Every property investor has a different outlook particularly when it comes to investing in commercial property. Return on investment, length of lease terms and quality of tenant are some of the main points investors consider but do these constitute commercial property as a good investment?
There are many landlords in the UK who invest purely in residential buy to lets simply because it is easier to understand and manage. The thought of investing in commercial property can somewhat seem daunting at first and indeed higher risk than residential property investing but having sound professional advice from a commercial surveyor can have a significant impact and make commercial property a good investment option.
Commercial property investing can carry higher levels of risk compared with other investment options however the return on investment can be greater as well which makes commercial property investing more appealing to some investors.
The added benefit of commercial property investing is the ability to potentially acquire different asset types as an investor looks to build a portfolio and this could contain retail shops or leisure units, offices or even a block of offices and industrial units or an entire industrial estate perhaps. Investing in various types of commercial properties enables investors to spread the risk especially if one area of commercial property is not performing as well as others.
When it comes to buying and investing in any type of property, location is an important factor to many investors and same principles can apply to commercial property. Commercial property investors tend not to be over concerned on having properties in various locations as they often seek the advice and guidance from commercial surveyors who will manage their property portfolios through offering various services including identifying new investment opportunities.
At Barker Property Consultants, we offer extensive guidance on commercial property investing to clients who are thinking of investing in their first commercial property through to experienced landlords with large portfolios.
We work with clients at all stages of their investment journey and our range of services enables clients to benefit and make the most from their commercial property investment. We see commercial property as a good investment opportunity so why not get in touch with us today and see how we can help you.
A portfolio landlord is defined as a person that typically owns four or more buy to let mortgaged properties for investment purposes. These portfolio landlords can often own their properties through limited companies with the majority of portfolio landlords owning residential buy to lets although some will also acquire holiday lets as part of their portfolio.
The advantage of becoming a portfolio landlord for mortgage purposes enables the landlord to have one mortgage for the entire portfolio rather than different mortgages with potentially different lenders and thus several mortgage payments occurring each month. From a financial management perspective, this makes it easier for the landlord to oversee and manage the monthly payments.
From a property management perspective, landlords can oversee the entire income and expenditure across their portfolio however managing each property as issues arise can sometimes be a challenge. This is where having the expertise of an experienced managing agent can play a part for portfolio landlords.
Managing agents have the tools and capacity to be proactive with both tenants and the properties they manage. Ensuring any issues are dealt with efficiently and effectively is part of the service property managers provide especially if a portfolio landlord owns an entire apartment block whereby communal services are offered to the occupying tenants.
Property managers can utilise their knowledge and experience to grow their client’s portfolios through identifying new opportunities and good estate management to protect/increase the value of each property that is managed.
Here at Barker Property Consultants, we offer extensive property management services to portfolio landlords whether you have a small property portfolio or a larger portfolio containing various property types.
We tailor our services to suit each individual portfolio landlord to ensure you receive a highly dedicated, professional service from day one. Speak with us today to see how we can help you and your portfolio.
Investing in commercial property can be lucrative for many property investors as can be the case when choosing a commercial surveying firm to act as your advisor in various aspects. Property investors can receive advice and guidance at all stages of their investment journey which is why most commercial surveying practices offer services as and when required by their clients.
In this article we will share options available to commercial property investors at each stage of their investment journey and how Barker Property Consultants can work with you. For those who are thinking of venturing into the world of commercial property investing, the expertise of a commercial surveyor can guide an investor even before their first property is purchased.
Surveyors can advise upon whether a particular property is to be a good investment and offer guidance on actions to take before, during and after the first property is acquired. We provide clients who are thinking of purchasing their first property with strategic advice on expected return on investment and the price that should be offered for the property.
We also offer at this stage professional representation whereby we can acquire and negotiate the price of a property on your behalf and deal with the selling agent to ensure you acquire the property at the best possible price.
When the property is finally purchased it will either have a current tenant or tenants in situ or be vacant and require a tenant to take occupation. The property in some cases may need works undertaken before a new tenant is found and often, we would provide initial development advice prior to the purchase on the works required and the end use for the property once developed.
Our agency services are offered at this stage to find and secure a new tenant as quickly as possible to start generating income from the property. If the property already has tenant(s) in occupation, our management services are available to collect rent and manage/administer a service charge budget if required and to ensure the tenants are receiving a professional service.
Asset management services at this stage and throughout the journey can also play a part in shaping the overall investment strategy for the property. The advice and recommendations provided to our clients may occur prior to purchasing the property however opportunities may arise once management of the property is in full swing.
Asset management is about maximising and realising the full potential value of a property with the aim of adding real value to our client’s investments. During the lifetime of the investment in a commercial property, rent reviews and lease renewals may arise and having a commercial surveyor on hand to represent you, can ensure the best deal possible is achieved.
Being proactive and prepared for rent reviews and lease renewals before the lease event occurs in our opinion is essential for commercial surveyors which is what we do for all our landlord clients as standard.
Finally, there will come a time when the investor wishes to sell their interest perhaps to acquire another opportunity elsewhere or simply wishes to dispose of. Whatever the reasons behind the decision to sell, our agency services are on hand to find and secure a new investor.
When selling investment opportunities, our aim is to achieve the best possible price and therefore ensure our client’s investment opportunities are presented to appeal to as many different investors. This may mean ensuring a new lease is agreed with the tenant before the property is placed onto the market or carrying out any essential works so that the best possible price is achieved.
Throughout the property investment journey, commercial surveyors are on hand to advise and guide landlord investors on various matters to ensure their investment is protected and where possible, increased in value throughout the lifetime of the investment.
We are able to offer such services to all investor clients that is both personal and highly professional. If you would like to discuss your investment opportunities with us or perhaps are thinking of starting on your journey, get in touch to discuss with one of our experts today.
When it comes to selling or leasing your property, you require local expertise and a modern proactive approach that delivers the highest level of professionalism. At Barker Property Consultants we deliver this to each and every client we work with.
If you have a commercial property you would like to sell or rent, please get in touch for a free valuation and see how we can promote your property to its fullest potential.
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