|Re: Being your own developer||<– Date –> <– Thread –>|
|From: Glen Orcutt (gorcuttprowess.com)|
|Date: Mon, 15 Jan 1996 12:16:58 -0600|
At Valley Oaks Village, we were our own developer. We put together a three-person Management Team that has coordinated all aspects of the project and acted as a developer. We had someone with extensive real estate experience (myself), but no development experience. One of the other members of the MT is an accountant which has come in very handy. To compensate the management team for considerable extra time and effort put in, they are paid a nominal $15 per hour. Our group hired an outstanding Contractor/Project manager who is getting 5% of construction costs. He had an excellent relationship with a local bank, so we were able to use that bank for our construction financing (and for most of our take-out mortgages). We also hired our other "consultants," architect, landscape architect, lawyer, etc. It has worked out fantastic because we have saved a lot of money over what it would have cost for a "developer," which we have been able to put into additional ammenities and nicer building design. The management team is burned out, but not fried. I think that being your own developer can work, but it takes an extraordinary commitment for a few extraordinary individuals and the group has to be able to trust those individuals with their project. Glen Orcutt Valley Oaks Village (12 out of 28 houses are framed and things are happening very fast)
Results generated by Tiger Technologies Web hosting using MHonArc.