Due Diligence and Project Feasibility

Why Due Diligence Is Your First Major Saving

Making decisions early avoids irreversible expenditure. Integrated due diligence reduces risks related to location, licensing, demand, costs and timeline, delivering solid assumptions for valuation and executive planning.

The Four Pillars of Feasibility

Market and Product — demand mapped by segment, absorption and average ticket price; price benchmarks and sales/rental velocity; value proposition, unit mix and unique selling points.

Technical and Regulatory — urban planning and environmental restrictions; access, mobility and infrastructure requirements; preliminary engineering studies and conceptual BIM.

Financial — CAPEX/OPEX by major components and contingencies; sensitivity scenarios (price, timeline, cost of capital); phased structuring, cash flow and ROI.

Legal and Property — title deed, encumbrances and easements; contracts and permissions linked to the asset; compliance with local regulations.

Minimum Deliverables

Executive report with go/no-go recommendation and critical risks; risk matrix with mitigation plans; financial model (base/optimistic/conservative scenarios); licensing and stakeholder roadmap.

Key Decision Indicators & Best Practices

NPV and IRR by phase, payback and debt service coverage ratios, and productivity metrics such as approval cycle and construction lead time. We update market assumptions at each milestone, maintain independence between cost and revenue estimates, and implement a "stage-gate" decision mechanism.

Need to validate a plot of land or an asset? Contact EGDC Group for a feasibility assessment.

Compliance Note: informational content. Does not constitute financial or legal advice.