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Will Tropical Storm Fay Hurt Your Real Estate Development?
For those of you who don’t know, our office is located in Melbourne, Brevard County Florida.
This is the exact location where Tropical Storm Fay decided to take a bit of a rest and dump massive amounts of rain down onto the homes and businesses in this area.
Tropical Storm Fay was an extremely rare occurence. The rainwater that was seen in some areas most likely will not be seen again in my lifetime. And even though, this was such a major event, the majority of homes in the area were not damaged by the storm.
In fact, I have only heard of one location where new subdivisions received flooding damage. And the rumor is this was caused by a blocked culvert from an offsite canal and not from poor design of the stormwater system in the subdivisions.
So, how does this impact your future developments?
Well, common sense would tell you it shouldn’t. But reality often doesn’t involve common sense.
Do not be surprised when government agencies create new requirements and stricter design parameters for your developments in the future. Cities, Counties and Water Management Districts will use Fay as an opportunity to put more restrictions on development.
This will most likely result in larger stormwater treatment areas for your real estate developments. Meaning your land will have less developable area.
Less developable area means less profits.
So if you are purchasing land in the near future in Florida, be aware of any new stormwater requirements that you may need to meet.
You may want to offer less for that property.
This implementation of new requirements is not restricted to Florida. Practically every location has natural weather conditions that can create drastic changes in property development requirements.
Most likely these are issued through the building code, but as in the case of Tropical Storm Fay, these requirements will be felt in the site design.
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August 30th, 2008 at 7:14 pm
Hello there:
We are private commercial lenders who help real estate developers in need of private financing.
We have commercial loans starting at $2 million dollars and up.
Loans for:
Commercial Property Acquisitions & Refinancing:
Development and Construction and much more.
If we can be of service, just let us know.
Thanks,
December 24th, 2008 at 8:12 am
notable position. So hang on to!