1. real-estate
Real estate development, or property development, is a complex industry, surrounding
activities that are the redevelopment and re-lease of present buildings to the buying of raw
land and the sale of enhanced land or parcels to others. Developers are the coordinators of
the activities, converting ideas on documents into real property. Real estate property
development is distinct from construction, although many developers also construct.
Developer Louis Lesser drew the distinction in a 1963 New York Times article, "Developing is
the key word. 'We don't build ourselves', Mr. Lesser stresses. 'We buy the land, finance the
deal, and then we have the best builders build under bond at a fixed cost.'"
Developers buy land, finance real estate deals, build or have builders build projects, produce,
visualize, handle and orchestrate the process of development from the beginning to end.
Developers frequently take the greatest risk in the creation or renovation of real estate-and
receive the greatest rewards. Generally, developers purchase a tract of land, decide the
advertising of the property, develop the building strategy and design, obtain the appropriate
public blessing and capital, build the framework, and rent, control, and sooner or later sell it.
Developers work with a number of alternatives along each step of this process, which include
designers, city planners, technicians, surveyors, inspectors, contractors, leasing providers
and more. In the Town and Country Planning context of the UK, 'development' is defined in
the Town and Country Planning Act 1990 s55.
Investing in unused land for a possible development is occasionally called speculative
development. Subdivision of land is the principal mechanism by which areas are developed.
Technically, subdivision identifies the legal and physical steps a developer must take to
change raw land into developed land. Subdivision is a vital part of a community's growth,
identifying its visual appeal, the mix of its land uses, and its facilities, including roads, water
flow systems, water, sewerage, and public resources.
In general, land development is the riskiest but most lucrative approach as it is so dependent
on the public sector for approvals and infrastructure and because it will involve a long
expenditure period with no positive cash flow. After subdivision is accomplished, the
developer usually markets the land to a home builder or other end user, for such uses as a
storage facility or shopping center. In any case, use of spatial intelligence tools mitigate the
risk of these developers by modeling the inhabitants trends and demographic make-up of the
sort of customers a home builder or retailer would like to have surrounding their new
development
property-development, real-estate, investment