DevElements Framework

NewCity created DevElements™ as a systematic way to plan and manage projects.

The DevElements™ Structure identifies, at a high level, all the elements a project needs to run smoothly, and illustrates how these elements interact.

There are six elements in the DevElements™ Structure:

Our Structure Improves Your Outcome

  • Developer

  • Property

  • Capital

  • Transformation Team

  • Value Realization Team

  • Project Strategy

DevElements™ Structure

The DevElements™ Framework is a map of the world of real estate development. It's a mental model, a way to visualize the complete process and organize everything needed for the transformation. Read More

The Elements of Development

Every transformation project needs all six elements working together to be successful.

Developer
Element
Developer
Element

Developers are the engines of transformation. They gather resources, manage the process, and oversee a project from start to finish. They define the Project Vision and find funding to make it real. Developers assemble talent to produce a project, oversee execution, and ensure the finished real estate’s value is realized and returned to investors. A project doesn’t happen without a developer.

Element
Property
Element
Property
Element

Every project needs property, which can be sourced in different ways. Sometimes a property is already owned. Maybe it was inherited, or it’s an underperforming rental property. Of course, property can also be purchased specifically for development, like buying apartment buildings to convert them into condos, or securing a parcel of land for a new mixed-use project.

Element
Capital
Element
Capital
Element

Capital comes in many forms. At a minimum, most projects require a cash investment from the ownership team. Sometimes, a property already has equity value built into it, which can be used as capital in the deal. Often, additional ownership equity is raised from investors specifically for the project. And then there's debt, which can be lent to the project at varying levels of cost and risk.

Element
Transformation Team
Element
Transformation Team
Element

The Transformation Team handles four sequential phases: design, entitlement, logistics, and construction. During design, plans are developed by licensed professionals. Entitlement includes permit approvals and legal matters. Logistics are all operational activities that are not construction related. Construction includes office-based construction management, site management, and fieldwork.

Element
Value Realization Team
Element
Value Realization Team
Element

The Value Realization Team converts a finished property into financial gains for investors. It includes the strategic marketing team, which provides input for feasibility analysis at the start and determines how to price and promote the property at the end. The VR Team also includes sales, leasing, and property management groups, which put the building into service and maintain it for tenants.

Element
Project Strategy
Element
Project Strategy
Element

A Project Strategy is a specific approach for growing property value. It's designed to achieve a large enough increase to justify the costs and risks involved. It can include sale, rental, and refinancing tactics at the end of development. A clear Project Strategy helps developers choose the right property and assemble a team for successful execution; it’s crucial for project success.

Element

The DevElements™ Framework

Phases of Development

The DevElements™ Framework provides a complete picture of the property transformation process. From left to right, it maps the phases of a development project.

Hierarchy of Roles

From top to bottom, the DevElements™ Framework has four levels that show the hierarchy of responsibility and decision-making for a project.

  • Project Leadership is at the top. This person (or company) is responsible for bringing a project together and has final authority and responsibility for its outcomes.

  • The next level is Strategic Management, where the project’s most impactful decisions are made, especially regarding vision, priorities, strategy, and team.

  • Operational Management is day-to-day oversight conducted to make sure that the key decisions and operational tasks of the project are completed on schedule, on budget, and in line with the Project Vision and goals.

  • Finally, there's the Operations level, where hands-on tasks are executed to move the project forward step-by-step.

The higher you look on the DevElements™ Framework, the more decision-making occurs. The lower you look, the more hands-on tasks are completed.

In most projects, one person can fill multiple roles and function at different levels. For example, one team member could lead the project, select and manage the operational team, and sell the finished units at the end.

The Complete Framework

With the phases and the hierarchy as its structure, the DevElements™ Framework organizes all the sub-elements of the real estate transformation process.