Feasibility studies of shopping centers, commercial and multi-functional projects
This document defines situation on the property market in relation to assessed investment from the perspective of demand, offer and other essential factors and suggests optimal parameters of the proposed investment.
WHEN AND WHY ELABORATE FEASIBILITY STUDY:
The best timing to elaborate thefeasibility study is when the project is in the stage of preparation for zoning permit. The study is also significant when submitting the project to architects and planners, when securing thefinancing from banks and before commencing negotiations with future project’s users or buyers.
We tailor the structure of feasibility study for individual projects according to their stage and basic parameters like location (capital/region), type of construction (shopping centers, office buildings, retail parks, multifunctional projects, reconstruction, remodeling), time schedule and expected yield.
Standardstructure consists of market analysis from the perspective of wider economical factors, local real estate market and analysis of proposed market segment for estimating the investment. We provide foreign investors or equity partners with knowledge of wider context and comparison with foreign markets.
The study thoroughly appraises existing similar competitor’s projects, but also upcoming investment projects in respect of project’s time schedule. Analysis of current and upcoming offer in given location also indicates estimation ofdemand.
The study’s structure can be extended by marketing strategy, financial planning and recommending the right amount of investment in relation to the future value of the investment. When processing the study we addresspotential tenants using our own knowledge of the local market gained from local and international real estate companies and developers of similar projects. The study consists of detailed summary of information gained from the individual subjects, estimation of their demand and particular project’s requirements.
Our studies are used as basis for securing loans from banks, suggesting the commercial areas extent and mix, setting up the layouts, standards, price scale and all other significant factors. Feasibility study can be processed in two stages so that the final recommendations already reflected the investor’s attitude to the proposed changes in the investment plan.
Considering the fact that leasing of commercial spaces, retail parks and multifunctional objects is part of our portfolio, it is exactly the detailed knowledge of the demand and requirements of the tenants that forms our competitive advantage. The proposed tenant mix and terms of business can also be implemented by our commercial leasing team.