Real estate are categorized into residential, industrial and commercial. Residential real estate properties refers to residential houses, condominiums, pads or apartments, while the examples of industrial real estate properties are factories, laboratories or warehouses used in manufacturing goods. Commercial real estate refers to a type of property intended business purposes only, and commercial properties are leased out for work space. There are many types of commercial estate properties such as office spaces, restaurants, convenience stores, hotels, strip malls, call centers and shopping centers.
A commercial real estate investor owns the building, allow it to be leased and then collects rent from each retailer. The lease rates of commercial real estate properties is generally quoted in annual rental amount per square foot. Commercial real estate leases can run from one to ten years, and with office or retail space, the average is normally five to ten years. Tenants who occupy larger spaces have generally loner term of leases compared to those who occupy smaller spaces who have shorter term leases. The four types of commercial property leases are single net lease, double-net lease, triple-net lease and gross lease, and both tenants and landlord have responsibilities in leasing in terms of paying property taxes, insurance and maintenance.
The classifications of commercial real estate properties include class A for the best buildings in terms of location, age, quality and aesthetics, class B for older and not as good as class A , and class C which are the oldest, usually over twenty years of age found in less attractive areas, needing extra maintenance. Anyone can own a commercial real estate property, making sure that they have the right knowledge, skills and attitude about its financial, legal and regulatory aspects, or who can employ people who have these qualities to manage your investment. There are many commercial real estate direct property investments you can check through online listings for you to find the best suited for your needs and preference. On the other hand, indirect investments can be done through real estate investment trusts similar to mutual fund, stocks or bonds.
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Investors can generate return of investments through rentals. A developer can also break down the spaces into smaller units rather than sell it as a whole in order to generate more income. We are here to help you find the best commercial real estate property you are looking for, that best suits your needs, preferences and budget. There are many commercial real estate investment properties we can show you located in Melbourne FL.5 Uses For Sales