By Indhira Desangles
Special for El Inmobiliario
When it comes to real estate development, location is one of the most crucial factors in ensuring the long-term success and security of any project. However, some obvious risks that can have catastrophic consequences are often overlooked. As a commercial realtor with experience in corporate and business projects, it is my duty to warn you about those locations where construction should never take place.
Below, I share some key examples:
1. Near rivers or bodies of water: Building in areas near rivers or bodies of water may seem tempting due to the views or accessibility, but these areas are often prone to flooding. The risk of structural damage, loss of property value, and difficulty obtaining insurance is high. It is essential to conduct hydrological studies before considering these areas for commercial or residential development.
2. Edges of hills or unstable terrain: Properties on the edge of hills, mountains, or steep slopes may seem attractive due to the panoramic views, but they present serious landslide hazards. Furthermore, even minor seismic activity can affect ground stability and compromise the building's safety. Investing in geotechnical studies is essential in these areas.
3. Fill Areas: Although fill areas appear to have been artificially leveled, they often lack the density and stability required for a solid foundation. These areas tend to become unstable over time, leading to subsidence or structural cracking. Projects on fills require additional investment in soil studies and specialized foundations, which could unnecessarily increase costs.
4. Low-lying areas prone to flooding: Building in low-lying areas implies a constant risk of water accumulation, whether from torrential rains or overflowing of nearby rivers. These areas often require costly drainage and flood protection systems, affecting both the economic viability of the project and its safety.
5. Steeply Sloping Terrain: Building on steep slopes can be costly and technically complex. Soil stabilization, architectural design, and drainage systems are just some of the aspects that increase the project's cost. Furthermore, the logistics of building and maintaining a property on this type of terrain are more complicated, often outweighing the potential benefits of the views or exclusivity they might offer.
So, where is it advisable to build? Opt for strategic and secure locations
Having identified areas to avoid, it's equally important to understand the factors that indicate where to build to ensure the viability and profitability of a real estate project. Here are some key aspects to consider when identifying ideal sites:
1. Well-drained and level land: Ground stability is essential. Look for soils that are not prone to water retention and that have a natural drainage system or adequate infrastructure to prevent moisture problems. Flat, well-compacted land is ideal for construction, as it does not require additional work to ensure structural safety.
2. Consolidated urban areas or areas of controlled expansion: Locating your project in areas with consolidated urban infrastructure or in areas of controlled expansion guarantees access to essential services such as water, electricity, telecommunications, and transportation. Areas with urban development plans often offer incentives to attract investment, adding extra value to your project.
3. Proximity to key infrastructure: Closeness to highways, ports, airports, or logistics centers is a major advantage for commercial and industrial developments. For example, in the Dominican Republic, the connectivity of the Duarte Highway and the ring road connecting Haina and Caucedo is strategic for the distribution of goods throughout the country, and even to the Cibao region or the eastern zone. Ensuring your project is close to these logistics hubs provides a competitive advantage in terms of access and mobility.
4. Areas with low geological risk: It is essential to build in areas not exposed to natural hazards such as earthquakes, landslides, or floods. Conduct geological and soil studies before starting any project. Areas with a low history of seismic activity or good topographic stability are the safest for long-term development.
5. Areas with projected economic growth: Real estate projects, especially commercial and corporate ones, should be located in areas with projected economic growth. Expanding cities or areas where increased demand for offices, retail spaces, or industrial buildings is expected are the most suitable for ensuring good profitability. Analyzing the urban development plan and local market studies will help you make informed decisions.
6. Sustainable Environments: A focus on sustainability is an increasingly valued aspect for investors and users. Areas that promote sustainability, such as developments near green spaces, with good access to public transport, and that encourage the construction of buildings certified under ecological standards (LEED, BREEAM, etc.), offer not only environmental benefits but also tax and reputational advantages for projects.
The success of a project begins with a good choice of land
Choosing the right location to build can make all the difference between the success and failure of your real estate project. It's essential to avoid high-risk areas, but it's equally important to identify areas with growth potential, good infrastructure, and geological stability. As a realtor specializing in commercial and corporate projects, I'm committed to helping you make informed decisions and ensuring your investment is in the right place.
The author is: A specialist in commercial and corporate real estate, with more than 20 years in the national market, and a member of the board of directors of the AEI.
