Project managing risk in US and Canada CRE developments

Altus Insights Podcast Series

We live in contradictory times, demand for housing is at an all-time high. But developers across North America are struggling with a constantly changing environment that can inject risk from many different angles, entitlement approval, interest rates, supply chain, labor, construction costs, sustainability, climate change and the list goes on. To help sort this all out we’ve got two experts on these development risks joining us for the show, Faris Rehman, Director of Development Advisory at Altus, and Jack McGowan, Senior Director of Cost and Project Management at Altus.

Panelists in this episode:

· Faris Rehman is the Director of Altus Group’s US development advisory team. With over 20 years of progressive experience in construction due diligence, quantity surveying and construction risk management for project ranging in value from $1 million on $700 million in various roles. His career includes developing residential, healthcare, institutional projects and renovations for post-secondary and research institutions in US and Canada.

· Jack McGowan is a Senior Director for Cost and Project Management at Altus Group, responsible for the overall management and growth of Altus’ project management services including operations, strategic development and business development. Jack has been involved with managing and delivering large-scale construction and infrastructure projects for over thirty years and had experience with managing over $5 billion dollars in construction.

· Marlon Bray is the head of Altus Group's Ontario pre-construction and contract administration services as part of the Cost and Project Management team. With over 25 years of experience, specializing in budgeting, value optimization, and providing visibility on risk through the entire lifecycle from early due diligence through to completion. Marlon oversees a team that leads the way with cutting-edge estimating technology and data analytics, bringing a greater level of transparency, and added value to all projects he is involved with.

Key topics:

02:26 – Five key risks when assessing a development project

03:30 – Advice for mitigating the five key development risks

05:53 – How do the risks change when moving into a different/new area for development?

07:50 - What’s the advice for mitigating today’s volatility risks?

08:16 - Even as a veteran developer, how hard is it to manage risks on a development project that represents a completely new regulatory environment?

13:10 – How important is change management if you’re looking at doing a development in a new market?

15:37 – Do approaches to risk differ from region to region? North America to the Middle East?