A business plan for establishing of the Center for Real Estate Research and Training

Abstract

The scope of the project was very broad: from inception to establishment of the organization and registration as a legal entity in Armenia. The group was working on the project which consists of two stages: planning and implementation. The logic of this project is based on the understanding of the following problems which Armenia faces today: The lack of research and information in free market real property concepts and practice The relatively small number of professionals relative to significant economic activity and the absence of any method to qualify reputable real estate professionals among the great number of informal practitioners. These problems are considered as major ones because of the growing real estate market, the growing number of participants involved in related activities. In other to consolidate possible actions concerning the above stated problems and to find solutions, there is a need for an institution which would persistently provide information support, research, education, and certification assistance for real estate market participants. This will help the real estate sector to develop consistent with the overall changes from a planned to a market economy. The mission of the proposed “Center for real Estate Research and Training” (CRERT) is to provide accurate and objective information about the entire notion of real estate in a market economy to individuals, the public sector, private and non-government organizations involved in real property through organized teaching and certification programs, special seminars and printed materials based on the experience of developed countries and the information collected and generated internally. Additionally, programs to provide public education and information to the average consumer will also be initiated. The significance of the project can be realized while considering the following factors: Private real estate is a new concept; Real estate touches all levels of society; Real estate is widely accepted as collateral for capital loans. Therefore, the goal of the group was to plan, establish, and initiate operations of a legal entity in order to advance research and he education sector of real property and promote legitimate and fair business practices in real estate activities through preparing professional brokers, appraisers, and real estate specialists. In order to test the concept, create a basis for market requirements and identify opportunities, define the best way to organize the activities and develop the business plan, the group has conducted a survey of professional option of the people involved in real estate practice. The first part of our questionnaire includes the questions concerning the need for such a “Center” and the possible issues proposed by the respondents which the Center will address. The results of the fundamental part of the questionnaire indicate that all respondents feel the necessity of the creation of the Center and suggested numerous activities for it. The referenced survey findings and conclusions based on them helps us to propose the following recommendations about possible action while creating the Center, and the objectives and activities for the Center after its creation.