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Questions about development the dynamics of creating value

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Reference no: EM131129375

Development: the dynamics of creating value

Study Questions

1. Why is the permitting stage of development often the riskiest stage of the process?


2. List at least five ways that a developer may attempt to reduce the risks of the permitting process.


3. Explain what a construction manager is, and why the role could be important in development.


4. In selecting an architect, what must a developer consider about the architect besides design credentials and relevant experience?


5. Why, in some cases, must a developer begin leasing efforts even before the design is complete?


6. Compare the advantages of competitive bidding for a general contractor with negotiated cost plus fee. What is the argument for using a maximum cost with sharing of overruns or savings between developer and general contractor?


7. Explain the possible advantages of miniperm financing as opposed to traditional construction financing followed by "permanent" financing.


8. Why is property development more vulnerable to business cycle risk than investment in existing property of similar type?

Reference no: EM131129375

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