The Advantages of Leasing vs. Buying <b>Commercial Property</b> <b>...</b>

If you own your own business you must consider the advantages and disadvantages associated with buying a commercial property. New business owners generally choose to lease real estate until they are comfortable enough to move on to real estate ownership. If you have been in business for a fair amount of time choosing to invest in commercial real estate is a big commitment. Before you decide to buy you should research the advantages and disadvantages of property ownership and property leasing. Once you consider the pros and cons of each you can make an informed decision.

Advantages of Purchasing a Commercial Property

When you buy a property all of the payments you make towards your mortgage note are applied to the balance of the loan. If you make a good investment you will earn equity in your property as you pay down the balance. The equity you earn acts as an asset for your business. If market values increase after you purchase the property you can reap the benefits in capital growth. Tenants do not benefit from equity or property growth. This is a consideration you will have to keep in mind when you are weighing all of your options.

Disadvantages of Purchasing Commercial Real Estate

Where there are advantages there are always disadvantages. When you buy a property you have to prove credit worthiness. Then can become an issue for owners with bad credit or no experience in their industry. You will also need a large chunk of capital to put down as a down payment. If you do not have a large sum of money you may not qualify for a loan. Property owners are responsible for their own maintenance insurance property taxes and cleaning. If you are not ready to take on these responsibilities you may want to reconsider your intention to buy.

Advantages of Leasing

Leasing does not require a large amount of capital so you can use your money to purchase inventory and pay for marketing. Another advantage of leasing is that the landlord has to maintain the property so you do not have to take on additional responsibilities. Some leases include the cost of fixtures utilities signage and cleaning. You will need to review what is included in the lease before you sign one.

Disadvantages of Leasing

One of the biggest disadvantages of leasing is the fact that you as a tenant are paying the landlord’s lease. This means that the payments you make are earning someone else equity. Leased properties are not a business asset. The landlord has the right to refuse lease renewals once your term ends.

Purchasing real estate is a commitment. During economic downturns purchasing becomes more difficult because lenders are much more strict with their lending requirements and underwriting guidelines. While this is the case when property values are down you have the opportunity to pay less and earn capital growth over time. Consider all of your options in terms of leasing and buying commercial property and make a decision that will benefit your business.

Tags: maintenance insurance property taxes, real estate ownership, Business Finance, real estate, fixtures utilities signage

»»  read more

What Should <b>Business</b> Owners Consider Before Investing in <b>...</b>

If you own your own business and you are searching commercial property there are several different factors you will need to consider. Investing in commercial real estate is a long-term commitment. Because of this business owners must research their purchase and budget before they invest in real estate. When you make the move from being a tenant to becoming an owner you take on responsibilities you may have never considered. You will have to pay for insurance property taxes maintenance and cleaning. Make sure you know what factors to consider when you are shopping for commercial properties and make an informed investment that will help you generate a larger customer base.

How Much Can You Afford?

Price is obviously very important. When you buy a home you would never buy a home you could not afford to pay for. The same should go for your business. You have to calculate how much money you are taking in each month how much you pay your employees your operational costs and how much you need to take home to live comfortably. After you consider all of the bases you can decide how much you are willing to pay for your property note. Make sure you qualify for a commercial property loan before you start searching for properties. You will find out how much you qualify for how much interest you will pay and how much your payments will be for properties in certain price ranges. You can then move on to choosing the right location and property type.

Location Location Location

Location is the key. When you choose a property you want to invest in a property that is located in a developing area. If there is very little traffic in the area where you invest you are not likely to profit from foot traffic. Location is a free form of advertising. When customers visit another business in a shopping mall and see your company they may stop by. This is why you need to research areas in the city where you operate. If there are large retailers nearby and there is easy access to the driveway you could generate new customers without spending thousands on marketing.

The Property Is Zoned For Your Business and Has Easy Availability to Utilities

One factor many buyers overlook is zoning. When you buy a property you can make the process much less stressful by investing in a property that is already zoned for the type of business you offer. If the property is not zoned it may end up costing you thousands to make modifications. Most properties today are easily accessible to essential utilities. Make sure you can choose quality Internet and communications providers and always consider security.

When you purchase real estate instead of renting you are earning equity. The property is an asset for your business and not a liability. Make sure you choose a great property with enough space to expand. When you consider price location and zoning you will make an informed decision before you make an offer on a commercial property.

Tags: purchase real estate, real estate, Business Finance, commercial properties, communications providers, insurance property

»»  read more

Carbon War Room-brokered consortium set to unlock multi- billion <b>...</b>

Ygrene Energy Fund-led PACE Commercial Consortium launches first $650 million retrofit package for commercial property in Miami-Dade County, Florida and Sacramento, California

New York, September 20 2011 – The Carbon War Room, an independent non-profit, founded by Sir Richard Branson, that harnesses the power of entrepreneurs to unlock gigaton solutions to climate change, announced today the launch of a new consortium that will unlock billions of dollars of investment in renewable energy and energy efficiency technologies for US commercial real estate.

The PACE Commercial Consortium (PCC) integrates the program management and engineering best practices of Lockheed Martin, the financial sophistication of Barclays Capital and the pioneering insurance partnership of Energi and HannoverRe in an end-to-end solution administered by the team’s leader, Ygrene Energy Fund.

Today’s announcement highlights an immediate potential market opportunity of $550 million in funding for the cities in Miami-Dade County, Florida that join the Green Corridor PACE district for investment in commercial and industrial real estate. This funding can generate up to $1.8 billion in economic activity in Miami-Dade County, experts say. The Consortium sees the additional potential for an initial $100 million market in the city of Sacramento, CA, which will stimulate an additional $530 million in economic activity. The Consortium is confident these cities’ programs could stimulate $2.3 billion and more than 17,000 jobs in the combined cities.

“The PACE Commercial Consortium is the missing piece in the jigsaw puzzle for cities looking to implement green plans,” said Carbon War Room founder Sir Richard Branson. “The Carbon War Room has been working with its partners to solve this puzzle for over 18 months as part of our Green Capital Global Challenge operation. I’m thrilled by the news of this ground-breaking mechanism, and believe it will unlock a trillion dollar market for green retrofits, creating jobs and growth around the world. There is simply no other source of economic growth with these characteristics.”

Launched in 2010 at the Winter Olympics in Vancouver, the Green Capital Global Challenge (GCGC) aims to mobilize billions of dollars of currently idle private capital into city-led energy efficiency initiatives. Green Capital Global Challenge Director, Murat Armbruster, conceived of the PACE Commercial Consortium and introduced the member companies to one another during the Carbon War Room’s Creating Climate Wealth North America Summit in May this year.

Property Assessed Clean Energy (PACE) legislation enables property owners to accept a voluntary tax assessment as a means of repaying upfront financing of energy efficiency and renewable energy

“These investments are 100% private capital. There is no government debt or cost involved. The markets

can supply this financing because the economics are sound, engineering performance is insured, the

security is strong, and clean energy capital assets are profitable,” said Brian McCarthy, CEO of Energi

improvements. Twenty-six states in the United States, along with Australia, and New Zealand, have enacted legislation enabling the secure and scalable financing PACE structure.

The Green Corridor group of cities, initiated by the Town of Cutler Bay in Miami-Dade, Florida, and Sacramento, CA are the first municipalities to sign contracts with the Consortium’s California-based PACE finance administrator, Ygrene Energy.

“The PACE Commercial and Industrial Program brings the Green Corridor a privately financed jobs program that will bend the emissions curve in Miami-Dade County and make the Green Corridor an example to the rest of country of what is possible, especially at a time when our construction trades so desperately need the work,” said Steve Alexander, leader of Miami-Dade’s Green Corridor District.

The U.S. Business Council for Sustainable Development, a U.S. industry partner, has organized its building owner members to retrofit their properties and operations, as PACE financing becomes available:

“Corporate America can lead this huge jobs program with private capital, because clean energy is also profitable energy, once this financing structure is in place,” said Andy Mangan, Director of the US BCSD.

Lockheed Martin, the Consortium’s engineering partner, will employ its program management and energy services capabilities to guarantee the technologies deployed on select PACE-financed projects.

In partnering with this consortium, Lockheed Martin is delivering a solution set to commercial and industrial customers that it has long delivered to utilities and the Federal government.

“At Lockheed Martin, we believe that we have the ability and responsibility to address our Nation’s energy and climate challenges,” said Frank Armijo, Vice President for Energy Solutions, Lockheed Martin Information Systems & Global Solutions – Civil. “By implementing these clean energy projects, we will reduce the energy consumption, carbon emissions and operating costs of the existing building stock, thereby increasing commercial property values for our customers.”

Energi will provide Energy Savings Warranties (ESWs) to insure these savings guarantees, reducing the risk and lowering the cost often associated with such projects.

The Carbon War Room is now bringing this first mechanism, one of a series of corporate consortia, to the thirty cities currently participating in the Green Capital Global Challenge as a means of implementing green city plans that for the most part had been put on hold since the economic crash in October 2008. One of these member cities is Los Angeles:

“The County of Los Angeles has invested tremendous time and effort into creating a Property Assessed Clean Energy (PACE) District which forms the basis for this huge job creation potential in southern California. We are now on the verge of that effort paying off,” said Howard Choy, General Manager, Office of Sustainability at Los Angeles County.

By redirecting this existing cash flow into clean energy capital assets, the Consortium hopes to create a responsible debt instrument built upon sound economics.

“It is a myth that switching off of fossil energy onto clean energy is costly. Quite the contrary, building clean energy capital assets is both profitable and a huge boost to economic growth. Clean energy has no fuel cost; it is harvested by the use of capital assets. Properly structured investment in harvesting clean energy is the key to solving the current economic problem,” said Dennis Hunter, Chairman and CEO of Ygrene Energy Fund.

The Carbon War Room will be presenting the first consortium at BusinessClimate 2011 as part of New York Climate Week today. Further “deal days” are planned with selected groups of technology and finance providers for Copenhagen – Denmark, Vilnius – Lithuania, and Singapore in coming months.

About PACE
In place in California since 2008, PACE (Property Assessed Clean Energy) enables municipal governments to tap private capital markets to finance renewable energy and efficiency improvements for residential and commercial properties such as solar panels, insulation and HVAC, which reduce utility bills to more than offset the tax bill increase. The program sees property owners benefit from increased real estate values, occupants from lower utility bills and municipalities from local job creation. Financed on a project by project basis, the program has so far resulted in 2,800 projects worth $65 million in three states. Research indicates this has contributed to $162 million in local economic impact, creating 1,000 new jobs. The UK government recently announced plans for the 2012 launch of a program similar to PACE, which could offer new business opportunities to US firms in Europe.

About the Carbon War Room
The Carbon War Room harnesses the power of entrepreneurs to unlock gigaton-scale, market-driven solutions to climate change. Over 50% of the climate change challenge can be addressed today — and profitably —under existing policy and technology conditions. We seek to facilitate a better flow of capital to entrepreneurial solutions that make economic sense right now.

Contact: press@carbonwarroom.com

About Barclays Capital
Barclays Capital is the investment banking division of Barclays Bank PLC. With a distinctive business model, Barclays Capital provides large corporate, government and institutional clients with a full spectrum of solutions to their strategic advisory, financing and risk management needs. Barclays Capital has offices around the world, employs 25,000 people and has the global reach, advisory services and distribution power to meet the needs of issuers and investors worldwide. For further information about Barclays Capital, please visit the Company’s website www.barclayscapital.com

Contact: KristinFriel;Kristin.Friel@barclayscapital.com

About Ygrene-Energy
In the spring of 2006 Dennis Hunter and Alan Strachan established the Green Energy Loan program to bring private funding to the problem of climate change. In the summer of 2008, California’s landmark AB 811 made possible a much better model in the form of Property Assessed Clean Energy (PACE) financing. Almost immediately Palm Desert and Sonoma County took advantage of the legislation to establish local programs. Sonoma County’s government funded SCEIP program, under the direction of Treasurer Rod Dole (now a member of Ygrene’s Board of Directors), achieved singular success. Recognizing the potential for PACE and the role private capital could play in its growth, Ygrene entered into discussions with Barclays Capital to secure the sophisticated financial partner that would provide the route to the bond market.. With strategic and tactical partnerships in place around the country, Ygrene is now in a position to offer no- cost PACE program design, administration and funding to cities and counties throughout the U.S.

Contact: Alan Strachan; alan@ygrene-energy.com; 1-707-332-4456

About Lockheed Martin
Headquartered in Bethesda, MD., Lockheed Martin is a global security company that employs about 126,000 people worldwide and is principally engaged in the research, design, development, manufacture, integration and sustainment of advanced technology systems, products and services. The Corporation’s 2010 sales from continuing operations were $45.8 billion.

Contact: Liz Morse; Elizabeth.morse@lmco.com; 1-240-688-7835

About EnergI
Energi is an Industrial Reinsurance Company that provides specialized risk management and insurance programs to targeted sectors of the energy industry. Energi is leading development and underwriting of innovative insurance products to deliver critical protections for alternative energy and energy efficiency warranties. These covers mitigate the performance risk inherent in energy efficiency retrofits, commercial solar projects, and alternative energy product manufacturing.

Contact: Angela Ferrante; aferrante@energi.com; 1-978-531-1822

About BusinessClimate2011
To attend; www.carbonrational.com

»»  read more

A Look At How to Buy <b>Commercial Property</b> :: FTD Tech

By Techichicky • October 5, 2011

Purchasing commercial property is one way in which you can make a profitable investment for the future. You can find commercial properties for sale in almost every major city in the U.S. as well as many countries abroad. These properties often increase in value over time enabling you to make a good profit on your investment.

Commercial properties entail a wide range of options to include retail shops office space parking lots industrial facilities such as factories and warehouses and more. Costs of this property vary greatly depending on the type of property you buy its location and size. Some properties have greater potential than others when it comes to attracting prospective renters or increasing in property value. These properties will undoubtedly sell for much more than smaller more inconsequential places. If you have the extra funds to invest you should opt for the best property you can find in order to get the most returns from your investment in the future.

A great advantage of commercial property is that it can generate income for the present by leasing the property to a business or individual over a long term period of time. Average leasing contracts for commercial purposes are generally made for two years or more. This provides steady income for your investment in the form of profits. When leasing commercial real estate you do not bear the expense of maintaining the property. The company or individual leasing your property bears the burden of property maintenance upkeep and repair. This arrangement helps to increase your rental profits.

A key to making a profit from your commercial property investment is to ensure you purchase a property in a good location. You should take time to research your options well before purchasing any type of property to ensure you are going to get good dividends in return. Properties that are located close to dependable transportation links will be easily accessible for businesses their clients and employees. This makes them good investments as companies will be more interested in leasing them. In like manner if the property is close to other businesses chances are it will be easier to rent out making it a worthwhile investment as well.

Another way to increase the value of your property is by developing. Development takes a fair investment of funds on your part so you will have to be sure this is within your financial possibilities before starting. If you have the money to develop your property you can always try to recover these funds through leasing the property afterwards. Sometimes making a few additions or improvements in commercial property enables you to rent or sell it at a much greater profit later on.

It pays to learn as much as you can about commercial real estate and how to make wise investments so you can make better informed decisions in handling these affairs. If you are unfamiliar with how to invest in commercial real estate you can seek counsel and advice from real estate professionals who have ample experience in this area. You should never feel rushed or pressured into buying commercial property as it is a very important investment. By going slow and seeking help from others you can be assured of making the right decision and getting the best deal.

»»  read more

Leasing <b>Commercial Real Estate</b> | realgreenconference

So you just started your new business and are starting to make some money. Should you continue to work from home or should you lease commercial property? A lot of it depends on your needs. Working from home may be more comfortable. However, if you are planning on setting up a retail or restaurant business you will need to obtain a retail space as soon as possible.

When you view a new property, look around and make sure that there is enough room to display your products. Will you need a back office? Is there a break room in the back for employees? What about a restroom? It’s not a good idea to pick the first location you visit; make sure you check out many different ones before you make a final choice. retail space for lease brooklyn park offers leasing options on retail properties in MN.

It is vital to pick the right location since picking a poor one can cause your business to suffer. Locations in malls and shopping centers tend to receive the most foot traffic. Find out if there is a lot of competition; are their similar businesses as yours nearby? It may not be a good location if there are too many competitors in the area because the market may be already saturated.

Try and have a chat with the previous owner and find out how they felt the location impacted their business. Ask if how much foot traffic there is in the area. Big shopping centers generally have the highest prices per square feet. A space in a small strip mall is most likely to be more affordable.

Negotiating the lease is very important; if there are any points that you disagree with don’t hesitate to negotiate for something that is in your favor. If you are leasing a large retail space and spending a lot of money, you will have more bargaining power and will be able to negotiate strongly in your favor. Midwest Management offers lease retail space Eagan at great low prices around Minnesota.

It’s a good idea to calculate how much the lease will cost you during the first year. Sometimes extra costs may be added in which may make the lease more expensive than you think.

lease retail property Crystal MN offers a large selection of retail space for lease in MN.

Your language version

Jadi Anda baru saja memulai bisnis baru Anda dan mulai untuk membuat uang. Jika Anda terus bekerja dari rumah atau harus Anda sewa properti komersial? Banyak tergantung pada kebutuhan Anda. Bekerja dari rumah mungkin lebih nyaman. Namun, jika Anda berencana tentang pengaturan bisnis ritel atau restoran Anda akan perlu untuk mendapatkan ruang ritel sesegera mungkin.

Ketika Anda melihat properti baru, melihat-lihat dan pastikan bahwa ada cukup ruang untuk menampilkan produk Anda. Apakah Anda perlu back office? Apakah ada ruang istirahat di belakang bagi karyawan? Bagaimana dengan kamar kecil? Ini bukan ide yang baik untuk memilih lokasi pertama yang Anda kunjungi, pastikan Anda memeriksa yang berbeda banyak sebelum Anda membuat pilihan akhir. sewa ruang ritel untuk taman brooklyn menawarkan pilihan sewa pada properti ritel di MN.

Sangat penting untuk memilih lokasi yang tepat sejak memetik satu miskin dapat menyebabkan bisnis Anda menderita. Lokasi di mal dan pusat perbelanjaan cenderung untuk menerima lalu lintas yang paling kaki. Cari tahu apakah ada banyak kompetisi, adalah bisnis yang sama seperti milik mereka di dekatnya? Ini mungkin bukan lokasi yang baik jika ada terlalu banyak pesaing di daerah tersebut karena pasar mungkin sudah jenuh.

Coba dan mengobrol dengan pemilik sebelumnya dan mencari tahu bagaimana perasaan mereka berdampak lokasi bisnis mereka. Tanyakan apakah berapa banyak lalu lintas pejalan kaki ada di daerah tersebut. Pusat perbelanjaan besar umumnya memiliki harga tertinggi per meter persegi. Sebuah ruang di sebuah mal kecil kemungkinan besar akan lebih terjangkau.

Negosiasi sewa adalah sangat penting, jika ada poin yang Anda tidak setuju dengan tidak ragu-ragu untuk bernegosiasi untuk sesuatu yang dalam mendukung Anda. Jika Anda penyewaan ruang ritel besar dan menghabiskan banyak uang, Anda akan memiliki lebih banyak daya tawar dan akan mampu bernegosiasi sangat dalam mendukung Anda. Midwest Manajemen menawarkan ruang sewa ritel Eagan dengan harga sangat rendah sekitar Minnesota.

Itu ide yang baik untuk menghitung berapa banyak sewa akan dikenakan biaya selama tahun pertama. Kadang-kadang biaya ekstra dapat ditambahkan dalam yang dapat membuat sewa lebih mahal dari yang Anda pikirkan.

sewa ritel properti Kristal MN menawarkan pilihan besar ruang ritel sewa di MN.

Incoming search terms for the article:

»»  read more

Techniques You Could Employ to Market Your <b>Commercial Property</b> for <b>...</b>

An essential aspect when it comes to commercial property for sale is effective marketing. For you to ensure that you will get your money’s worth for your commercial property for sale, you will have to make use of excellent advertising strategies that will give maximum exposure of the property to the public. There are several options that you would have at your disposal to ensure that you are reaching your target demographic.
The most popular and common marketing strategy that is employed by most people with a commercial property for sale is using the local newspapers in their area as well as magazines. Making use of traditional publications is still considered an effective method of marketing as there are still a large number of people who receive these every day. In addition to this, there are a large number of people who make a point of perusing through the classifieds on a daily basis thus you are bound to attract a number of people who will be interested in your commercial property for sale.
However, one cannot only rely on the local dailies and traditional publications to ensure the sale of their commercial property. You would have to explore other avenues to ensure that you are getting maximum exposure for your commercial property for sale. The next popular marketing technique for commercial properties for sale would be making use of the media. The number of people who are glued to their TV screens grows on a daily basis. Due to this, it would be irresponsible not to try and put an ad for your commercial property for sale on television. This also increases the number of people who will get to find out about the property as they will come across it from the comfort of their homes. One thing that you would have to keep in mind about advertising on television is that it tends to cost a pretty penny. Thus you either have the option of booking non-prime time spots for your ad which tend to be cheaper or going all out on a prime time spot so as to ensure maximum exposure.
Another tool that would work to expose your commercial property for sale to the public would be the internet. A lot of people are online at any given hour of the day. There are even ways of making use of the internet to advertise your commercial property for sale without having to spend a cent.

Tags: advertising strategies, Commercial Property for Sale, Technology Internet, Business Finance

Tagged as: advertising strategies, Business Finance, Commercial Property for Sale, Technology Internet

»»  read more

<b>Commercial Real Estate</b> Listings - Slash Forum

Commercial Real Estate Listings – Buy Commercial Real Estate Property for Better Profit Margin

Article by Rajeesh Nair

Commercial real estate Investment could bring in best returns. This is because the present market trends indicate that price of property would certainly rise in the years to come back. However, though such investment could be a lucrative prospect for several, usually investors are left floundering on how to get around with the business.

Strategizing is the 1st on the agenda. An idea to guide one through the business is of immense help. It’s commonly said that strategy is a plan of action supposed to accomplish a particular goal. The 1st thing to seem into is the kind of cash that could be invested in the property. With this as the base, different factors like form of property, size and location must be determined. Since every commercial property is of a unique nature, it’s necessary to know that various factors influence their dealing and investors should be ready for facing them, when venturing into investing.

After the above factors have been determined, it’s necessary to ascertain all sources of commercial property sale. Once a potential dealer seems on the scene, the property should be valued based on its condition, the returns it guarantees and also the borrowing power. This enables you to get a plan regarding the property value so that you could decide if it’s extremely value your investment cash.

Finally the deal should be structured to open out irresistible offers to prospective consumers. Simultaneously, all along one must keep the tax planning and asset protection plans running steadily.

Getting started in commercial property is a task that needs diligent planning and execution. By carrying it out during a planned manner, you could get into it the correct manner and see the kind of come back you expect.

The numbers of people on the lookout for property are increasing day by day, because the profit involved within the business is nice. Many websites offer commercial real estate listings. Commercial real estate listings are ideal for each consumers and sellers.

Commercial real estate listings provide consumers a good range of selection. Through these listings they could purchase commercial real estate at a better profit margin. Location is another nice advantage with this kind of listings. You could purchase real estate from your locality or any other locality you like. Another advantage is the variety of listings offered. If you’re interested in commercial real estate, you discover them in a separate category and you do not need to search all real estate listings. Generally you can enter into a deal beyond your expectations with the help of those listings.

About the Author

Rebecca Lee is a well known Real Estate Manager who offers valuable and insightful tips on Commercial Real Estate Property Listings and Investment. Here she describes about the advantages of commercial properties for sale.

Tags: commercial, commercial real estate investment, Estate, prospective consumers, real estate investment

»»  read more