“Everything old will eventually become new again”, according to a proverb.
And it is the guiding principle for commercial renovation.
It has the potential to be a beautiful thing. It is the cause why redevelopment has increased so much in recent years.
Being sustainable and repurposing existing facilities are topics of great importance in the real estate industry. Because they lessen blight and rehabilitate assets with declining value, cities have also grown more amenable to adaptive reuse and redevelopment.
However, there are other factors to consider. The feasibility of a renovation gets confirmed by the nature and size of the property.
As a tenant, you should notice several essential factors that might make or destroy a renovation project. Here are four examples.
- What exactly is the superstructure?
The condition and make-up of the current framework should always be considered, although it may appear obvious.
You should consider factors like the wall composition, the height of the roof, the materials, probable environmental tests, etc. After beginning renovation, you can discover that the walls or structure are unsafe and that you must start again. Or, you can conclude that it would be cheaper to strengthen rather than start from scratch, which might radically change the course of your project.
Keeping the present building could not make sense, for instance, if a renovation project requires raising the roof. Rebuilding is probably more affordable because there might be so many fewer difficulties with a new building.
- When was the structure constructed?
Many of the superstructure’s components will probably depend on the time the building got constructed. For instance, structures from the 1950s, 1960s, and 1970s often feature lower rooflines and ceilings. These days, people consider those kinds of constructions to be economically “obsolete.”
Moreover, as building needs and construction standards have evolved, older buildings no longer adhere to the current rules, standards, load limitations, and other criteria. Electrical systems, snow loads, seismic standards, and other components have all altered during the past 20 to 40 years.
Remember to eradicate outdated materials like asbestos and lead-based paint if any plan of demolition or repainting.
Your project may become more challenging due to all of those factors.
- What rules apply to local planning?
Your comprehension of the pre-application procedure and successful fulfillment of it will determine a lot when it comes to redevelopment. The permitting process can be stressful, and municipal planning regulations can still be highly complex, even though many communities have established reuse programs or incentives to support redevelopment.
For instance, your facility could have a grandfathered drive-through or have been constructed in a right-of-way. Numerous planning regulations may affect whether your redevelopment project may be completed.
To examine the property and meet the requirements of the city, it is crucial to let contractors enter the building early.
The timeframe and finances may be shaped early on to assist you to decide the best course of action through discussions during an initial pre-application meeting with the city.
- Is my team qualified for the job?
Acquiring an appropriate architect, contractor, and developer is crucial for successful redevelopment. Since difficulties will unavoidably arise, you want someone with expertise in dealing with them.
Redevelopment differs from a conventional tenant improvement or even a new construction project. Depending on the state and conditions of the specific property, variable factors influence the viability of property renovation, which may necessitate significant time, cost, and skill.
If you can effectively manage the process, there are several benefits, including the ability to use an existing structure, save land, and maybe win favor with the municipality.
It’s crucial to consider these four aspects of redevelopment and how they affect project viability and overall expenses. Success or failure in a project might depend on choosing the correct developer, contractor, and architect to work with.
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