Differences between smaller and larger real estate developers?
Hi,


My family is a local real estate developer using our own capital. We focus primarily in ground-up retail, but have done some retail rehab work in the past. Lately, I have been giving a lot of thought to taking the first steps to starting my own development firm, but am not sure where to begin. Some of my ideas to move us in the right direction have included: headhunting some senior level RED managers that know what they are doing, reading books/taking classes, putting together our track record to network like crazy for an investor pool, (Which I would love some input on how to find more of), and possibly even using my experience to get a job at one of the big boys and seeing how it’s really done (I’m in my mid 20s, would love input on how developer’s could view this experience).  

Basically, Id love some direction towards resources that explain how to professionally analyze and assess potentially heating markets, acquire investor pools, and do basically everything else a professional developer does. Thanks. 
[{"id": "e780nhd", "text": "You need to go work for a developer doing those things. Starting your own firm now would be very tough. How much capital would you have if you started now?  What would be your monthly burn?  You may go a year before you make any revenue. It can be done, I know because I've done it, but I worked for a small to mid size developer for 7 years first. ", "replies": [{"id": "e7813op", "text": "Do you think my experience makes me a more competitive candidate for a position at a dev firm? What position could I expect to receive immediately and how hands on would it realistically be? What information(s) was of most value to you that you carried over to your own firm? ", "replies": [{"id": "e7865xt", "text": "I would think your experience gives you an edge.  It\u2019s fairly common in my market for large developers and property owners to have their kids work in brokerage or at a large development firm a few years before coming back to take over the family business.  \n\n", "replies": [{"id": "e7875d6", "text": "Thanks for your response. How do you anticipate my experience in retail assisting or impeding my opportunities at, say, a MF development firm? I\u2019m curious as to if they would view them as different universes, at this level. ", "replies": [{"id": "e78rrbi", "text": "In addition to what they are saying, you should join your local Urban Land Institute and network with them. You might meet the right person and be able to jump into the right firm. ", "replies": [], "depth": 5}, {"id": "e7aky20", "text": "Jumping product type can be tough. Plenty of firms will just say no. But others will look at you and say \"you can do it for one, it's not rocket science to apply those skills to other product types.\"\n\nPut another way: you'll have an easier time joining a team that does at least some retail, both in terms of getting traction in hiring and in the offer (role and comp) they present to you.\n\nI wouldn't let it be an impediment, especially at your age. No reason to get pigeon-holed into a niche in your 20's.", "replies": [], "depth": 5}], "depth": 4}], "depth": 3}, {"id": "e78g1tf", "text": "yes, all experience is good.  Contacts are always the main thing in real estate and I built my business of the contacts I had made working for 7 years.  I don't know what type of position you could get but it's not unreasonable to think you could continue to work for your family.  How long have you been there?  ", "replies": [], "depth": 3}], "depth": 2}], "depth": 1}, {"id": "e781x7z", "text": "a billion dollars", "replies": [{"id": "e781zjy", "text": "Nailed it ", "replies": [], "depth": 2}], "depth": 1}, {"id": "e78gje6", "text": "While I agree you should try to learn from a larger development firm, you don\u2019t necessarily have to go work for one.  You already have an existing company (your family\u2019s) to work with.  Maybe instead of going to work for a larger firm you could work with a larger firm through a JV.  You could learn a lot from the firm while also having skin in the game.  ", "replies": [], "depth": 1}, {"id": "e78ldvw", "text": "When you say with your own capital I assume you're putting permanent financing on your deals right? I would not bother going to work for someone else when you could just scale up the family business. ", "replies": [], "depth": 1}, {"id": "e7957ov", "text": "You need to pick an a focus and get good at that niche. We do multifamily mixed use in urban and hospitality focusing on adaptive reuse and historic tax credits. It\u2019s specific. Start small and work your way up, it takes years just like most deals. It seems you have enough support to do small deal internally. I would start there. Do  a 1-2mm deal. Use realtyshares or friends and family etc if you need equity.\n\nGood resources: NAIOP, MFE, novogradac, ULI, I forget the retail group and hospitality groups now...", "replies": [{"id": "e7al7lz", "text": "&gt; You need to pick an a focus and get good at that niche.\n\n...or, branch out early in your career, gain a broad base of experience and skills, and then drill down once you hit your late 20's / early 30's.", "replies": [], "depth": 2}], "depth": 1}, {"id": "e7aldtl", "text": "Get out and join a reputable developer, at least for a couple of years. All the guys I know who now run their family business spent most of their 20's working for larger organizations - for the experience (learning best practices) and the network. It also allowed them to be appreciative of their family company rather than wondering what could have been. Gotta sow your oats, so to speak.\n\nThe company also benefits from having you get out, grow, and then return. More diversity of experience and perspective helps.", "replies": [], "depth": 1}]