Top Trends in the Commercial Property Space You Need To Know About
If your business usually invests in commercial real estate or is currently looking into purchasing some commercial properties, you may want to research current industry trends before proceeding. The commercial property space is generally a consistently strong market. Understanding the ins and outs of the market can help you make the best possible purchase. As you begin shopping for different properties and exploring your desired real estate market, keep these trends in mind.
Mixed-Use Commercial Property Purchases Are Becoming More Popular
If you’ve been researching different types of commercial properties currently on the market, you may have already discovered that mixed-use properties are becoming increasingly popular. These properties generally allow for not only stores and other commercial spaces but also medical offices, warehouses, and even residential areas. If you’re interested in getting the most bang for your buck and you’re searching in an area that allows for mixed-use zoning this option could allow your company to lease out space to many different types of businesses and other lessees.
Many Prospective Buyers Are Purchasing Properties With Financing
Unless your company already has enough cash reserves to purchase a property outright, you’ll likely need to secure financing such as a commercial mortgage to afford your property purchase. This is the case for most prospective commercial property buyers, given the large price tags usually attached to these spaces. Some of your top commercial financing options could include:
- Small Business Administration, or SBA, loans
- Fixed-rate or variable-rate commercial loans
- Bridge loans
- Hard money loans
- Business lines of credit
More Companies Are Investing in Real Estate as a Valuable Asset
Even if your company isn’t interested in leasing out a commercial space right away, simply having real estate in your portfolio could prove valuable. These properties can be essential assets that:
- Provide consistent cash flow and a unique source of income
- Potentially provide a range of tax benefits
- Give companies a hard asset to show to potential investors and backers
- Leverage property equity over time
Whether your company already owns numerous commercial properties and is looking to expand its portfolio. Whether this is its first time dipping into the commercial real estate space. It is important to understand the most prominent trends in the market to successfully invest in the right property. Keep an eye out for mixed-use properties. Explore all your financing options and look at real estate as a company asset to prepare for your upcoming real estate search and eventual purchase.
Seek Expert Assistance
Contact Green Apple Funding for commercial real estate financing solutions.