As president of Forte Properties in Manhattan, Marius Fortelni connects buyers and sellers of luxury homes, particularly waterfront properties. Marius Fortelni’s professional interests include the preliminary stages of the real estate development process.
The large investments and long timespans of development projects demands careful attention to the events prior to construction.
To reduce the unknown factors in development, extensive research must be performed, including market analysis, purchase rights, environmental factors, and surveys. Developers are also responsible for upgrading infrastructure. Securing a construction loan tells potential investors that developers have a good plan in place. Parties buying in at this early stage enjoy higher potential returns than those who invest later.
Essential to pre-building is proper land-use permitting. Permits cover the intended purposes of the property (commercial or residential) and actual building characteristics (density and height). Often the most significant barrier to timely development, land-use issues can include rezoning, disputes and appeals, and complicated, multi-step design plans.
By contrast, obtaining building permits is relatively straightforward. If the project is compliant with safety regulations and building codes, a permit application is usually the last major step in preparation for construction.
