The calculator works by taking inputs like Gross Development Value (GDV), land costs, and build costs. It then factors in default or custom costs for acquisition, professional fees, and contingency to calculate development profit, return on GDV, and return on costs.

Assessing project viability ensures you don’t waste time or resources on developments with low or negative returns. It also helps secure funding by presenting lenders with a clear picture of the project’s profitability.

Yes, you can. The calculator includes default percentages for acquisition (5%), professional fees (10%), and contingency (5%). However, you can override these defaults with your custom percentages.

Yes, the calculator features built-in sensitivity analysis. It shows how a 5% increase or decrease in GDV impacts profitability, helping you understand risks and opportunities.

Absolutely. The calculator is designed to be simple and intuitive, providing first-time developers with the insights they need to make informed decisions.

GDV is the projected total value of your completed development project. It’s critical as it helps estimate the potential profit and assess whether the project is financially viable.

While the calculator doesn’t directly secure funding, it provides a detailed breakdown of your project’s profitability, which can support your case when approaching lenders.