Expert Real Estate Development Drives Wealth Creation and Economic Growth

Published On: May 29, 2024Categories: Insights

The land development process, when done by a skilled developer, is the key to unlocking the immense potential that lies within raw land or an existing property.

An effective real estate development process begins with finding the right site that can be developed or redeveloped into its highest and best use. Furthermore, the site must accommodate the execution of the project’s vision while being approvable by the different governmental authorities. “Expertise is required at every stage to produce a property that meets regulatory standards, maximizes functionality and aesthetic appeal, and provides lasting value to both residents and the community,” states Equiton Vice-President of Development Alan Dillabough. “Strategic planning ensures that every square foot of the land is utilized effectively. You must balance residential, commercial and recreational spaces to create a functional and appealing development. This is exactly what we do with our condo development projects.”

With Canada’s dire need for more housing units, the development of new multi-residential properties is more essential than ever. However, these new developments offer a variety of benefits beyond simply increasing the housing supply. When expertly managed, real estate development offers several key advantages:

Wealth Creation for Investors

Real estate development can generate substantial wealth for investors. By transforming undervalued or underutilized land into high-demand properties, developers create significant value. Investors in Equiton’s development projects benefit from profit distributions upon project completion.

Portfolio Diversification

Investing in real estate development allows private investors to diversify their portfolios with institutional-grade real estate assets not always available to the average investor. Unlike stocks or bonds, real estate provides tangible assets that can yield steady income and long-term capital gains. Diversification into real estate can reduce overall investment risk and enhance your financial stability.

Inflation Protection

Real estate is often considered a reliable hedge against inflation. As the cost of living increases, so do property values and rental incomes. This correlation makes real estate a valuable asset for preserving and growing wealth over time, protecting investors from the eroding effects of inflation.

Social Impact

Beyond financial gains, real estate development can produce positive social benefits. Developers can build better communities by providing more housing, modern amenities and green spaces. Improving existing properties and infrastructure can revitalize neighbourhoods, enhance quality of life, and foster community pride.

Environmental Benefits

Modern developments frequently employ green building techniques and materials, reducing the environmental impact of the building. They often include energy-efficient appliances and systems, which lower utility costs and carbon footprints. Many new developments also incorporate biodiversity-friendly landscaping that supports local ecosystems and provides habitats for pollinators and other wildlife.

Job Creation

Real estate development stimulates job creation across various sectors. The construction phase alone employs numerous professionals and tradespeople, including architects, engineers, labourers, and contractors. Post-construction property management, retail services and maintenance jobs contribute to ongoing economic activity and employment. “Real estate is very much a local industry,” explained Dillabough. “We work with local consulting teams, tradespeople, professionals and have our own construction experts in-house, all of which supports countless jobs in the area.”

Developing Prosperity for All

The advantages of real estate development extend beyond financial gains. When carried out by skilled developers, it leads to wealth creation, portfolio diversification, and a hedge against inflation for investors. Simultaneously, it drives social progress, creates jobs and contributes to economic prosperity. By unlocking the potential of raw land or existing properties, real estate development plays a crucial role in shaping vibrant, sustainable communities.

The thriving economy and growth in the GTA provide an ideal environment for real estate developers looking to make a lasting impact on the local community while reaping significant returns for investors. With its robust population growth, diverse economy, and strong real estate market, the GTA presents numerous opportunities for successful development projects. For these reasons, Equiton’s expert development team chose this crucial market for three of our current development projects. Adding over 850 housing units and targeting average annual net returns of 20% for investors (paid upon project completion), Equiton’s modern mid-rise condos exemplify the advantages that communities, economies and investors can expect from real estate development.

Contact us today to reap the benefits from our exciting development projects.

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