Understanding commercial real estate
In the world of business and to ensure the longevity of any thriving economy, commercial property is a necessity. It solidifies the need for constructive industry and also provides the property market with opportunities to generate profit-inducing sites.
What is commercial real estate?
Vacant land that can be used for the purpose of commercial property is always in high demand. Big corporations and independent businesses often look for premises that can be tailored to their specific industries. Existing commercial properties are used to provide a functioning business space and are often leased out by different companies. This can be used for office spaces, shared workspaces, business head offices, retailers and much more.
How to buy land for commercial property
Aska Property Group specialises in identifying key areas for sale. These areas can be used for successful commercial properties. Our knowledgeable team of experts can assist you with the plotting and planning of the construction once a site has been finalised. The advantages of having a brand-new commercial property are endless. Newer buildings feature improved accessibility and have the opportunity to be more aesthetically pleasing. Custom-designed commercial buildings hold more weight in the corporate real estate sector, as they come with unique capabilities and concepts.
It's imperative you find out the potential revenue that buying land for commercial use can yield. As land is an appreciating asset, it would be wise to shop around for the best fit for your intended property before committing to a construction design. Buying land for commercial use can diversify your property portfolio and provide a reliable source of passive income.
What you should look for in a commercial investment
Research the details and leave no stone unturned when it comes to funnelling time, resources and money into this decision. Select the location of the land intended for building the commercial property, zoning laws and the correct amount of space needed. Consider additional factors such as parking space, loading areas, greenery, storage rooms and more.
A thorough analysis of the market your commercial property will target and the value it will bring to the community or city it is situated in is essential. A vital component of any business is the projected capacity of its commercial property. The knowledge of having maximum output to operate at a high level is advantageous to potential investors who are looking to buy brand-new commercial property. Therefore, purchasing land in a recommended location and erecting a quality commercial property is a surefire way to expand your profit margin.
The average return on commercial property investment
Any investment on this scale is embarked on with the goal of increasing revenue and gaining financial interest. The return on investment with a commercial property averages around 5%-8% per annum. Considering the amount of time spent adhering to municipal and zoning regulations, construction services, business licenses and so forth, most initial commercial property investors usually only begin seeing returns 14-18 months after total completion.
Let Aska Property Group help you
Commercial real estate is an industry that requires insight. Future-proof your investment by consulting one of our property practitioners today. By discussing your goals and objectives for a commercial property, we will pinpoint the exact location and type of land you need. Take your success to the next level with a lucrative commercial property investment. Contact us now.
07 Dec 2023
Author Aska Property Group