How Not to Mess Up Your Project: Get the Pre-concept Right!

How Not to Mess Up Your Project: Get the Pre-concept Right!

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property development process

The real estate life cycle can be characterized as :

1. Investment Intention
2. Pre-concept: Integrating Physical Planning, Project Economics & Market Forces
3. Design : Concept & Detailed Design
4. Tender
5. Construction
6. Operations: Property Marketing, Tenancy & Facilities Management
7. Demolition/Refurbishing

As most investors are aware, the investment intention phase is an on-going process of scouting for potential real estate development projects. Investors / shareholders / directors leap into action when

(a) timing is right (economically / politically / socially),

(b) funds are available and

(c) the right investment opportunity presents itself.

 

Development Managers Influence on Success

When these three factors are aligned we enter the Pre-concept stage.  This is where the foundation of the real estate investment starts being built – by analyzing the physical planning possibilities together with the project economics to re-confirm what the market is saying. This is the part where a development manager has the greatest discretion to exercise in determining how successful a project will be.

As we progressively add content to this site we will be discussing the development issues related to this very important pre-concept stage.

 

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