Saturday, August 16, 2008

Developers turn to rezoning during lean times

Property developers generally earn their money by putting up new buildings, but when the real estate market cools, making it difficult to obtain financing, they often look for other ways to help turn a profit.

In Slow Times, Rezoning Appeals to Developers

Some developers — and their real estate lawyers — say that rezoning property is one of them. Juan D. Reyes III, a partner in the law firm of Riker, Danzig, Scherer, Hyland & Peretti, said he had clients seeking zoning changes with hopes of developing or selling the property once the market improves. This particularly applies in areas zoned for manufacturing.

Getting a change in zoning, however, can be time consuming. “With zoning, even if you’re doing a variance, it’s a minimum of a year,” he said. “A rezoning can take two to three years. Now is a good time to be doing that.”

Not sure I buy this. It seems as though developers seek rezonings whether business is booming or not.


italian girl said...

But if residents aren't able to get City Planning to rezone their communitites, how are developers able to?
But then again, if a developer wants his property to be upzoned, John Young will hook him up. The rest of us losers waiting to be downzoned will just have to wait.

Anonymous said...

Dont worry its about to bust anyways.Watch the stock market and the dollar.You've been warned now for years.5 to 8 billion a month in Iraq.Smart