This document discusses development costs and finance, including elements such as professional fees, transaction costs, build costs, land costs, developer equity, mezzanine debt, and senior debt that are involved in financing a development project. It also references profit gaps or incentive funding that may be required and how development costs are balanced against the potential and proven local value to maximize reward with appropriate security.

1. Development Costs & Finance
Development Cost
Elements
Financed By:
Profit Gap/Incentive Funding
Cost of Finance Developer Equity
Professional Fees
Transaction Costs Mezzanine Debt
Build Costs
Senior Debt
Land Costs
Max
Reward
Max
Securit
y
Potential Value
Proven Local
Value