Slow market absorption often turns an institutional lender into a de facto land developer - an unfamiliar and unintended role for most banks and lenders. Bankers and other lenders need to consider numerous factors when lending in a down market. Often it means carrying the property longer than originally anticipated. Consulting an experienced professional project manager can save time and money.
Developers Research can provide project management assistance with the following:
- Determine the problems the lender has inherited from the previous ownership
- Identify poor land planning issues and suggest alternatives to reduce costs
- Identify biological, hydrological, geotechnical or zoning constraints
- Identify cash flow problems and prepare or update cost to complete budgets
- Prepare project schedule (Gantt chart)
- Optimize site plan for maximum value by reducing costs and identifying lot and view premiums
- Determine existing project status including map approval and expiration, site grading status, necessary permits required and their validity, site compliance with state and local authorities and development agreements status
- Management of construction and preservation of existing partially completed improvements
- Renegotiate entitlements and requirements with local governments
- Bond exoneration
- Community facilities district (CFD) financing opportunities and analysis
- Meet with the previous owner's various contacts including consultant/contractors such as hydrologists, engineers, entitlement consultants, etc. to reinstate or negotiate contracts
- Provide assistance with sales and marketing programs
