At this final stage the land-use intensities are tentatively
selected for each of the one or more site areas identified
in the tables at 2f and 3f. No additional analysis or testing
is necessary if the data and the analyst's experience are
sufficient to assure that the selected LUI will permit develop-
ment appropriate to the site and its community and meeting the
demands of the market at prices or rents that can be paid by the
market. If, at this stage, uncertainty exists as to the appro-
priateness of the tentative LUI, one or both of two tests are
applied.

See Illustration 5 for an example of the use of Step 5 of the form.

Appropriate staff members complete two tests of the LUI tentatively determined in
Step 4.
It is found to be consistent with the characteristics of the site and the
market. After complete review of the LUI analysis, the Chief Underwriter concurs
in the 4.6 LUI recommended by his staff.

Illustration 5. Determination of the LUI Number for Purr Oak Site:
Step 5 of Form 1095

Testing the LUI with a Project Planning Program. Form 1028, Project Planning Program is used to determine the physical practicality of developing the site with a proposed building type at a selected landuse intensity. The test shows the maximum floor area permitted on the site. When the maximum floor area is related to specific building types and living unit sizes, it shows the minimum required amounts of open space, livability space and car spaces. For the building program being tested it thus shows whether or not there will be adequate outside car area without the addition of underground parking or inside garaging. The amounts of the planning elements determined in the test include the number of living units and their size. The program data are used in any economic test made of the particular planning program. See Illustration 7.

Testing the LUI for Financial Workability. The second test is for general financial workability to rule out obvious unsuitability. The tentative LUI for the site, the project amounts programmed on Form 1028, and the data on Form 2012, Request for Pre-Application Analysis of a Multifamily Proposal, or Form 2084, Subdivision Information, are analyzed to determine whether or not the selected LUI will permit a practical planned-unit development project that will find ready public acceptance and a good market.

Details are lacking at this stage, but it is possible to determine whether building type and living units physically permissible under the chosen LUI are within the limits of financial reasonableness as a proposed development of the site. To do this some of the techniques in Form 2484, How to Test Financial Soundness of Rental Housing Properties are useful in multifamily proposals.

The usual rule-of-thumb relationships of replacement cost to value of subdivision improvements and house construction are applicable for planned-unit development proposals. It must be understood that authoritative judgment as to soundness of either multifamily or planned-unit proposals is not possible at this pre-planning stage. Determining the LUI Number. Differences in opinion among processors will occur. The left-hand panel in Step 5 provides opportunity for recording individual judgment. The individuals try by reconsideration to resolve any disagreement. If a disagreement is not so resolved, the Chief Underwriter reviewes the LUI processing and all related data with the objective of resolving the differences with the concurrence of all participating personnel. In any event, the final LUI is determined by the Chief Underwriter, based on his judgment.

Where separate site areas for varied building types have been analyzed in steps 2 and 3, a separate LUI number is determined in Step 5 for each site area. A combined LUI number is also found for the total area. To find the combined LUI number, add the maximum floor areas for the separate site areas and divide the resulting total floor area by the total land area. This combined Floor Area Ratio (FAR) determines the combined LUI number by reference to the LUI Chart, Illustration 9. At the discretion of the Chief Underwriter, FHA gives the Sponsor an LUI number for each site area or the combined LUI number.

(5) Size Class of Urban Area from Table A: 01 02

Explosive

Recessive 3 04 05

Regenerative

DANS

(6) Benchmark Communities on Chart A: ASPRING VALLEY BREAVER PARK CARAMS DELLIS So. CENTRAL CENTRAL G

b. Intensity Range Bar Applying to Subject Community
(1) Community Name NORTH PARK
(2) Growth Trend:
(3) Expected Change in Intensity: O Much Lower
(4) Community Type and Its Intensity Range Bar on Chart A: DA OB

Static

Increasing

Explosive
Lower

Recessive
Same Higher
C

D

c. Sector of Community Range Bar Applying to Subject Site and Immediate Surroundings (1) Direction of Growth in Relation to Site:

(2) Change of Land-use in Vicinity of Site:

Toward
None, or

Regenerative
Much Higher
DE OF OG

TOTOWNHOUSES Slow Moderate

Rapid Medium

Maximum

Illustration 6a. Determination of the LUI of a Large Site with Several Building Types: Form 1095

Illustration 6b. Determination of the LUI of a Large Site with

Several Building Types: Form 1095

LAND-USE INTENSITY STANDARD S

The appropriate land-use intensity number for a site sets forth the land-use intensity standards for the site. The standards are expressed in terms of ratios and are shown graphically on the ratio chart in Illustration 9. The ratios translated into specific square feet amounts of floor area, open space, livability space, recreation space and car space is best understood by applying them to the Burr Oak site, for which a land-use intensity number of 4.6 was found in Illustrations 1 through 5.

The LUI number is all the builder for the Burr Oak site has to know to use the graph. He identifies the 4.6 intensity number on the LUI scale at the bottom of the graph as shown in Illustration 9.

Reading up the vertical line above the LUI number, each point where the line crosses a heavy black curve gives a numerical ratio, the value of which is read on the vertical scale at the side of the graph. These numerical ratios are the land-use intensity standards ascribed to the Burr Oak site by the LUI number; specifically:

(1) the builder reads up the vertical line for LUI 4.6 to the Floor Area Ratio (FAR) line. The scale at the left of the graph shows a reading of 0.3, meaning that he can build 0.3 square feet of floor area for each square foot of land area;

(2) referring to the Open Space Ratio (OSR) curve at LUI 4.6 he finds that for each square foot of floor area, at least 2.4 square feet of open space must be made available;

(3) the Livability Space Ratio (LSR) curve tells the builder that at LUI 4.6 he must provide at least 1.5 square feet of outdoor space other than roads and parking area;

(4) the Recreation Space Ratio (RSR) curve tells him that he must devote at least 0.15 square feet of land per square foot of floor area to recreation;

(5) the reading for the Total Car Ratio (TCR) curve is 1.4, meaning that he must provide 1.4 car spaces for each living unit.

(6) and finally, the Occupant Car Ratio (OCR) curve tells him that 1.2 car spaces per unit must have no parking time limits so they can be used continuously by occupants.