The business model of real estate developers is a “project-based” business model. They constantly need to find land for development and sell what they have built to yield revenue & profit. This revenue model can be “lumpy” and it is difficult to maintain a consistent yield. As such, many real estate developers have property rental, management & maintenance businesses to provide more consistent revenue & cash flows.

Will we ever see a “printer” business model for real estate developers – where printers are sold at low prices and ink usage provides a more consistent stream of revenue & profits? Perhaps some business model innovation may be helpful here to address the ever rising costs of property in every country.