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1. Yes, the cost per sqm is higher for 2 storey. Also note that double storey plans are often less efficient, due to the stair well. 2. Yes you would normally do 3 x 2 storey instead of 2 x single storey. My point was that you wouldn't normally build 2 x 2 storey just to have more land around...

The build cost for single storey will be quite a bit less than 2 storey. It depends on the development density allowed on the sites that you are looking at. Don't build two storey to end up with more land around the townhouses. Only do it if the numbers stack up ok and it allows you to put more...