A Crucial Decision

“Location is everything” is a tenet that applies to virtually every successful property development project. It takes not just the present situation into account, but also considers the upside potential of a given property, assuming it performs as planned. Market observation and custom concepts based on long-term experience ensure a realistic appraisal of present parameters and available options.

The prospective use type of the property and the potential needs of its future residents enter into our site analysis of a potential property. Also factored into the analysis are public infrastructure, transport accessibility, and the social environment. The term “macro-environment” refers to the region, the town or the district, whereas the term “micro-environment” covers the surrounding area, public transport connectivity and frequencies, road access, air and noise pollution, geographic orientation, future development of the location, among other aspects. When appraising a residential location, particular attention is paid to exposure (e.g. to noise), the character of the neighbours, the state of the infrastructure in regard to schools, preschools, non-discretionary retail and leisure facilities, as well as to sound transport links downtown. Many major German cities now publish qualified rental indices that provide drilldown details down to the level of street blocks.

So much for the theory of it.

In the field, you need hands-on real estate know-how, and, above all, experience and a keen intuitive sense for up and coming trends in the urban environment.

Sometimes a good location is easy to recognise.

Everyone knows the place. It is where people get together.

As often as not, however, the assessment of a location depends on less known or indeed uncertain factors.

In addition to careful research and risk assessments, you need to have an imagination based on in-depth knowledge in order to be able to identify a so far unrecognised good property location, and to identity it as such before anybody else does.

This is the sort of experience that creates value-add in the long term.