Real Estate Developers have expressed sentiments collected in the recently published Global Development Report by Knight Frank.
The report features responses from 160 global developers from 22 locations including Kenya, Tanzania and South Africa, revealing the pandemic’s impact on near-term housing supply and long-term design trends.
The survey revealed that real estate developers are mainly concerned about constraints to delivery, focus on technology, domestic demand and cities
We have hand-picked a few key snippets from the report for perspective to our audience:
- The biggest concern when thinking about future developments remains to be funding according to 30% of the respondents, this is followed by property market regulation/taxation (22%).
- Almost six in ten real estate developers globally have delayed projects in response to the spread of Covid-19, as the virus wreaked havoc on supply chains and prompted a wholesale rethink of how and where people want to live.
- Of those developers with delayed projects, more than four in ten are now making changes to designs that were once considered complete.
- 63% of developers revealed that their sales will be more geared towards virtual offerings such as 3D images, virtual viewings and walkthroughs.
- Following a period of unprecedented restrictions on movement, 43% said developments will be more sensitive to the requirements of domestic buyers while 50% said they will retain their current status.
- 45% of surveyed real estate developers will be looking to develop more in cities while 41% prefer a mixture.
- 77% of developers revealed they will be considering the use of advanced technology (telecommunications, internet connectivity and touch-free) in future developments.
- 76% said they will be considering including space for home office in future developments while 54% are considering more outdoor space.
- A third of global developers are considering adjusting the mix of residential and commercial elements in schemes.