A Feasibility Threshold Score is a composite risk measure used in property development finance UK to determine whether a project meets the minimum financial, operational and market criteria for investment. It combines multiple weighted factors including projected costs, expected revenues, Loan to Value (LTV), risk exposure and development complexity to produce a single score. This score guides lenders and developers in deciding whether a scheme is viable, identifying projects likely to succeed or require adjustment. The Feasibility Threshold Score supports risk management, enhances capital allocation and underpins structured decision-making for SME UK property developers and investors.
This sits beneath Composite Risk Scores, introducing a more specific variant of the measure without changing its core interpretation. It is commonly considered alongside Go/No-Go Decision Trigger Matrix, as both are closely related measures used to assess similar aspects of performance or risk.
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