Have you ever imagined why lots of corporate organizations work with real estate developing companies?
If you have never given it a thought, you should rule out the expense as one of the reasons. This is because many of these corporate organizations can afford to get the property themselves and develop it.
However, they understand that there is a huge advantage in working with real estate developers. Although there are several reasons, one of the major reasons is that these developers have a good eye for settling just in the perfect location.
Many corporate organizations that do business with them understand that it is good for business. This is just one of the reasons as stated earlier. If you are interested in knowing more about this, you can visit: https://www.encyclopedia.com/economics/news-and-education-magazines/real-estate-developer
The general understanding is that working with developers has turned out to be a better decision for many organizations. However, this is not always the case. Considering the cost of renting, leasing, or even buying commercial properties from these developers, you just have to get it right.
This is why this article intends to discuss some features of a good commercial property. We will focus more on the property than the developer because that is what people should be more concerned about. We strongly advise that you follow through to the end of this article and pay rapt attention given the relevance of this subject.
Features of a Good Commercial Property
Renting, leasing, or buying the wrong commercial property from real estate companies should be avoided at all costs. This is because of the cost implications and other things that are at stake.
In light of this, we all need to be well equipped to know just the right commercial property to take advantage of. In the bid to help out, listed and explained below are some expected features of a good commercial property:
A Good Location
This point was brought up before any other because it is very crucial. It is even easily the biggest deciding factor in how good a commercial property is. This is why this point has to be taken seriously.
Having established this, you should only settle for options that tick the boxes as far as a good location is concerned. This is very important as the aim is to get settled in a place that can be easily located.
To make sure of this, the property should be situated in an easily accessible area. This means that it should be close to a major transportation network. You should not only be concerned about the cost as this matters a lot. This is especially in the long term.
Other than this, you should also consider the area at large and its peculiarities in terms of zoning numbers and population. Having a shopping mall in a property situated where the population is very little will defeat the purpose. This is because you need more people to patronize the mall and they are going to come from the surrounding areas for the most part.
Furthermore, you also need to think about corporate competition when making a choice. This is because it determines a lot as well. As the owner of a café, you might need to rethink settling in a commercial property that already has 4 well-known competitors.
In the same vein, the businesses already in the commercial property can also help in more ways than you think. It has become a convention to have cinemas situated close to shopping malls for instance.
This is because people that frequent these malls sometimes see the need to have some extra fun in the cinema. So, you should think about the businesses already situated in the commercial property and how they can help your business thrive. This is something to be considered before sealing the deal with the real estate developers.
Track Record of the Developers
We did explain that the emphasis should be more on the property and less on the developers. But like it or not, we have realized that some developers are known for doing a good job developing and owning commercial properties in strategic locations.
Sometimes, the secret is keeping tabs with them and taking advantage of properties under their care. However, this does not rule out the need to pay attention to other things like the location, cost per value ratio, and other things.
Speaking of developers with a track record, some names usually pop up as they have become household names in the world of commercial real estate development. Some of them include Stephen A. Schwarzman – Blackstone Group, Douglas Ebenstein – Capital Commercial Properties, and Hamid Moghadam – Prologis. These are just a few as there are several others.
The whole point here is to pay some attention to the company that owns the commercial property. Make sure they have a positive track record. Some developers have a track record of demanding a lot more than their properties are worth for instance.
A good location and developer are crucial in identifying and choosing the right location. However, there is more to making the right choice. One of the other things to put into consideration is the infrastructure in the commercial property in question.
Like it or not, a property that lacks essential infrastructure can be a turn-off for your established and prospective clients. Let us see an example to further buttress this point.
Imagine you run a spa and you have to settle for an office on the fourth floor. Being stationed as high as the fourth floor is not the main issue. It is the provision by the commercial property developers to aid access to that part of the property.
As a result, it is expected that a functional elevator and/or escalator is in place. The developers must see to it that these infrastructures are always in a good state. This is so that your business will not be on the line. Frankly, this boils down to working with the right commercial property developers as explained in the point above.
We have discovered that investors in the real estate market seem to pay more attention to where they are investing. Well, this is an approach that businesses that deal with real estate companies should equally take. We have shared how they can go about this here. For more on this subject, you can click here.
The three points discussed here will go a long way in helping you find and get the right commercial property for your business. This is why you are advised to take them seriously going forward.