Commercial Real EstateMiami commercial real estate is one of the growing industries in the country. Like other metropolitan, real estate investors will find a host of commercial properties in the city available either for leasing or complete acquisition. Even first-time marketers will find the city thriving with business locations, especially in some of its financial districts. The type of commercial real estate properties is also vast. Here is a list of some of the most common commercial properties.
1. Multi-family residential
Commercial properties considered as multi-family residential are apartments and duplex homes. These properties are designed as habitation for multiple family groups as well as single ones. These properties differ from condominiums because condos are normally sold as single units.
2. Office buildings and complexes
When a commercial leasing space is built for office use, they would certainly fit this category. Single buildings, groups of small spaces and cluster of buildings when generally used as office spaces are considered either as office buildings and complexes.
Commercial lease spaces used for consumer products are commonly called retail spaces. These properties are often located at single buildings and may serve as clothing store, electronic shops, service centers and more. Malls and strip centers are typical places for retail lease spaces. Spaces intended for restaurants are considered as the subset of this category and will be likely shown as both restaurant and retail when listed.
4. Business parks
This category includes a group of buildings that are used for light-industrial purposes. They are generally cheaper to lease than specialized retail properties and total industrial spaces. Service professionals, i.e. doctors, dentist, etc., will find business parks the most viable commercial real estate option for their business.
5. Industrial spaces
When a commercial property is divided into several units and used as large warehouses for storage they are considered as industrial spaces. Most of these commercial properties are unfinished spaced zoned for heavy-industrial businesses; those that require heavy manufacturing and storing.
These spaces are also excellent for downsizing companies looking for a relatively cost-effective way to store their excess production. Most commercial investors find warehouses useful for their massive production units. Aside from being low-maintenance, they are also greatly functional.
6. Hospitality spaces
There are also several commercial properties considered as hospitality properties. This lot mostly consists of hotel buildings and other recreational facilities used for the hospitality industry.
7. Empty land
Finally, empty lots intended for business structures are also considered as commercial real estate properties. These properties, however, differ from other types of commercial properties when it comes to leasing. Since most of them are commonly sold for complete acquisition, they also require more financing.
Aside from the commercial real estate properties, it is also vital to know the different types of commercial leases. For an investor, negotiating the best lease terms is of utmost importance. This guarantees that every clause is fair and there isn’t any term that could possibly impede their operations and overall financial strategy.
1. Net Lease
In a net lease, the tenant also has to pay for some or all of the expenses associated with maintenance, insurance and taxes, in addition the monthly rent. This is common in any commercial lease but tend to favor the landlord’s interests often.
2. Double Net Lease
In this type of lease, the tenant pays for the taxes and insurance as well as the monthly rent. Like the net lease, the double net is typical for any type of commercial lease.
3. Triple Net Lease
If the net lease will only compel the tenant pay for some of the insurance, taxes and maintenance, the triple net will make the tenant pay for those three on top of the monthly rent.
4. Percentage Lease
This is the most common lease for retail commercial spaces. In this type of lease, the monthly payment will be based on the sum of the monthly sales ratio and the base rent.
5. Gross Lease
Also known as fully serviced lease, the gross lease typically involves the landlord’s paying of most, if not all, of the most usual expenses associated with the property. These costs are also oftentimes added to the rent as the Load Factor. Retail properties also sometimes use this type of lease, though this is generally applied in office leases.