New build comparison question

[Chris Isaacson]

In your opinion is it better to build in an area that is more expensive to build (i.e. permits, labor, etc.) yet yields a larger profit margin per unit or a market that is less expensive to build with a lower profit margin per unit?

Let’s say for this example that both markets have the same level of market liquidity, however, Market A (expensive) has a longer time frame from start to finish (due to city/county) than Market B (less expensive).