Investment Strategy

Development is a series of risks. The developer manages these risks to deliver the development profit. The developer’s development profit is the ‘GDV’ less the cost of the risks associated with developing and selling the development. Think of it like this: Gross Development Value, less = Development Profit Construction risk How construction works around...

Development is a series of risks Development is a series of risks. The developer manages these risks to deliver the development profit. The developer’s development profit is the ‘GDV’ less the cost of the risks associated with developing and selling the development. Think of it like this: Gross Development Value, less = Development Profit...

Development is a series of risks Development is a series of risks. The developer manages these risks to deliver the development profit. The developer’s development profit is the ‘GDV’ less the cost of the risks associated with developing and selling the development. Think of it like this: Gross Development Value, less = Development Profit...

Basic financial model of a development project IBelow, I have set out a basic residential development in terms of the cash flow it generates. I have simplified the cash flow to make it easier to understand.  However, from an accounting perspective, the model below is not realistic because there are differences in terms of...

What is residential development? It is important to have a broad definition of what development is, as this will give you a much better idea of what drives value in the residential development process. Development is not simply just the process of building something. You need to think of development as improving a parcel...