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Your analysis of supply and demand is very accurate, and landowners have nothing to fear from the proposed ordinance, similar to the ones in several books I have written on this subject. All of my developer-clients around the country recognize that conservation design saves them a lot of money in site grading and street construction, while adding significant value to the final product, which also tends to sell more quickly. Much factual information about conservation subdivisions can be found at www.landchoices.org, and at my website www.greenerprospects.com (particularly under the Services and Site Design categories, where the cost savings to a Pleasant View TN developer is documented).
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