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Development Feasibility Studies

Find out whether an Ontario site can carry your project, what it will really cost and whether the numbers work, before the land is bought or the design money is spent.

Before You Commit

What a development
feasibility study answers

A development feasibility study tests whether a specific site can support a specific project, physically, legally and financially. It covers what the planning framework allows, what the site and its services can take, what the whole project will cost and whether the result earns its return.

Terrahills carries out this work for landowners, developers and institutional owners across Ontario. Because we also build, the study is priced and sequenced by the people who would have to deliver it, and the expensive surprises in servicing, approvals and development charges are looked for first.

01
Planning & zoning review
  • Official plan designation and zoning by-law permissions
  • Height, coverage, setback and parking standards
  • Approvals path: minor variance, rezoning, official plan amendment, site plan
02
Site & servicing constraints
  • Water, sanitary and storm capacity and connection points
  • Access, grading and stormwater
  • Conservation authority limits and other site restrictions
03
Concept layout & yield
  • Concept tested against the zone standards
  • Achievable floor area, units or rentable area
  • Early building code questions that affect the layout
04
Highest-and-best-use analysis
  • Competing uses and product types compared
  • Each option tested on the same basis
  • A recommendation on what the site should be
05
Whole-project cost
06
Development charges & soft costs
  • Development charge category and rate confirmed
  • Permits, consultants and approvals costs
  • The carrying cost of the approvals period
07
Development pro forma
  • Land, hard and soft costs brought together
  • Revenue or completed value against total cost
  • Assumptions set out so they can be challenged
08
Schedule & risk
  • Realistic approvals and construction sequence
  • The risks that could change the decision
  • Conditions worth writing into a land offer

The full service list

How a Study Runs

From a site and an idea
to a clear decision

The order matters. The questions most likely to end a project are answered first, so an owner does not pay to design something the site cannot support.

01
Brief & site

What you want to build, what you need it to earn, and where the land stands: owned, under conditional offer or still being compared.

02
Constraints & approvals

Planning documents, municipal staff, servicing and site limits are checked, and the approvals path is laid out.

03
Concept & cost

A concept layout shows what the site yields. A Class D estimate and a pro forma show what that yield is worth.

04
Findings & next step

A clear recommendation to proceed, change the project or walk away. If it proceeds, approvals, design and construction can continue with the same team.

Scope

What a study covers

Development feasibility study: typical scope
ItemSpecification
Project typesIndustrial and warehouse, cold storage, self storage, data centres, healthcare and long-term care, multi-residential, subdivisions, commercial and institutional
WhereAnywhere in Ontario; every municipality's own planning documents and development charge by-law are read for the site in question
What we needSite address or legal description, the intended use, any survey or existing reports, and the return or budget the project has to meet
Specialist reportsGeotechnical, environmental, traffic and similar reports are identified where the decision depends on them and obtained from qualified consultants
FindingsPlanning position, servicing constraints, concept yield, Class D cost, development charges, pro forma, schedule, risks and a recommendation
After the studyRezoning, site plan and permit applications, design management and construction under one contract, if the owner chooses to proceed

The scope of each study is set by the site and the decision it has to support. A straightforward site on a permitted use needs less work than a rezoning on unserviced land.

FAQ

Questions owners ask us

Plain answers about development feasibility from an Ontario general contractor and developer.

It is an assessment of whether a particular project can work on a particular site. It reviews what planning rules allow, what the site and its services can support, what the whole project will cost, and whether the finished project justifies that cost. The result is a recommendation to proceed, change the project or walk away.
Before a land offer becomes firm, ideally during its conditional period. If you already own the land, do it before paying for full design. Zoning, servicing capacity and development charges are far cheaper to investigate than to discover after the commitment is made.
Typically the official plan and zoning review, the approvals path, servicing and site constraints, a concept layout showing what the site yields, a Class D construction cost estimate, development charges and soft costs, a development pro forma, a schedule, and the risks that could change the decision.
A Class D estimate answers what the project is likely to cost to build. A feasibility study uses that estimate as one input, then asks the wider questions: whether the project is permitted, whether the site can be serviced, how long approvals will take, and whether the returns work at that cost.
Both depend on the site, the project and how many specialist reports the decision needs. The initial consultation is free, and the scope, fee and timing are agreed before the study starts.
No. Beyond general contracting, Terrahills provides development consulting and owner's representative services, and a study is useful in its own right. Owners who decide to proceed can continue with the same team through approvals and construction, but that is an option rather than a condition.
All of Ontario. Terrahills is based in Ramara, Simcoe County, and takes on sites from the GTA and Golden Horseshoe to Eastern, Southwestern and Northern Ontario. Planning rules and development charges differ by municipality, so each study works from the documents that apply to that property.
Test the site before you commit

Start Your Project Today

Tell us about the land and what you want to build. The initial consultation is free, and we will tell you what needs to be tested before the offer goes firm.

Discuss a Feasibility Study →