Property Developers
New Zealand Property Developers
Property developers in New Zealand have been very active during recent years and have at times had a very high profile. We take a look at what property development is, how it works and what it means for New Zealand.
In a nutshell, New Zealand property developers plan and instigate the purchase, development and sale of new or existing land and/or properties. This property can be residential, commercial or industrial. It can be summarized in a couple of sentences however the tasks involved in property development in New Zealand are in fact rather complex and require a unique mix of skills and expertise in order to be successful.
What is involved in NZ property development?
Some typical work done by property developers includes:
- Identifying opportunities for development, and researching these appropriately.
- Crunching the numbers- will this project be cost effective? Is it feasible?
- Deal with councils to gain building consents and make sure project complies with applicable laws, for example the Resource Management Act.
- Coming up with funding for the project and ensuring property development finance is under control.
- Working with project staff - eg. architects, builders, engineers, to ensure everything is running smoothly and deal with problems as they arise.
- Dealing with the local community - many projects come under fire from sections of the public, property developers spend significant time at meetings and public consultations to discuss and at times defend their projects.
- Marketing the development - this may be to a local or overseas target market, or a mixture of both.
- Finalising sale or lease of the development, this may be done by the developer themselves but is often contracted out to a real estate agent or a property management company.
So what does it take to become a property developer in New Zealand?
New Zealand has no tertiary qualification in property development, however to many it is a desirable profession, with a large percentage of New Zealand's wealthiest citizens having made their fortunes through property development. It takes a special mix of skills and experience to be successful in new property development.
Here's a quick list of some essential requirements:
- Analytical, negotiation and communication skills.
- Problem solving and decision making abilities.
- Technical understanding of building plans and materials as well as architectural and engineering plans.
- Good understanding of all relevant property laws.
- Developed business and financial acumen.
- Ability to see market trends and profit from them.
A good NZ property developer is persuasive, reliable and confident when dealing with a wide variety of people. Lateral thinking and the ability to handle the pressure involved in big money deals and at times long hours are essential.
What types of property development are offered in New Zealand?
This is really limited only by the developer's imagination, and what is legally permitted. Development can be land based, construction based, or involve changing land use, for example converting an industrial building into apartments.
- Residential property development can be as simple as building a block of townhouses on an empty section, or as complex as the 'Five Mile' project, a purpose built $2 billion town for 10,000 being undertaken near Queenstown. Other common examples are new property developers doing subdivisions and selling sections, holiday home developments and apartment blocks.
- Commercial property development is also popular with office buildings, retail developments such as malls, and tourism based investments like hotels being the norm. Industrial property development including building of warehouses and factories occurs all over New Zealand.
Where are New Zealand property developers working?
Property development is occurring in all parts of New Zealand, and at a rapid pace over recent times. Coastal property especially has undergone huge transformations as private older style 'bach' homes and camping grounds are sold to developers to make way for multi-million dollar subdivisions. This has angered many New Zealanders who see our country's unique character being spoiled by this property development. Property developers in New Zealand must be careful that their desire for profits is balanced with the wishes of both the NZ populace and local communities. Open discourse and consultation is necessary if we are to maintain our unique personality whilst allowing for progress and economic gains.
Looking for more information? Find NZ property developers in the NZS.com directory.
Get published online by adding an article to the NZS.com Articles section. Before you add your article read over our guidelines for article creation and find out the benefits of publishing on NZS.com.
Business images from Flickr: Sky Tower, New Zealand Flag and Wellington Buildings.
