### Question
Can you define what development cost means?


### Answer
**Development cost** is defined as the following in *42 U.S.C. § 1485*:

> the costs of constructing, purchasing, improving, altering, or repairing new or existing housing and related facilities and purchasing and improving the necessary land, including necessary and appropriate fees and charges, initial operating expenses up to 2 per centum of the aforementioned costs, approved by the Secretary, impact fees, local charges for installation, provision, or use of infrastructure, and local assessments for public improvements and services imposed by State and local governments

#### Citation:
  - *42 U.S.C. § 1485*
  - Heading: **CHAPTER 8-LOW-INCOME HOUSING > SUBCHAPTER III-FARM HOUSING**

