Target margin solve
Set a target development margin. Popurise returns the land value at that margin.
Use case · land economics
Back-solve the land. Defend the number.
Popurise gives Australian developers a structured residual land value: hold the scheme, build, finance and revenue, set a target margin or IRR, and read the land value the project can support.
The job
The land value the project can actually carry.
Residual land value is the only land number that respects the project. Hold the scheme and the targets, and the land value falls out of the cost stack and the cashflow, not the comparable sheet.
Target IRR solve
Set a target equity IRR. Popurise returns the land value at that IRR.
Scheme-anchored
The residual respects the scheme you will actually build, not a hypothetical.
Finance-aware
Senior debt LVR, rate and fees feed into the residual. Equity quantum reads through.
Statutory and selling
Section 7.11, authority fees, agent and marketing all factored.
Range, not a point
Read the residual across a build and GRV range. Use the range to set the bid band.
When it matters
Where residual land value is the answer.
Pre-EOI
You need a defensible bid band. Residual gives the floor and the ceiling.
Off-market negotiation
Vendor counters above the market comparable. You need to know what the project actually supports.
JV land contribution
Land owner wants a land value for the JV. Residual is the number that respects the deal.
Land bank revaluation
Quarterly land bank review needs a residual on every site against current rates and revenue.
Inputs and outputs
The drivers of the residual.
Inputs that drive it
- Scheme: GFA, mix, dwelling count, car parks
- Construction $/m² by component and contingency
- Per-unit GRV and settlement profile
- Statutory contributions and authority fees
- Senior debt LVR, rate and fees
- Selling and marketing costs
- Target development margin and equity IRR
Outputs that matter
- Residual land value at target margin
- Residual land value at target IRR
- Implied $/m² of land at the residual
- Walk-away land value at breakeven
- Residual range across build and GRV stress
- Sensitivity of residual to each input
How it works
From scheme to residual, in four steps.
- 01
Lock the scheme
Confirm GFA, mix, dwellings and car parks. The scheme is the basis of every cost and revenue line.
- 02
Set the targets
Choose a target development margin and an equity IRR floor. These are the constraints the residual must satisfy.
- 03
Run the residual
Popurise solves for the land value that meets the targets after build, finance, statutory and selling.
- 04
Stress the residual
Move build and GRV through a defined range. Read the residual band and the walk-away.
Versus the alternative
Residual that respects the project.
Comparable-only
Land value from the comparable sheet
- Number set by the last settled sale
- Ignores the scheme, the build rate and the finance
- No way to explain why you walked or signed
- Falls apart when the scheme changes
Popurise
Residual in Popurise
- Land value back-solved from the project itself
- Driven by the scheme, build, finance and revenue
- Audit-ready trail of inputs and assumptions
- Re-derives the day the scheme changes
Back-solve your next residual in Popurise.
No spreadsheets. No setup. Fourteen-day free trial, no credit card.