Property Acquisition
The first step of every project is finding the land.
Every successful real estate development begins with acquisitions — the process of identifying, evaluating, negotiating, and securing development opportunities. A disciplined acquisitions strategy helps reduce risk and position projects for long-term success. Finding a great site for development in established neighborhoods can be extremely competitive and requires patience and persistence.
Market Evaluation and Site Search
The process starts with identifying strong markets and submarkets based on factors such as land prices, rents, walkability, schools, transit access, retail activity, and future development trends.
Once target neighborhoods are identified, Stack searches for sites with the right zoning, size, and redevelopment potential. Opportunities may come through brokers, land databases, direct outreach, or simply walking neighborhoods to identify underutilized properties.
Underwriting and Financial Analysis
After identifying a potential site, Stack prepares a preliminary financial model to test feasibility.
Revenue assumptions are based on market research, including comparable rents and sale prices, while cost assumptions include construction, consultant fees, permitting, financing, and contingencies.
Seller Engagement and Negotiation
If the site appears viable, Stack begins discussions with the seller or broker to understand pricing expectations, timing, and any site constraints.
Negotiations focus not only on purchase price, but also on securing enough time for due diligence and feasibility review. Once terms are generally agreed upon, the parties execute a Letter of Intent (LOI), followed by a formal Purchase and Sale Agreement (PSA).
Due Diligence
During due diligence, Stack hires consultants to evaluate the site’s physical and regulatory feasibility. This may include environmental studies, surveys, geotechnical investigations, title review, and preliminary design work.
A strong acquisitions process combines market knowledge, financial analysis, negotiation strategy, and technical due diligence to ensure projects are positioned for successful execution.