Fractal Property Development delivers a partial or complete architectural design including renders and cost estimate of a potential redevelopment, to accelerate the sale of the property and to attain a higher price.
Benefits for the seller:
– the architectural renders would attract more attention and would accelerate the sale of the building as investors can visualise the potential of the asset.
– the cost of the designs is small compared to the added value (e.g. a building being sold for EUR 2,500,000 can be sold for minimum EUR 2,600,000 (4% more) with full architectural designs and renders that would only cost e.g. 1% (EUR 25,000)
Benefits for the property buyer (and thus justification for a higher price):
– the buyer receives partial/full architectural designs for free.
– financing, the major part of any redevelopment, is difficult to obtain if the financier, e.g. bank, co-investor, etc., does not understand the technical reports laid in front of them. Architectural renders let the financier visualise the completed redevelopment and adds credibility to the project.
– selling the property off the plans whilst still under development is vital for cash flow in big developments. Great renders can be the difference between selling at a high vs low price. An example is in the case of a residential redevelopment where the investor buys a building to renovate and sell individual apartments before they are even completed.
– the buyer will know exactly how much the redevelopment will cost and what the results will be thus giving extra credibility to the seller and the project.
Case Study
Fractal Property Development were commissioned to design the renovation and furnishing of a high-end penthouse apartment being sold by the leading international luxury real estate brokers, with the aim of providing a compelling visualisation of its full potential. The cost of the design and renders is insignificant in comparison to its impact on the sale price, and we believe that this practice will gain traction as the value of this service becomes more apparent.