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by golergka 684 days ago
Imagine that you own an empty lot. You could build something there yourself, but you don't want to bear the risk and manage it because you've never done it, and you don't have funds to do it. Why wouldn't you offer somebody else to do it for a fixed monthly fee?

On the other hand, imagine that you're a developer. You know how to build and sell, you've been in the business a long time and confident about your ability. But you don't have enough money to buy a piece of land AND build. Why wouldn't you rent land instead and then pocket the profits?