If you’re interested in becoming a commercial real estate developer, you have probably done enough research to know that you’ll need good credit. In addition, there are several steps to take in pursuing this type of career, and there are multiple avenues for breaking into the industry. Here are a few tips that will help your realize your dreams of becoming a CRE developer.
Choose Your Starting Place
There are many different ways to get involved with commercial real estate development, so you should choose the option that’s right for you. Most people get started by pursuing a career as a commercial real estate broker or agent. These career paths are preferable because they will help you get the necessary licenses and permits to get involved with CRE development. Additionally, these opportunities teach you the ins and outs of investing in commercial real estate before you use your own money to develop new properties.
Network With Professional in Related Industries
It’s never too soon to start networking with professionals who can help you become a CRE developer. This may involve connecting with lenders, lawyers, and other agents who are all involved in the commercial real estate industry. Additionally, you should network with general contractors, electricians, plumbers, and other skilled workers involved in construction trades. Maintaining a close connection with professionals in a wide range of related fields will give you access to their services when you may need to rely on them.
Prepare For the Red Tape
Once you’re ready to dive in and develop your first commercial property, you’ll have to deal with the bureaucracy involved in developing land. This involves getting environmental reports for the land in question, and submitting documentation to the city or county for the approval of your building permits. Additionally, there may be steps you’ll have to take to meet your lender’s terms. Even after you obtain the necessary approvals, you’ll have to go through the process of reviewing bids and awarding the project to the contractors with the most favorable offers.
It’s also important to remember that market research and a deep analysis of each project will play a role in determining your success as a real estate developer. In time, you’ll hone your skills and become adept at recognizing promising opportunities. In the meantime, you should accept that you’ll make mistakes, and develop a strategy for learning from them.