Real Estate Development

"The true hallmark of a Crossgates project is unrelenting attention to detail in all phases of development."

Results

The result of these focused efforts is a successful project and an appreciating asset.
Scottswood Apts
Aliquippa, Pennsylvania

Our Approach

Crossgates, Inc. provides real estate development services for build to suit lease and multifamily residential projects, and acts as a consultant to owners, investors, and institutions.

We follow a well-structured process for each of our projects.
  • Business Parks
  • Industrial Parks
  • Retail Centers
  • Condominiums
  • Affordable Housing
  • Flex R&D
  • Light Industrial / Warehouse / Distribution

A successful real estate developer is a Master of Process. Within each phase of any real estate development project, a myriad of processes are:
  • Identified
  • Understood
  • Documented
  • Communicated
  • Managed
A Systematic Approach is required in considering a site for any real estate project. For the project envisioned by Crossgates, the development team conducts a comprehensive Review and Investigation of:
  • Market conditions
  • Demographics
  • Market cap rates
  • Visibility
  • Community and governmental support
  • Regional infrastructure
  • Supply and demand of competing projects
If the conditions are favorable, a Purchase Contract is negotiated for the site selected with a sufficient option period to perform detailed analysis of all significant development factors.
The Due Diligence Phase is the most critical part of any real estate development project.

We coordinate the team of professionals to address every significant aspect of the project.

Site Review - Analysis is required of the following site characteristics:
  • Geotechnical conditions
  • Topography
  • Environmental assessment
  • Transportation systems
  • Utility location and capacity
  • In addition, a title search is conducted to document all easements and encumbrances.
Zoning and Governmental Review - A detailed review of the local zoning ordinance is required to determine the uses, setbacks, height restrictions, parking ratios, and other factors required for the site in question.
In addition, the nature, timing, procedures, and costs of all permits, fees, and approvals must be obtained.

Market Review - The market comparables must be understood and documented to determine the probable income stream for the development.
  • Rental rates
  • Escalation factors
  • Budgeted expenses
  • Tenant improvement allowances
  • Sales projections
  • Required amenities
Planning and Design - Preliminary site plans are reviewed to determine the rentable square feet which can be developed. This serves as the basis for preliminary cost estimates.
In addition, we will lead the team in exploring the appropriate value engineering alternatives to maximize the project's qualitative and quantitative efficiencies.

Financial Planning and Structure - A Financial Plan for the project is prepared which establishes a debt and equity structure based upon the projected income stream and the budgeted construction and other costs anticipated for the project.

Closing - Assuming acceptance of the results of the detailed review and analysis conducted during the Due Diligence Phase, Agreements and Contracts are negotiated and finalized by Crossgates, including:
  • Engineering
  • Architectural
  • Construction
  • Brokerage
  • Debt and equity agreements
  • Tenant lease
The site is Purchased and the development begins.
Prior to construction, the following are finalized and secured:
  • Site and building plans and specifications
  • All governmental permits and approvals
  • All professional contracts for the team
  • Utility contracts for installation, extension, capacity reservation, and use
  • Financial Plan and Project Budget
Upon commencement of Construction, Crossgates manages the development team to complete the project within the established time and budget constraints.

Weekly job meetings are used to monitor the progress and anticipate the issues to be resolved.

Crossgates' experience and organizational discipline ensures that if and when required, alternatives will be developed and all issues will be resolved in a time and cost effective manner.
Upon completion, Crossgates implements Property Management systems to safeguard the real estate assets, maintain the income stream, and enhance the value.

We strive to create developments that will appreciate into the next century.