Scale up your capacity
Z Square Development Management is a fully integrated real estate development firm in Toronto. Our experienced and knowledgeable real estate professionals offer virous development and management services. From site selection and design to obtain development approvals, financial analysis and construction contracting, we take care of all property development needs from start to end. We customize our services to each client’s specific needs, and are committed to the highest levels of integrity and professionalism.
Three Pitfalls to Avoid
Advises for small-medium sized developers
1. Avoid Zoning Pitfall
When buying a development land, the sales pitch from the seller’s agent is often false. Here are some scenarios we have seen:
1. Zoning progress does not match the reality – some advertisement claims the SPA (Site Plan Approval) is already done, but in reality, the zoning amendment hasn’t even started.
2. Physical condition is not compatible with zoning progress. Some land indeed has the zoning finished, but the development may not start until a decade later – infrastructure is not ready, or underground water issues.
3. Development drawings “ready”, some development drawings renderings came with the sales pitch with merely an intent, they may have no development logic etc.
These problems happens when the seller’s agent overpromises, and buyer’s agent lack of professional background. Any of these mistakes can lead to financial disasters for the land buyer.
At Z Square, a comprehensive due-diligence service is performed before our client purchases the land. The service includes massing study, physical feasibility study, pre-consultation meeting with the city for a mutual understanding. Meeting other authorities with jurisdiction if required (such as Metrolink, Conservation Authority etc), to ensure that the development intent is supported by all the parties.
2. Avoid Overheads Trap for Small-Medium sized developer
An established developer runs an internal development team with advisors from three different background: architectural background, commercial property management ground, and finance for commercial development background. During development, the developer needs to coordination with different institute, authorities with jurisdiction, consultants of different profession, and many third-parties. The three experts in each field ensures the communication is accurate, and all the information received can be used for development success. The pay overheads for this internal team can be around half million dollars annually – which can be stressful for small to medium sized developers. Without these experts, critical information can be misinterpreted, and lead to delayed response, misinformed decision.
In Canada, development related government agencies, contractors and consultants are highly discrete and work independently. The developer has to taking part of the master planning, and construction management role.
At Z Square Development Management, we provide experts service from all three backgrounds at flexible rate for developers. Developers only need to do some coordination work, and contracting out the professional work to us as needed. This saves th11e overheads drastically, and makes the project go smoother.
3. Avoid Short-Sighted Planning
Architects are not responsible for sales; sales are not responsible for construction. A development without planning are costly to make adjustment in the later stage.
It is difficult to get all three parties of architects, sales and builders in one place during early planning stage – but without these expertise, problems may not be foreseen until later stage of the project.
At Z Square Management, we have inhouse architects, construction manager, development financial manager. They are involved during design stage: architects ensure the functional, planning and architectural requirements meets the planning standard and developers requirement; construction manager ensures the drawings are feasible for construction and meeting the preliminary cost planning. The development finical manager takes all the data and generate performa to study the financial feasibility of overall development.
A Case Study
Getting into development business
A client approached to us to build a gym for his property. At early stage we discovered there are not enough parking spaces, but the site is suited for an apartment – the client has never involved into development business and likes to learn more about the feasibility. We did a massing study for apartment and find out the financial return based on the perfoma calculation were decent. The client is very interested. To ensure that development vision is feasible, we scheduled a pre-consultation meeting with the city and find out the city is supportive with the intent. We further verified the financial viability from the client. By providing project management services, the development is progressing step by step. Estimated cost, and time span for each step has been shown to the client. And the miles stones for opt out.
Tailored to Your Needs
Zoning Study, Feasibility Study, Performa financial study, Pre-consultation with the city.
With our inhouse architects, commercial property management, development financial manager
Engineer Permit & Approval
Structural Permit, Structural Construction Documents, HVAC Permit
HCRA Registered Builders, 5 million liability insurance, cloud-based platform for realtime monitoring of your home construction progress.
Over 2000 factory direct supplied building material, select material before construction to secure the cost & contingency. You get what you see.
Visit our 50,000 SF design centre.
©2022 by Z Square Group.
Custom Home | Commercial | Real estate development
Architecture, Interior Design, Construction & Project Management
Tel: (416) 502 - 1616
1100 Gordon Baker Rd
North York, ON M2H 3B3