If you’re looking to diversify your portfolio, incorporate real estate will help. Investing in commercial real estate gives you the chance to see large returns and future expansion. However, it’s important that you know as much as possible about a commercial property before you invest in it. If you’re ready to become a commercial real estate property owner, here is a selection of the 6 types of commercial real estate investments:
1. Offices Buildings
Office spaces can be a great investment properties in Virginia cities. If you live in a major metropolitan area or near one, you could invest in a high-rise building with many office units. A quieter town, a medical office with just one tenant may be more lucrative and less tenant to deal with. The best thing about investing in a smaller town is that tenants may sign longer leases because there isn’t as many options for them to move.
2. Retail Space
The majority of people consider investment in retail space due to a good long-term investment. Most businesses are looking to have a store-front exposure and retail space such as shopping center and shopping malls are a perfect example. You can find variety of sizes and shapes when shopping for a retail property to purchase. There are many advantages of investing in retail space such as high return on investment, longer leases and no rate on other expenses. As long as people have to shop, they will head to the supermarkets or the shopping malls with food outlets. Therefore, investing in strip-malls is still as lucrative as ever before.
3. Storage Units
Investing in self-storage can be an ideal way to secure tremendous cashflow without the headaches of tenants complaining. Self-storage businesses offer space-strapped clients a secure space in which to store their products they don’t need right away. Self-storage facilities have become big business; nearly most people use one of about 60,000 self-storage facilities. Investors generate a great revenues from these rentable spaces.
4. Land Investments
Raw land can be a lucrative investment for investors. There are several ways to make money this way. If the land is wooded, you can let logging companies harvest timber on the property. If it is farmland, you can let local farmers use the land in some way and earn money. When you’re renting your land you don’t have to deal with toilets, leaking roofs, pipes issues, broken faucets, and many other issues that come with owning a building
5. Multifamily Housing
Apartment buildings can be lucrative investment especially if there is a high demand for units. Investing in this type of commercial real estate will provide you a steady income. You need to consult the pros and cons of a multi-family investment property with a professional real estate agent so you can get a full education of what you are buying.
6. Industrial Property
Industrial property can include manufacturing buildings, warehouses and much more. These properties can be lucrative, however more time needs to be taken during the initial search in order to determine if you’ll be able to find tenants easily or not.Ultimately, the more research you do beforehand, the better your chance of succeeding when purchasing commercial real estate.If you are looking for a professional advise or representation on your next investment commercial property contact Fred Jafarzadeh here.