The UrbanStar process commonly begins with a good idea for the creation of a land offering. The syndication must prove economically viable for both UrbanStar and our investors. We would like to include our investors in the due diligence process we undertake prior to syndicating a project.
Major components of the land selection and syndication process are shown below, but–equally as important–is the project team from a variety of disciplines. Assembling the right mix of professionals and consultants with specialized knowledge will allow for creating successful projects for the UrbanStar Land Group.
1. Pre-Selection Phase
- USC determines market.
- USC evaluates possible sites for selection and possible land offerings.
2. Due Diligence Phase
- USC coordinates with the other members of the project team to conduct market and pro forma analysis for financial viability of projects.
- USC conducts detailed feasibility studies and analysis of properties.
3. Acquisition Phase
- USC acquires land through a cash or finance purchase of properties.
4. Syndication Phase
- USC involves investors in a structured real estate investment through a LP offering.
- External Finders and retail clients are involved in the offering.
- Premium potential returns.
- USC maintains a back end position in every project ensuring investor and corporate alignment.
5. Value Creation Phase
- Entitlements predefined or UrbanStar conducts a detailed zoning analysis with the project team to determine the highest and best use for the property. It then works with the municipality to determine the process and procedures to entitle the property.
- USC prepares detailed costs analysis for the project including, re-zoning (Conceptual) and on-site and offsite costs for a potential development (Physical).
6. Exit Strategy Phase
- 5-8 year hold.
- Develop or sell property in whole or in parts.
- Joint Venture with another developer.