WHAT YOU NEED TO KNOW BEFORE BECOMING A COMMERCIAL LANDLORD
If you are new to investing in commercial property, make sure you do your research to ensure you know what your expectations and requirements are to being a commercial property landlord.
Below are some pointers when it comes to deciding what commercial property to invest in.
Choose The Right Type Of Building To Invest In
There are three main types of commercial property, retail, industrial, and office. Each has their own benefits, where you would find retail space achieves higher yields, however, you might find office tenants tend to stay in their premises longer in general than owners of retail business offering greater security to investors. Industrial properties are in high demand and is becoming increasingly popular among investors. Each has its own benefits so it pays to do your research on that particular property and the use of the premises.
The Type Of Tenancy
Good to know the background of your tenancy or potential tenant. Just like residential you want to ensure those leasing your premises will be good tenants.
Knowing your responsibilities of being a commercial landlord. The main responsibilities of a commercial Landlord is to ensure the building is kept to a certain standard throughout the lease and to ensure the conditions of the lease are adhered to. The tenant is responsible for the safety and maintenance of any fixtures and fittings they have installed as a part of their fit-out and this should be clear in the lease.
We hope this brief summary provides you with some insight prior to investing in commercial property. The key point here is to do your research. It is always best to seek independent legal advice before you sign on the dotted line.
For more information please do not hesitate to contact First National Commercial Neilson Partners on 9705 4888.