The Secret of the Developer's Success

8/6/2008


The secret of the success of big real estate developers is their ability to maintain their projects even after selling them off.  It is not just the “Location, Location, and Location” that sells real estate; but likewise the reputation of its developer. If the company is known for the upkeep of its ventures, it is bound to have a steady future marketing them.

Like a savvy buyer, the general public would like to now if the product being foisted on them will stand the test of time.  Or will it just fade away like an old t-shirt? These days, they double check the track record and background of real estate developers before plunking down their hard-earned money. It goes beyond merely knowing that the developer can deliver the goods, i.e. build the infrastructure, but can they --and will they --sustain and maintain it? Although it is important to know the wherewithal of the developer, and his caliber, the market wants to make sure that the development and its surroundings will still be good even after several years.

If they have already had a bad experience with a developer, or have heard rumors regarding a lapse in past dealings, they would certainly not buy again, nor would they keep quiet about their dissatisfaction. A successful developer, or any business person for that matter, knows that repeat customers account for a substantial market share.  Our architectural design firm, for one, focuses on only a few choice clients, and maintains a hearty long term relationship with each of them. Such a relationship can occur only if the service provider can offer customer satisfaction, or better yet, customer delight. This means a continuous drive to give better service, a proactive stance, maybe more than what the client expects.

On a recent weekend breakfast ride, I shared such a discussion with Mr. Tom Clemente, who is the President and General Manger of the Sta.Lucia Property Management, Inc. (SLPMI). SLPMI manages and operates the Club Morocco Beach and Country Club in Zambales, which is a Moorish themed resort community development overlooking Subic Bay. According to him, the club, which was developed in 2002, is now undergoing upgrading and renovation as part of the company’s commitment to its shareholders. The envisioned task would include the refurbishing of the casitas, enhancement of the landscaping, and, possibly, the addition of more swimming pools. A number of sports facilities would also be worked in to ensure that the members are able to enjoy a healthy lifestyle, without sacrificing exclusivity and privacy.  Of course, there is the continuous maintenance and improvement of the beach area.  And with the fast paced growth within the Subic base, SLPMI is making important adjustments, so that Club Morocco can remain at par with the dynamism in the former naval base. However, in contrast to the hustle and bustle inside Subic, with restaurants and hotels operating close to each other, club members will still have their corner of peace and tranquility just 30 minutes from the base’s perimeter. At the same time, the lure of Subic’s nightlife can easily be reached, so the members can have the best of both worlds.

With conscientious developers like SLPMI behind them, property owners and club members can be assured that theirs remains a viable investment through the years.