Candea Development, construction and management firm founded by the Candea brothers, Alan, and Armand- know all about property development. They understand the business process, which encompasses activities that range from the renovation and release of existing buildings to the purchase of land and the sale of developed land to others. The brothers also believe that it is important to know exactly how to present a property development deal.

Property development, also known as real estate development, is the process of developing land or building into a higher use, in other words, buying land and building property on it. Renovating and improving property or converting one property from one type to another. The development appraisal forms the backbone of the financial side of property development and is the most important step within the property development process. Debt lenders and lenders process thousands of deals and development proposals every month, but they only finance a handful of them. To make sure that your property development deal stands out form the rest, there are a few steps that every developer and builder must follow when putting together their proposal.

Presentation is huge, the lender should be able to understand the deal within a few seconds, so the better the deal is presented, the easier it is for the lender to read and understand.

Headline and sub-points, the lender needs to be able to glance through the proposal to understand it, so divide the proposal into headlines and subpoints. An example would be, profit margins, development details, site, and location to name a few.

Make sure the appraisal is in numerical order, one small mistake could be a deal breaker.

Share all your information to the lender, such as, how did you calculate your total costs? How did you reach the GDV? Be sure to show the lender how much you know about the market.

Share a picture of the upcoming development or blueprint.

Show your experience in the industry, let the lenders see your previous projects and developments.

Be prepared to share the details of everything, purchase cost, development costs, professional fees, profit on cost, gross development value, so on and so forth.

Finally, consider the downsides like increasing building costs, decreasing sales, and calculating profit margins accordingly. This is important, so always have space for a contingency budget.

If these tips are followed when presenting your development deal, the success of receiving a thumbs up will likely be accepted.