Investing in commercial property
Commercial real estate is a specialist area and requires a specialist team. Whether you’re looking for a blue chip opportunity at the heart of town, a lease on a motel or some strongly-returning office space, the fundamentals remain the same. The commercial market varies massively around New Zealand, making extensive research an essential component of your due diligence. Talk to local businesses and investors to take the temperature of the market and look at as many comparables as possible before committing. Commercial investments can be found to suit most budgets and risk appetites, so talk to our commercial and business brokers about what’s available. Remember, not all opportunities are listed on our website due to commercial sensitivity – we have contact on many ‘quiet’ opportunities, so it’s well worth getting in touch. Our extensive networks and intimate knowledge of our markets give us a competitive edge when working for commercial buyers and sellers.
Several elements must be considered when planning a commercial investment at any level. Crucial aspects include:
Tenant security – are existing tenants in place, what industry are they in, what are the rights of renewal, what are they paying, how appealing is the building for future tenants?
Property potential – is the building tailored highly specifically to one industry – this can be both a positive and a negative depending on demand. Is the location in a key commercial or industrial area – is there foot and vehicle traffic? Client parking?
Management – are you looking to manage the property yourself or employ commercial managers?
Before seeking finance on a commercial investment, let our specialists help you navigate these crucial questions.