Development – the implementation of transformations of the real estate object, which ensure its transformation into another, a new object, which has a value greater than the value of the original object.
The material and material transformations performed include:
– carrying out construction or other works during the construction of buildings and implementation of landscape projects on land plots;
– changing the functional purpose of buildings or land plots.
Development presupposes the organization of these changes and management of the investment project in the real estate sphere. In this case, a legal or natural person who manages the changes of real estate (developer) carries out:
– selecting a cost-effective project;
– obtaining all necessary permits for its implementation from the relevant authorities;
– determining the conditions for attracting investment, developing a mechanism and forms of their return, if necessary;
– searching for and attracting investors;
– selecting contractors, financing their activities, and controlling their work;
– selling the created real estate object or transferring it for the operation to the end-users.