In construction, a developer is someone who purchases and develops raw land. He then sells that development to home buyers or other property investors for profit. A developer also spends considerable time fundraising for a new project and hiring an architectural and land development firm. He can showcase models and architectural drawings, if necessary. Developers also take care of all of the legal aspects of a project, including securing permits and ensuring that everything is in compliance with local building codes.
A developer is also responsible for financing construction projects. A developer may create the budget, determine how much initial funding is needed, monitor costs and stay on budget. In addition, he may also perform accounting tasks, review contractors’ timesheets and categorize expenses. Whether you are a beginner or experienced in the construction industry, there is a wide range of tasks that a developer will need to complete.
A developer’s role in construction can be as simple as directing a team or as involved as the project owner. In either case, he must clearly spell out the rights and obligations of each party in the contract. Clear contract documents increase the likelihood of a successful project, so a developer must be highly disciplined and patient. Oftentimes, developers will have to manage multiple construction professionals, which can be challenging and stressful.
During the design phase, a developer meets with lenders to obtain funding for a project. A developer needs to compile an adequate capital stack, and these lenders will either support or deny a project based on its mission, goals, and the borrower’s ability to repay the loan. In addition to building plans, a developer also must work with general contractors to create an attractive design. This phase often overlaps with the Design phase.
The developer’s role is complex, but it is essential to know how to manage a construction project. They are responsible for hiring a team of specialists with the appropriate knowledge and experience. They must also keep a tight schedule and meet deadlines. They should be responsible for making sure that everyone in the team does their part. And they must be a good business. They should be able to work with contractors and subcontractors, and maintain a positive record.
Another crucial role for developers is to evaluate the feasibility of a project. This requires undertaking a feasibility study, which will assess all aspects of the construction’s viability. The developer must consider everything from site acquisition to planning permissions to financing, including the appointment of a professional team. In the past, the developer was an architect, but the developer role is now more commonly held by a construction manager. Ultimately, a developer’s role is to minimize the time it takes to complete a project.
In the Bay Area, developers must satisfy a diverse group of stakeholders. They must design a project that will satisfy the vision of city officials while meeting the desires of residents. Certain cities push for high-density projects, while local residents fight against it. As a result, developers must scramble between the architect’s office and City Hall to meet all of these requirements. The entire process can cost hundreds of thousands of dollars.