Total development cost includes the full amount required to acquire land and complete all improvements or construction needed to make the site functional. It represents the upfront capital needed before operations begin.

• Combines land cost with physical and service upgrades
  
• Basis for ROI, NPV, and project planning
  
• Used in feasibility and funding analysis

Cost Components

Development cost depends on project scale, location, and infrastructure needs. Typical components are land acquisition, civil works, approvals, and utilities.

• Land purchase cost
  
• Site grading and leveling
  
• Building construction and materials
  
• Roads, drainage, water, and power connections
  
• Legal, permit, and consultancy fees

Estimated Range

For many industrial or commercial projects, total development cost can range widely depending on the location and size. In a mid-sized industrial project:

• Land cost: around two crore
  
• Improvement and setup cost: around one crore
  
• Total development cost: approximately three crore