What is the difference between a Private and Public real estate developer?
Sorry if this is an obvious question to some but I'm just trying to figure this out! Thank you!
[{"id": "i8w4c9k", "text": "Like a privately held company vs a fund or REIT that you can own shares in?\n\nOr private vs like a govt or non profit?", "replies": [{"id": "i8wzh68", "text": "Private vs a non profit, that's what I'm confused on", "replies": [{"id": "i8xgw4w", "text": "Non profit will typically do low income housing or community development work. The biggest difference is probably your capital. For profit usually have deeper pockets. Non profit will probably be more mission focused. \n\nI've worked for both. At the end of the day development is still development.", "replies": [{"id": "i90vrey", "text": "Thank you dude, seriously. This sub has a reputation for crapping on newbies and for you to make a difference really shows me there's still good people out there.", "replies": [], "depth": 4}], "depth": 3}], "depth": 2}], "depth": 1}, {"id": "i8w6a19", "text": "Do you mean one who develops for private entities vs gov\u2019t agencies?", "replies": [], "depth": 1}, {"id": "i8wmcrn", "text": "This can be read a few ways but I think the answer you're looking for is:\n\nPrivate developers are owned directly by their shareholders - often only a few individuals or companies - and are not listed on any public stock exchange. They may still solicit equity from outside parties to fund development, but the general partner or managing partner on their projects will be the privately held parent company.\n\nPublic developers are companies that are listed on public stock exchanges and can therefore be bought, sold or otherwise traded like any public company. These tend to be larger real estate organizations, and development may be one of many strategies they employ to create value. In the North American context, public developers are relatively few in number and often can be better described as REITs or real estate investment trusts which buy, build/develop, and operate properties for cash flow that can be used to fund more acquisitions and pay dividends to their shareholders. Prologis, Dream, Boardwalk, and Equinix are examples of REITs that engage in development as a strategy.\n\nIn other markets - particularly in Europe, Asia and Australia - publicly traded developers are much more common and are often true merchant developers in the sense that they focus on buying land, entitling, building and selling the resulting asset upon completion. Henson, Evergrande, and Greenland are Chinese publicly traded development companies.", "replies": [], "depth": 1}]