All Forum Posts by: Zack Tomlin

Looking for the best source of construction cost data for developers. Anyone have a source they'd recommend? RSMeans? CCD?

Thank you.

Thanks Bob, much more logical now.

Thanks for all the input everyone. @George Flevotomos the one thing I can't seem to wrap my head around is the idea that valuations based on cap rates disregard a building's age. I'd have to think that a building with brand new hvac equipment is at least worth that much more than a bldg with 20 year old hvac. Is this really not the case? Would someone appraising the building not consider such factors?

Thanks again.

Hello All,

Does anyone have any guidance on how new spec office construction gets valued. I read a lot about cap rates but have to think that the value is also significantly impacted by the age of it's major systems/components (e.g. elevator, hvac, lighting, etc). Most articles I read would have you thinking that a 2 year old building, and a 15 year old building with the same NOI would have the same value.

Thanks in advance.

Thank you Emilio,

That is certainly on my radar and yes we currently rent office space. If say we were to pursue a property that was 3 or 4 times larger than our current needs will a bank be willing to finance the project without leases in place? How much opportunity is there to get financing to make improvements to the property as well? Any recommendations on the best was to search for possible properties?

Thanks again.

Bryan,

Thanks for the response. Do you have any wisdom on looking for quality fee developers? I do like the idea but have concern that they might not have as much "skin in the game" or may put me on the back burner compared to their own projects?

As far as my financial and personal situation. I'm single with no kids, thus flexibility and time are easier to come by. Right now I have around $50k that I could allocate towards a project, I expect though that will jump to $150k by years end. Given that is there any input you could give in terms of project size? Too large? Too small? Feasible, not feasible?

Thanks again.

Hello all. I came across this forum while researching the REDI Foundation as well as ULI and NAIOP courses and was impressed by the responsiveness and knowledge of the contributors.

I'm 31 years old and a licensed professional engineer in 30+ states. My area of expertise is plumbing, mechanical and electrical (PME) engineering for commercial and multifamily projects. I've worked as a PME engineer for 10+ years now. 4 years ago I started my own engineering firm. That firm is now 12 people and we've completed 500+ projects. During this time I've formed relationships with architects, contractors, city officials, and have crossed paths with many developers. Along the way I've gained some familiarity with the role each plays in the development process and had much practice in communicating with a broad range of professionals and personalities.

As time goes on I'm becoming more and more intrigued by real estate development. I also realize more and more that I like the challenge of, and tend to succeed at running complicated projects. Given my experience and education in engineering, which in addition to the technical work includes significant project management, organization/systems/process development, and dealing with bureaucracies, I'm hopeful I've got a good start on the skills necessary to be successful in real estate.

Problem is there is so much I know I don't know and even more than I don't know I don't know. I'd be grateful for any advice you all have on the best way to learn more and/or how to pivot from being a role player in the development of projects to leading them.

Please keep in mind that I do currently have a full time job in running my engineering firm and that while the success of the last few years has come with some financial reward I'm by no means in a position to bankroll projects on my own.

Thank you.

Hello all. I came across this forum while researching the REDI Foundation as well as ULI and NAIOP courses and was impressed by the responsiveness and knowledge of the contributors. 

I'm 31 years old and a licensed professional engineer in 30+ states. My area of expertise is plumbing, mechanical and electrical (PME) engineering for commercial and multifamily projects. I've worked as a PME engineer for 10+ years now. 4 years ago I started my own engineering firm. That firm is now 12 people and we've completed 500+ projects. During this time I've formed relationships with architects, contractors, city officials, and have crossed paths with many developers. Along the way I've gained some familiarity with the role each plays in the development process and had much practice in communicating with a broad range of professionals and personalities. 

As time goes on I'm becoming more and more intrigued by real estate development. I also realize more and more that I like the challenge of, and tend to succeed at running complicated projects. Given my experience and education in engineering, which in addition to the technical work includes significant project management, organization/systems/process development, and dealing with bureaucracies, I'm hopeful I've got a good start on the skills necessary to be successful in real estate.

Problem is there is so much I know I don't know and even more than I don't know I don't know. I'd be grateful for any advice you all have on the best way to learn more and/or how to pivot from being a role player in the development of projects to leading them.

Please keep in mind that I  do currently have a full time job in running my engineering firm and that while the success of the last few years has come with some financial reward I'm by no means in a position to bankroll projects on my own.

Thank you.