Investiční záměr – developerský projekt

This thesis focuses on presentation of a specific type of investment projects, namely real estate development projects. The work in its introduction defines the development project, the main types of development projects and the process of implementation of the development project in the context of the Building Act. Attention is also paid to the current situation of the real estate market in Prague and current development trends. Subsequently, this thesis also describes the main indicators of the real estate market monitored by investors during the development process, due diligence process, as well as commonly used valuation methods, which are essential for investor’s decision-making process and evaluation of the effectiveness of real estate projects. The findings from the theoretical part of the work are then applied to a practical example of a real development project in Prague, where the decision-making process about project implementation is simulated. Practical part of this work focuses primarily on creation of complex financial model, with a target to evaluate project’s profitability. Developer’s project solution is then confronted with an alternative investment proposal for development in the area, in accordance with the zoning plan. In the end, both possible solutions of the development project in area of interest are compared and the best solution for the investor is being recommended.