The most expensive mistakes in a factory project are usually made before an architect is hired. Once the land is bought, its zoning, size, shape, access and ground conditions set hard limits on everything that follows: how much you can build, how goods move, what the building costs and how long approvals take.
Consider a common scenario. A manufacturer finds a well-priced plot in an industrial zone and signs quickly. During design, the team discovers that the permitted floor area cannot fit the planned production line plus warehouse, the grid connection needs a costly upgrade, and the soil needs piling. The cheap site becomes the expensive one, and the opening date slips.
None of this is unusual. Industrial land holds many hidden traps for inexperienced buyers, and there is nothing worse than owning a site that cannot build what you need. Almost all of these problems can be found in a few weeks of checking before you sign. Below are eleven things to check before you commit to a site.
Confirm the land is zoned for your exact type of production, not just “industrial” in general. Some zones restrict certain processes, such as food processing, chemicals or those with heavy wastewater. Others limit how much office, R&D, dormitory or retail space you can include. If you plan a showroom, staff canteen or visitor centre, check that these are allowed too. Check also which building, fire and industry-specific codes will apply, as these can affect layout and cost.
The permitted floor-area ratio (FAR), building coverage and setbacks from boundaries and roads decide how much you can build. Setbacks in particular can shrink the usable footprint more than buyers expect. Check two things: whether the site fits your programme today, and whether it fits what you expect to need in the future.
Measure the access road width and the turning space for the largest trucks you will use. Check for weight limits on nearby bridges and roads, and whether goods and staff entrances can be kept apart. Logistics problems built into a site are very hard to fix later.
Ask the utility what capacity is available at the boundary today and what an upgrade would cost and take. For energy-intensive production, a substation or new line can add months and significant cost.
Confirm water supply volume and pressure. Then confirm where process wastewater can go, what treatment is required before discharge, and whether the industrial park provides it.
Check flood maps, historical flooding and the site level relative to surrounding roads. In typhoon-prone areas, plan for stormwater detention and raised floor levels from the start.
Ground conditions decide whether you need piles, ground improvement or special foundations. As a first check, past borehole drilling reports from the site can be examined for reference. If more information is needed, a proper drilling report for the site will need to be commissioned. For heavy machinery, cold storage or tall racking, ground conditions can change the structural budget substantially. Check also whether the soil is contaminated: ask for a recent soil contamination report for the site or, if there is none, commission a contamination check. Contamination from previous use can mean costly clean-up and delays to approvals.
Taiwan lies in an earthquake zone, and its building codes include seismic design requirements. Check whether the site is close to an active fault, and whether it falls within an area designated as geologically sensitive, where development can require additional geological investigation. Check also the soil’s liquefaction potential. Earthquake risk affects structural design and cost and, for precision production, how well equipment and operations can withstand shaking.
Check for required environmental assessments, buffer distances to housing or schools, noise and emission limits, and any contamination from previous use (see item 7 for soil contamination).
Airports, military zones and scenic or heritage areas can impose height limits. Check also for easements, pipelines or power lines crossing the site.
Compare sites on land price plus building cost plus time to opening. A cheaper site that needs piling, a power upgrade and a longer approval route is often the more expensive choice.
Site B has the lower land price but the higher total cost and the later opening. The comparison below is illustrative. It shows how a manufacturer needing about 20,000 m² of production and warehouse space might compare two candidate plots.
| Check | Site A | Site B |
|---|---|---|
| Land price | Higher | About 15% lower |
| Zoning | Permits production, R&D and staff canteen | Permits production; offices limited |
| Fits 20,000 m² now and in the future | Yes, with room to expand | Fits today; no expansion room |
| Truck access | Two entrances; separate goods and staff | Single narrow access road |
| Power | Capacity available at boundary | Upgrade needed, about 9 months |
| Ground conditions | Shallow foundations likely | Piling required |
| Flood risk | Low | Low-lying; raised floor needed |
| Estimated time to opening | Shorter | About 9–12 months longer |
On land price alone, Site B wins. On total cost, risk and time, Site A is the better buy. This is the kind of answer a due-diligence study should give you before you sign.
Our land due-diligence study gives you a clear go or no-go on a site, with the cost and time implications spelled out. It is the first step of our integrated service, from land to opening, and its findings carry straight into masterplanning and design if you proceed. The study is currently offered for sites in Taiwan.
A typical study covers:
When you are choosing between several sites, we compare them side by side on the same criteria.
Example: for a multinational online retailer, we assessed sites for a new logistics centre in Taiwan, benchmarking the market against five comparable facilities and testing the preferred site against planning controls, regulations, utilities, ground conditions and traffic. The study concluded with a masterplan for 112,200 m² of gross floor area on a 41,000 m² site, with a schematic design, programme and cost estimate to support the client’s investment decision.
Typical duration: About 4 weeks per site, excluding national holidays. A faster priority service is available at additional cost for clients facing a purchase deadline.
Typical fee: A fixed fee per site, quoted once we know the site and your requirements.
Send us the location and a few lines about what you plan to build. We will reply directly with a first view on whether the site is worth a closer look, and what a full study would involve.
Write to info@wzwx-group.com or use our contact form. We work in English, Traditional Chinese and Simplified Chinese, with studios in Taipei, Shenzhen and Jiangsu.