The real estate developer, investor, and serial entrepreneur emphasizes that challenges are inevitable, but working to walk in sync with the positive changes in the industry is key.
No matter how much development most industries worldwide make, what makes them grow from strength to strength is the number of challenges that arise every day, which helps entrepreneurs and business owners learn new things and implement them to better their businesses. Serial entrepreneur, real estate investor, and developer Ayodele Awoleye has optimized every possible opportunity in the business world. He went through several challenges and ensured to learn from them and implement them in his business ventures.
Ayodele Awoleye today has come forward to discuss a few challenges that he thinks exist in the real estate development industry.
He says luxury real estate construction in the US has been one of the most fascinating and vibrant markets. Many of the regions of the US have, over the years, attracted affluent and ultra-wealthy people, which has naturally resulted in an increase in real estate developers and investors.
However, there are a few challenges that he points out below.
- Economic risks at a higher rate:
2023 brought along its own set of new real estate development challenges. This drew people’s attention toward labor shortages, higher costs, increased insurance premiums, and volatility of the markets. Many real estate developers are also seen taking bigger risks in the face of a potential economic slowdown, which has hinted at higher rates of economic risks.
- Pressure for creating sustainable projects:
People have become more aware and knowledgeable about issues that concern the environment. Hence, home buyers prefer properties that follow guidelines of sustainability. However, this has put unending pressure on developers to create sustainable projects, giving them a moral push. Several developers are forced to combat the effects of climate change and do their part in reshaping cities with their projects.
- Similar priced- low-quality real estate properties:
Many developers across cities in the US have built great properties but have yet to put the focus on quality. However, potential property buyers and investors haven’t been able to distinguish between honest developers and those who build only for the sake of profits. The cheaply built, similar-priced properties have been a hurdle for genuine property developers.
Ayodele Awoleye (@ayo_awoleye) says there are several other challenges besides the ones mentioned above, like supply chain issues, environmental risks, and the increased competition in the real estate markets. However, with honesty and authenticity, he believes one can reach any desired level of success.
