How Do you Select Best industrial property and commercial business Buildings for sale in Johannesburg West?
[tag] is a specialist field. Not all property agents know enough about the commercial property market and the property type to do it well. Sellers in Johannesburg West should choose their agent with care.
The owners of investment property that want to sell their asset should carefully choose a real estate agent that is well versed in the market trends and the property type. That agent should also show a high level of current market share and success in commercial property in Johannesburg West over the years.
Selling commercial property is not an ‘experiment’ or an exercise in ‘hope and pray’. When undertaken correctly in any market situation by a skilful agent, a property will attract enquiry and a sale is possible. The result then sits on the client’s ability to accept the industrial property for sale market price and market evidence. There are always buyers out there; they just have to be found and the sellers need to be accepting of the market trends.
Interesting Facts About Industrial Property and Commercial Business Buildings for Sale in Johannesburg West:
Commercial real estate selling is a specialist field. Not all property agents know enough about the commercial property market and the property type to do it well. Sellers should choose their agent with care.
The owners of investment property that want to sell their asset should carefully choose a real estate agent that is well versed in the market trends and the property type. That agent should also show a high level of current market share and success in commercial property over the years.
Selling commercial property is not an 'experiment' or an exercise in 'hope and pray'. When undertaken correctly in any market situation by a skilful agent, a property will attract enquiry and a sale is possible. The result then sits on the client's ability to accept the market price and market evidence. There are always buyers out there; they just have to be found and the sellers need to be accepting of the market trends.
Selling a commercial property is a highly skillful process. The chosen agent and salesperson should bring all these skills to the property owner. In that way a property sale in any market and economic situation is far more possible.
Commercial Real Estate - Big Profits
Not all commercial investment properties should be auctioned, but the auction method of sale does have real advantages if the property is just right and the market is accepting of that method of sale. Here is why.
The key governing factors to determine if auction is a real chance or choice for the property owner are the current levels of enquiry for that property type, and the prevailing business sentiment. If this is the case then you can look further at auction.
The auction method of sale is a proven time based sale process that flushes out the enquiry and if the investment property ticks all the other boxes such as:
- Preferred property type in the local market.
- Good improvements on the property.
- Location factors that attract enquiry.
- Capital growth opportunities.
- Good tenant profile or anchor tenant.
- Good lease structure that supports stability of rent.
- Low vacancy factors and associated risk.
- Tenant mix that is well structured and balanced for property function and rent growth. This is really important in retail property.
- A realistic seller with a reserve price that allows for comparable property evidence and other sales history.
- A vendor funded marketing campaign that targets the right buyers and activates enquiry from them.
- Acceptable (and not excessive) levels of comparable property on the market that are competing with the subject property coming up for auction.
Do not overlook the advantages of auctioning a commercial property. Just make sure all the other existing elements are in support of that method of sale before you start.
Search for Commercial Real Estate Businesses For Sale Near Me in Johannesburg West
All property that has the potential to generate revenue now or in the future is commercial real estate. Some types of commercial real estate are:
o OFFICE PROPERTIES... Executive office space, office buildings, executive suites, flex space, rental office space, upscale office parks, corporate headquarters, class A office suites, freestanding offices, bank branches.
o RETAIL PROPERTIES... Shopping centers and shopping malls, shops, strip center sites, chain store site, showrooms, major franchise locations, showroom space, retail sites, pads, out parcels, free standing stores.
o INVESTMENT PROPERTY... Office buildings, industrial rental properties, realty, multifamily rentals, regional shopping malls, shopping centers, rental properties, net leased properties, business parks, land parcels, residential developments.
o HOTEL AND RESORT PROPERTIES... Hotels, motels, resort lodging and hospitality properties, luxury resorts, convention centers, motel and hotel brokers, golf courses, theme park sites, stadiums, attractions. Note that unused property held for future appreciation is also considered to be commercial real estate.
Listing Commercial Property - Can You Price a Property to Sell In Offices?
Before we answer this question, it might be helpful to actually define each term first.
Retail and industrial are both considered 'commercial real estate' (as opposed to 'residential real estate'). Commercial real estate refers to buildings or land intended to generate profit; industrial and retail are simply sub-categories of commercial real estate.
Firstly an industrial property is defined as a property used for the actual manufacturing of something, and can be considered either a factory or plant. This is usually zoned for light, medium or heavy industry. This includes things such as warehouses, garages and distribution centers etc.
Retail property is a commercially zoned property used solely for business purposes, the actual selling of the product, rather than its manufacture - retail stores, malls, shopping centers and shops all huddling nicely under the retail umbrella.
3) Natural Light - in especially high demand nowadays
4) Location - close to other offices, public amenities, transportation etc.
Since 1980, retail property has returned an average of 9%, though is currently returning around 6%. Industrial real estate tends to be the most volatile, and is currently returning around 7% (as opposed to its peak of around 12% during the 1990's recession).
And obviously, no matter which form of commercial property you're considering, read the lease carefully. Sounds like a silly thing to say, but you'd be very surprised at the issues that can become issues simply because things weren't read properly!