Land Residual Calculator

Determine the maximum supportable land price for development projects using the residual valuation method.

Residual Land Value Analysis

Maximum Land Value

$9,50,000

Land % of Project

19.0%

Total Development Costs

$33,00,000

Developer Profit

$7,50,000

Land Residual Formula

Residual Land Value = Projected Sale Price - Total Development Costs - Developer Profit

This method works backward from the expected completed value to determine the maximum amount that can be paid for land while still achieving the target profit margin.

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