James Stuckey says that real estate developers must diversify and utilize effective marketing to remain successful during a recession.
James Stuckey says that any real estate developer gets a little nervous at the onset of a recession. In a down economy, individuals, businesses, and cities dramatically cut building. According to James Stuckey, for a developer to remain successful during such a time, he must know his strengths and weaknesses and be willing to play off each. James Stuckey points out that effective company branding and positive PR are also crucial.
The first step in remaining successful, asserts James Stuckey, is familiarity with a location.. James Stuckey also suggests that knowing the current market state within a 5-mile radius of a proposed project can help a developer determine if a specific project carries inherent value. James Stuckey stresses the importance of learning to read trends, recognizing when a market is at a plateau and striking before it bounces back.
James Stuckey maintains that, although some risk is always associated with a new development initiative, financial responsibility is paramount to success. By setting a budget, James Stuckey has found that project goals can more realistically take shape in the initial planning and design process. When the market is extremely competitive, it is important to maintain a reserve of funds for any upgrades or unexpected design changes later, says James Stuckey.
For any given project, James Stuckey asserts that knowing the target demographic of end users is another aspect of a fruitful development. Obviously, a major renovation or redevelopment effort in a low-income area will probably not be successful if the developer is planning to build luxury condos, says James Stuckey – the residents of the area can’t afford the units. James Stuckey does acknowledge, however, that revitalizing these areas is a viable option versus new construction. Many developers have found great success in doing so and often with “green” and responsible building practices, which helps increase the area’s overall value, reports James Stuckey.
Finally, James Stuckey emphasizes the importance of establishing a mutually beneficial relationship with a Realtor who is emerging in the target market. Real estate professionals are a great source of information about who is looking for what and what kind of budget they have, says James Stuckey. The agent can point out the specific property features that potential tenants will desire. For instance, James Stuckey says that some regions may require more parking while other locations will rely on largely public transportation.
According to James Stuckey, time and experience are the most important aspects of finding success. He advises future developers to prepare themselves for many challenges, and encourages them to persevere through the tough times. The real estate market is a never ending series of ups and downs and James Stuckey believes that in order for a developer to make it through the down-times, he must conduct himself with integrity and take pride in each aspect of every project.