The FORT Podcast: Steve Van Amburgh – CEO @ KDC – Developing The BEST Corporate Build-To-Suits in America
As the CEO of KDC, Steve Van Amburgh manages the firm’s strategic planning while coordinating new business development efforts. He also oversees KDC’s acquisition and development activities. Under his leadership, KDC completed over 154 corporate build-to-suit office and industrial projects valued at over $11 billion and totaling more than 37 million square feet.
We discuss:
– The process for developing corporate campuses for the likes of State Farm
– The state of the office and construction market
– Working with cities and municipalities as a developer
Listen on:
Spotify
Apple Podcasts
YouTube
Topics
(00:00:00) – Intro
(00:06:09) – Steve’s early career
(00:14:10) – Buying Koll Company
(00:22:47) – The importance of focus
(00:25:59) – How corporate campus deals come together
(00:33:00) – Negotiating the deal
(00:38:48) – Architecture and design
(00:42:46) – Budgeting and planning
(00:46:27) – The impact of change orders
(00:48:26) – When does your work on a project end?
(00:51:05) – The state of the market
(00:55:46) – Capital markets
(00:58:33) – Is there a market for these assets?
(01:00:24) – Max bid deals
(01:01:04) – What’s the hardest part of a project?
(01:03:19) – Brokers
(01:06:25) – How cities can help themselves and developers
Episode Summary:
Steve Van Amburgh, a seasoned real estate developer with decades of experience, joined Chris Powers on the podcast to discuss his journey in the industry, insights on corporate real estate development, and the current state of the market. Steve began his career in the construction equipment business, working his way up through various roles that provided him with a deep understanding of the technical and managerial aspects of large projects. This diverse experience laid a strong foundation for his transition into real estate, where he eventually became a key player in the corporate build-to-suit market.
Steve shared his early experiences at Romco Equipment Company and how working closely with service teams taught him the importance of understanding the core mechanics of any business. His move into real estate began with Las Colinas, where he managed non-core businesses before diving into development. Steve emphasized that a solid grasp of financial underwriting and project management was critical to his success in transitioning from leasing to development roles.
The conversation then delved into Steve’s involvement in KDC, a leading developer specializing in corporate office and industrial projects. Steve highlighted the importance of building a strong team and maintaining clear communication across all aspects of a project. He explained that KDC’s success stems from its ability to manage every component of development, from financial management to construction oversight, ensuring that all stakeholders are aligned and that projects are delivered on time and within budget.
Steve and Chris discussed the challenges of navigating the real estate market, particularly in the face of rising construction costs and fluctuating interest rates. Steve stressed the need for developers to be adaptable and to maintain strong relationships with financial partners. He also touched on the importance of focusing on core competencies, noting that KDC’s decision to specialize in corporate and industrial developments rather than diversifying into other areas has been a key factor in the company’s sustained success.
In discussing large-scale projects, Steve provided insights into the collaborative nature of real estate development. He shared how KDC works closely with city governments to streamline zoning and permitting processes, which are critical to the timely and successful completion of projects. Steve emphasized that a clear, predictable regulatory environment is essential for attracting and retaining corporate tenants, and he praised municipalities that have developed efficient processes for managing large-scale developments.
Throughout the podcast, Steve’s extensive experience in real estate development was evident. His emphasis on the importance of understanding every aspect of a project, from financials to construction management, provided valuable insights for anyone interested in the industry. The discussion highlighted the complexities of real estate development, particularly in the corporate build-to-suit market, and underscored the need for strong leadership, clear communication, and a focus on core competencies to achieve long-term success.
The FORT is produced by Johnny Podcasts