In a recently article in Florida Trend Magazine, I stumbled upon some interesting numbers that I thought I would share with you.  According to the magazine, the following shows finished vacant homes in south Florida subdivisions:

Another interesting chart, the supply of vacant developed lots based on the annual starts pace:

The data was provided to Florida Trend by MetroStudy.

I don’t know about you, but I spend an awful lot of time trying to find information for our clients. Just in the last few weeks I’ve had to track down…

• The land development code for a city three hours away from my office.
• The wetlands and soils for a large acreage property.
• The public meeting dates for a city zoning board.
• The permit application for county we had not worked in before.

These four simple requests burned up SIX HOURS of my time. The truth is I hate doing this kind of research. It’s both BORING and TIME CONSUMING.

I’ve got two young daughters who think I’m the King and they’re my princesses…I’d rather be ruling my kingdom than doing the jester’s task…research.

And I know I’m not the only one in this business that feels that way. So last month we decided to do something about it.

We put all of the information that we go looking for (and you probably do too) into one easy to access place. In fact, we decided to do it for all of Florida. AND, we decided to put it on the web for you to use.

The Land Development Resource Center is Born!

On our website you can now find…

Links to city and county land development agencies.

Land development regulations.

Permit and development applications.

Local council and board meeting schedules.

Articles on land development topics.

Free reports to help you understand more complex issues.

Maps showing aerials, wetlands, soils, flood zones and contours for every property in Florida.

Audio interviews with leaders in the industry.

Monthly webinars on important land development topics

And much more to come…

We began the Land Development Resource Center as a resource for ourselves; We hope that by sharing it with you, that you’ll save time and frustration…

…AND spend more time in your kingdom!

To use the Land Development Resource Center go to:

1globalmind.com/resource-center/

Hometown Democracy did not make it on the 2008 ballots, but do not think it will go away. According to the Hometown Democracy website, they are only short approximately 5000 signatures. The new goal is for Hometown Democracy to be on the 2010 ballot. I don’t know about you, but the thought of Hometown Democracy passing is just plain scary. I am not just worried because I work in Land Development, but as a voter, I worry. Recently, I went to the last primary election for my area.

The turnout was 20%, which is just pathetic. So, if only 20% of the people turnout in small races like the primary, want to take a guess as to who will vote for comp plan amendments? I would have to guess that probably greater than 80% of our population has no idea what a comp plan amendment is. The other freighting statistic is that the entire county would get to vote on changes that have little or no impact on their area. Early numbers indicate that voters may be asked to go to the polls to make a decision on 200-300 changes per year. Does that seem realistic for the average person?

The other issue is the economics behind the decision. If the general public truly feels that there is too much construction (even if it is viable for the economy), the voters may not approve the necessary changes. What does this mean for the area? If the comp plan changes are not passed, local areas could see issues with economic uncertainty. This means fewer jobs, less money coming in for taxes and an overall decrease in dollars spent. During the economic times we are going though now, is that really a good idea? Frankly, I am not quite sure why our current system does not work. I know of counties that are anti-growth and I rarely see a comp plan change to rural areas. Most of the development has been clustered in designated areas. Can the landscape be the same as twenty years ago? No, as a nation we are growing, we need more room. Also, Florida is one of the most desirable states to reside in. Florida is also the 20th largest economy in the world, yes the WORLD! So, why can’t we allow the election system to work the way it is supposed to. If a community is anti-growth and they elect a leader that is pro-growth, vote the elected official out of office…SIMPLE.

I have heard people say government is too willing to take on big projects because of the tax base increase. Although this may be true some of the times, if the people have elected the right official, the official is representing the people’s voice. The issue goes back to the staggering 20% voter turnout.

How do we, as an industry deal, with Hometown Democracy? EDUCATE, EDUCATE, EDUCATE. Make sure people truly understand what the ballot means. The original language of the amendment read, “Public participation in local government comprehensive land use planning benefits Florida’s natural resources, scenic beauty and citizens.” Reading the original language of the amendment, it is easy to see why so many people originally thought the amendment would be a good idea. Luckily, that wording will not appear on a ballot, should Hometown Democracy ever get enough signatures.

My final thought for this issue, just remember the pregnant pigs amendment!

In the July 2008 issue of Sustainable Land Development Today is an article by Dan Beardslee titled How to Hire a Competent Surveyor. Dan makes a number of outstanding points that parallel our own white paper The Land Developer’s Guide to Working with Surveyors. Dan makes two great observations that those of us in the profession know well:

1. It’s not easy to tell the difference between a good and bad surveyor.
2. Good surveys and bad surveys often look the same.

Why is it so hard to judge the good from the bad? Simple, good quality is not about appearances it’s about the experience, knowledge and behavior of the surveyor you choose.

Dan’s article lays out five key points to consider in hiring a surveyor.

1. Is the Surveyor Licensed by the State?

All 50 states and several US Territories require individuals and companies that provide surveying services to be licensed by the state. State licensure typically requires three components

1. Education
2. Experience
3. Examination

Florida is on the leading edge of the current industry trend of requiring surveyors to hold at least a bachelor’s degree in surveying. However, only about 10 percent of the licensed surveyors in Florida have a degree or any formal surveying education (the other 80 percent have been “grandfathered” or allowed to continue their existing practice). College educated surveyors have a distinct advantage in today’s technology driven survey industry.

Dan’s article focuses on the qualifications of the licensed surveyor. While these are very important, surveyors have largely become managers of the survey team—field and office technicians who actually perform the work. For that reason it is vital that you look at the qualifications of the entire team. The National Society of Professional Surveyors certifies the competence of survey technicians through the “Certified Survey Technician” program. Find a firm that requires their staff to be certified.

2. Is the Surveyor a Member of the State Surveyor’s Association?

As a past-president of the Florida Surveying and Mapping Society, I’m a big believer in professional involvement. During the 12 years I served as a volunteer in the association it was clear that the men and women I served with were among the best in the industry. Look not just for membership, but active involvement as an indicator of professional expertise.

3. Does the Surveyor Appear Competent?

I know I said that it’s not about the appearances. It is impossible to differentiate based on appearance alone, but they can be an indicator of the professional’s own values and business expertise. Use appearance as one factor of many.

4. It’s Important that the Surveyor Operate a Strong Business

I couldn’t agree more. Many surveying firms are “one-man-shows.” While I have no objection to a professional who chooses to practice alone, I worry about the clients who are relying on him. I’ve seen real money lost by clients when sickness or even death prevent the surveyor from completing the work. I detail one such real-life story in my white paper.

5. Are the Services Expensive?

Dan’s final point is to look at the cost of the service. While you certainly want to get the best value for your dollar, Dan (and I) believe that the old rule “you get what you pay for” applies to surveying as it does to every thing else. You don’t need to hire the most expensive firm, but the cheapest one may not be right either. A secondary point here, is to ALWAYS use a written contract. Many surveyors do business on a handshake.

While I think a handshake is a great sign of trust, I also know that communication between people is hard. A contract is a simple way to lay out in plain language what the surveyor will do, what he won’t do, what you’ll do and how much it will cost. Getting written proposals from surveyors also gives you a chance to see exactly what each firm will do for you. It will help you compare real costs.

I’ve got a number of other recommendations in my white paper The Land Developer’s Guide to Working with Surveyors it’s available for free by clicking here.

I’d love to hear your successes and challenges in hiring and working with surveyors. Please leave a comment below.

In this episode, I interview Tom Wheatley, Vice-President of Business Development at Flagler Bank. Tom talks about the current state of the credit market, what projects are getting funded and how to best approach lenders now.

If your sales force only contacted 56% percent of the leads that walked in your door, how would you react?

If you think that number is wrong, you should read the article, Despite Housing Crunch, Some Builders Ignore Prospective Buyers. In the article, Marc Lumpkin explains that in the Denver area, only 56% percent of the prospects that walked into the sales center were asked to fill out a registration card and 16% of the shoppers were not greeted when they walked in the sales center. Sadly, only 1 in 3 of prospects that left information was contacted.

In the days of decreased home sales, why would anyone in the new home business not jump through a hoop to make the sale? I have read many articles where agents have offered, cars, home décor, vacations, free upgrades, club membership and other perks to sell homes. I recently read an article about a woman in Florida who is selling her home along with herself (a marriage proposal). So with all the interesting incentives out there, why would your new home sales agents fail to obtain customer information and then only follow-up with one out of three prospects?

What can you do?

First things first, make sure your sales force understands that the customer is the TOP priority. No matter what they are doing, greeting the customer is top priority. If the sales staff is typically in another area other than where the customer enters, consider hiring a hostess. A person that can greet people, hand out brochures and give a rough tour of the models. I know, you are probably thinking how can I afford to add staff when I have reduced sales? Well, have you ever heard of a department store named Nordstrom’s?

Nordstrom’s understands the service in customer service. Nordstrom’s sales staff will go out of their way to assist a customer. I have heard stories about their sales staff taking used tires, removing other stores security tags (of course the merchandise was paid) and changing sleeves on a shirt. Why do they do this? Because Nordstrom’s understands that a satisfied and happy customer will continue to buy from people that are trusted. Make it “OK” for your staff to go out of their way to win a customer.

Next, get rid of the low performers. Look for a sales force that can sell. During the boom, I saw many people get into real estate because they thought it was easy money. These individuals have little or no selling skills and really do not understand the nature of the business.

Once you have a good sales force, incentivize and reward them. I like this part of the plan the best. Why, because you do not have to pay out anything until they make a sale. Be creative. Figure out what your sales force likes, and each person is different, and use that as an incentive. For instance, Ms. Smith has always wanted to go on a European vacation. You could offer Ms. Smith a 10 day trip to Europe when she sells five $500,000 houses.

Also, make sure you have a method to keep track of the customers that visit your models and ask to see the data weekly. Give incentives to the prospects for leaving their information. Some simple, inexpensive ideas are special ‘deal’ emails, $1,000 upgrade by email or a dinner certificate.

Finally, leave a way for the customer to contact the owner or senior management if they feel they are not receiving the level of service they desire. Yes, you may have a person call you that really should not have, but if you could save one sale from going out the door….isn’t it worth it?

What is a Brownfield? According the EPA site, brownfields are “real property, the expansion, redevelopment, or reuse of which may be complicated by the presence or potential presence of a hazardous substance, pollutant, or contaminant.” 

This week I attended the Florida Brownfield Conference in Orlando.  Until recently, I had not heard much about brownfields, and apparently I was not alone.  Brownfield development has been around for quite some time.  Only recently has it become a viable development practice because of government involvement.  The State and Federal government have stepped in and allocated funds and incentives to help redevelop contaminated sites.

Typically old dry cleaners, manufacturing facilities or petroleum sites are designated brownfield sites.  Developers and communities come together and change the old site into a new viable site. Sites are transformed into housing, office buildings or community parks.  Redeveloping brownfield sites have economic benefits as well as environmental benefits. 

The redevelopment creates new jobs and increases tax revenue, as well as reduces sprawl (preserve open space).  During the conference, speaker Matt Robbins stated ” there are over 400,000 designated brownfield sites all over the country. Redeveloped brownfield sites have created over 500,000 jobs.” 

The one thing that I took away from this conference is that brownfield development is just as important as green development, it is just not as cool.  I urge everyone to look at brownfield sites and imagine what the possibilities are.

Introducing Tycoon, the free site that allows users to search for land based on criteria such as parcel size, wetlands, current or future land use and zoning.

In my previous post, So you want to develop land?, I introduced how GIS can help search for land. Since we are so crazy about GIS and the wonderful things it can do, we decided to create a website that helps developers and investors find land.

Tycoon is still in development, but will be available in October. To stay updated on the latest developments, sign-up at www.BeaTycoon.com.

Where do you begin? If you are new to development or new to a geographic area it can be a daunting task to find property.

In the past, developers or investors have found property through brokers, colleagues or by driving.  Advancements in technology, GIS (geographic information systems) combined with aerial photography, allow developers to search for land from their computer. 

How is this possible?  To make a long story short, many government agencies have moved their information on-line.  Everything from court records to property records.  The information is great, but searching the information can be difficult.  The only available search options are by parcel number, owner name or address.  Most often, when looking for a property, I would only know the characteristics I am looking for in a property: size (acres); general location (city) and zoning.

So, how can GIS help me find land?  GIS is an excellent tool for inputting criteria and obtaining results.  I could do the same thing in a spreadsheet document, but viewing data on a map is much easier.  To find the land I need, I would enter my search criteria in the area I want to search, say Polk County, and view my results either in tabular format or on a map. The map is important because now I can see what other buildings, subdivisions or roads are near the parcel.  Before GIS and aerial photography this was only accomplished by taking a trip to the location.  Think of the time saving potential!

After posting my account of the sub prime mortgage market and how I feel lenders are partially to blame, I went home and found a new Business Week waiting for me in my mailbox. On the front cover was “Bonfire of the Builders.”

The article talks about builders who got into the mortgage business have fueled the fire in the real estate market meltdown. I could not agree more. What is concerning is that these builders mentioned in the article were inflating potential homeowners earnings to make the loans work. Builders were out in the market pushing interest only and adjustable rate mortgages to get their homes sold.

The result is many empty homes in what was supposed to be the next up-and-coming neighborhood. Many families have either had to move and let their house go into foreclosure or many people dropped out of contracts before the homes were built.

My prediction is that although this mortgage crisis is going to be tough and probably affect many jobs, it is a necessary step in the housing market correction.