How to Find a Deal In Commercial Real Estate
It’s all about finding a property with a fixable problem and then, well, fixing it! This value add approach can be very effective. Here’s some examples:
•Under-market Rents: Look for properties where the current rents are below what they could be. This means there’s an opportunity to renegotiate leases over time and significantly increase the property’s value.
•Cosmetic Fixes: Sometimes, a property just needs a facelift. I find older, less attractive properties with cosmetic issues and put in the work to spruce them up. If the location and functionality are good, this can be a fantastic way to add value.
•Deeper Issues: You can create value by solving deeper issues related to a property, but this is when you really need a professional’s guidance. If a property as structural or environmental issues, there is a reason it might have scared off other buyers. Approach major issues with caution and with a professional’s help.
If you are looking for your next investment property, we can help!
Emma McDaniel Lunning, CCIM
864-576-4660
emma@mcdanielandco.com
