Purchasing or developing industrial property can generate strong returns for commercial real estate investors. In the process of identifying opportunities, they have to carefully analyze several important qualities that bear on a property’s intrinsic and potential value. When you are going to invest in industrial real estate, here are a couple of key factors that you need to take into account. Condition A building’s condition and outstanding capital need projects are among the most determinative qualities investors need to consider. Extensive rehabilitation needs are not necessarily a deal breaker, but you should examine project costs in detail and structure contingencies into any project budget. Zoning When you are going to invest in industrial real estate, you need to know about any restrictions on the possible uses of a property in order to assess marketing strategies and revenue potential. An industrial property that is not actively in use may not necessarily be able to return to a former type of use if an area’s zoning ordinances have changed over time. Real estate investors always have to exercise thorough due diligence when they are deciding whether to invest in industrial real estate. Ultimately, asking the right questions at https://incocommercial.com/our-firm/ will help you make profitable purchases.
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AuthorHello, my name is Roger Dennison and I'm a successful commercial real estate broker, with more than 20 years in the field. Archives
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