1. Assemble the right historic redevelopment team

This is the single biggest piece of advice we give anyone considering a historic redevelopment project. Although many owners believe they can do it with little to no outside help, the historic redevelopment process is very complex and nuanced. You need an experienced team to guide you through the process in order to get things done and done right.

Professionals you should consult throughout the development include:

• Attorneys
• Accountants
• Architects
• Tax credit consultants
• Environmental experts

The list goes on and on. That’s why so many owners trust a historic real estate development consultant to manage the process and development team for them.

2. Add 10-15% to any estimates

You can’t always predict the unexpected, but you can prepare for it. As you scope out your project costs, give yourself a little extra financial leeway. There are countless obstacles that could come up during development and each one carries a cost that adds up over time. We once worked on a project where we discovered historic artwork on the walls during construction. The artwork had to be protected and the unexpected change of plans ended up shifting the project’s bottom line.

3. Make sure you’re in it for the long haul

Restoring a historic building is not only a significant financial investment, but also a time investment. If you’re using a historic rehabilitation tax credit at the federal or state level, you’re barred from selling the building for at least five years. That means you’re on the hook for the building’s upkeep long after completing its redevelopment. A historic project simply isn’t suitable for a developer or owner looking to get a quick return on investment.