Property Developer Podcast

No two property development projects are ever the same. Each project throws up its own challenges and opportunities. Lessons learned from each project can help to avoid or overcome issues faced on future projects.

Taking the lessons learned from past property development projects can help ensure more efficient projects in the future, and provide a foundation of experience to help solve other problems.

Today’s guest, Matt Campbell from Kyabel, is currently delivering 17 small scale projects and shares some of the key lessons he has learnt along the way.

Matt has a background in delivering IT projects so brought his understanding of project management and problem solving to his property development career. He is currently delivering residential projects across south-east Queensland. Matt is involved with all stages of a project from site acquisition through construction to completion.

In this discussion we cover:

- how a change in thinking helped him take his developing to the next level

- a key lesson he learnt about raising capital; and

- how branding can give power to your development projects.

Keep an ear out for a niche project that Matt is itching to get started on…

Property Development Training

If you are interested in learning the fundamentals of property development, in your own time and at your own pace, then be sure to head over to www.propertydevelopertraining.com and take a look. I take you step by step through the development process so you know exactly what is needed to find a site, run a feasibility and complete a small scale property development, be that a duplex or 3 or 4 unit site. The training includes a bonus program called Taking It To The Next Level for people who may want to go into developing full-time.

So head over to propertydevelopertraining.com and take a look... I would love to see you on the inside...

Property Developer Quiz

Keen to find out how ready you might be to become a developer? Then take the Property Developer Quiz (https://www.propertydevelopertraining.com/quiz) and get a sense of where you are at…

Become a Million Dollar Property Developer

Grab my book Become a Million Dollar Property Developer about my journey into property development. This book is ideal for anyone who intends to get into small-scale property development and wants an insider’s guide to successfully obtaining wealth, fulfilment, and glory.

In this book, Justin will share how he succeeded in delivering a 20-townhouse project on his first property development project and what he learned along the way.

Many people have a dream of becoming a property developer. They aspire to build properties, grow portfolios, and amass great wealth. However, many people often struggle with making the leap into property development.

This book has the answers for how you can make the leap into property development. Grab your copy now.

Social Connection

Property Developer Podcast Facebook – https://www.facebook.com/propertydeveloperpodcast

Property Developer Podcast Instagram – https://www.instagram.com/property_developer_podcast/

Property Developer Podcast LinkedIn – https://www.linkedin.com/company/property-developer-podcastLinks

Links

Kyabel - https://www.kyabel.com.au/

Episode Summary

In this episode, host Justin Gehde interviews property developer and consultant Matt Campbell. Matt has been in the property development industry for over 35 years and has worked on a wide range of projects, from small-scale residential developments to large commercial developments. He shares his insights on the lessons he has learned from managing multiple small-scale property developments throughout his career.

Small vs large property developments

The episode begins with a discussion of the benefits of small-scale property development. Matt explains that small-scale developments are often easier to manage than larger developments and can be a good way for developers to gain experience before moving on to larger projects. He also notes that small-scale developments can be more profitable than larger developments, as they often require less upfront investment and can generate a quick return on investment.

Key lessons from small scale property developments

Matt then shares some of the key lessons he has learned from managing small-scale property developments. The first lesson he highlights is the importance of having a clear vision for the development. Matt explains that developers need to have a clear idea of what they want to achieve with the development and what type of properties they want to build. He emphasizes the importance of doing thorough research on the local property market and understanding the needs of potential buyers before starting a development.

Have the right team

The second lesson Matt shares is the importance of working with the right team. He explains that property development is a team effort and that developers need to work with a range of professionals, including architects, engineers, and builders, to ensure the success of the development. He emphasizes the importance of finding professionals who share the developer's vision and can work collaboratively to achieve the desired outcome.

Matt also highlights the importance of communication in property development. He explains that developers need to communicate clearly with their team members, stakeholders, and potential buyers throughout the development process. He emphasizes the importance of being transparent about the development's progress and any challenges that arise.

Managing risk in property development

Another key lesson Matt shares is the importance of managing risk in property development. He explains that developers need to be aware of the risks associated with a development, such as changes in the local property market or unforeseen construction issues, and have a plan in place to mitigate those risks. He emphasizes the importance of being proactive in managing risks and being prepared to adapt to changing circumstances.

Keep an eye on quality

Matt also discusses the importance of maintaining a focus on quality in small-scale property development. He explains that developers need to prioritize quality over quantity and ensure that the properties they build are of a high standard. He emphasizes the importance of paying attention to detail and using high-quality materials and finishes to create properties that buyers will be willing to pay a premium for.

Finally, Matt shares some tips for aspiring property developers. He emphasizes the importance of doing thorough research before starting a development and seeking out the advice and expertise of experienced professionals. He also encourages developers to start small and gain experience before moving on to larger projects.

Sales are the lynch pin of any good property development project, and to get sales your product needs to appeal to a buyer. Give the buyer what they want and making the sale becomes easier.

So how do you come to understand what a buyer wants? We talk to a seasoned property developer to find out what they do to profile their buyers.

With Jeremy De Zylva from Resolution Property Group we cover:what Jeremy learnt from working for large corporate organizations

the one key thing that developers can focus on to make their projects a success and stand out from the competition

how to deal with markets changing mid-project

Keep an ear out for how structures can make a big difference to being able to offer a vendor the price they want while still giving you control of the site.

Property Development Training

If you are interested in learning the fundamentals of property development, in your own time and at your own pace, then be sure to head over to www.propertydevelopertraining.com and take a look. I take you step by step through the development process so you know exactly what is needed to find a site, run a feasibility and complete a small scale property development, be that a duplex or 3 or 4 unit site. The training includes a bonus program called Taking It To The Next Level for people who may want to go into developing full-time.

So head over to propertydevelopertraining.com and take a look... I would love to see you on the inside...

Property Developer Quiz

Keen to find out how ready you might be to become a developer? Then take the Property Developer Quiz (https://www.propertydevelopertraining.com/quiz) and get a sense of where you are at…

Become a Million Dollar Property Developer

Grab my book Become a Million Dollar Property Developer about my journey into property development. This book is ideal for anyone who intends to get into small-scale property development and wants an insider’s guide to successfully obtaining wealth, fulfilment, and glory.

In this book, Justin will share how he succeeded in delivering a 20-townhouse project on his first property development project and what he learned along the way.

Many people have a dream of becoming a property developer. They aspire to build properties, grow portfolios, and amass great wealth. However, many people often struggle with making the leap into property development.

This book has the answers for how you can make the leap into property development. Grab your copy now.

Social Connection

Property Developer Podcast Facebook – https://www.facebook.com/propertydeveloperpodcast

Property Developer Podcast Instagram – https://www.instagram.com/property_developer_podcast/

Property Developer Podcast LinkedIn – https://www.linkedin.com/company/property-developer-podcastLinks

Links

Resolution Property Group - https://www.resolutionpg.com.au/

Project Update

Here's the latest from my current project...

Episode Summary

In this episode of the Property Developer Podcast, host Justin Gehde speaks with Jeremy De Zylva from Resolution Property Group, a property development and investment firm based in Australia. Jeremy has over 20 years of experience in property development, and in this episode, he shares his insights on the concept of "buyer-driven" property development projects.

The Basics of Buyer-Driven Property Development Projects

According to Jeremy, the term "buyer-driven" refers to a property development project that is designed and executed with the needs and desires of the end user in mind. In contrast to a traditional property development project, which may be driven primarily by financial considerations or the vision of the developer, a buyer-driven project is centered around the needs of the target market.

Jeremy notes that buyer-driven projects can take many forms, from multi-unit residential developments to commercial projects like shopping centers and office buildings. Regardless of the type of development, the key is to understand the needs and wants of the target market and to design the project accordingly.

The Benefits of Buyer-Driven Property Development

One of the primary benefits of a buyer-driven property development project is that it can help to mitigate some of the risks associated with traditional property development. By focusing on the needs and desires of the target market, a developer can be more confident that there will be demand for the finished product. This can help to reduce the risk of oversupply or a lack of demand that can lead to financial losses.

In addition, buyer-driven projects can often be more profitable than traditional projects, as the finished product is more likely to meet the needs of the target market and command a higher price point. Jeremy notes that this can be particularly true in markets where there is high demand for certain types of properties, such as affordable housing or commercial space in a particular location.

Designing a Successful Buyer-Driven Project

According to Jeremy, the key to designing a successful buyer-driven project is to start with a deep understanding of the target market. This involves conducting thorough research into the demographics, preferences, and needs of the target market, as well as analyzing market trends and other factors that may impact demand.

Once this research is complete, the developer can begin to design the project with the target market in mind. Jeremy notes that this involves everything from the overall concept and design of the project to the specific amenities and features that are included. The goal is to create a product that is not only desirable to the target market but that also meets their needs in a practical and functional way.

Challenges and Risks

While there are many benefits to buyer-driven property development, Jeremy notes that there are also some challenges and risks to consider. One of the primary risks is the potential for over-reliance on the preferences and needs of the target market. While it's important to design the project with the target market in mind, it's also important to ensure that the project is financially feasible and sustainable over the long term.

In addition, buyer-driven projects can be more complex and time-consuming than traditional projects, as there may be more research and analysis required upfront. This can require a significant investment of time and resources, and there is always the risk that the project may not ultimately meet the needs or preferences of the target market.

Tips for Success

To succeed in buyer-driven property development, Jeremy offers several tips:

1. Start with a deep understanding of the target market and their needs and preferences.

2. Be willing to invest the time and resources required for thorough research and analysis.

3. Focus on creating a product that is both desirable and practical for the target market.

4. Be mindful of the financial feasibility and long-term sustainability of the project.

5. Build strong relationships with industry partners, such as architects, builders, and financiers, who share your vision for the project.

6. Be prepared to adapt and modify your plans as you receive feedback from the target market.

7. Stay up-to-date with market trends and changes in the industry to ensure that your project remains relevant and competitive.

In conclusion, buyer-driven property development projects can offer many benefits over traditional property development, including reduced risks, higher profitability, and greater market demand. However, designing a successful buyer-driven project requires a deep understanding of the target market, as well as a willingness to invest the time and resources required for thorough research and analysis.

Ultimately, the key to success in buyer-driven property development is to remain focused on the needs and desires of the end user, and to work closely with industry partners who share your vision for the project. With careful planning, research, and execution, buyer-driven property development can offer a profitable and sustainable path to success for property developers.

When things get a little choppy during a project due to factors beyond your control, like rates rising or build times blowing out, it helps to have flexible and reliable funding in place to see you through.

In this conversation with regular guest and finance guru Dan Holden from Holden Capital, we will be covering:

what's happening in the lending markets

the outlook for the cash rate

challenges many developers are currently facing with build costs and delays

case studies and;

the release of Dan's book called Constructive Finance.

Keep an ear out for how you can win a free copy of Dan's excellent book which covers all things Australian construction finance. I highly recommend it for your property resource library.

This is another awesome discussion that I'm sure you will enjoy and it is chock full of gold.

Property Development Training

If you are interested in learning the fundamentals of property development, in your own time and at your own pace, then be sure to head over to www.propertydevelopertraining.com and take a look. I take you step by step through the development process so you know exactly what is needed to find a site, run a feasibility and complete a small scale property development, be that a duplex or 3 or 4 unit site. The training includes a bonus program called Taking It To The Next Level for people who may want to go into developing full-time.

So head over to propertydevelopertraining.com and take a look... I would love to see you on the inside...

Property Developer Quiz

Keen to find out how ready you might be to become a developer? Then take the Property Developer Quiz (https://www.propertydevelopertraining.com/quiz) and get a sense of where you are at…

Become a Million Dollar Property Developer

Grab my book Become a Million Dollar Property Developer about my journey into property development. This book is ideal for anyone who intends to get into small-scale property development and wants an insider’s guide to successfully obtaining wealth, fulfilment, and glory.

In this book, Justin will share how he succeeded in delivering a 20-townhouse project on his first property development project and what he learned along the way.

Many people have a dream of becoming a property developer. They aspire to build properties, grow portfolios, and amass great wealth. However, many people often struggle with making the leap into property development.

This book has the answers for how you can make the leap into property development. Grab your copy now.

Social Connection

Property Developer Podcast Facebook – https://www.facebook.com/propertydeveloperpodcast

Property Developer Podcast Instagram – https://www.instagram.com/property_developer_podcast/

Property Developer Podcast LinkedIn – https://www.linkedin.com/company/property-developer-podcastLinks

Links

Holden Capital - https://www.holdencapital.com.au

Episode Summary

In this episode, host Justin Gehde interviews Dan Holden, the Managing Director of Holden Capital, a finance broking firm that specializes in property development finance. They discuss the importance of having a solid understanding of project finance and how to navigate the changing economic landscape to ensure the success of property development projects.

Top points from the episode:

Project finance is the cornerstone of any successful property development project. Developers need to have a solid understanding of the financing process and be able to secure the necessary funding for their projects.

The pandemic has had a significant impact on the property development finance industry, with many lenders tightening their credit policies and reducing their lending capacity.

Developers can navigate turbulent times by having a contingency plan in place and working with experienced professionals such as finance brokers and project managers who can provide valuable advice and guidance during uncertain times.

Finance brokers have access to a wide range of lenders and can help developers find the best financing options for their specific needs. It's essential to build strong relationships with lenders and be able to present a strong business case to secure funding.

The key to success in property development is having a solid understanding of project finance and being able to navigate changing economic conditions. Developers need to stay up to date with market trends and changes to ensure the success of their projects.

Justin starts the episode by introducing Dan Holden, his background, and his experience in the property development finance industry. He then goes on to ask Dan about the current state of the property development finance industry and the impact of the pandemic on it. Dan states that the pandemic has had a significant impact on the industry, with many lenders tightening their credit policies and reducing their lending capacity.

The Importance of Project Finance

Dan explains that project finance is the cornerstone of any successful property development project. He emphasizes the importance of developers having a solid understanding of the financing process and being able to secure the necessary funding for their projects. Dan also talks about the different types of finance available to developers, such as senior debt, mezzanine finance, and equity finance, and the pros and cons of each type.

Navigating Turbulent Times

The discussion then moves to how developers can navigate the changing economic landscape and ensure the success of their projects during turbulent times. Dan advises developers to have a contingency plan in place, such as having additional funding sources or the ability to delay their project if necessary. He also recommends working with experienced professionals, such as finance brokers and project managers, who can provide valuable advice and guidance during uncertain times.

The Role of Finance Brokers

Dan talks about the role of finance brokers in the property development finance industry and how they can help developers secure the necessary funding for their projects. He explains that finance brokers have access to a wide range of lenders and can help developers find the best financing options for their specific needs. Dan also talks about the importance of building strong relationships with lenders and being able to present a strong business case to secure funding.

Conclusion

The podcast concludes with Justin and Dan discussing the outlook for the property development finance industry and the importance of staying up to date with market trends and changes. Dan emphasizes that the key to success in property development is having a solid understanding of project finance and being able to navigate changing economic conditions.

Overall, this episode of the Property Developer Podcast provides valuable insights into the importance of solid project finance during turbulent times and how developers can navigate the changing economic landscape to ensure the success of their projects. The discussion highlights the crucial role that finance brokers play in the industry and the need for developers to work with experienced professionals to secure the necessary funding for their projects.

Settling on a property development strategy can often be an evolutionary process as you learn what works and what you enjoy. That can involve a few twists and turns before you find something effective and repeatable, which is what happened with my latest guest.

Anselm Mathurin is a Caribbean based property developer with a terrific story to share about following a dream and learning along the way.

Like most property developers, Anselm has faced some challenges in getting his projects out of the ground including having to relocate from his home on another island to be closer to the development site when things started going off track.

He shares with us:

- how taking effective control of a project can lead to significant savings

- how experience shapes how you view potential yields from a site

- how targeting a very niche market can be an astute strategy for selling your product.

I am sure you will enjoy this chat with Anselm and appreciate how he has adapted and evolved along the way.

Property Development Training

If you are interested in learning the fundamentals of property development, in your own time and at your own pace, then be sure to head over to www.propertydevelopertraining.com and take a look. I take you step by step through the development process so you know exactly what is needed to find a site, run a feasibility and complete a small scale property development, be that a duplex or 3 or 4 unit site. The training includes a bonus program called Taking It To The Next Level for people who may want to go into developing full-time.

So head over to propertydevelopertraining.com and take a look... I would love to see you on the inside...

Property Developer Quiz

Keen to find out how ready you might be to become a developer? Then take the Property Developer Quiz (https://www.propertydevelopertraining.com/quiz) and get a sense of where you are at…

Become a Million Dollar Property Developer

Grab my book Become a Million Dollar Property Developer about my journey into property development. This book is ideal for anyone who intends to get into small-scale property development and wants an insider’s guide to successfully obtaining wealth, fulfilment, and glory.

In this book, Justin will share how he succeeded in delivering a 20-townhouse project on his first property development project and what he learned along the way.

Many people have a dream of becoming a property developer. They aspire to build properties, grow portfolios, and amass great wealth.

However, many people often struggle with making the leap into property development.

This book has the answers for how you can make the leap into property development. Grab your copy now.

Social Connection

Property Developer Podcast Facebook – https://www.facebook.com/propertydeveloperpodcast

Property Developer Podcast Instagram – https://www.instagram.com/property_developer_podcast/

Property Developer Podcast LinkedIn – https://www.linkedin.com/company/property-developer-podcastLinks

Links

Calabash Condos - http://calabashcondos.com

Episode Summary

In this episode, host Justin Gehde speaks with Anselm Mathurin a Caribbean based property developer. Anselm shares his experience and expertise in the property development industry, discussing how property developing strategies can evolve over time and the importance of being adaptable to changes in the market.

Top points from the episode:

Property developing strategies should be flexible and adaptable to changes in the market.

Have a clear understanding of your goals and objectives and develop a strategy that aligns with them.

Stay up to date with market trends and changes and adapt your strategy accordingly.

Collaboration and building strong relationships with other professionals in the industry is essential.

Have a long-term view when developing a property development strategy and be persistent and patient.

Flexibility in Property Developing Strategies

Justin begins the discussion by asking Anselm about his journey in property development and how his strategy has evolved over time. Anselm shares that he began his career by purchasing and renovating existing properties and then progressed to land development and constructing new properties. He emphasizes that property developing strategies should be flexible and adaptable to changes in the market. Anselm shares his experience of being open to new ideas and strategies, and how it has helped him stay competitive in the industry.

Developing a Clear Strategy

Anselm emphasizes the importance of having a clear understanding of your goals and objectives when developing a property development strategy. Developers need to identify their strengths and weaknesses and develop a plan that maximizes their strengths and minimizes their weaknesses. He discusses the importance of having a clear vision for the project and ensuring that all members of the development team are aligned with that vision. Anselm shares that having a clear strategy helps you stay focused and make informed decisions that are in line with your goals.

Adapting to Changes in the Market

The property development industry is constantly evolving, and developers need to stay up to date with market trends and changes. Anselm shares that his strategy has evolved over time to align with changes in the market. He emphasizes the importance of being aware of new regulations and legislation that may impact your projects and adapting your strategy accordingly. Anselm discusses the impact of technological advancements on the industry and how developers need to be open to new technologies and tools to stay competitive.

Collaboration in Property Development

Collaboration is essential in property development, and developers need to build strong relationships with other professionals in the industry, such as architects, builders, and finance brokers. Anselm discusses the importance of working with the right team, where each member has the necessary skills and expertise to contribute to the success of the project. He emphasizes the importance of transparency and communication between team members to ensure that everyone is aligned with the project's goals.

Taking a Long-Term View

Anselm emphasizes the importance of taking a long-term view when developing a property development strategy. Success in property development takes time, and developers need to be prepared to invest time and effort into their projects. Anselm shares that he is patient and persistent and not discouraged by setbacks or failures. He encourages developers to be adaptable and have a plan for how to respond to changes in the market. Developers should focus on building a portfolio of successful projects over time, rather than seeking short-term gains.

Conclusion

In conclusion, this podcast episode provides valuable insights into how property developing strategies can evolve over time and the importance of being adaptable to changes in the market. The discussion emphasizes the need for a clear vision and strategy for success in property development and the importance of collaboration with other professionals in the industry. The top 5 bullet points discussed in the episode include the need for flexibility in property developing strategies, having a clear understanding of your goals and objectives, adapting to changes in the market, collaboration with other professionals in the industry, and taking a long-term view when developing a property development strategy.

Selling off the plan property is vital for many development projects to get out of the ground. Marketing and selling an idea and vision requires specialist skills.

So I'm speaking with Ben Khong from Chisholm & Gamon about off the plan sales.

Ben has been working in property sales for a couple of decades, mainly selling off the plan so brings a wealth of experience to this conversation, and lots of practical tips for your next sales campaign.

We talk about how you can seek out the best agent to help market and sell your project, the importance of pricing and monitoring the response, and the importance of understanding who your likely buyer is and what they want.

Keep an ear out for Ben's thoughts on what kinds of issues can come up in design that may put buyers off...

Property Development Training

If you are interested in learning the fundamentals of property development, in your own time and at your own pace, then be sure to head over to www.propertydevelopertraining.com and take a look. I take you step by step through the development process so you know exactly what is needed to find a site, run a feasibility and complete a small scale property development, be that a duplex or 3 or 4 unit site.

So head over to propertydevelopertraining.com and take a look... I would love to see you on the inside...

Property Developer Quiz

Keen to find out how ready you might be to become a developer? Then take the Property Developer Quiz (https://www.propertydevelopertraining.com/quiz) and get a sense of where you are at…

Become a Million Dollar Property Developer

Grab my book Become a Million Dollar Property Developer about my journey into property development. This book is ideal for anyone who intends to get into small-scale property development and wants an insider’s guide to successfully obtaining wealth, fulfilment, and glory.

In this book, Justin will share how he succeeded in delivering a 20-townhouse project on his first property development project and what he learned along the way.

Many people have a dream of becoming a property developer. They aspire to build properties, grow portfolios, and amass great wealth.

However, many people often struggle with making the leap into property development.

This book has the answers for how you can make the leap into property development. Grab your copy now.

Social Connection

Property Developer Podcast Facebook – https://www.facebook.com/propertydeveloperpodcast

Property Developer Podcast Instagram – https://www.instagram.com/property_developer_podcast/

Property Developer Podcast LinkedIn – https://www.linkedin.com/company/property-developer-podcastLinks

Links

Chisholm & Gamon - https://chisholmgamon.com.au

Episode Summary

The episode features an interview with Ben Khong from Chisholm & Gamon, a property marketing and sales specialist, who shares his expertise on how to effectively sell property off the plan.

Top 5 Points:

Selling off the plan is all about creating an emotional connection with buyers.

Developers should invest in high-quality marketing materials to showcase their properties and make them stand out in a competitive market.

Offering incentives, such as discounts or upgrades, can be an effective way to encourage buyers to purchase off the plan.

Building trust with potential buyers is crucial, and developers should be transparent and honest about the development process and potential risks.

It's essential to have a solid understanding of your target market and tailor your marketing approach to their needs and preferences, and creating an Emotional Connection with Buyers

According to Ben, selling property off the plan is all about creating an emotional connection with potential buyers. To do this, developers should focus on showcasing the lifestyle that the property offers, rather than just its physical features. This means highlighting the property's location, views, and amenities and emphasizing how they can enhance the buyer's lifestyle.

Investing in High-Quality Marketing Materials

Investing in high-quality marketing materials is also critical when selling off the plan. Ben suggests using 3D renders, virtual reality tours, and video content to showcase the property and give buyers a realistic sense of what it will look like. He also recommends using professional photography and copywriting to create a compelling marketing campaign that makes the property stand out in a crowded market.

Offering Incentives to Encourage Buyers

Offering incentives, such as discounts or upgrades, can be an effective way to encourage buyers to purchase off the plan. Ben suggests offering incentives that are aligned with the buyer's needs and preferences, such as a discount on the purchase price or an upgrade to the fixtures and fittings. Offering a flexible payment plan can also be an attractive incentive for buyers.

Building Trust with Potential Buyers

Building trust with potential buyers is crucial when selling off the plan. Ben emphasizes the importance of being transparent and honest about the development process and any potential risks associated with purchasing off the plan. Developers should also provide regular updates to buyers and be available to answer any questions or concerns they may have.

Understanding Your Target Market

To effectively sell property off the plan, developers need to have a solid understanding of their target market. This means identifying the demographics, lifestyle preferences, and purchasing habits of potential buyers and tailoring the marketing approach to their needs and preferences. Ben suggests using data analytics and market research to gain insights into the target market and develop a marketing strategy that resonates with them.

In conclusion, the podcast episode "Mastering the Art of Selling Property Off the Plan" provides valuable insights into how developers can effectively sell property off the plan. By creating an emotional connection with buyers, investing in high-quality marketing materials, offering incentives, building trust, and understanding the target market, developers can maximize their chances of success and achieve their sales goals.

With escalating build costs, delays obtaining materials and softening property values the development sector is once again facing a raft of challenges that are effecting the bottom line. This volatility and uncertainty is having an impact on finance and lending with variations to time and cost quite common.

So how is this affecting the lending markets and what sorts of responses are lenders putting in place to protect themselves and their clients? Let's discuss all this and more with previous guest Fabian De Marco from Commercial & Construction Capital.

We cover:

- changes in private capital markets

- lenders reviewing /adjusting maximum loan to value ratios

- length of loan terms being reviewed/shortened

- interest rates changing from fixed to variable (not seen in the last 3-4 years)

- some lenders increasing percentage of contingency funds required

- the listed builder on a project is under more scrutiny from lenders than ever before

- feasibilities may no longer stack up so what are developers doing in this situation?

Property Development Training

If you are interested in learning the fundamentals of property development, in your own time and at your own pace, then be sure to head over to www.propertydevelopertraining.com and take a look. I take you step by step through the development process so you know exactly what is needed to find a site, run a feasibility and complete a small scale property development, be that a duplex or 3 or 4 unit site.

So head over to propertydevelopertraining.com and take a look... I would love to see you on the inside...

Property Developer Quiz

Keen to find out how ready you might be to become a developer? Then take the Property Developer Quiz (https://www.propertydevelopertraining.com/quiz) and get a sense of where you are at…

Become a Million Dollar Property Developer

Grab my book Become a Million Dollar Property Developer about my journey into property development. This book is ideal for anyone who intends to get into small-scale property development and wants an insider’s guide to successfully obtaining wealth, fulfilment, and glory.

In this book, Justin will share how he succeeded in delivering a 20-townhouse project on his first property development project and what he learned along the way.

Many people have a dream of becoming a property developer. They aspire to build properties, grow portfolios, and amass great wealth.

However, many people often struggle with making the leap into property development.

This book has the answers for how you can make the leap into property development. Grab your copy now.

Social Connection

Property Developer Podcast Facebook – https://www.facebook.com/propertydeveloperpodcast

Property Developer Podcast Instagram – https://www.instagram.com/property_developer_podcast/

Property Developer Podcast LinkedIn – https://www.linkedin.com/company/property-developer-podcast

Links

C&C Capital - https://www.cccapital.org

Episode Summary

The construction finance process involves identifying the right financing options, setting realistic budgets and timelines, monitoring cash flow, and managing risks. In today's dynamic market, developers need to stay informed about the latest trends and best practices in construction finance to make the most of their investments.

Financing Options

The first step in the construction finance process is identifying the right financing options. Developers can choose from a variety of financing options, including bank loans, private equity, and mezzanine finance. Each option has its own advantages and disadvantages, and developers need to consider factors such as interest rates, repayment terms, and loan-to-value ratios when choosing the best financing option for their project.

Realistic Budgets and Timelines

Setting realistic budgets and timelines is critical to the success of any construction project. Developers need to create a detailed budget that includes all construction costs, such as labor, materials, and permits, as well as contingency funds for unexpected expenses. It's also important to establish a realistic timeline for the project and to factor in potential delays and setbacks.

Monitoring Cash Flow

Effective cash flow management is crucial for the success of any construction project. Developers need to closely monitor their cash flow to ensure that they have enough funds to cover all expenses throughout the construction process. This involves keeping track of all project expenses and revenues, forecasting future cash flows, and making adjustments as necessary.

Managing Risks

Managing risks is an important part of the construction finance process. Developers need to identify potential risks, such as construction delays, cost overruns, or changes in market conditions, and create contingency plans to mitigate these risks. It's also important to work with experienced professionals, such as lawyers and insurance providers, to ensure that all legal and insurance requirements are met.

Dynamic Market

Today's construction finance market is more dynamic than ever before. Developers need to stay informed about the latest trends and best practices to make the most of their investments. This includes staying up-to-date on changes in interest rates, regulatory requirements, and market conditions. It's also important to work with experienced professionals who can provide guidance and support throughout the construction finance process.

In conclusion, construction finance is an essential aspect of property development that needs careful planning and execution to ensure the success of the project. The construction finance process involves identifying the right financing options, setting realistic budgets and timelines, monitoring cash flow, and managing risks. In today's dynamic market, it is more important than ever for developers to stay informed about the latest trends and best practices in construction finance to make the most of their investments. By doing so, they can navigate potential obstacles and capitalize on opportunities to build successful projects that meet their financial goals.

Cashflow may not be something you first think of when you get into property development, however it becomes a crucial component when you become a full time developer and need ways to generate an income between profit events.

What types of projects are good for cashflow? There can be many but one stands out for its ease of getting built and its popularity with a certain segment of the market.

Henry Vila from Stone Horizon, a developer and a builder, talks to us about modern style rooming houses, and his lessons from being a property developer and a builder.

We talk about developing for cashflow, how to navigate your way through the current environment in the building industry with escalating build costs and time blow outs and how a developer can get the most out of a builder.

Keep an ear out for Henry's view on why it is difficult to just compare price when deciding on who the builder should be on your project...

Property Development Training

If you are interested in learning the fundamentals of property development, in your own time and at your own pace, then be sure to head over to www.propertydevelopertraining.com and take a look. I take you step by step through the development process so you know exactly what is needed to find a site, run a feasibility and complete a small scale property development, be that a duplex or 3 or 4 unit site.

So head over to propertydevelopertraining.com and take a look... I would love to see you on the inside...

Property Developer Quiz

Keen to find out how ready you might be to become a developer? Then take the Property Developer Quiz (https://www.propertydevelopertraining.com/quiz) and get a sense of where you are at…

Become a Million Dollar Property Developer

Grab my book Become a Million Dollar Property Developer about my journey into property development. This book is ideal for anyone who intends to get into small-scale property development and wants an insider’s guide to successfully obtaining wealth, fulfilment, and glory.

In this book, Justin will share how he succeeded in delivering a 20-townhouse project on his first property development project and what he learned along the way.

Many people have a dream of becoming a property developer. They aspire to build properties, grow portfolios, and amass great wealth.

However, many people often struggle with making the leap into property development.

This book has the answers for how you can make the leap into property development. Grab your copy now.

Social Connection

Property Developer Podcast Facebook – https://www.facebook.com/propertydeveloperpodcast

Property Developer Podcast Instagram – https://www.instagram.com/property_developer_podcast/

Property Developer Podcast LinkedIn – https://www.linkedin.com/company/property-developer-podcast

Links

Stone Horizon - https://stonehorizon.com.au

Episode Summary

In this episode, Justin speaks with Henry Vila from Stone Horizon about the importance of property development for generating cash flow. Henry is the founder and managing director of Property Development System, a company that helps property developers create profitable projects. Henry shares his experience and expertise in property development, as well as his insights into generating cash flow through property development.

Top 5 Points:

Property development is a powerful tool for generating cash flow and creating wealth.

It's important to understand the different types of property development projects and the risks and rewards associated with each.

Cash flow is the lifeblood of any property development project, and it's crucial to plan for it from the outset.

Financing is a key factor in property development, and developers need to be strategic in securing the right type of funding for their projects.

Effective project management is essential for successful property development and generating cash flow.

Types of Property Development Projects

Henry explains that there are three main types of property development projects: renovation, subdivision, and construction. Each type of project has its own risks and rewards, and developers need to understand these factors when deciding which type of project to pursue. Renovation projects involve updating or improving existing properties, while subdivision projects involve dividing larger properties into smaller lots. Construction projects involve building new properties from scratch. Henry emphasizes the importance of doing thorough market research before embarking on any property development project to ensure that it's the right fit for the developer's goals and resources.

Planning for Cash Flow

Cash flow is the lifeblood of any property development project, and Henry emphasizes the importance of planning for it from the outset. He recommends creating a cash flow forecast that includes all potential income and expenses for the project, such as construction costs, financing costs, and marketing expenses. This forecast should be regularly updated throughout the project to ensure that cash flow remains on track. Henry also stresses the importance of having a contingency plan in place for unexpected expenses, as well as having a realistic timeline for the project's completion.

Financing for Property Development

Financing is a key factor in property development, and developers need to be strategic in securing the right type of funding for their projects. Henry recommends exploring all financing options, including traditional bank loans, private lending, and joint venture partnerships. He advises developers to have a solid business plan and financial projections in place when approaching lenders or potential partners, and to be prepared to negotiate terms that are favorable to both parties. Henry also emphasizes the importance of keeping an eye on interest rates and being prepared to adjust financing strategies as needed.

Effective Project Management

Effective project management is essential for successful property development and generating cash flow. Henry stresses the importance of having a clear and detailed project plan, as well as a strong team of professionals to help manage the project. This team should include a project manager, architect, builder, and other relevant professionals. Henry also recommends using project management software to help track progress and manage timelines, and emphasizes the importance of regular communication and collaboration among all team members.

Maximizing Profitability

Ultimately, the goal of property development is to generate cash flow and create wealth. Henry provides several tips for maximizing profitability, including:

Minimizing construction costs by using cost-effective materials and designs

Being strategic in choosing the location and type of property development project

Utilizing effective marketing strategies to attract buyers or renters

Managing risk by having a solid business plan and contingency plan in place

Staying up-to-date on industry trends and regulations

Getting your first development project underway is an exciting time. Until the wheels start to fall off and it looks ugly, what happens then? How do you turn things around and kick start a fledgling developing career that has stalled?

Baheer Komak really struggled to get some traction with his property developing and his first project, a small 3 unit site was almost a total disaster before he turned it around by changing course.

Baz is now running multiple development projects and has come a long way since selling his small business and making the leap into property.

In this chat we cover how mentoring transformed how Baz approached developing, some differences between project types and the unusual decision making process that led him to take up property developing.

This conversation will be inspiring for anyone that is struggling with a sticky project and wanting to take their developing to the next level, as Baz is an example of how you can go from zero to something significant in a few, short years.

Property Development Training

If you are interested in learning the fundamentals of property development, in your own time and at your own pace, then be sure to head over to www.propertydevelopertraining.com and take a look. I take you step by step through the development process so you know exactly what is needed to find a site, run a feasibility and complete a small scale property development, be that a duplex or 3 or 4 unit site.

So head over to propertydevelopertraining.com and take a look... I would love to see you on the inside...

Property Developer Quiz

Keen to find out how ready you might be to become a developer? Then take the Property Developer Quiz (https://www.propertydevelopertraining.com/quiz) and get a sense of where you are at…

Social Connection

Property Developer Podcast Facebook – https://www.facebook.com/propertydeveloperpodcast

Property Developer Podcast Instagram – https://www.instagram.com/property_developer_podcast/

Property Developer Podcast LinkedIn – https://www.linkedin.com/company/property-developer-podcast

Discover the secrets of a Million Dollar Property Developer

Grab my book Become a Million Dollar Property Developer about my journey into property development. This book is ideal for anyone who intends to get into small-scale property development and wants an insider’s guide to successfully obtaining wealth, fulfilment, and glory.

In this book, Justin will share how he succeeded in delivering a 20-townhouse project on his first property development project and what he learned along the way.

Many people have a dream of becoming a property developer. They aspire to build properties, grow portfolios, and amass great wealth. However, many people often struggle with making the leap into property development.

This book has the answers for how you can make the leap into property development. Grab your copy now.

Episode Summary

In the 91st episode of the Property Developer Podcast, host Justin Gehde interviews property developer Baheer Komak from EQ Property Group on how to turn around a struggling property development career. In this episode, Baheer shares his insights and strategies for overcoming obstacles and building a successful property development business.

Top 5 points from the episode

Identify the root cause of the problem

Baheer emphasizes the importance of identifying the root cause of any problem that arises in a property development career. He explains that without understanding the root cause, it is difficult to develop an effective solution. He encourages property developers to be proactive in identifying potential problems and taking action to address them before they become major issues.

Build a strong team

According to Baheer, building a strong team is crucial for turning around a struggling property development career. He emphasizes the importance of hiring people who share the same values and vision for the business. He also encourages property developers to delegate tasks to their team members and focus on their strengths.

Focus on your strengths

Baheer advises property developers to focus on their strengths and delegate tasks that they are not good at to other team members. He believes that this is crucial for building a successful property development business. He encourages property developers to be honest with themselves about their strengths and weaknesses and seek out team members who can complement their skills.

Learn from your mistakes

Baheer believes that learning from mistakes is an important part of turning around a struggling property development career. He encourages property developers to reflect on their mistakes and identify what went wrong. He advises them to take corrective action and implement strategies to avoid making the same mistakes in the future.

Be adaptable

Baheer emphasizes the importance of being adaptable in the property development industry. He explains that the industry is constantly evolving and property developers need to be able to adapt to changes in the market and the economy. He encourages property developers to be open to new ideas and technologies and to be willing to change their approach if necessary.

Turning around a struggling property development career is not an easy task, but it is possible with the right mindset, strategies, and support. The journey may involve taking a step back, reevaluating one's strengths and weaknesses, seeking guidance from mentors or coaches, networking, and being open to new opportunities. It's important to remember that setbacks and failures are part of the process, and learning from them can ultimately lead to success. With dedication, persistence, and a willingness to adapt, anyone can turn their struggling property development career into a thriving one.

Finding profitable development sites is a core responsibility for a property developer but increased competition in a hot market can make it very challenging at times. While most property is sold on the open market and found through popular sites such as realestate.com.au, plenty of transactions happen off market facilitated by people like buyers agents.

A buyers agent acts on behalf of a buyer and leverages their network of agents and contacts to find properties that meet the brief of their clients. They can often find multiple opportunities that might be difficult for others to access.

In this episode I speak with buyers agent Jordan Navybox about his work helping developers acquire development sites. I have always sourced my own sites, and never really entertained the idea of engaging someone to search on my behalf, but I can see how valuable it can be for someone to seek out and bring you the type of sites you are looking for, freeing you up to focus on other value producing activities.

In this conversation we cover how a buyers agent differs from a regular agent, where they provide value and when you should think of engaging one. I think you will find this an interesting conversation and maybe using a buyers agent to source your sites might become your primary acquisition strategy.

Property Development Training

If you are interested in learning the fundamentals of property development, in your own time and at your own pace, then be sure to head over to www.propertydevelopertraining.com and take a look. I take you step by step through the development process so you know exactly what is needed to find a site, run a feasibility and complete a small scale property development, be that a duplex or 3 or 4 unit site.

So head over to propertydevelopertraining.com and take a look... I would love to see you on the inside...

Property Developer Quiz

Keen to find out how ready you might be to become a developer? Then take the Property Developer Quiz (https://www.propertydevelopertraining.com/quiz) and get a sense of where you are at…

Discover the secrets of a Million Dollar Property Developer

Grab my book Become a Million Dollar Property Developer about my journey into property development. This book is ideal for anyone who intends to get into small-scale property development and wants an insider’s guide to successfully obtaining wealth, fulfilment, and glory.

In this book, Justin will share how he succeeded in delivering a 20-townhouse project on his first property development project and what he learned along the way.

Many people have a dream of becoming a property developer. They aspire to build properties, grow portfolios, and amass great wealth. However, many people often struggle with making the leap into property development.

This book has the answers for how you can make the leap into property development. Grab your copy now.

Social Connection

Property Developer Podcast Facebook – https://www.facebook.com/propertydeveloperpodcast

Property Developer Podcast Instagram – https://www.instagram.com/property_developer_podcast/

Property Developer Podcast LinkedIn – https://www.linkedin.com/company/property-developer-podcast

Links

CohenHandler - https://cohenhandler.com.au

Episode Summary

In episode 90 of the Property Developer Podcast, host Justin Gehde speaks with property buyers agent Jordan Navybox about how buyers agents can source development sites for their clients. Jordan is from a buyers agency that specializes in sourcing development sites for clients across Australia.

Jordan begins by discussing his background in property investment and buyers agency. He explains how the firm specializes in sourcing development sites for clients who are looking to invest in property development.

What is a Buyer's Agent?

Justin asks Jordan to explain what a buyers agent is and how they can assist property developers. Jordan explains that a buyers agent is a licensed professional who represents property buyers in the purchasing process. They provide advice, research, and negotiation skills to help clients find and secure the right property for their needs. For property developers, buyers agents can help source development sites that meet their specific requirements.

Why Use a Buyers Agent?

Jordan discusses the benefits of using a buyers agent, particularly when it comes to sourcing development sites. He explains that buyers agents have access to off-market listings and are skilled at negotiating deals on behalf of their clients. They can also help developers identify potential issues with a site that may affect its development potential.

How to Source Development Sites

Jordan explains the process of sourcing development sites and the various strategies that buyers agents can use. He discusses the importance of building relationships with local real estate agents, developers, and other industry professionals. He also explains how buyers agents can use data analysis to identify potential development sites and assess their viability.

Top 5 Points from the show

Buyers agents are licensed professionals who represent property buyers in the purchasing process.

Buyers agents can help property developers source development sites that meet their specific requirements.

Buyers agents have access to off-market listings and are skilled at negotiating deals on behalf of their clients.

Buyers agents can help developers identify potential issues with a site that may affect its development potential.

Buyers agents can use data analysis to identify potential development sites and assess their viability.

How do you take your property developing business to the next level? How about up a couple of levels? Is the answer more of the same projects, or higher density? Maybe it is something else altogether... in this episode we explore how you can elevate your developing game to another realm.

My guest on this episode is Lei Feng from Preer. Lei has a great story to share about how he has evolved from small scale property developments to much larger land subdivisions, medium density townhouse projects and even large apartment and tower developments.

We explore what Lei has learnt along the way and discuss at length how developers can take their developing to the next level, and what tends to hold them back. And the skills and mindset that sets people apart.

Keep an ear out for details on what Lei is doing to help developers accelerate their business growth and really elevate their game.

Property Development Training

If you are interested in learning the fundamentals of property development, in your own time and at your own pace, then be sure to head over to www.propertydevelopertraining.com and take a look. I take you step by step through the development process so you know exactly what is needed to find a site, run a feasibility and complete a small scale property development, be that a duplex or 3 or 4 unit site.

So head over to propertydevelopertraining.com and take a look... I would love to see you on the inside...

Property Developer Quiz

Keen to find out how ready you might be to become a developer? Then take the Property Developer Quiz (https://www.propertydevelopertraining.com/quiz) and get a sense of where you are at…

Past episode review

You might enjoy going back to episode 75 and listening to architect and property developer Joe Adsett. Joe had some great insight into not following the crowd and being prepared to be daring and maybe even a little dangerous. Be sure to have a listen to episode 75 for more great insight into how to stand out in a crowded market.

https://propertydeveloperpodcast.com/2020/11/09/75-daring-and-dangerous-property-development/

Social Connection

Property Developer Podcast Facebook – https://www.facebook.com/propertydeveloperpodcast

Property Developer Podcast Instagram – https://www.instagram.com/property_developer_podcast/

Property Developer Podcast LinkedIn – https://www.linkedin.com/company/property-developer-podcast

Links

Preer - https://www.preer.com.au