The “Land Banker” acquires or holds undeveloped or “raw” that he believes will become attractive for
future development through general and broad market trends or perhaps.
The “Land Packager” buys the raw land from the passive land banker and then improves the value of the
land through conceptual land planning, zoning changes, financing schemes, or other “paper enhancements” like title insurance, accurate surveys, or environmental studies.
The “Land Developer” buys the land with the paper enhancements from the land packager and then improves the land so it can be sold as finished building pads to building developer.
The “Building Developer” buys the finished pad from the land developer and then does the vertical development by constructing the building improvements.
The “Building Operator” leases up the property, manages the property, and develops a building
operating history so it can be sold to other building operators. 6: Renovation
The “Property Renovator” buys the property with substantial economic and/or physical depreciation and creates value by curing these deficiencies then re-positioning and operating the building until the property is ready for redevelopment.
The “Property Re-developer” buys the property with such serious physical or functional deficiencies that
the improvements must be torn down and/or re-developed for another use.
The tasks that need to be accomplished in each stage of development can be divided into eight major categories.
As you real estate your Development Project Managers, we are used to constant chaos. We find facing new situations and challenges on a daily basis thrilling.
We do the research on your desired area to develop and the real estate niche you want to fit into. Do you want to focus on residential projects or commercial? Does the market present any great opportunities right now for you as investors? Will you be partnering with others in a market you’re less familiar with? Selecting a location is about committing to a niche, market and strategy as much as it is about finding a good deal.
As your Development Project Managers, we will be working with and relying on a lot of different people. From other developers to real estate agents to lawyers to architects to plumbers to day workers.
Unless you have capital saved up, you’ll also need to find a partner investor to fund your desired project. We can help by meeting with them, expressing your needs and showing them the return they’ll be making by joining your project.
If you prefer to take out a commercial loan, we can help you with that too.
It’s no secret that real estate projects historically struggle to meet deadlines. Holding every person involved to a hard deadline, all the while budgeting in some wiggle room behind the scenes is a smart way to make sure the job gets done on time.
There are several stages of Real Estate Development In each stage, the developer achieves certain tasks by spending money, using unique talents and skills, and in the process taking risks to increase the value of the property.
In each stage, the developer must answer the following questions:
Can I create real value?