San Ramon, CA, June 13, 2015 --(PR.com
)-- Veteran real estate professional Leon Churchill discusses how real estate developers mitigate the many risks in developing properties. Just like any industry, there are many risks involved in real estate from the early planning stages to construction. This aspect is where real estate developers come in.
For a successful project, professional real estate developers like Leon Churchill use certain strategies. Research is an essential part of that method, which usually includes fact gathering in areas like yield development, investor demand, and allocation concern as well as occupiers and consumer demand. Research might also include calculations and market testing before construction begins. Pre-lease or pre-sale tests are conducted to test the market’s condition to determine the potential revenue.
Once the essential data have been acquired through research, a skilled land developer will then estimate the costs of construction. Factors like inflation levels, supply and demand, and materials costs will need to be considered carefully to make an accurate calculation. After calculation, another strategy to prevent project failures is securing all the necessary legal documents like building permits, commercial licenses, construction contracts, insurance policies, and design specifications.
Like many real estate developers, Leon Churchill is involved in multiple projects across several markets. Phasing projects properly also minimizes risks and achieves goals within a projected timeframe. The time constraints of any project is one of the largest concerns for land developers as any delays can increase costs, cause legal problems with tenants, and affect the revenue.
Preparing for the worst is how real estate development professionals eliminate most of the risks involved in the industry. Planning acumen and the know-how to navigate the real estate market are two of the most valuable skills for a successful career in real estate development.
For more information on capable land developers and real estate professionals like Leon Churchill, visit www.LandCastleRE.com.
About Leon Churchill
Leon Churchill is an associate at one of the leading residential brokerage firms in California. He has over 25 years of experience in local government, which allows him to resolve any issues that would affect development opportunities.