Tricks to Raising Commercial Property Value: Part I
Owning commercial real estate is one of the most lucrative investments you can make. As with any form of real estate, though, simply owning a property isn’t enough. You also have to have the know-how and vision to make your property into a stable cash-cow. You must adapt to changing real estate trends and always stay one step ahead of the game. If done right, the monetary reward is entirely worth the investment.
Luckily, when it comes to commercial property ownership, there are a few hard-and-fast rules you should implement to raise your property value. We will detail a few of the best real estate investment tips here, so that you can maximize your commercial real estate venture. In the first part of this series, we will focus on cosmetic and exterior repairs. Later, we will discuss minimizing overall expenses and maximizing income when it comes to investment properties.
Make Cosmetic Improvements
Curb appeal is a real thing, and cosmetic improvements are one way to add value to your commercial real estate property. Before you get out the paint and primer though, there are a few options to consider under the umbrella of “cosmetic” improvements. You can add property value by making the following changes to structures and cosmetic features:
Expand your property
For this, it boils down to the simple law of supply and demand. If there is a demand for more space in your property — whether that’s tenant space, office, warehouse, parking, communal, or any other spatial need — then supplying it will add value.
If you rent out your commercial property, added parking makes your property especially competitive and isn’t as expansive as renovating your entire structure.
Maximize your rental space
Are there unusually large hallways, lobbies, common areas, or basement space in your rental property? If so, consider making these spaces liveable so that you can increase the rentable square footage without needing to build anything onto your property.
Prioritize external appearance
You’ve probably heard this real estate investing tip before, but committing resources to the outside of your property can pay dividends in the long-run. Hire a landscaper or at least a trash collection agency; provide small waste bags if your property allows pets; cut the grass; and re-paint your exterior.
We judge buildings like we judge everything at first: on appearance. Be ahead of the curve and focus on curb appeal for your rental property.
Install security features
Tenants are more likely to consider renting from you if your building has security features installed. If you use your commercial space as an office building, security systems like alarms, gates, and secured parking help to prevent theft. For a relatively small initial investment, installing security systems is certainly a real estate investment tip to follow.
Improve your signs
We often overlook signage, but your property sign is the ultimate marketing campaign. You want to make sure it looks tasteful, attractive, and modern. Make sure it is visible, as well, so that you develop name recognition as people pass your property. If you have a larger property with multiple entrance points, consider adding signs on every side of the building in addition to the main entrance.
Real Estate Investment Coaching
If you already own a commercial property, take these strategies into account as you set about raising your property value. If you have always wanted to invest in commercial real estate but aren’t quite sure where to start, schedule a consultation with real estate expert Laura Alamery. For experienced property owners and people new to the business alike, Laura Alamery’s coaching will save you from making costly mistakes. Call us today to learn more!