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Landowners and contractors

How to estimate a landowner share in a development agreement

A scenario method using zoning floor-area ratio, construction cost, sale price, project overhead and target contractor return.

Updated 8 October 2026 · 6 min read · EPCPORT team

Build the development scenario

Estimate permitted floor area, gross construction area, saleable area, build cost, professional and finance costs, likely sale price and the contractor’s required return.

Stress-test the result

Run lower sale price and higher cost cases. A proposal that works only under the most optimistic assumptions needs stronger safeguards or a different commercial structure.

Translate percentages into obligations

For land-for-units deals, identify the actual units. For revenue sharing, define revenue, deductions, collection and audit. The calculator is a screening tool, not a valuation or binding offer.

Frequently asked questions

Is there a standard landowner percentage?

No. It changes with location, zoning, product, cost, sale price, financing, programme and risk allocation.

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