The property development industry offers so much potential for business owners and managers. The margins and return on investment can be very significant, but the risk with many projects means that extra care and expertise is required in every part of any property development project. Property development managers, usually operating from skilled consultancies, can offer a wide range of services, from total project management that covers all parts of a property development venture, or can focus specifically on areas where you require additional skills and insight.
Any client committing to a property development project is looking to make more money from their property investment. Hiring a property development management company can help investors manage all aspects of their property development missions and make the ride a lot smoother for them, so that you can focus your time and energies on other projects and other areas of your properties and development.
To minimise risk and make firm projections for any property development risk, it’s important to keep a close eye on the financial aspects, from planning through to completion and then maintenance. As well as managing the financial risk and outlining financial strategies, a good property development project will manage all expenditure during the project, monitor cash flow, and advise clients on how to maximise the financial benefits of the project.
Towards the end of the project, property development managers can also take care of the property management, which is either managing the sale of the project to consumers or businesses, or working with letting agencies and letting management contractors who will manage the property and arrange for the property to be leased.
Recruitment and subcontractors
Larger scale property development projects can demand more human resources and manpower. A property development management provider will have better skills in recruitment for finding the most suitable people for the project, and will retain relationships with subcontractors so they can hire the best contractors for the most reasonable costs to the project. Local industry knowledge is a key factor, and property development managers should have a solid understanding of local contractors and service providers.
Today, we are involved more than ever in sustaining the world that we live in. Property buyers are more concerned with the rising price of oil and the effects of non-sustainable energy sources, and more legislation is being passed across the world to protect our environment. It’s up to property development managers to advise investors on this legislation, and provide solutions for creating sustainable homes and commercial spaces to retain commercial viability and minimise carbon footprints.
Property development managers have a responsibility to communicate regularly with investors, provide honest advice, and commit to the strategy and objectives laid out at the beginning of the project. Project management skills are crucial, along with leadership for the supervision of other consultants and project executives, plus subcontractors and external stakeholders.