La Jolla Luxury ADU Redevelopment: Complete 2025 Guide

On December 17, 2024, San Diego hearing officer Antoinette Gibbs approved a landmark redevelopment project that signals a powerful new strategy for maximizing property values in La Jolla's most coveted coastal neighborhoods. The project at 8383 La Jolla Scenic Drive North will demolish a 2,740-square-foot single-story home to make way for a 6,292-square-foot luxury residence complemented by an 843-square-foot Accessory Dwelling Unit (ADU) and a 227-square-foot Junior Accessory Dwelling Unit (JADU).

This approval represents more than just another luxury home development. It demonstrates a sophisticated approach to coastal property redevelopment that combines maximum square footage allowances with California's progressive ADU regulations to create properties that generate multiple income streams while commanding premium valuations. For homeowners sitting on older properties in prime La Jolla locations, this case study raises critical questions: Should you sell your teardown-candidate property to a cash buyer, or pursue a similar redevelopment strategy yourself?

With La Jolla median home prices reaching $2.6 million in 2025 and price-per-square-foot values averaging $1,081 to $1,539 depending on location and finishes, the financial stakes of this decision are substantial. Understanding the 8383 La Jolla Scenic Drive North approval—including the narrow 3-2 approval margin that revealed significant neighbor concerns—provides essential insights for property owners and investors evaluating coastal teardown opportunities across San Diego's premium markets.

The 8383 La Jolla Scenic Drive North Approval: What the Project Reveals

The December 17, 2024 hearing officer approval followed a challenging path through La Jolla's rigorous community review process. The La Jolla Shores Permit Review Committee approved the project on a razor-thin 3-2 vote in June 2025, following a 4-2 approval from the La Jolla Shores Planned District Advisory Board in January. These narrow margins demonstrate that even in a community accustomed to luxury development, projects pushing maximum density boundaries face substantial scrutiny.

The approved development will replace the existing 2,740-square-foot home and 560-square-foot detached garage with a comprehensive residential complex totaling 7,362 square feet of living space across three structures. The main residence occupies 6,292 square feet—more than double the original home's footprint—while the ADU provides 843 square feet and the JADU adds 227 square feet.

This configuration maximizes the property's development potential under current zoning while taking full advantage of California's ADU-friendly regulations enacted over the past five years. Starting January 2025 under SB1211, property owners can build up to eight detached ADUs matching the number of existing units on multifamily properties, though residential lots in La Jolla typically permit two ADUs including one standard ADU and one JADU.

Neighbor concerns centered on typical La Jolla development issues: drainage impacts on adjacent properties, view preservation, project scale, and environmental considerations. Neighbor Ebrahim Amiri expressed concerns that water runoff to the slope could cause failure that would collapse onto his property. These objections mirror broader patterns in La Jolla development reviews, where the Muirlands Point committee opposed a plan for 812 Havenhurst Point multiple times due to size and potential view blockage.

Financial Implications of Maximum-Density Coastal Development

The approved project represents a strategic financial calculation that property developers and sophisticated investors increasingly employ in high-value coastal markets. With La Jolla luxury properties commanding $1,081 to $1,539 per square foot and the La Jolla Shores submarket reaching median prices of $3.5 million to $3.85 million in 2025, the value creation potential of demolition-and-rebuild projects becomes compelling.

Assuming conservative valuation of $1,200 per square foot for the completed luxury residence, the 6,292-square-foot main home would value at approximately $7.55 million. The 843-square-foot ADU, valued at approximately $850 per square foot for accessory structures, adds roughly $716,500, while the 227-square-foot JADU contributes approximately $193,000. Total projected property value: $8.46 million.

Contrast this with the teardown property's likely value. A 2,740-square-foot older home on a premium La Jolla Shores lot might sell for $2.5 million to $3.5 million depending on condition and exact location, with buyers primarily valuing the land rather than the structure. The value creation spread—$5 million to $6 million—must cover acquisition costs, demolition expenses, construction costs, permitting fees, holding costs, and developer profit.

The ADU and JADU Advantage in Luxury Markets

The inclusion of both an ADU and JADU in this project isn't merely about maximizing square footage—it creates flexible income-generation opportunities that institutional investors and sophisticated property owners increasingly prioritize. ADUs in San Diego's luxury coastal markets command monthly rental rates of $2,000 to $4,000 depending on size, finishes, and location, generating 8-12% annual returns on investment.

For properties in La Jolla Shores specifically, short-term rental demand remains robust despite San Diego's 2025 Short-Term Rental (STR) license caps. While the citywide STR crisis has forced some property sales, properly licensed ADUs in coastal locations continue generating premium rental income. An 843-square-foot luxury ADU in La Jolla Shores could reasonably command $3,500 to $4,500 monthly in long-term rentals, or significantly more through licensed short-term rentals during peak tourism seasons.

The 227-square-foot JADU serves different strategic purposes. California regulations require JADUs to have owner-occupancy, meaning the property owner must live on-site—either in the main residence or the JADU itself. This requirement makes JADUs ideal for multigenerational living arrangements, live-in property management, or providing the owner's residence while renting the main house and ADU. JADUs must include an efficiency kitchen with a sink with running water, basic cooking appliances that don't require gas or 220V connections, and countertops with storage cabinets.

Coastal Development Permit Requirements and Timeline Realities

Properties in La Jolla's Coastal Overlay Zone face additional regulatory complexity that substantially impacts development timelines and costs. A Coastal Development Permit (CDP) is required for all ADUs and JADUs that aren't completely contained in the existing primary structure or include increases in habitable area. The 8383 La Jolla Scenic Drive North project, involving complete demolition and new construction, necessarily required CDP approval.

As of September 7, 2022, ADUs and JADUs proposed in the non-appealable area of the Coastal Overlay Zone are eligible for a City-issued Coastal Development Permit, provided specific administrative findings ensure conformity with the Local Coastal Program. On September 12, 2024, the Coastal Commission certified ADU regulations associated with Housing Action Package 1.0 (O-21439), with ADU projects now subject to setback and landscape requirements established in that package.

The California Coastal Commission charges specific fees for coastal development permits in the San Diego district: administrative permits cost $3,923, while more complex applications can require fees of $7,845 or more. After-the-fact development applications require payment of five times the applicable fee—a powerful disincentive against unpermitted construction.

Getting a Coastal Development Permit often stretches well over a year, involving meticulous reviews and possibly environmental impact studies to preserve the coastline. Recent reforms under SB 1077 and SB 1092 (2024) reduced coastal development permit delays for ADUs in San Diego's historic districts and other coastal zones by streamlining Department of Building and Safety approvals, but substantial time investments remain necessary.

For San Diego County Coastal Zone properties specifically, exemptions may be granted if the proposed ADU is located more than 50 feet from a bluff edge, at least 300 feet from the high tide line, and doesn't involve vegetation removal within 100 feet of a bluff. Properties meeting these criteria can significantly reduce permitting complexity and timeline.

Construction Timeline and Holding Cost Considerations

Building a custom luxury home in San Diego typically requires 24 months from land acquisition through completion, with approximately 12 months dedicated to construction alone. The permitting phase represents a critical component: before COVID-19, permitting took approximately 16 weeks, but during and after the pandemic, timelines extended to six months to a year. Current initial plan checks have timelines of 6-8 weeks for limited projects accepted for expedited review.

For the La Jolla Shores project specifically, the extended community review process—from initial presentation to the Planned District Advisory Board through final hearing officer approval—consumed more than 18 months. This extended timeline creates substantial holding costs for developers: property taxes, loan interest, insurance, and opportunity costs that can easily exceed $100,000 to $200,000 for a multi-million-dollar coastal property.

Construction costs for luxury ADUs in Southern California range from $300 to $600 per square foot for high-quality construction. The 843-square-foot ADU in this project likely required $250,000 to $500,000 in construction costs alone, while the 6,292-square-foot main residence at luxury specifications of $400 to $600 per square foot would require $2.5 million to $3.8 million in construction costs. Combined with $5,000 to $15,000 in demolition costs at $5 to $15 per square foot, total development costs excluding land acquisition could easily reach $3 million to $4.5 million.

Teardown Redevelopment vs. Selling to Cash Buyers: The Critical Decision

Property owners sitting on older homes in premium La Jolla locations face a fundamental strategic decision: pursue redevelopment themselves or sell to cash buyers and investors who will handle the complex, capital-intensive process. This decision hinges on multiple factors including financial capacity, risk tolerance, timeline flexibility, and desired involvement level.

Selling to cash buyers offers immediate liquidity with minimal hassle. Cash buyers typically make offers ranging from 70% of the property's after-repair value, with specific percentages depending on property condition, location desirability, and current market conditions. For a La Jolla Shores teardown property, this might translate to cash offers of $2 million to $2.8 million for properties with estimated post-redevelopment values of $3 million to $4 million.

Cash transactions in San Diego close in 7 to 14 days compared to the 82-day average for traditional market sales. Most cash buyers purchase properties in as-is condition, eliminating the need for repairs, staging, showings, or open houses. For homeowners facing financial pressure, health issues, estate settlement requirements, or simple desire to avoid construction complexity, cash sales provide clean exits with certainty of closing.

However, the discount inherent in cash sales—typically 30% to 70% below potential market value—represents substantial foregone value. For a property with $8 million redevelopment potential, selling at $2.5 million means leaving $5.5 million on the table. That substantial difference motivates many property owners to explore redevelopment options, either as owner-developers or through joint venture partnerships with experienced builders.

Financing Teardown Redevelopment Projects

Financing a teardown and rebuild involves complex, expensive capital structures covering existing property acquisition, demolition expenses including potential hazardous waste removal, construction costs, holding costs during construction, and long-term mortgage financing. Construction-to-permanent loan options simplify this process by combining both the construction phase and permanent financing.

California Bank & Trust offers single-close loans covering lot purchase, construction costs, and permanent financing, requiring only one set of closing costs and loan documents. They finance up to 65% of improved land purchase costs. Pacific Shore Capital provides construction loans for multifamily, commercial, and special-use development projects with access to more than 150 lending sources, offering up to 75% loan-to-cost ratios with interest reserves and fund control.

Recent construction loan fundings demonstrate active lender appetite for San Diego luxury projects: Builders Capital funded a $21.8 million condo ground-up construction loan in San Diego in January 2025, while Trinity Mortgage Fund has successfully funded over $30 million in value-add residential and commercial construction hard money loans in San Diego County over the past five years.

For homeowners with tight equity requiring funds in stages, renovation mortgages such as Fannie Mae HomeStyle or FHA 203(k) underwrite to the home's after-improvement appraised value. These programs require only 20% down on the combined cost of home and renovation—for example, buying a $1 million home and renovating for $500,000 would require $300,000 down total rather than separate financing for acquisition and construction.

When Cash Sales Make More Sense Than Redevelopment

Despite the substantial value creation potential of redevelopment projects, multiple scenarios make immediate cash sales the superior choice for many La Jolla property owners. Properties requiring extensive foundation repairs, significant seismic retrofitting, or containing hazardous materials like asbestos or lead paint carry remediation costs that quickly erode redevelopment economics.

Homeowners lacking $500,000 to $1 million in liquid capital for equity contributions face financing challenges that make development partnerships or outright sales more practical. The 18-to-24-month development timeline from approvals through construction completion requires financial stability and patience that not all property owners possess, particularly retirees or families managing estate settlements.

Regulatory risks in La Jolla's highly scrutinized development environment present another consideration. The narrow 3-2 and 4-2 approval margins for the 8383 La Jolla Scenic Drive North project demonstrate that even professionally designed projects face approval uncertainty. Projects appealed to the San Diego Planning Commission face additional delays and costs, with no guarantee of favorable outcomes.

For properties with multiple heirs or family ownership structures, the complexity of managing a multi-year development project often proves impractical. Cash sales provide clean, immediate distributions that simplify estate settlements and eliminate ongoing management responsibilities. Similarly, property owners relocating for employment, health, or family reasons typically lack the flexibility to manage 18-to-24-month development timelines from remote locations.

Cash Buyer Opportunities in La Jolla's Teardown Market

The 8383 La Jolla Scenic Drive North approval creates a roadmap that sophisticated cash buyers and investors can replicate across similar properties in La Jolla Shores, La Jolla Heights, and other premium coastal neighborhoods. Properties meeting specific criteria present the strongest teardown redevelopment opportunities: lots in the 7,000 to 15,000 square foot range, existing structures built before 1970 with deferred maintenance, locations within Coastal Overlay Zones permitting residential development, and zoning allowing maximum density with ADU/JADU additions.

Current market conditions create favorable acquisition opportunities for cash buyers with development expertise. La Jolla land and lot inventory includes approximately six parcels with a median listing price of $3.19 million, though individual properties range dramatically based on size, location, and development potential. Properties listed as teardown candidates or requiring significant repairs typically sell at 20% to 40% discounts to comparable updated homes, reflecting both condition issues and buyer uncertainty about redevelopment complexity.

Successful cash buyer strategies in this market segment require comprehensive due diligence including preliminary architectural review to confirm maximum allowable square footage, early consultation with coastal development permit specialists, neighborhood pattern analysis of recently approved projects, preliminary construction cost estimates from qualified builders, and thorough title review to identify easements or restrictions limiting development potential.

The ideal cash buyer profile for La Jolla teardown properties combines $3 million to $5 million in acquisition capital, established relationships with architects experienced in coastal development permits, construction financing pre-approval or cash building capacity, 18-to-24-month investment timeline flexibility, and high risk tolerance for regulatory approval uncertainties. Buyers meeting these criteria can acquire properties at $2.5 million to $3.5 million, invest $3 million to $4.5 million in development costs, and create $8 million to $10 million finished properties—generating $2 million to $2.5 million in profit over 24-to-30-month timelines.

Geographic Expansion Beyond La Jolla Shores

While the 8383 La Jolla Scenic Drive North project demonstrates the strategy in La Jolla Shores specifically, similar opportunities exist throughout San Diego's coastal premium markets. Pacific Beach properties near the ocean, Point Loma neighborhoods with bay or ocean views, and Sunset Cliffs areas present comparable teardown economics with generally faster permitting timelines than La Jolla's intensive community review processes.

Mission Beach and Ocean Beach neighborhoods offer additional opportunities, though their generally smaller lot sizes limit maximum home sizes compared to La Jolla Shores. Properties in these areas typically accommodate 2,500 to 4,000 square foot main residences with ADUs of 600 to 800 square feet—smaller overall projects but with proportionally lower construction costs and faster permitting.

Downtown San Diego's Little Italy, Banker's Hill, and East Village neighborhoods present urban teardown opportunities under different zoning frameworks. These areas permit higher-density development with potentially three to four ADUs on single lots, creating multi-unit income properties with strong rental demand from downtown's growing employment base. Urban coastal teardown strategies prioritize rental income generation over owner-occupancy, with different financial metrics and investor profiles than single-family luxury redevelopment.

Similar Opportunities Across San Diego County

The ADU and teardown redevelopment strategy demonstrated at 8383 La Jolla Scenic Drive North applies to properties throughout San Diego County, with each neighborhood presenting unique price points, permitting timelines, and investment returns. While La Jolla represents the premium end of the market with $8 million to $10 million finished values, established neighborhoods across the county offer comparable percentage returns at different investment scales.

Central San Diego neighborhoods including North Park, South Park, Hillcrest, University Heights, and Normal Heights present compelling opportunities for properties valued at $800,000 to $1.5 million. These walkable, transit-oriented communities feature strong rental demand from young professionals and UCSD/USD students, supporting ADU rental rates of $1,800 to $2,800 monthly. Teardown properties in these neighborhoods—typically 1950s to 1970s single-story homes on 5,000 to 7,500 square foot lots—can be acquired for $700,000 to $1.2 million, redeveloped with 2,500 to 3,500 square foot main residences plus 600 to 800 square foot ADUs, and sold or refinanced at $1.8 million to $2.5 million completed values. Permitting timelines run 9 to 15 months, approximately 6 to 9 months faster than La Jolla's coastal development permit requirements.

Mid-city neighborhoods such as Clairemont, Bay Park, Kearny Mesa, Serra Mesa, and Mission Valley offer value-oriented teardown opportunities with acquisition costs of $600,000 to $900,000 for older single-family homes. These family-oriented communities feature excellent school districts and freeway access, attracting owner-occupant buyers seeking modern homes with ADU rental income to offset mortgage costs. Properties in the College Area, Allied Gardens, Del Cerro, and San Carlos neighborhoods near San Diego State University benefit from strong student rental demand, with ADUs commanding $1,500 to $2,200 monthly during academic years. Redevelopment economics in these areas typically involve $1.5 million to $2 million total project costs producing $2.2 million to $3 million finished values.

Urban core neighborhoods including Downtown San Diego, East Village, Little Italy, Banker's Hill, Golden Hill, City Heights, El Cerrito, and Rolando operate under different zoning allowing higher-density ADU development. Properties in these transit-oriented neighborhoods can potentially accommodate two to three ADUs under recent state legislation, creating small multi-unit rental properties generating $4,000 to $7,000 monthly gross rental income across all units. While individual unit sizes run smaller than coastal single-family projects—typically 1,800 to 2,800 square foot main residences with multiple 400 to 600 square foot ADUs—the cash-on-cash returns often exceed coastal luxury redevelopment due to lower acquisition costs and multiple income streams. Downtown and mid-city urban projects benefit from streamlined local approval processes under state ADU mandates, with typical permitting timelines of 6 to 12 months from application through approvals.

Lessons from the Approval Process: Navigating Community Opposition

The narrow approval margins for the 8383 La Jolla Scenic Drive North project—3-2 at the Permit Review Committee and 4-2 at the Planned District Advisory Board—provide critical lessons for property owners and developers pursuing similar projects. Understanding the sources of community opposition and implementing proactive mitigation strategies substantially improves approval odds.

Common objections in La Jolla development reviews focus on project scale relative to neighborhood character, drainage and water runoff impacts on adjacent properties, view corridor preservation, construction noise and duration impacts, and parking adequacy for the main residence plus ADUs. The project at 8383 La Jolla Scenic Drive North faced specific concerns about slope stability and drainage, with neighbor Ebrahim Amiri raising concerns about potential slope failure affecting his property.

Successful project presenters address these concerns proactively through detailed drainage plans with engineered solutions, setback modifications to preserve neighbor views, architectural designs incorporating neighborhood aesthetic themes, construction management plans limiting work hours and noise, and early neighbor outreach to identify and address concerns before formal hearings. Projects returning to permit review committees with adjustments based on prior feedback—as the 8383 La Jolla Scenic Drive North project did—demonstrate responsiveness that improves approval odds.

La Jolla's community planning infrastructure includes multiple review layers: the Development Permit Review Committee, the Community Planning Association, planned district advisory boards for specific neighborhoods, and ultimately the City's hearing officers or Planning Commission. Each layer represents an opportunity for objections and delays, but also for building support through design modifications and stakeholder engagement. Projects navigating this process successfully typically invest 6 to 12 months in pre-application community engagement before submitting formal permit applications.

Frequently Asked Questions

How much does it cost to demolish and rebuild a luxury home with ADU in La Jolla?

Total costs for a project similar to 8383 La Jolla Scenic Drive North typically range from $3.5 million to $5 million including all expenses. Demolition costs run $5 to $15 per square foot ($14,000 to $41,000 for a 2,740 SF home). Construction costs for luxury specifications range from $400 to $600 per square foot for the main residence and $300 to $600 per square foot for ADUs, totaling approximately $2.5 million to $3.8 million for a 6,292 SF home and $250,000 to $500,000 for an 843 SF ADU.

Coastal Development Permit fees range from $3,923 for administrative permits to $7,845 or more for complex projects. Additional soft costs include architectural design ($100,000 to $200,000), engineering studies ($25,000 to $75,000), permit expediting services ($15,000 to $40,000), and holding costs during the 18-to-24-month development timeline including property taxes, insurance, and construction loan interest ($150,000 to $250,000).

Financing typically requires 25% to 35% equity, meaning $875,000 to $1.75 million in cash for a $3.5 million to $5 million total project cost. Construction-to-permanent loans from lenders like California Bank & Trust cover 65% to 75% of project costs for qualified borrowers with strong credit and development experience.

Should I sell my older La Jolla home to a cash buyer or redevelop it myself?

This decision depends on your financial capacity, timeline flexibility, and risk tolerance. Selling to a cash buyer provides immediate liquidity with closings in 7 to 14 days, no repair requirements, and elimination of all development risk and complexity. However, cash offers typically range from 50% to 70% of the property's potential post-development value—potentially leaving $3 million to $5 million on the table for prime La Jolla properties.

Redevelopment makes sense if you have $500,000 to $1 million in available capital for equity contributions, 24-to-30-month timeline flexibility to manage the permitting and construction process, risk tolerance for potential permit denials or appeals, and either development experience yourself or willingness to partner with experienced developers. Properties with strong fundamentals—desirable locations, adequate lot sizes for maximum density development, and no major environmental constraints—present the strongest redevelopment economics.

Cash sales make more sense for properties requiring extensive foundation or seismic work, homeowners facing financial pressure or health issues requiring immediate liquidity, estate settlements with multiple heirs seeking clean distributions, and situations where property owners are relocating and cannot manage long-term development projects. Consulting with both cash buyers for market value assessments and development consultants for preliminary feasibility analysis provides data for informed decisions.

How long does it take to get coastal development permits approved in La Jolla?

Coastal Development Permit approval timelines in La Jolla typically range from 12 to 24 months from initial application through final approval, with complex projects or those facing community opposition requiring longer timeframes. The 8383 La Jolla Scenic Drive North project took more than 18 months from initial presentation through hearing officer approval on December 17, 2024.

The process includes multiple review stages: initial plan check and screening (6 to 8 weeks), Development Permit Review Committee presentation and vote (typically requiring 2 to 3 appearances over 3 to 6 months), planned district advisory board review for applicable neighborhoods (additional 2 to 4 months), Coastal Development Permit processing with the City's Development Services Department (3 to 6 months), and hearing officer review and decision (2 to 3 months after receiving the complete application package).

Recent legislative reforms under SB 1077 and SB 1092 (2024) streamlined certain ADU approvals in coastal zones, but substantial projects involving complete demolition and new construction still require comprehensive environmental review. Properties located more than 50 feet from bluff edges, at least 300 feet from the high tide line, and not requiring vegetation removal within 100 feet of bluffs may qualify for expedited review, potentially reducing timelines by 3 to 6 months.

What are ADUs and JADUs, and why include both in luxury home projects?

Accessory Dwelling Units (ADUs) are self-contained residential units with complete kitchens, bathrooms, and separate entrances, typically ranging from 600 to 1,200 square feet. Junior Accessory Dwelling Units (JADUs) are smaller units of up to 500 square feet that may be contained within the primary residence or in attached structures, requiring only efficiency kitchens with sinks, basic cooking appliances not requiring gas or 220V connections, and countertops with storage cabinets.

The key distinction affecting luxury projects: ADUs do not require owner-occupancy and can be rented independently, while JADUs require that the property owner lives on-site in either the main residence or the JADU itself. This makes ADUs ideal for generating rental income ($2,000 to $4,500 monthly in La Jolla Shores for luxury units), while JADUs serve different purposes including multigenerational living arrangements, live-in property management, or providing the owner's residence while renting the main house and ADU.

Including both maximizes development potential under California regulations permitting up to two ADUs on residential lots (one standard ADU and one JADU). The 843-square-foot ADU in the 8383 La Jolla Scenic Drive North project adds approximately $716,000 in property value and generates potential rental income of $3,500 to $4,500 monthly. The 227-square-foot JADU adds approximately $193,000 in value while providing owner-occupancy flexibility. Combined, these accessory units add nearly $1 million in value and create multiple use-case scenarios that enhance property marketability.

How do La Jolla's narrow approval margins affect development risk?

The 3-2 Permit Review Committee vote and 4-2 Planned District Advisory Board vote for the 8383 La Jolla Scenic Drive North project demonstrate significant development risk even for professionally designed projects in compliance with zoning regulations. Narrow approval margins increase the risk of appeals to the San Diego Planning Commission, which can add 6 to 12 months to project timelines and require additional legal and consultant costs of $50,000 to $150,000.

Common sources of opposition include project scale concerns relative to neighborhood character, drainage and water runoff impacts on adjacent properties, view corridor preservation issues, construction duration and noise impacts, and parking adequacy for multiple dwelling units. In the La Jolla Muirlands area, committees opposed a plan for 812 Havenhurst Point multiple times due to size and potential view blockage, while neighbors raised concerns about slope stability and drainage for the 8383 project.

Mitigating these risks requires proactive strategies including 6 to 12 months of pre-application neighbor outreach to identify concerns early, design modifications addressing common objections before formal applications, detailed engineering studies documenting drainage solutions and slope stability, architectural designs incorporating neighborhood aesthetic themes, and willingness to return to review committees with adjustments based on feedback. Projects employing these strategies improve approval odds, though La Jolla's rigorous review process means no project has guaranteed approval regardless of quality or compliance.

Developers and cash buyers should budget for potential appeals and factor approval risk into financial projections, typically reserving contingency budgets of 15% to 25% of total soft costs to address unexpected opposition or required design modifications.