Whether you’re a first-time buyer or you’re hoping to expand your property repertoire, there are crucial factors to consider when buying a commercial property. With consideration of your competitors, whether you should buy or rent and the location, you should be able to make a much more informed decision by reading up on what to look out for.
City or Suburban?
Everyone knows the price of any property in a city centre is much higher than somewhere located on the outskirts or somewhere with less footfall. Depending on the size of the property you need, you can expect to pay more than double the amount when looking in the city centre, but that does come with some benefits. Businesses move into the city to be in the hub of their industries, guaranteeing reliable transport for employees and a desirable location for clients to travel to. On the other hand, depending on the facilities your business needs and the size of property you need, a suburban location might be the financially viable choice.
Rent or Buy?
This will likely be one of the most important choices you need to make before you commit to a property. For younger business especially, renting on a short-term basis is the smarter move. Renting a property for the first year or two can help you see if there are any adjustments you need to make, you might find that the business needs a bigger or smaller property to function at optimum levels. It’s not uncommon for companies to face massive growth on a short-term basis and if you find yourself in a position where you need to move quickly, renting a property is much easier to move from, and you can even include a sub-letting term in your agreement.
If you are an already established business that has been running sufficiently for a few years, the safer option is to invest in a property and buy it. There’s less risk involved in purchasing a property, and in the long term it will work out to be much cheaper.
If you are aware of your main competitors that are operating at a similar level to you, then it’s best to investigate where they are located and decide If a similar choice is best for your business. Considering your distance from competitors and ways you can improve on their current operation will help you to flourish in comparison.
Finding the ideal, building in the perfect location might not prove to be the most challenging part of relocating. With some commercial properties, there can be restrictions on what the building can facilitate which is why investing in a commercial property management company will assure you that any key factors you need to address are highlighted.
When you’re buying a commercial property, it’s always best to consider every outgoing that the location will require. Often, businesses can neglect certain costs and business rates can end up being higher than expected. Speak to professionals and learn about all the different options and costs so you can anticipate everything.