DEVELOPMENT
Pre-Development
Pre-Development – this stage is the most important and requires a thorough analysis of the market and property.
Understanding The Market
Cap Rates
• Low
• High
Population
• Decreasing
• Increasing
Employment
• Uneducated
• Well-Educated
Property Search
Residential
• Single Family
• Condos
• Multi Family
Commercial
• Office
• Retail
• Industrial
• Hospitality
• Health Care
• Specialty (Self-Storage, Data Centers, etc.)
Vetting The Property
Zoning
Deed Restrictions
Building Codes
Tenant Negotiations
Cost & Market Analysis
construction
Construction – the initial work completed during the pre-development will segue into the construction phase, which has been thoroughly covered under CONSTRUCTION. From a development standpoint, the key items to focus on during the construction phase are:
• Budget
• Schedule
• Quality Control
• Code Compliance
post-development
Post-Development – before construction begins, it’s imperative a decision has been made on how the property will be handled once completed. Will the property be occupied, leased, or sold? Ultimately, the development / property is an asset and a management plan must be in place. Areas of focus for post-development include:
- Owner Occupy
- Lease & Manage
- Lease & Sell
- Sell
- Asset Management
- Maintenance
- Repairs
- General Upkeep
- Taxes
- Loan Payments