C
ommercial development is
a unique industry. Different
from residential, commercial
real estate professionals deal with
larger projects, higher risk and more
complex technical disciplines.
But at the same time, business is just as personal.
That's why those who develop careers in commercial
development typically have great people skills and are
business savvy by nature. So, it seems a little contradic-
tory to say that commercial development partnerships
are destined to fail – but that's what I'm saying.
And I'm not the first to say it. In an article titled,
"The Nuts and Bolts of Real Estate Joint Venture Part-
nerships," Jonathan Farrell writes, "While it may seem
counterintuitive, all parties [in a partnership] should
start by looking at their exit strategy."
Why partnerships
in commercial
development
are destined
to fail
By Matt Burgess
Oftentimes,
partnerships develop
under the assumption
that by working
together, individuals
can achieve what
neither can do
independently.
37 JULY : AUGUST 2016 — COMMERCIAL CONSTRUCTION & RENOVATION