Retail property is commercial property used solely for the purposes of selling products or services, rather than their manufacture. Retail buildings include retail stores, malls, shopping centres, shops, restaurants, bars and pubs. Investing in commercial real estate properties may be a great idea, especially for those investors who want steady cash flow and stable income.
Retail Assets offer following benifts to Property owners.
Stable Income –
Return rates in retail real estate properties are much higher and more secure since these leases have a longer duration (between 3 to 9 years). Retailers do offer passive income which results in a positive cash flow month after month.
Lower Risk –
Compared to apartment buildings, retail properties have lower vacancy risk . A lease triggers tenants to sign for 3-9 years or more as they look to build the business with a long term plan. You, as an owner are released from any responsibilities (interior changes or updates).
Income Potential –
Unlike apartment buildings, retail buildings have higher rent payments, so the investor will earn much more income. Also, the annual returns are much higher since the property is leased with a provision of rent increase over mutually agreed period. As Retail Assets are leased for long term steady income is received by the owner.
No Expenses –
The best thing about retail properties is that the tenants pay all the operating expenses. Along with the base monthly rent, the tenants pay maintenance, real estate taxes and property insurance.
Appreciation of Asset Value –
Retail property investment provide higher appreciation in value compared to other types of investment. Proactive management is just some of the reasons that influences the increase in value of these properties since it makes cost effective improvements. The result is improvement in desirability and usability of the asset. Upgrading, renovating, or restructuring the lease may be also important for adding value to the property.
We at IGNIS help u plan your Retail Asset Portfolio and offer you:
1/ IGNIS will do all the legwork and negotiate the best deal for you.
2/IGNIS will act as your Buyer’s Agent. A Buyer’s Agent can help you find the ideal property within your budget, help you in financing, and finally, get the best possible deal.
3/IGNIS will save you time and remove stress, but we will also help you find a great retail property to invest
The step to scheduling an appointment is very easy. Just email us at email@example.com, and our team will reach out to you in a matter of hours.