Investing in Commercial Real-Estate

Investing in Commercial Real-Estate

We know commercial real estate has a number of advantages over other investments, such as longer leases resulting in secure income streams and rents that can be agreed and substantially grown over time. On the flip side, finding the right tenant is critical to the success of your investment. We believe matching tenants to the right property and helping them conduct their business to generate success will translate in a good long term commercial property investment.

Anyone considering investing in commercial property has a number of choices.

  • Land
  • Industrial
  • Commercial
  • Specialised Uses – Retail, Medical, Child Care

 

To get started, you need to understand why you are investing and we always advise our clients to map out and agree their exit strategy before they commit to a property. In other words “know where the back door is before you go through the front door”. You don’t have to be a developer, but your exit strategy should revolve around making sure your investment can be converted to some other use once the market is ready – e.g. a small local shop may be developed to include apartments above it.

For any commercial property we look at, we follow a step by step process to dig deep and uncover any aspects of the property that will impact on delivering a safe and secure income stream, that may be related to the structure of the leases, the type and mix of tenants right through to the condition of the building and any associated parking. We have conducted due diligence on hundreds of properties, we are experienced investors and client advisors and have been dealing in commercial real estate for many years.

What kind of property do we think make sound investments? We definitely favour property that is well located and supported by diverse income streams like mixed use retail. Notwithstanding this, multi-tenanted property is not always easy to find, so something supported by long lease from a financially sound tenants is also be worth considering.

Once you speak to the team at Placeplan you will be convinced we believe in commercial property is a great way to deliver real wealth.