Doing ‘walk The Talk’ Feasibility Reports

By Author: Loknath Swain
Total Articles: 22
Comment this article

In the field of real estate, it is very important to conduct feasibility reports which are realistic in nature. This is not to denounce the efforts of renowned consultants; however what is pertinent to note is that the nature of the market has changed drastically from what it was 4 years back, and a fresh look needs to be given at how feasibility reports are done.

Wall Street is changing

Till about 2008, such reports, variously called as “Feasibility Reports”, “Best Use Studies”, etc were being conducted with a heavy dependence on desk-based research. While this worked fine for a “wall street” kind of real estate investments, with a primary focus on the “IRR” of such reports, things changed with the corrections at Wall Street around 2009. Several examples of the fallacy of such reports are now beginning to emerge as investors ask tougher and tougher questions.

Private Equity Investments into real estate are not the same as they used to be. Finding the right investment opportunities in India have become a challenge. Even if the investment opportunity is identified, monitoring such investments ...
... require a specialized skill set, which is only now beginning to emerge in India.

Projectwell has been taking a leadership position in conduction feasibility of land parcels in India, with a very different viewpoint; a viewpoint which is more realistic and looks at “on the ground” factors, hitherto ignored.

ProjectWell is India's first and only Development Management Company. ProjectWell views projects from a 'cradle to cradle' perspective and derive solutions for the entire life-time of a real estate project. ProjectWell is involved in developing integrated communities which take you back to your childhood. ProjectWell's approach towards conceptualizing projects and then managing it during construction and occupancy offers seamless, process oriented solutions towards the successful run of a project in its entirety.

The key to the right conceptualization of projects and eventually converting a parcel of land into a project lies in doing the first step right. The first step in most cases is a due diligence on the project site and conducting a “best use study” and resist the urge to join the bandwagon and do what everyone else is doing. Such studies, at the very initial stages itself, needs to be comprehensive and must be a collaborative attempt involving professionals like Architects, Surveyors, Engineers, Researchers and Financial Analysts. Ignoring even one category of professionals at this initial stage could mean ignoring a very vital part of analyzing the best use of the land parcel, leading to inaccurate projections. ProjectWell has been conducting “best use studies” in this manner; such conceptualized projects have now taken shape as successful running projects.

For more information log on to:
http://www.projectwell.com and http://www.projectwellblog.com

About Loknath Swain
Loknath Swain is a Mumbai based writer. He is associated with http://www.projectwell.com and http://projectwellblog.com/