The Owners’ Representative is a vital asset to any real estate development project. The Owner’s Representative acts as a liaison between the builder and owner. As an expert in their field, the owners’ representative can help you negotiate complicated contracts, ensure that your project stays on budget and on schedule as well as manage change orders, change directives and delays.
A successful project requires a specialized team with the right expertise to handle each phase of design and construction.
If you’re building a custom home, commercial property, multi-family condominium or purpose built rental apartment complex, you need an owner’s representative (OR). An OR is an expert who manages all aspects of your project from start to finish. They are professional, risk-adverse and knowledgeable about every step in the process—from site selection to final approvals. They can help guide builders through this maze by providing them with information they need at every stage so they know what they’re getting into and don’t get caught off guard if something unexpected happens along the way that could potentially cost them money or delay completion of construction work.
An OR will also make sure that plans comply with local ordinances, including zoning laws; are designed according to code requirements; meet federal guidelines for accessibility standards; provide sufficient space for parking needs; include adequate fire protection systems; have proper drainage/water management systems installed throughout new buildings as well as any modifications made out existing ones already existent within sites selected within communities across Southern California
If your company needs someone who specializes in these types services contact us today!
An owner’s representative is a licensed real estate agent who represents the interests of the homeowner. The owner’s representative helps you with all aspects of selling your home, including marketing, preparing contracts and disclosures, negotiating offers, coordinating inspections and repairs, obtaining financing and closing transactions — while keeping your best interests in mind at all times.
What an owner’s representative can do for you:
- Manage all negotiations related to the sale of your property while protecting your interests.
- Provide expert guidance on pricing strategy, choosing between traditional versus FSBO listings and other options available to sellers that would allow them to sell their homes faster for more money.
In the words of Jay-Z, “I was born a winner and I’ma die a winner.” Being an expert is about having mastery over your field, whether it’s architecture or cooking. But part of being an expert is also knowing when to use what you know.
In our world today, we have so much access to information that it’s easy to feel like we already know everything there is to know about anything. As you’ve probably noticed, this isn’t always true! To become an expert requires us not only to learn all we can about something but also then figure out how best to apply our knowledge in real life situations (whether they’re at work or at home). If my goal was just “to get better” at something—like riding bikes–then I could practice every day until I got really good at handling my bike on rough terrain without falling off too often. But if instead I wanted my daughter Katie*, who had never ridden before yesterday morning when she asked me if she could ride her bike without training wheels for the first time ever since preschool two years ago when she begged me every night after dinner for months before finally getting them taken off last summer during vacation; then I would need some help from someone else who knew more than me
- Professionalism. This is an important quality, and includes a number of factors:
Skills and knowledge. You must be knowledgeable about home construction, common problems that arise, insurance coverage issues and more.
Experience. It takes time to become familiar with new regulations or laws affecting your business, as well as how to navigate the waters of dealing with contractors, subcontractors and homeowners.
Qualifications/References. A good homeowner’s representative will have credentials that prove his or her experience in this field (for example, an accredited course in real estate law). Reputable representatives also provide references from previous clients who can attest to their effectiveness in resolving disputes between owners and contractors; if you don’t see these names listed on the website or hear them mentioned by other customers during your research process, then they likely don’t exist!
Risk is the likelihood that an event will occur. Risk is a measure of the probability of an event happening. Risk is a measure of the likelihood that something bad will happen, whether it’s large or small, sudden or gradual. Your risk of getting hit by a car crossing the street is higher than if you were to cross at an intersection with traffic lights and crosswalks.
A company’s owners’ representative can help you to understand risks as well as identify and manage them when they occur in your business.
Site selection is the first step in the real estate development process. The site must be large enough to accommodate the project’s footprint, and it must be located in a location that is suitable for the project’s function. Site selection should also consider accessibility to transportation, utilities and labor.
Land Acquisition is the first step in the project development process. It includes identifying, researching and negotiating a scope of work with landowners that can vary significantly from one project to another, depending on size and complexity. Land acquisition is a complex process that requires expertise and experience. Because of this, it is critical that each owner’s representative has significant experience representing clients in land acquisition matters (and not just real estate transactions). An owner’s representative should be able to identify what needs to be done, how much it will cost and when you should expect results to happen.
In the event of a conditional offer, you will be asked to provide proof of your ability to perform on the terms of your offer. A conditional offer is an offer by a buyer to purchase property that is subject to certain conditions being met. If these conditions are not satisfied, then the buyer can withdraw their interest in purchasing the property and may request more information or otherwise negotiate with you in order for them to accept your proposal.
A counteroffer is an updated version of a previously offered price or term that has been made by another party (i.e., another potential seller) but has yet not been accepted by either party involved in making any offers at this time.
Due diligence is a process of investigating the facts and conditions of a business transaction, event or issue to determine the suitability of proceeding with the transaction. It is important to have due diligence because it allows you to make an informed decision about whether or not to proceed with a transaction.
Due Diligence Process
The first step in due diligence is performing research on your target company by looking at financial statements, industry reports, press releases, company websites etc. You should also check out their social media accounts and see what they are posting about as well as who they are following on Twitter/Instagram/Facebook etc. If there are any recent news articles related to this company then read them thoroughly before moving onto Step 2: Meeting with management
As an owner’s representative, you will be responsible for preparing entitlements for your client’s project. The entitlement process is more than just obtaining permits. The entitlement process involves coordinating with various government agencies and consulting with consultants to ensure that all of the requirements are met before any construction can begin.
To help you prepare the necessary documents, we’ve created a checklist of what you’ll need to do:
- Permission to do something (e.g., build a house).
- Approvals (e.g., building permit).
- Planning (e.g., determining the location of utilities underground).
- Design development (e.g., drawing up blueprints).
- Consultant coordination (e.g., selecting who will perform inspections on-site during construction).
- Preconstruction services such as cost consulting, budget preparation, class A/B/C/D budgets, project controls and oversight
Before you start building, operating or maintaining any project, you’ll need approvals from a variety of people and agencies. This is true for all types of projects, large and small.
Approvals are required by law to build the project in the first place (e.g., a permit), to operate it legally once it’s built (e.g., an occupancy permit), and to make changes or modifications later on (e.g., an alteration permit). They may be needed if your project will affect other properties (e.g., zoning approvals) or if public money is involved in any way (e.g., tax exemptions).
Planning is the first step in the process, and sets the stage for success. Planning is about defining the project so that we have a clear understanding of what your needs are and how they will be met. It’s also about setting up an effective working relationship with you and developing a road map for completing your project successfully.
Design development is the process of refining the architectural and engineering design to meet the owner’s requirements. It involves making sure that all of the details are taken care of and that there are no hidden costs or unexpected changes later on in the project. This phase is crucial because it allows for feedback from stakeholders, including owners, developers and contractors.
Design development is also when an owner can make changes to their project if they want to change something about it—for example, by adding or removing certain features or making modifications in order to achieve budget goals.
As an owner’s representative, you will have to coordinate with other consultants. You will also have to coordinate with other owners’ reps. In addition, if your clients are in the process of buying or selling a property and their broker is coordinating with the listing agent (or vice versa), they will want you and the broker/listing agent’s consultant to communicate as well.
Owners’ representatives: what do we know?
As an owner’s representative, you will ensure that the pre-construction services are performed to meet the client’s objectives. Some of the most common services include project management and due diligence. Project management includes:
- Site selection
- Land acquisition
- Conditional offer
- Entitlements and approvals
Site selection involves choosing a suitable site for development, while land acquisition involves purchasing or leasing property from a seller who has agreed to sell with an option to purchase. Both of these processes require significant time, effort, and money on behalf of both parties involved in order for them to be completed successfully.
Cost consulting is the process of determining the costs of design, construction and construction management services. The purpose of cost consulting is to provide an estimate of the total project cost and make decisions about a project’s financing.
The owner’s representative (OR) performs this role by developing a detailed budget for each phase of work on a project. An owner’s representative will also include provisions for contingencies in their estimates, which are used to cover unforeseen expenses that may arise during construction or after completion.
As an owner’s representative, you will be responsible for managing the budget, scheduling and optimizing the project’s costs. You’ll also provide management support to ensure that your client is properly paid for all services rendered at the completion of construction.
These services include:
- Providing a cost estimate based on a design by providing an approximate range of costs that can be expected during construction.
- Creating schedules and maintaining them throughout the project duration.
- Assigning resources to specific tasks within your scope of work while managing subcontractors or vendors where they are needed on site or by telephone/email/fax communication with their management staffs when necessary; ensuring adherence to project deadlines and goals; reviewing daily progress reports submitted by contractors as well as subcontractors; obtaining required approvals from owners’ representative on behalf of owner before proceeding with work orders issued by them or their field superintendents (if applicable).
Class A, B, C, D budgets
Class A projects have a high probability of being profitable, while Class B and C are less likely to be so. The RFP should clearly delineate the difference between these classes. If not, prepare to question the company on what their method is for predicting project profitability.
The ideal way to classify a project according to its risk-reward ratio is through assignment (which we will discuss later). Assignment is an important concept because it can help you determine whether a certain budget should be considered B or C. It helps if you think of assignment like this: if there were no possibility of profit other than as defined by your client, would you still want this job? If yes—and only if yes—then it’s B; otherwise it’s C
- Project controls: all materials and labor are tracked for every phase of the project, including demolition, framing and finish work.
- Project oversight: your representative will monitor each stage of construction to ensure that it’s being done according to plan. This includes reviewing change orders and making sure that they’re approved by your architect or engineer.
- Payment certification: before any payments are made on behalf of you as the owner, they must be submitted to your representative for approval. He’ll make sure that all costs have been properly charged and included in the project budget—and he’ll also confirm that there are no additional charges currently due that weren’t included in previous invoices or estimates (changes to plans after a job has started may result in additional charges).
- Schedule review: if necessary, your representative will meet with subcontractors or other contractors involved in certain phases of construction so they can discuss any issues that might impact their schedule or cost estimates (such as weather delays). The goal here is transparency between parties so things don’t get missed along the way—and ultimately so nothing does get missed!
As the project progresses, you will monitor progress and provide regular reports to the client. This includes ensuring that the project is being built to the design and in accordance with the contract. You will also ensure that all quality standards are being met, as well as any relevant laws and regulations (such as those for building in an earthquake-prone area).
As a result of this oversight, you can report back on whether there are any issues with the project. If there is an issue with quality or compliance with regulations then this should be reported back to your client so they can take action before it becomes too late
Payment certification is the process of determining that a project is complete and ready for final payment. Payment certification is distinct from final payment which occurs after completion of all work according to contract terms, including actual performance and compliance with any applicable laws, regulations and codes.
Final payment is a critical step as it signifies completion of all work under the contract; however it does not guarantee that the project is fully compliant with all laws, regulations and codes applicable to its scope of work.
Payment certification involves a thorough review by an independent third party who has no direct financial interest in the project or its outcome. The review must be conducted at an appropriate time before final approval for release of funds from owner’s funding source (i.e., lender).
The schedule is the bible of your project. Everything that happens on a project is built around it. The schedule is not just a list of work activities; rather, it includes all the tasks associated with those activities and their dependencies, including resources (people), materials, equipment and information needed to complete each task. It also includes critical path calculations that determine the earliest and latest start dates for each activity.
Schedule development can be challenging because there are many interdependent activities involved in completing any given piece of work on a project. As you develop your schedule for each phase of your project management structure—project scope definition, planning, design/build/installation or maintenance/operations—you’ll need to consider multiple factors: what needs to get done in order for other things to happen; how long will each thing take? What effect will delays have on earlier efforts? What resources are available at different times during this process? How does weather affect the timeline? What impact will holidays have on construction crews’ availability? In addition to these “hard” constraints like resource availability or weather conditions are other less tangible aspects such as client expectations or seasonal trends affecting costs (such as landscaping plants vs snow removal).
Change Order Review
When change orders occur, they’re usually not a bad thing. Change orders are simply requests for changes to the original plan and can be good or bad. Change orders should always be reviewed by an owner representative before being approved. If you’re not sure who to call for your construction project, we recommend [insert name of person/company].
You should also make sure that the owner reviews any changes in writing and signs off on them in person if possible (or at a minimum via email).
Project Close-Out Services
Although the construction process is often stressful, it’s important to remember that the project need not be a source of stress after it is finished. Regardless of whether you are an owner, developer or general contractor, your experience with a new building may feel different when you move in or open for business. As such, Owners’ Representatives work with clients both during and after construction to ensure that they receive the best results possible and do everything they can to make sure their investment is protected and insured against risk.
To achieve this goal we offer our clients many additional services including:
- Project close-out services
- Post-construction services
- Dispute resolution
- Risk management
We take pride in our ability to serve as your representative after construction has been completed. Our post-construction services are designed to provide you with peace of mind, and allow you to focus on other areas of your business without worry. Some examples of this include:
- Risk Management: We can help manage any risks that may arise after the project is complete by providing liability protection, safety audits, and insurance reviews. This will ensure that your investment is protected and there are no unexpected costs down the line.
- Confidence: Our experience allows us to easily identify issues before they become major problems for you or your company’s assets. We will be able to provide solutions before they even occur so that the building maintains its stability over time while saving money on repairs later on in life cycle cost analysis reports (LCAs). This means less downtime due to unnecessary maintenance or repair work being done unnecessarily during its useful lifespan causing an increase in overall financial performance efficiency over time through lower maintenance costs associated with poor management practices due lack clear communication between all parties involved which could lead them having a negative impact on profitability as well as decrease productivity levels due lack professionalism by not following protocol when working together outside normal business hours which could lead them missing deadlines resulting in fines from local authorities leading up penalties such as loss of license privilegesor license revocation depending on severity level determined by type violation committed
Takeaway : Confidence
- Owners’ Representative
- Owner’s Representative
- Construction Expert
- Risk Management
- Site Selection and Land Acquisition
- Conditional Offer (This is the most critical stage in this process) Also known as an Offer to Purchase, it states your intention to buy a property contingent upon certain conditions being met by both parties and at the end of due diligence period which will be set by them (usually 2-3 weeks but can vary depending on location). During this time, there may be further negotiations with the seller or their agent regarding any outstanding issues such as price and terms of sale etc., or even planning permission or other approvals that are required on top of legal entitlement checks – so don’t hesitate to ask us if there’s anything specific you’d like looked into!
The owners’ representative is a vital part of any real estate development transaction. If you are looking for help give us a call today.