Factoring Reasons to Invest in Commercial Real Estate

A commercial space is valued differently to a residential. The rent of a commercial property is based per square-foot measurement which is not the case with residential. Hence, a commercial space is where investors would put their money on – this means more appreciation when sold and higher rental amount as an income stream.

For instance, investing in a commercial space in Noida a couple decades ago would have been a viable option as such properties help expand the risks involved. If you own a five-apartment house and lose one of five occupants, you lose one-fifth of the income generated from that property as opposed to the entire rent generated if you had owned a single house.

There is higher cash flow generated from an office space in Noida that adds to the booming commercial real estate revenue. In an office space, the owner enjoys a higher yield in terms of per square foot and if you are an owner of a multi-unit commercial property, you can generate income exponentially.

When compared to residential, the lease duration of a commercial space in Noida is much longer, which helps the owner ascertain the potential cash flow within that lock-in period. This is why financial institutions and banks also value a commercial space differently. This adds to their financial standing and the owner’s as well and if the location is perfect, you can expect higher rentals.

All said above, one common error of thought that most property owners make is that a commercial space will never experience foreclosure – all properties do. Most financial books will mention that foreclosure apply to an office space as much as it does to residential units. Financial institutions and banks do not differentiate between property types. If you cannot pay up the mortgage, they will cease your property.

When choosing to invest in any property, do your homework, research, ask questions – as many as you want to clear all doubts – speak to previous owners and find out how lucrative is the place for business. Once you are thorough with information, make your decision accordingly.

Choosing the Right Location for Commercial Office Space in Noida

Buying property can be taxing and tiring if the task is not handled with the correct approach. Promising brochures and claims of providing the best property in Noida aren’t limited to a single building house; almost everyone has come up with similar claims. The myriad of options can be confusing and it can be quite tough to zero down on the right entity. However, when it comes to commercial office spaces, it is slightly easier to list your requirements and prioritize. Since businesses are all about offering the right thing at the right time and right place, location is the decisive factor and comes foremost. If you have chosen the perfect location to provide the right exposure to your services, then you have ideally won the toss and the odd are in your favour. Now it is up to you if you can please your clients with quality services and customer satisfaction. Following is a list of things you should consider while picking a location.

Location… Location… and Location!

• Target audience is the ruling factor that would be instrumental while finalizing all aspects and not only location. Decide who your target audience and where would they find your services feasible. It should be central and attractive to them. For instance, if you plan to open a shoe store, then a ritzy showroom at Noida sector 18 would be ideal as your potential buyers would already be frequenting the place for similar stuff.

• A centrally located place that is easily accessible by public conveyance as well as roads is perfect to fetch you customers. A place located in outskirts of Delhi will not attract shoe shoppers who would be visiting more central places like Lajpat Nagar or Khan Market.

• The outer façade should be appealing and in line with your brand image. A shabby and stuffy shop will attract fewer visitors than a showroom in a mall stationed close to a premium cloth store.

Hence, by strategizing your buy you can secure a better deal rather than being misled by different attractions.