For Office Use Only Real Estate Development &Amp: Fill & Download for Free

Because billionaires are not made by earning/saving a penny at a time.They are made from creating something whose value grows rapidly. It can be a company—such as Uber, whose value grew from $0 to $40 billion within five years. It can be an office or apartment building—such as 15 Central Park West or 432 Park Avenue in New York—in an area whose value is rapidly increasing. It can be an infrastructure component—such as a railroad, web service, or telephone network—that enables the rapid creation of a great deal of value by other people.One way to create value rapidly is through the concept of leverage. That means using a small amount of money to make a large amount, similar to the way that a lever allows a small effort to lift a large load.As an example, let's take a real estate development project*. Let us say that it costs $1 million to build a new building. The developer borrows $900,000 from the bank, and puts in $100,000 herself. When the building is finished, it is sold. If it turns out that the market value of the building is $1 million, the bank loan gets repaid, the developer gets back her cash, and no one has made or lost anything. Otherwise, the concept of leverage comes into play:If the building ends up selling for $1.1 million (only a 10% increase over its cost), the developer pays back the $900,000 loan and pockets the remaining $200,000, thereby having doubled her money.But if the market doesn't work out as hoped, and the building ends up selling for $900,000 (only a 10% decrease from its cost), the developer has to pay back the same $900,000 loan, and is left with...nothing, having just had her entire investment evaporate.That's why highly leveraged business investments can both make or lose a lot of money very quickly.*For the purists, yes, I realize that this is grossly oversimplified, and doesn't take into account important factors such as interest on the loan, but the goal here is to illustrate the concept of leverage, rather than provide a finance tutorial.

I can tell from your question details that you have some experience and you certainly seem to be articulate and intelligent in real estate and in general.I think your ideas are indeed feasible. You could even take it a step further and find a commercial building that could be converted to residential use so as to be entirely repurposed and reinvented.You will make mistakes. When I first started out in real estate, I converted a 50,000 sf distressed industrial building into a flex commercial building. I built-out a 10,000 sf section of the building into offices and signed a ten-year lease with a new tenant at three times industrial rents.Pretty good deal, eh? There was only one problem: the building department would not give me an occupancy permit! They wanted me to add 50 parking spaces to the property, which was the difference between parking requirements for industrial use and for office use. Long story short, I ended up having to spend over half a million dollars to buy an easement for parking at an adjoining property, or lose the lease. I didn't really know what I was doing.So by all means do proceed. But do it carefully.

My dad is a senior IRS officer, specifically Income Tax Commissioner, who is posted in Mumbai. Mumbai is the economic capital of India, therefore it has the most number of Income Tax Officers. My dad is an honest and hardworking officer. He leaves home by 8:00 am and returns by 7:00 pm. He lives simple, he owns 4 pairs of trousers and ~10 shirts, some of them are 10 years old. We have old furniture some of which is older than I am!. Some experiences/ perks are:Being in Mumbai he gets to meet all kinds of people, rich real estate developers, Bollywood stars, and even Cricketers. He assessed Sachin Tendulkar a few years back, he even visited him at his house in Bandra. He doesn't let us come with him, as he thinks it is unprofessional. He has also assessed Priyanka Chopra, among many other bollywood stars.Gets to live at Pedder Road(Carmichael Road to be precise), a few buildings away from Antilla, Ambani's home.Just a random fact, Ambani doesn't stay in Antila, due to Vastu Shastra, his astrologer suggested against it(citation needed).The cost per square foot here is ~1,00,000/-. Something we could never afford.​Gets a comfortable chauffeur driven car for daily transport. However the cars are usually old and not very well maintained. It has a board which says "On Duty Commissioner of Income Tax". My dad doesn't care. We aren't allowed to use the car, we don't own a car of our own, we use the public transport such as the BEST buses, and the local trains.He usually gets invited to parties, so our weekends are quite happening. We are often invited to movie previews, and every year the Income Tax Colonies host amazing Navratri Parties, (sometimes even bollywood stars attend it). We also go out a lot to eat, my dad is a big foodie.Being an IRS officer, there is no political pressure, and his job is over after he comes home. He seldom works at home, however during ITAT assignments, and in March, he is swamped, so he would often bring files home from work.He is a member of the Bombay Gymkhana, which is an invite only club, and hence membership is hard to come by. It is also one of the most expensive clubs of India, also one of the oldest. He is a member because they have quotas for government employees, and have lower fees for them ~1000/- per month.He gets an LTC every two years, however since the past 4 years we haven't been able to travel anywhere since my dad is busy.Over all his life is relaxed, and he enjoys working here.