These Are the Hurdles MF Builders Must Scale

Bowden: “One of the greatest satisfactions we have is to contribute to local, micro economies.”

ANAHEIM, CA—From scarcity of developable sites to securing the local labor market, today’s apartment developers need to check a lot of boxes before committing to a project, JPI ‘s SVP and development partner, Western region, Todd Bowden tells GlobeSt.com. As we recently reported , the Texas-based developer has acquired 17.6 acres in the prestigious Platinum Triangle here with plans for a $364-million residential development. JPI is working with the City of Anaheim to entitle a three-phase, 1,079-unit, mixed-use luxury apartment community ( Jefferson Stadium Park ) directly across the street from Angel Stadium of Anaheim on the southwest corner of State College Blvd. and Gene Autry Way . We spoke exclusively with Bowden about how the firm chooses development sites and the challenges apartment developers face today. GlobeSt.com: How does JPI choose its apartment development sites? Bowden: Many factors go into how JPI chooses its development sites. Chief among them are that the land needs to be developable and free from encumbrances. Perhaps equally important, JPI seeks out projects that are supported by municipalities with a mutual vision to develop quality housing communities that will add value to local economies in terms of redevelopment , employment hubs and quality of life. GlobeSt.com: Is site selection made trickier because of the size of many of JPI’s projects?      Bowden: No, it doesn’t make it trickier; actually, larger projects are more efficient up to a point, but all projects have their own unique nuances. Whether it is 100 units in an urban area or several-hundred units in a less dense area, JPI always seeks to develop quality living experiences in diverse environments. GlobeSt.com: What are the greatest challenges apartment developers face today? Bowden: So, I would say, in no particular order: scarcity of developable sites; once sites are recognized, balancing entitlement risks—the time, effort, energy and capital to explore the feasibility of the development; construction cost inflation as potential projects go through the feasibility stage; cost-factoring affordable rents to sustain the development; and finally, securing the local construction/labor market—in an upswing economy , it’s a good problem to have. One of the greatest satisfactions we have is to contribute to local, micro economies. GlobeSt.com: What else should our readers know about apartment development? Bowden: We believe multifamily rental housing fills an important need in the fabric of many communities. Today’s apartment communities often offer significantly enhanced living experiences when compared to many of the projects of the past. Our projects are designed with the whole community in mind, and we seek to build vibrant communities within our own developments. We strive to bring residents, commerce and public spaces together for a unique lifestyle experience.