Theoretically, Rae, you are correct. However, in the absence of relevant market data and since the site value is part of the cost approach, there would be nothing wrong with including the project development costs (pro-rata) along with the raw land, assuming you could find a raw land comp. Certainly, the best method is a market comparison approach.
In reference to the developer giving you a blank stare, that is because he does not price the individual homes according to market value. Typically, they look at all costs, add a percentage for overhead and profit (builder and entreprenueal) along with a percentage for contingencies, the itemized cost breakdown for the specific unit in question, add in another percentage for overhead and profit and contingencies, add the cost of financing and escrow fees, marketing costs, holding costs then add that amount to pro-rata cost of land acquisition and project development costs....then set the price of the home. It would take them hours, if not days, to provide you with a cost for the site and they would never never give you a site value. That is what appraisers are for...to develop an opinion of site value.
In reference to the developer giving you a blank stare, that is because he does not price the individual homes according to market value. Typically, they look at all costs, add a percentage for overhead and profit (builder and entreprenueal) along with a percentage for contingencies, the itemized cost breakdown for the specific unit in question, add in another percentage for overhead and profit and contingencies, add the cost of financing and escrow fees, marketing costs, holding costs then add that amount to pro-rata cost of land acquisition and project development costs....then set the price of the home. It would take them hours, if not days, to provide you with a cost for the site and they would never never give you a site value. That is what appraisers are for...to develop an opinion of site value.