Updated: Jun 17, 2018
Developers of multi-family residential today face many regulations and mandates that add to the cost of their proposed project. Density and affordability become a key to the success of the project. Cities and counties are offering bonuses to developers in the form of more units for the trade-off, of providing affordable units.
In communities with public transportation, the identification of properties that would be convenient and close are possibilities as the cities are incentivizing by offering 50%-80% density bonus, half to zero parking requirements, and other bonus incentives such as height, setbacks, etc.
Many opportunities also exist in sites that have been ignored in the past. With the trend toward people not buying cars and wanting amenities close at hand, the identification of sites that are under-utilized becomes key.
Commercially zoned sites are being recognized by cities for potential residential development to fill the demand for housing. Rezoning has become a way for the cities and counties to meet the mandates that are put on them to provide housing for the increasing demand.
Now more than ever a developer must build a good network of brokers that have access to off market properties that can be purchased at good valuations.