1. Why PMA Decides Feasibility The Primary Market Area is the single most consequential analytical decision in any feasibility study. Every other input — demand projection, capture rate, competitive supply, absorption schedule, achievable rents — is derivative of the geographic boundary the analyst draws around the subject. A defensible PMA produces a defensible feasibility conclusion. An indefensible PMA invalidates everything downstream. The PMA carries this much weight bec

How institutional demand analysis is constructed for traffic-driven retail under SBA SOP 50 10 8 and USDA 7 CFR 5001, illustrated through gas stations, express car washes, and truck stops. The number that everything else hinges on In every feasibility study, one number propagates through the entire model. Capture rate. Whether the project services its debt depends on whether the analyst can defend that single figure to an SBA underwriter or USDA reviewer. Demand analysis is t

The chapter that decides the deal Most feasibility studies are decided in one chapter. Not the executive summary, and not the financial model. The competitor analysis. Capture rate, achievable rent or ADR, stabilization curve, DSCR, and the equity injection conversation with the lender all sit on top of how the analyst defined the competitive set and how honestly the numbers coming back from it were read. The standards have tightened sharply. Since SBA SOP 50 10 8 took effect

Absorption rate analysis is the single most consequential variable in commercial real estate feasibility studies , and it is the one that practitioners most frequently get wrong. It governs the pace at which a project transitions from cash-burning construction asset to income-producing investment, and errors in its estimation have destroyed more equity returns than any other feasibility input. When a 200-unit multifamily development budgeted for a 12-month lease-up stretches