There are three primary types of real estate – residential, industrial, and commercial real estate – but it is commercial real estate, property that is solely used for business, that can be the most difficult to look for. Commercial real estate can range from a single gas station to shopping centers, office spaces, hotels, malls, restaurants and convenient stores. Today, most businesses in London Ontario highly rely on commercial real estate, however, what people need to take into account is that dealing with commercial properties is very different than dealing with other forms of real estate. It’s important to understand a few basics, like the ones listed here, before you dip your toe in the water.
- Value Of The Real Estate
Understanding the value of the real estate that you are dealing with is of key importance, and the valuation of residential real estate property is different from commercial real estate. When dealing with commercial real estate, one does not have to compare the property with other similar properties like people do in residential real estate; instead, one should compare it with the income that the owner gets from the property.
- Commercial Real Estate Agents And Property Managers
With value in mind, another thing to look for when looking at commercial real estate in London ON is the specialization of the agent selling the properties, as the sale process of commercial real estate is far more complex than that of residential real estate. The nature of selling commercial real estate is very professional – most agents deal with prominent and high profile persons such as CEO’s – therefore, it’s beneficial to ensure that the agents involved are professionals and fully understand the scope of their job. Snoop around their website, see what properties they offer and then contact the property manager to ask for a tour – it’s this kind of proactive and physical involvement that will ensure you land a commercial space tailored to your singular needs, and building a relationship with property managers means you’ll gain a more intimate knowledge of the maintenance, repair work and tenant issues at a certain place.
- Financing of the Seller
Financing is also another thing to think about when looking at commercial real estate, because the financing of commercial property is completely different compared to that of industrial and residential properties. Commercial real estate entrepreneurs are open to many financing options. Some of the funding methods are long-term, and thus the transaction process may take years while others may take few days or months.
In conclusion, it’s always important to engage with a reliable and trustworthy commercial real estate partner, one adept at solving problems quickly and reliably, with easy, efficient customer service. For those businesses looking to take off in London Ontario, a little bit of research can go a long way, so read up on reviews of agents, keep your ear to the ground for any word-of-mouth in the real estate realm and wait for the perfect space to find you.