Utilities, Access & Physical Conditions
A site only works if you can serve it and reach it.
Utilities
Confirm availability and capacity of:
- Water and sanitary sewer (or feasibility of well/septic)
- Storm drainage outfall
- Power, gas, telecom
The key question isn't just "is it nearby?" but "what will it cost to bring it to the site at the capacity I need?" Extending utilities a long distance can sink a pro forma.
Access
You need legal and physical access to a public road, with adequate sight distance and the ability to get a driveway/curb-cut permit from the road authority.
Physical conditions
Walk the site. Note topography/slopes, drainage, existing structures, trees, and anything that adds cost. Compare what you see to the survey and the geotech.
The takeaway
Due diligence is about finding the cost and the dealbreakers before you own the problem.
Going Deeper (Intermediate)
Confirm the site can actually be served and reached: water, sewer, power, gas, telecom, storm drainage, and legal + physical road access. "Can you get utilities to it and legally get in?"
Advanced / Pro-Level
The costs that hide off-site:
- Will-serve / availability letters and capacity — is there sewer capacity at the main, or do you need a lift station or main extension?
- Distance and cost to extend utilities (off-site extensions can kill a deal); septic/well if no public service.
- Legal access (frontage or easement) vs. landlocked; DOT/county access permits (curb cuts, turn lanes, traffic study).
- These off-site/physical costs are routinely underestimated and belong in the pro forma early — a "cheap" parcel a mile from sewer may be the most expensive one.
Practice Challenge
A parcel is priced low but the nearest sewer main is 3,000 ft away with no capacity. Why might it be a bad deal? (Answer: extending the main (and possibly a lift station / capacity upgrade) could cost more than the land — those off-site utility costs can make a "cheap" parcel uneconomical; physical serviceability must be priced before buying.)
In Practice
A site has water 'nearby' — a mile away, costing $500k to extend, which sinks the deal. The real question is what it costs to serve the site, not whether utilities exist somewhere.
Common Mistakes to Avoid
- Assuming nearby utilities are usable
- Not confirming legal and physical access
- Ignoring the cost to extend services
Takeaway: The question isn't 'is utility nearby' but 'what will it cost to bring it at capacity.'
Educational content — not legal, engineering, or financial advice. Requirements vary by jurisdiction; always confirm with the local authority and your professional team.