How investors, developers, banks, and homebuilders benefit with Land Banking
Of course, Land Banking generates value for direct investors in the deal. However, there’s more to the story. Developers, homebuilders, and banks can all benefit, when Connor Investment Real Estate purchases large residential or commercial tracts of land.
First and foremost, developers seek partnerships with firms like Connor Investment Real Estate as an alternative to traditional financing that can be difficult to secure in the current lending environment. Connor Investment Real Estate’s Land Banking partnership can facilitate the immediate development of part of a multi-phased project with a game plan in mind for future phases.
On the other side of the coin, many community banks that shy away from financing large developments under a single loan benefit from the pipeline of potential bite-size loans that Land Banking developments generate down the line. Likewise, homebuilders prefer to purchase vacant development lots for homebuilding from developers and Connor Investment Real Estate rather than develop and finance the communities on their own.
There is, in fact, a ripple effect of benefits that reaches developers, homebuilders, banks, and investors as a result of the Land Bank investment opportunities Connor Investment Real Estate and their partners put together.
“Every investment acquisition we make goes through a thorough program of due diligence that includes our team of, engineers, appraisers, lawyers, and environmental experts,” said Paul Connor, Principal of Connor Investment Real Estate. “We bring capital to developers and projects that need it and where the data supports that we can generate strong, risk-adjusted returns for our clients.”
Want to learn more? Download the Dynamics of Land Banking Presentation below.