I am curious to know how others who are experienced in developing real estate would begin a large scale project. Strategizing a business plan is giving me a headache. Here is what I do know: I have a parcel of land that is in a strategic location. It was already approved for a 300+ condominium unit, but the developer lost his financing. The condo market is weak, but there are also renderings for a hotel, and lets remember the city approved these projects,,,anyway's a hotel with 20"000sq.ft. of retail space would do nicely, in fact the retail space has already been approached by companies such as Starbucks and CVS. Plus down the street, a new large plaza is going up.
I am told it would cost about 35 million to put up a hotel. That's a lot of money. What I also have going for me is my connections, I can find ways to cut down construction costs through the people I know. Plus I know people who can run it, do hiring, staffing, etc.
The previous developer could not get his financing because this market has stricter lending laws and condo's are not moving right now, to even break ground on a condominium would be crazy, unless your name is Trump. Not too mention, insurance these days is a bitch, which leaves a smaller margin for profit.
Listen, I want to sell an idea. The idea that this Hotel I plan to put up is going to be the most conveniently located to the airport, and the nicest in the vicinity.
Real Estate Development!!!
POSTED: January 21, 2012 by poojakamble