It takes more than the desire to grow your financial portfolio to start investing in commercial real estate. The savvy investor conducts a lot of research into the most profitable types of commercial properties before making any decisions. It’s essential to know with certainty that you will be able to give your investment total commitment.
It’s also important to ensure that the commercial property you choose can yield a satisfactory return on investment. Many investment vehicles are available today, and probable ROI should be a significant factor in your investment planning.
That being said, if you have decided to invest in commercial real estate, you may be wondering what the most profitable types of commercial real estate properties are for investors. One of the best ways to learn more about this industry is by trusting an experienced team to provide insight. Sands Investment Group is here to get you started. When first entering the real estate market, here are some of the most successful commercial real estate investments:
- Properties With a High Number of Tenants
Properties capable of bringing in the highest return on investments are typically those with the highest number of tenants. These properties include RV parks, apartment complexes, student housing, office buildings, and storage facilities. Explore various profitable commercial real estate investments by viewing our current listings.
With more tenants on your property, your income becomes more significant. Likewise, the higher the demand for the property, the less you’ll have to worry about finding new tenants on a short-term notice. It is a simple consideration that can make a difference in your investment.
- Properties in Areas With Growth
In the retail world, properties that are located in high-traffic areas are more likely to attract tenants willing to renew their leases, as well as attract new tenants should your tenants leave or go out of business. The same principle is valid on a macro-scale. Fast-growing suburbs and other in-demand neighborhoods are popular among real estate investors. When working with Sands Investment Group, we can advise you on these areas as the market changes, so you are consistently given the best opportunities.
- Properties With Triple Net Leases
While properties with the highest return on investment typically have the highest number of tenants, a triple net property is a high-ROI exception to the rule. Triple net properties are usually single-tenant spaces, but those tenants are more likely to sign long-term leases. Triple net properties are also ideal for those new to the commercial real estate market. This is because NNN leasing places the responsibility of paying real estate taxes, maintenance, and building insurance into your tenant’s hands.
It enables you to have a stable income from your investment rather than estimating your payment based on projected maintenance costs. Furthermore, you have more time to work at your day job because you don’t need to worry about performing maintenance. This is especially handy for the increasing number of millennials interested in investing in real estate. It makes the process easier while making the investment fit better into any lifestyle.
Learn More With Sands Investment Group
Finding the right kind of commercial property investment in terms of return on investment is essential. Choosing the right type of lease that will meet your needs as an investor is also important. While it may seem difficult to decide on the most profitable types of properties for your needs, trusting a skilled team to help can make all the difference. Are you looking to find that team and start your commercial real estate investing journey? Learn more about investing in commercial real estate with Sands Investment Group today. Call 844.SIG.NNN or find out more on our website.
