REGULATORY + INFRASTRUCTURE
During the development process, it is important for developers to understand and analyze current conditions in the surrounding market area, on the site, and in the local financial market. Throughout this process, they analyze the elements that impact all the conditions affecting the project including: entitlement, financial performance, and infrastructure to name a few. Often, many parties including municipalities are involved within this step and it is vital that all information pertaining to the creation of new infrastructure and the use of existing infrastructure is clearly outlined in order to help the process run as smoothly as possible.
In LDEV 661 (Site Analysis and Construction), students were asked to look into all regulatory and provisional aspects of a development in McKinney, Texas. The facilities agreement between the city of McKinney and the development team, J. Baker Corporation, was created to explain the nature of the deal between the two parties. It reviewed the right-of-way dedication for the newly constructed roads, the utilities on site built by the developer and those off site to connect with the city’s system, the pro rata fees for the existing utilities upgrade, and the various proportionality and impact fees and credits for the development. The document outlines all the above mentioned items and breaks down the terms of each to help the involved parties understand the conditions and responsibilities of each. The full memorandum is attached below. (See File 1)
Additionally, in LDEV 687 (Development Feasibility and Design), as mentioned in prior sections, the course was focused on understanding the due diligence process and how all of the regulatory aspects of a project can lead to the success or failure of a development. The team was asked to analyze the due diligence work, or lack thereof, that was presented to potential investors and determine if the project was sound and could be a good investment. All of the given documentation led to more questions than answers and the team decided to recommend that the investors not become involved with the project as there were far too many concerns with environmental aspects, legal and regulatory issues, and physical and site problems. The full memorandum to the investors is attached below. (See File 2)