Project management’s relationship with real estate

News

Project management’s relationship with real estate

News

Project management as a vocation casts a wide net in terms of demand and viability across a broad spectrum of industries. It would be unfair to suggest that the stakes are any higher in real estate than they are elsewhere, but what’s true is that effective project management is directly tied to the outcomes of a project in the former or the latter. Perhaps a more useful dialogue then, is what’s tied to good project management when it comes to real estate development, income, and even investment.

 

Cost and complexity

The most practical place to start is the cost and complexity of a project. Factors that can shift dramatically based on how well or poorly a project manager performs. Timelines can be jeopardized, costs can be amplified, and projects that were once seemingly simple find themselves with new layers of complexity when poorly managed. 

The skills of a formidable project manager include organizational and communicative expertise. Streaming delivery dates and milestones, accounting for assets that need to be acquired, and managing professionals with varying expertise, in concert. One’s imagination needn’t stretch too far when considering the implications of managing these resources poorly, or well.

 

Tenants

From the perspective of a property owner whose income is generated by renters, improvements to the premises are directly tied to tenant comfort and the longevity of that source of revenue. 

The ability to quickly and efficiently execute on tenant improvements not only empowers landlords to announce and promise schedules, it also works to sidestep some of the less pleasant alternatives. Scenarios like comfort-of-living disruption, reimbursed rent amounts, and in extreme situations extended displacement for tenants. For these reasons, commercial real estate poised for rental is a prime place for a project manager to make themselves known.

 

Major events & business launches

The unveiling of a real estate project is no joke. The culmination of significant marketing and advertising efforts, press coverage, allocation of architectural resources, furnishing, rental activation. The list of what hinges on a prompt finalization goes on, and just about every resource involved in the process is on the line when it comes to that timeline - pre-unveiling and post, for just about every commercial property type you can imagine.

If you’re picking up on a recurring theme across these categories, it’s time. Perhaps most closely tied to every other mission-critical resource involved in real estate is the effective management of time, and  how to navigate time’s relationship with everything else going on with a property or project.

For more information on the skills secondary to real estate that nonetheless influence the industry immensely, browse our course catalogue, or visit Project Management with instructor Penny Ferrar

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