable local governments to estimate the difference between the cost of providing services to a new development and the revenues (taxes and user fees) that would be generated by the development.
These analyses require assumptions as to how a community will grow, how property values will change, how much tax revenue will be generated by the development, the timing of the development, and how the community will change with the development.