11. Which of the following would NOT be considered a planning cost in the planning and design phase of a development project? (1) Obtaining zoning permits (2) Soil tests (3) Grading and leveling designs (4) Preparing architectural plans 12. Due to interest rate matching problems, long-term lenders are hesitant to commit to a fixed rate for a loan well in advance of project completion. Occasionally, lenders will agree to hold a rate for a longer period of time if they are able to release some of the proceeds in the near term by way of progress advances. Why might a developer prefer this type of loan? A. The developer will be able to avoid the risk of interest rate increases in the future. B. The developer would prefer this type of loan if the project that he or she is undertaking is expected to be completed in less than three years. C. The developer can reduce financing placement costs if the construction and long-term funds are loaned by the same lender. D. The developer would want this type of loan if he or she expects interest rates to decrease in the future. (1) None of the above (2) Only C and D (3) Only A and C (4) Only B and D