Counted as one of the important capital appreciation avenues, real estate investment has emerged as a stable, smart, and profitable choice for many, offering varied forms of diversification. When it comes to the commercial real estate segment, commercial spaces including retail and office, are high in demand for investment providing a secondary form of income.

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Owing to its hefty investment, commercial real estate can be considered an expensive affair, meant specifically for UHNIs, HNIs, or corporates. But this is not the case. Over the years, property investment has gained prominence and also captured the attention of professionals equally and this investment is definitely within their reach. As compared to a residential space, the most conventional form of investment, rents and lease both are much higher and longer in a commercial space. Thus, initial investment and returns too are much more than the former counterpart. Not to forget, factors, such as stable returns, tax benefits, and ownership of property, adds to the popularity of a commercial space situated at a prime location.

Finding the right tenant with a profitable income is one plaguing question in everyone’s mind as this impacts significantly one’s loan repayment plans and other financial decisions. This is where pre-leased commercial properties come into the picture. At the time of buying the asset, the investor is assured of consistent income from Day 1 itself with all acquired documentation in place.

Providing more stability and medium to low risk to investors, pre-rented commercial properties are the safest and most secure investment. With quick saleable routes available, the demand for Grade-A properties is all-time high with pre-leased properties offering an average of 12-18 per cent return, combining capital appreciation and rental increase. The demand for pre-leased commercial properties is also expected set to surge within one year.

The responsibility of maintaining the property also lies with the tenant. Pre-leased properties give one an option of securing rental with a minimum 3-year lock-in period to well-known companies. With our country demonstrating economic growth, demand for commercial space will rise and so will the ROI of investors.

Investment in a commercial property is a safe and lucrative avenue providing multiple advantages, such as capital appreciation, regular income, secured property, and compliance information, and a trusted consultant plays a vital role in taking commercial investment decisions ranging from a single property to curated collection of many assets, besides strategic support through all the phases of transactions, including legalities, documentation and transfer process. Realistic Realtors is India’s leading and eminent commercial real estate advisory firm that has etched its indelible footprint in over 425 cities. Backed by its 2-decade experience in real estate and market intelligence, it offers a complete spectrum of personalized and end-to-end Investment Advisory services to its patrons.

 

 

(Above mentioned article is a Consumer Connect Initiative, This article is a paid publication and does not have journalistic/editorial involvement of IDPL, and IDPL claims no responsibility whatsoever.)