One of the most profitable businesses is managing commercial real estate. It is an attractive opportunity for investors and it becomes even more profitable as time goes by. To keep the profit up you need to work constantly on increasing the value of the property, making it more desirable. Some investments are big, others are small, but on the long term, the added value of the property is going to bring a good return of investment.
Which Type Of Improvements You Need To Do
Before you go on and make any change to a commercial real estate you need to plan your next steps. If you are going to sell the space you should allow the new owner to make substantial improvements. In this case, you can try to add value by installing solar wall lights, replacing the carpet or painting the walls in a neutral shade. This will make the space look bigger and ready to be decorated, like a blank sheet of paper.
If you want to rent the property you can do substantial investments, to be able to present a ready-to-live space to potential clients. You can change the facade of the property, install new wallpaper and trim the garden to make the building more attractive and help potential tenants imagine themselves living in that space or making business in there.
Make The Most Of It With Rentable Square Footage
Entrepreneurs who manage a commercial real estate can maximize their profit and add more value to it by using the rentable square footage. The usable square footage consists of the actual space that can be used by a tenant. The hallway, stairwells and other spaces are not included in the usable square footage. But the rentable square footage includes both these adjacent spaces and the usable square footage and it can be applied when someone rents the entire unit. To take advantage of this and make the most out of the property, you can transform a multi-unit space into multiple individual properties. Each tenant will be able to rent the entire unit and will pay for the entire space.
Invest In Sustainable Solutions
The best investments one can make to a property are those which decrease the cost of utilities. Install solar wall lights, large glass windows, energy-efficient light bulbs, LED-based lighting fixtures, aiming towards a self-sufficient property. The lower the costs of heating the building, heating the water and illuminating it, as well as the maintenance of the safety systems are, the more attractive the property will be.
Create A Unique Property
If you want to take a different approach you can make the property stand out by personalizing it. Give it a name and promote it based on its unique features. Make cosmetic changes to the property and create a very specific space, which can be easily identified in the community. The more unique it will be, the more attractive it will become.
Learn to add value to your commercial property by making the right investments, those which are going to maximize your profit on the long term.