After having a difficult time financially for quite some time, I realized that part of my problem was my personal housing costs. I really began evaluating what I wanted out of a home, and I realized that I needed to shop for a place that would work better for what I needed. I started paying more and more attention to real estate risks, and it occurred to me that I hadn't invested in a smart property. After talking with my real estate agent, I started focusing on changing my ways, and it was incredible to see how much brighter my future became.
If you are buying a commercial property, it's important to do your due diligence. You need to make sure the location is right for your business and that there's nothing wrong with that specific piece of property. Here's what you should look for.
Land Quality
One of the most important things that people don't think about is the quality of the land. This should include things like soil type, slope, and drainage.
Some properties may drain poorly and force you to shut down your operations. Standing water can also damage your buildings and equipment. On the other hand, dry land may be bad for things like farming. Too dry land can also damage your buildings and parking lots if the ground underneath them becomes brittle and cracks.
Existing Buildings
The buildings that are already on the site need to be taken into consideration as well. They tend to have their own unique set of challenges that they need to overcome before they are suitable to be used in your business. Some may require significant work, while others will require only minor modifications.
For example, you may want to replace an office building with a warehouse. This obviously requires a complete rebuild, but the demolition costs may be far more than you're expecting. Even if the existing buildings fit your exact needs, they may be older and in need of major repairs, which may mean you're not getting as good of a deal as you thought you were getting.
Utilities
Not all commercial properties will have all utilities running to them. For example, an older factory may not have internet access running to it. If you need internet and there are no nearby internet lines, you may have to pay not just the usual installation fees but the entire cost of the internet company running new lines to your building.
Another thing to keep in mind is if you have special utility needs. For example, a factory may need high voltage electricity. If the previous owner didn't need more electricity than usual, the existing electric lines might not provide enough capacity. You might need to pay the power company to upgrade the lines running to your business. Depending on how far they need to run lines to get the right connection, this could be a very costly upgrade.
To find the right property for you, check commercial properties for sale now.