The high variability of market prices and the uncertainty that, even in restrained timeframes, is
characterizing the general economic situation, have led real estate operators to a prudent attitude, who tend to
postpone or at least stagger the start of the initiatives on hold of more stable conditions. In this context it is
appropriate to use evaluation tools enable to enhance the investment capacity to be adapted to possible changes
of the conditions initially hypothesized. In the present research Real Options Analysis (ROA) is applied to the
evaluation of an investment in urban redevelopment of a former industrial complex. The result obtained shows
the efficacy of the instrument. Assuming that the entrepreneur considers affordable the implementation of the
initiative if the outcome of the discounted cash flow analysis is at least equal to a threshold value calculated as
a percentage of revenues, the application of ROA returns an extended NPV that meets this constraint, whereas
the use of traditional NPV suggest to abandon the project idea. The binomial approach used also allows to
accurately monitor the project's development, correlating it to the evolution of the market