Power and water access scores are now being formally incorporated into commercial land valuation processes, reflecting a shift toward more utility-driven assessments of property potential. Authorities have recognized that reliable access to essential utilities like electricity and water supply is fundamental to the viability and operational efficiency of commercial developments. As a result, plots with higher scores for utility availability are commanding premium guidance values, while those with limited or inconsistent access are being valued more conservatively to account for the additional costs and risks associated with infrastructure development.
This change in valuation methodology ensures that land pricing is more closely aligned with the actual readiness of a plot for commercial use, helping investors and developers better assess the true cost of site development and long-term operational feasibility. Properties located in areas with robust public utility infrastructure not only offer faster project turnaround times but also support a wider range of commercial activities, from office complexes and retail centers to hotels and co-working hubs. Factoring utility access into valuations also promotes urban growth in zones that are already well-serviced, making city expansion more sustainable and cost-effective.
By integrating power and water access scores into commercial land guidance values, authorities aim to foster a more transparent, predictable, and market-responsive real estate environment. This approach benefits all stakeholders by highlighting the importance of basic infrastructure in determining land worth, encouraging better planning decisions, and steering future investments toward well-supported urban corridors. In the long run, it supports the creation of more efficient, livable, and resilient cities where commercial development is underpinned by strong public services and infrastructure.