58
|
INTERNATIONAL PROPERTY DEVELOPER www.opp.org.uk
|
JULY 2009
Y
Entry and exit
INDUSTR
Developers need to invest more in market entry for a buyer more concerned about the exit strategy
M

arket entry in development to be the single most significant barrier are faced with a completely different being driven by investment greed
terms is more than simply to profit maximization for successful ROI scenario with their developments and capital growth potential; with
expanding into new buyer developers – and getting it to market not fit for purpose, as the supply of affordability and serviceability of
markets; its about evaluating supply, as quickly as possible. Whilst nothing off-plan opportunities has increased debt from a secure yield some of
satisfying demand, accepting ceiling concerning planning is ever easy, and demand has now switched to the the new demand drivers. Demand
prices and delivering an appropriate priorities have simply changed; now it’s domestic market with very different is showing signs of increase but the
PEOPLE
product and saleable mix of units to far more important to have a clear and needs. early adopters are more sophisticated;
the right audience. deliverable exit strategy and the role To evaluate supply and satisfy so it’s imperative that landowners or
In this changing market, developers of the marketer has superseded that of demand fully in a global buyer market, developers prepare themselves for this
need to make the best use of their the architect. developers need to drill down further new market and learn how to harvest
land to maximise profits. Market Exit strategies were important as than they have been used to. They demand.
entry precedes and informs the profit much for corporate identity as anything need to look at local, national and
enhancement process and landowners else because off-plan sales in a steadily international comparisons in relation to Price to spec
must formulate different planning rising global market made even the development and unit type. Ceiling price, the maximum price you
TION
scenarios to deliver an optimum craziest acquisition seem shrewd Europe has an over-supply of resort- can achieve for a unit, is increasingly
Return on Investment (ROI) for their when it came to the sales process. style properties with no management being determined by potential yield
development. Developers who only two years ago solution or rental potential and an and availability of finance. Ceiling
had acquired land in Brazil for off-plan under-supply of fractional managed prices are also influenced by the
DESTINA
Plan for the market sales to an international market may apart-hotels. Demand that developers competition and market comparables
Obtaining planning permission used find themselves in hot water. Many had previously enjoyed is no longer and vary considerably within different
BUSINESS
Full due diligence completed
Construction started
OPER
Full planning permissions in place
VEL
DE
Ready to sell
Range of buying options
Mortgage finance available
Secure and competitive commissions
TING
Full agent training
“When I came across Merida, I found a different world from what I had
seen before. The area is full of history and interest and Flamingo Lakes
ARKE
Range of partner arrangements
Resort offered me the potential to buy a place in an area that I love, and
also be able to have a relaxing exclusive holiday in a great resort, whilst
M increasing my investment portfolio. It was so appealing, I bought two, one
Market leading agent support for me and the family and the other to hopefully pay for it!”
Joe Calzaghe, World Super Middle Weight Boxing Champion.
Master agency agreements available
Page 1  |  Page 2  |  Page 3  |  Page 4  |  Page 5  |  Page 6  |  Page 7  |  Page 8  |  Page 9  |  Page 10  |  Page 11  |  Page 12  |  Page 13  |  Page 14  |  Page 15  |  Page 16  |  Page 17  |  Page 18  |  Page 19  |  Page 20  |  Page 21  |  Page 22  |  Page 23  |  Page 24  |  Page 25  |  Page 26  |  Page 27  |  Page 28  |  Page 29  |  Page 30  |  Page 31  |  Page 32  |  Page 33  |  Page 34  |  Page 35  |  Page 36  |  Page 37  |  Page 38  |  Page 39  |  Page 40  |  Page 41  |  Page 42  |  Page 43  |  Page 44  |  Page 45  |  Page 46  |  Page 47  |  Page 48  |  Page 49  |  Page 50  |  Page 51  |  Page 52  |  Page 53  |  Page 54  |  Page 55  |  Page 56  |  Page 57  |  Page 58  |  Page 59  |  Page 60  |  Page 61  |  Page 62  |  Page 63  |  Page 64  |  Page 65  |  Page 66  |  Page 67  |  Page 68  |  Page 69  |  Page 70  |  Page 71  |  Page 72