06-09-2022, 12:02 AM
12-20% return over a 3-5 year investment is not anything crazy… especially considering the numerous risks involved.
If developers were in it solely for profits, there are much easier and less risky investments to make.
Folks get so caught up on the fact that they make a profit, like that isn’t the purpose of any business… if they didn’t make a profit, nobody would build housing.
There are also other factors to consider, such as how many local contractors are employed as a result of a development, that seem to hardly ever be considered in these conversations.
If developers were in it solely for profits, there are much easier and less risky investments to make.
Folks get so caught up on the fact that they make a profit, like that isn’t the purpose of any business… if they didn’t make a profit, nobody would build housing.
There are also other factors to consider, such as how many local contractors are employed as a result of a development, that seem to hardly ever be considered in these conversations.