Project Feasibility Study

Project Feasibility Study

Project feasibility study is undertaken in the initial stages of the project to ascertain whether the development envisaged is feasible. This document would greatly help in project planning and might prove crucial to secure construction financing. The following need to be undertaken to understand the feasibility of a project:

  • Site analysis
  • Market analysis
  • Competition analysis
  • Financial feasibility 

The site is analysed in great detail to understand implications of its neighbourhood character, proximity to amenities, zoning and connectivity on the development potential. However, a great site might not always mean a great project unless the market provides an opportunity to explore the potential of the land. The market boundary is defined based on the project type and the location’s dynamics. The latest trends in the market including the demand-supply dynamics, price trends, absorption trends, business turnover and future development potential mapped to determine whether the said development is required in the market. Our extensive database of real estate projects across India with the strong field research team enables us to provide the best insights on the market. We further analyse the existing and upcoming competition in the market to determine whether the key assumptions of the project such as the price, absorption would withstand competitive pressures. The costs and revenues of the project are further analysed to understand the financial viability of the proposed development. Financial feasibility analysis can greatly help the developer, the investor and lending institutions to understand the project cash flow, risk exposure and key metrics. These tools prove to be important not only before launch, but through the life of the project.