At BC Group, we’re frequently asked questions about our commercial real estate consultant services as owner representatives. Below we’ve listed some frequently asked questions, organized by topic. We hope you find these questions and answers helpful.
Development management is the overall process of managing a project from conception to completion. This involves overseeing planning, budgeting, permitting, contract selection and procurement, and construction. With knowledge of local market conditions, development procedures, and building codes, firms such as BC Group can successfully manage the development of a property. The role of a development consultant is to mitigate risk, help keep costs on budget, and to help ensure a project is completed in a manner that satisfies the financial, operational, and legal goals of all parties involved.
You should hire a commercial development consultant as early as possible. Ideally that would be before you acquire the site or shortly after acquisition, during initial concept and budgeting. Our experience shows that in competitive markets such as Portland, Seattle, and across Oregon and Washington, consulting early in the process is crucial to discover hidden pitfalls, establish a credible development budget and assess design and programming options in relation to zoning, development and construction permitting requirements prior to deep investment.
Development management companies are engaged by real estate developers and property owners, investors, lenders, non-profits, and government agencies to guide and participate in redevelopment projects. Although our primary office is based in Portland, BC Group provides pre-development, project management and construction management services on projects throughout the West Coast. We provide expert management services for small tenant improvements as well as complex commercial and multifamily projects.
As a development consultant, it’s our job to help reduce risk on a project by working to ensure accurate construction budgets, reviewing construction contracts, overseeing contractor performance, and quickly identifying problems as they occur. In competitive development markets, including Portland and Seattle, this is key to preventing major cost overruns and delays and to make sure the development doesn’t veer off course from the owner’s original goals. At BC Group we serve in this third-party development consultant role to help the owner achieve their objectives with a successfully developed property.
The development consultant, or owner’s representative, is engaged by the property owner, providing due diligence, strategic planning, and risk management services. The general contractor builds the property out. Providing owner’s representation and development consulting services in Portland and other Northwest markets is BC Group.
The development manager coordinates architects, engineers, contractors and local authorities to successfully bring a project to completion while working to an overall fixed budget and time frame. This can include the permitting processes and gaining approvals from relevant bodies and regulators in cities such as Portland, Bend, Seattle and other cities in Oregon and Washington State. It is crucial that all stakeholders are fully engaged and aligned with the project’s objectives in order to complete a successful development.
While most commercial development projects in Portland, Seattle and other surrounding markets typically take 12 to 36 months to complete, a seasoned development management team can keep your projects on track. Learn how a qualified manager and team can guide your project through various phases and make permitting easier than most expect.
Risks to consider are delays, cost overruns, poor contractor selection, and unrealistic financial projections. Oregon and Washington have a strict development regulatory environment. However, by bringing a development consultant into the loop early on, these potential risks can be mitigated and a project’s overall timeline and bottom line preserved.
Yes. A development consultant can assist in evaluating site feasibility, zoning issues, construction costs and profitability of a potential project before an investor or developer buys the site. All of this due diligence is extremely valuable.
Due diligence is an assessment of a potential development site. In conducting due diligence on a potential property, one would conduct a zoning analysis, possible environmental assessment, survey and site inspection and financial projections. In Oregon and Washington due diligence is crucial for determining development potential, analyzing regulatory requirements, and reducing potential risk.
Construction management services for a project generally refer to the management of the construction portion of a project. This can include contractor coordination, scheduling, budgeting, quality control and other relevant construction-related items. BC Group provides Construction Management services for projects located throughout Portland and the West Coast and delivers these services in a manner that ensures complete project success and meets all appropriate design and compliance standards, including LEED certification if desired.
Yes. A contractor builds your project for you, but a construction manager represents you on the project to assure that your interests are preserved. In markets such as Portland and Seattle, the construction manager role is very important to assure that a project is completed on time and within budget.
The owner’s representative, sometimes called the construction manager at risk, acts on behalf of the owner to ensure the project is completed within budget and on time. BC Group owner’s representative services are provided for owners and developers throughout Portland and the Northwest.
Using outside consultants for development projects can be more cost effective than having to pay a salary to an in-house employee, especially on large and complex projects. With substantial experience in development project management and coordination, BC Group efficiently oversees and manages all aspects of a project, providing structure, and delivering results from acquisition to opening.
It can be common to underestimate the build costs and timeframes, because the build planning hasn’t been sufficient, and/or inadequate professional input has been sought.
A feasibility analysis would include cost estimates, projected revenue, and a full assessment of potential risks.
When selecting a development company, seek out firms that have substantial regional experience and a strong record of success. For projects in Oregon and throughout the West Coast, look for a fully integrated company that brings substantial experience in development management, construction management and owner’s representation. Visit portfolios and determine if they have worked on projects in your industry.