Why Utility Access Can Make or Break a Deal
ASK:
We love the site, but utilities look complicated. Should we still move forward?
ANSWER:
Utilities are one of the most underestimated risks in development. You can have the land, the financing, and even the approvals, but if you can’t get power, water, or sewer to your site, you don’t have a project.
What’s at Risk
Utility problems can derail a deal in ways most developers don’t anticipate:
- Missing easements
- Insufficient capacity in existing lines
- High connection fees or offsite upgrades
- Coordination delays with multiple providers
One missing easement can add $1M+ in costs. One delayed utility approval can add 6–12 months to your timeline.
Why It’s Overlooked
Many developers assume utilities are “already there” in infill sites or “handled by the city.” In reality, every project requires coordination, and in some jurisdictions, providers have long lead times and limited capacity. It’s why I&D offers Dry Utility Consulting in some markets.
Our Approach
At I&D Consulting, we treat utilities as a front-end priority. During feasibility we:
- Identify providers and confirm capacity
- Map infrastructure and easements
- Estimate connection fees
- Flag potential upgrades or delays
We then integrate these into the entitlement schedule. That way, approvals and utility coordination move in parallel, not sequentially.
KEY TAKEAWAYS:
- Utilities are one of the biggest hidden risks in development
- Always check access, capacity, and easements during feasibility
- Early utility coordination saves time and money down the road
People Also Ask
1) What are dry utilities in development?
Electric, gas, phone, cable, and internet.
2) How much do utility connections cost?
Costs vary widely. Anywhere from thousands to millions depending on location, capacity, and infrastructure needs.
3) Can a project move forward without utility easements?
No. Without recorded easements, you cannot legally connect utilities across someone else’s property. When connecting to the public utility in the ROW you would need to grant the utility provider an easement to access the utility owned equipment on your property.
