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What is up, my real estate development family? I'm Sam, also known as the Pro Design Builder. Thank you for joining me on another live stream while I bring you the best content in the business, and it's not even close. I really enjoy what I do. If you don't know anything about me or you don't know my story, I'm Sam. I started out as a house flipper. And but before that, my wife was she got into med school and she told me she didn't want to go. And after she told me she didn't want to go, I was like, what are we gonna do? And then that's when she dropped the book uh Robert Kiyosaki on me, Rich Dad, Poor Dad. And from there, that started my journey and growth as a real estate investor into builder developer, right? It was a process, it's taken me a long time to obtain a lot of my knowledge. So I I always love to just kind of bless you guys with different trainings in different. I just want to see people win. I want to see people get better, right? So this group is specifically for real estate investors that are struggling with the knowledge and experience to make the leap into real real estate development, right? Uh, I know that well, it took me took me close to 13 years to obtain all of the steps and all of the knowledge, and also the the hard knocks, all right. But the good thing is you don't have to do that, um, because I've kind of already done that for you. So uh I can't wait to jump in today's training, and today's training is how to manage the construction process, very important process, and so I'm gonna give you guys a general overview because everything is truly connected, and it starts with great pre-construction planning. Alright, so uh I'm gonna give you an overview of what the pre-construction planning looks like, and also what are the key factors in uh getting the steps right so you could get from uh concept to completion. Um I I did say that I've for the last eight years I've been a design build general contractor. So if you don't know what that is, uh from concept to completion, when a client would meet me, I would take them from concept and sketching things on paper with with pencil and and digital sketches, and then after that taking to the architect, and then from there, engineer, etc. So I've done every step of the process over and over and over, and I've uh saturated myself in uh in systems, so it's very important to be systematic in your approach, and that's kind of what I coach in my coaching program. So, all right, so let's kind of jump into it. So, pre-construction is gonna be uh pre-construction planning is gonna be probably the most important thing that you need to nail down, right? So, understanding what are the steps that you need to take to get this project from concept to completion and having a systematic approach to it is gonna be very important, right? So then nailing down the construction process, understanding what the construction process needs to look like and doesn't need to look like, and how to avoid the booby traps I say that are attached to hiring the wrong contractor, not doing the right due diligence, etc. Right, and then also to once you've done the construction, what do you do after when you're ready to sell? So let's kind of dive into uh all of those different parameters that are attached to uh managing a construction project and getting it off the ground, right? So, who are the key factors, who are the key role players in your project, right? One is gonna be you as a developer. What what are your responsibilities? Your responsibility is the the visionary, right? The planner, the the person that's the go-to to uh get this project off the ground, right? You've done a lot of homework, you've done uh you've spoken to investors, you've spoken to banks, you've spoken to architects, you've put into put together all of the plans, right? You've done all of the due diligence that uh is needed. So your job is very important, right? So then there's the key factor is having the right GC uh on your project, right? Having the right architect, and then making sure that that GC has the right subs. All of these professionals are gonna be working on your project, and nailing that down uh is gonna be very important, right? So how I like to look at it and how I like to coach it is the developer coaches or is over the professional team, right? We hire professionals, that's just kind of how we we we we structure our our our program and how to get projects off the ground, right? So very uh I truly believe in that, right? So and then also too on the backside, getting a certificate of occupancy. What are the things attached to going through all of the hurdles and then getting a certificate of occupancy so someone could actually live inside the dwelling is going to be very important? So let's kind of dive into some of the steps attached to uh getting the um project off the ground. So let's talk about pre-construction planning, right? So some of the things that are very important is doing the right due diligence and and and and permitting attached to uh the project. What are some key factors that are important in doing the right due diligence? Right? So you have things like to topography, all right. Is this are the slopes off? How is the water gonna run off the properties? Is it sloping and running towards where the property is gonna sit? Do you need to bring more dirt in to get the the land flat? Uh, all these things are gonna be very important, understanding what is gonna potentially cost to get this project off the ground. Also, knowing and understanding the the soil types and what's gonna be necessary to uh build your particular home, duplex or you know, fourplex, is gonna be important too. So having uh soil samples, also having a land survey so you could understand the boundaries that are attached to um your your project and what are your limitations, right? So understanding your city zoning and uh maximum heights. So these are all things are gonna be very important in the pre-construction planning process that you cannot overlook, and you have to make sure that you truly nail those things down. Also, making sure that you have a scope of work that is highly detailed. I cannot stress this more uh enough, is having a highly detailed scope of work will save you time, money, and aggravation on the backside because it's going to be very clear to your general contractor what's in the scope, what's out of the scope, what are you gonna pay extra for? What did you miss? What did you uh need to account for? Right? I cannot stress this uh enough, and that's why it's very important that you nail those things down and pre-construction planning, all right. Budgeting and pro forma alignment, right? So, how do you obtain a construction loan? And also, too, uh, with your pro forma, how do you submit that proforma to your investors so they can see a clear vision on what is this project going to cost? What is the land going to cost? What are the fees attached to this, right? So these are the things that are going to be very important in the pre-construction planning process to make sure that you get your project off the ground and without uh any hiccups, all right. So, also too, understanding what a Gantt chart is. You're probably saying, what is he even talking about? What is a Gantt chart? So a Gantt chart plans out the project step by step from concept to completion, and there's different bars attached to it and time frames on on uh in timelines, uh, and and it looks like a bunch of different stair steps, right? So that's what a Gantt chart looks like, and but everything is is defined exactly how much time you're anticipating you're gonna take in each phase. So knowing what that looks like, knowing how to read a Gantt chart, right? So, you know, I I I truly feel like a great investor will know this type of information. Do you need to know it walking in to do your first deal? The answer is no. But if you know how to read these types of things, you could avoid things like people taking advantage of you or certain things being missed, right? And all of those those things are going to be important in saving you money, so you know, understanding that. So also too, building the right team, right? So, like I said to you before, is you manage a team of professionals, and who are the key players, right? How do you vet for a contractor? Right, how do you how do you hire the right subcontractors? Having a vetting process, right, which I have a very thorough vetting process, and having a questionnaire for the the contractors that are gonna be coming on site is gonna be very important in understanding that uh as well. So, what are some um key clauses that you need to have inside of your contract to make sure that you're properly protected, and then you also uh have your draw schedules set up in a way that you're protecting yourself? Those things are gonna be very important, right? So uh account having the right accountability steps, all right. So are you meeting with the contractor weekly? Are you meeting with them you know monthly? Are you doing site site site um supervision? Who's responsible for those those things, right? Uh do you have apps or you know, um software that's tracking all of this information? These are things that you may not know or understand, but because I do this each and every day, I understand the importance of having this level of detail and having a pulse on your project at all times, right? It's gonna alleviate a lot of the pressure that you're facing when you are trying to raise money and supply information to your investors and you know, also coordinate the job and coordinate the details, all of these things are gonna be very important. So, um, also too, let's talk about uh construction scheduling and project management. Like, what do you need from a project management standpoint to truly get this project situated to stay on time and on budget, right? So, understanding what construction looks like and uh also understanding what construction doesn't look like. So that's why I post these videos that you see uh in my group is because I want you guys to see and know and understand the steps that are that are necessary to get certain parts of the projects done, right? And if you don't know what that needs to look like, you have no idea, you're not prepared, right? So we go through a whole process and take you through a whole home development um video series that shows you exactly what it needs to look like, so you know exactly what to kind of prepare for, right? So understanding what construction uh construction management looks like and construction schedules, also managing inspections and improvals, right? What are the what is the inspection schedule? How long does it take? What are you inspected to what are you expecting to to do during this process to make sure that um there's no bumps in the road? It's gonna be very important, right? So dealing with change orders, how do you structure change orders? How do you accept them? How don't how don't you accept them, right? I personally hate change orders. I hate change orders as a contractor, and I hate change orders uh as a client because they add time to the project, right? So, how do you avoid uh a lot of these hiccups on the front side and not have these change orders is called preparation, right? So that's how you do it, and also too, not changing your mind. That's gonna be very important in understanding. Don't change your mind during a project, uh nail down the pre-construction planning process, and you'll never have an issue with change orders, and your your project will sell uh very, very easily, very quickly. So uh what what are daily logs? Right, what are punch lists? What are site site supervision hacks that are are are needed to make sure that you have eyeballs on the project uh at all time, right? So, who who's going to put together the punch list for you? Uh how to have the right site super, you know, vision over your project, right? Uh obviously the contractor is your main go-to, but as you grow and as you're busy and as you're out of town and as uh a whole bunch of life things are happening, it's gonna be important for you to to know and understand and have the right site supervision is gonna be absolutely important in getting your project off the ground, right? So let's talk about budget control and draw management, right? So when you set up your your contract uh language with your contractor, it's gonna be very important that you have the right draw schedule and um and management process uh in in tech, right? If you are getting uh a lender uh on your project, they're gonna have certain requirements that you need to abide by um to access certain parts of the of the funds, right? They're gonna have certain inspections that need to be done before you can go to the next phase and then before you can access more of the construction loans, right? Also, too, if it's self-funded, you probably won't want to keep the same process of draw schedules attached to your project, right? These are the types of things that you need to know and understand at a at a in-depth level to avoid you getting taken advantage of. So managing payments to subs and vendors, and then also to having the right um, you know, measures in place for cost overruns and also getting through um through the project as well. It's gonna be very, very important for you to know and understand, you know, what that is going to look like for you, right? So having also too having a quality control steps involved with your your project is gonna be absolutely important, right? You want to make sure that you don't just allow someone to provide you with any type of construction uh finish, right? Your name is on the line, your name is being represented as a developer. You want to be attached to quality. Sometimes the big conglomerate developers are not attached to quality, attached to speed, and getting in and out of the project, they don't really care, they have public funds. You cannot afford for your longevity to operate like that, and it's gonna be important that you have the right quality control steps in there, and then also to by having that, that's going to also minimize your risk, right? We always want to manage our risk, right? So, also to having the right job safety, and what happens if someone gets hurt on your project, right? Having the right insurance, all of these things are very important, a lot of things you need to think about, right? So, to become a developer, they're just not handing you this large sum of money. You you're you're handling a lot of tasks, right? And because you're handling a lot of tasks and you're also creating all of this value, that's why you get paid, right? But you have to go through some stuff to get there, right? It's not gonna be um, it's not gonna be easy, but we try to make it uh as easy as possible by giving you the right information and giving you the right steps to get you prepared, right? So that's gonna be very important. So also managing warranties. If you're the developer and having that right warranty from the contractor, and then now they have a go-to if something pops up down the line, right? Because you're providing a warranty for the person that's going to buy it, uh, and having those uh those callbacks and those checklists attached to um what happens in the process of you know uh selling a home, it's gonna be very important. So, what's under warranty, what's not under warranty, and then how do you handle callbacks? These are the types of things are gonna be very important in getting your project off the ground, right? So, also lastly, uh we talk about final inspections and closeouts, right? What are the final walkthrough steps and then what are punchless items that are are very important to getting your project completed at a high level, right? So obtaining a certificate of occupancy, uh closeout documentation with warranties, manuals, and and lien releases, these are all things are gonna be important. Also, too, if you are buying and holding, having the pri the right property management team to manage your asset long term, these are the types of things that are gonna be very important, and you need to think about in advance when you're launching your project, right? So, you know, I gave you guys a lot to think about if you're gonna take on this type of project, right? And I do want you to win, right? So uh I'll continue to bring and add value to you like this in this particular group. If you ever have any questions, don't be shy. Uh, I don't bite. Uh, I'm a wealth of knowledge, I love I love helping people. If you want to inquire about our program, there'll be a link in the description, and I'll I'll be happy to serve you guys in that way. Outside of that, have a great day.