Strategic Value of Corner or Anchor Parcels
Corner and high-visibility parcels often control access, layout, or zoning potential for the entire site
- Offer multiple frontages that enhance site circulation and commercial visibility
- Often eligible for higher FAR or height allowances in urban overlays
- Essential for drive-throughs, access easements, or unified design flow
- Without control of these parcels, developers may lose full design potential
Holdout Behavior and Leverage Risks
Owners of critical parcels may delay or resist selling to maximize leverage over the project
- May refuse sale altogether or impose restrictive conditions
- Can demand above-market prices due to strategic location
- Holdouts may delay entitlement, financing, or site planning
- Some engage public opposition or legal barriers to slow down development
Pricing Premiums in Parcel Assemblies
Corner or central parcels may command significantly higher prices than surrounding lots
- Typical premiums range from 20% to 100% depending on perceived developer urgency
- Premiums increase once rezoning or public infrastructure plans are announced
- Sellers often benchmark prices against final project value, not current use
- Market speculation can trigger chain reactions in adjacent parcel pricing
Risk Management and Negotiation Strategies
Developers can apply strategic and legal tools to reduce exposure to holdout pressure
- Use option agreements early to control key parcels before site visibility increases
- Maintain acquisition confidentiality during planning and entitlement phases
- Offer equity or profit-sharing to key landowners as part of larger joint venture
- Identify substitute configurations or access paths to reduce reliance on single parcels
