We Build Strong and Healthy Neighborhoods
The Importance of a Great Affordable Housing Development Team (and How to Build One)
May 9, 2008
The process of developing affordable housing is a very complex one, with high levels of performance in a variety of disciplines required to achieve success. State housing finance agencies, lenders, and equity investors look hard at the composition of the development team in their decision-making processes. The strength (or lack thereof) of the development team often is a determining factor in the tax credit, investment, or lending approval process.
It is critical to engage the greatest possible levels of experience and proven track record when selecting your development team members. Key development team members include:
Project Architect
General Contractor
Engineer/Surveyor
Environmental Consultant
Title Company
Legal Counsel
Accounting Firm
Property Manager
Development Consultant
Interview candidates for each position on the team to determine who "brings the most to the table." Make sure that each selected team member has experience relevant to your project's specific issues—and make sure you understand the costs associated with the work of each team member. If you are unsure of what to look for, utilize your network of industry relationships for advice or referrals.
A strong team will enhance your prospects for successful outcomes, and the development process will go much more smoothly if all members of the team are experienced and effective. Remember, though, that effective "generalship" of this team is also important. Neighborhood developers must provide good management of team members to achieve the most effective outcomes.
If you would like more information on selecting your development team, please feel free to contact David Dodson at (314) 333-7005, or email at david@rhcda.com.