SHUNYI APARTMENT
Residential Land Development Management
Beijing, China
Jun 2022 – Oct 2022
Work As Assistant Development Manager
Selected Individual Work And Workflow Description
The land was acquired from the auction in October 2022, and the project was estimated to achieve a net profit margin of 12% and an Internal Rate of Return of 20%. After obtaining the sales permit, the apartment was pre-sale in December 2022 and will be completed in December 2024.
· Project Development: Longhu Group
· Land area: 69000 ㎡
· Building area: 156600㎡
· Plot ratio: 1.6
· Greening rate: 30%
· Unit area: 120/143/160/187 ㎡
· Community size: 24 buildings (804 units in total)
· Apartment height: 5th to 11th floors
SITE ANALYSIS
The information of this site is for the public auction of new land by the Beijing Government. Based on publicly available information and on-site land surveys, conduct a site analysis on the internal conditions of the site ( land current situation and unfavorable factors such as terrain) and the surrounding conditions of the site (including supporting facilities such as subways).
MARKET ANALYSIS
Collaborate with the marketing department to conduct market research on the surrounding area of the site, analyze the inventory capacity, sales speed, and customer sources of new and second-hand houses in the area, and obtain customer profiles, product recommendations, pricing strategies, and sales speed predictions for future development plot.
DESIGN AND COSTING
The design department draws preliminary architectural drawings based on the planning indicators of the site (plot red line, topographic map, plot ratio, etc.) and product recommendations (unit area and volume) obtained from market research analysis. The cost department outputs an approximate construction cost per square meter based on the design plan and the company’s cost data.
FINANCIAL ANALYSIS
As a development manager, I gather the information of development plan, architectural design, estimated construction progress, cost, selling price, and estimated sales speed of this project, and conduct investment analysis. Squeeze the boundaries of various departments appropriately, release sufficient profits for the project, and achieve a net profit margin of 12% and an Internal Rate of Return of 20%.
DEVELOPMENT MANAGING
Communicate potential financial and legal risks with the finance and legal departments. Based on the expected development progress, determine the completion time of important milestones, which has a significant impact on the pace of cost investment, the speed of payment collection influenced by sales speed, and cash flow return.
LAND AUCTION
We have confirmed that this project has appropriate profits under risk control conditions, and have identified the cooperating investors and confirmed the cooperation mode. The land was acquired at the government auction site in October 2022, and the foundation construction was initiated in December 2022. After obtaining the sales permit, the apartment was pre-sale and will be delivered in December 2024.