According to the Grand Valley State annual report, the Grand Rapids economy is growing. Additionally, according to the report, "construction will not slow down" and wages and sales are increasing.
If you're interested in commercial real estate in the Grand Rapids area, this is not the time to delay. Keep reading for a comprehensive yet quick guide to commercial real estate investing.
What Is Commercial Real Estate?
Commercial real estate is any property operated with the intent to provide revenue. As a commercial investor, you would rent to businesses. This could include small local businesses up to large warehouses and factories.
Many towns differentiate and designate certain areas as commercially zoned. This is to keep congestion and heavy traffic areas away from where people live.
Different Types of Commercial Real Estate Opportunities
Here in Grand Rapids, there are many different types of commercial properties. Some examples you could invest in include:
- Office space
- Retail shops from large box stores to smaller boutiques
- Industrial buildings such as manufacturing or warehouses
- Multi-family units usually anything larger than five units
- Hospitality such as hotels and restaurants
- Individual businesses such as salons, laundromats, or gyms
As you can see there are many opportunities for commercial property investors. Before choosing the right Grand Rapids investment property, do your homework to pick the right type for you.
Real Estate Investment Strategies
As you explore commercial real estate, you will find various strategies available. Namely, you can invest directly or indirectly.
Direct Commercial Real Estate Investments
As a direct investor, you own and manage your properties personally. For example, you might find a building set up for small business owners and rent out each unit. Or you could build something yourself.
One of the most important commercial property management tips for any investor is to get a thorough property inspection. This will ensure your new property won't end up costing you more than it makes you year over year.
Indirect Commercial Real Estate Investments
Indirect investing can be easier to get started. You could find a group of commercial real estate investors and join them in investing in a property. One way many investors are doing this is through REITs, publicly traded stock in real estate.
Working with a full-time commercial property management company will also keep your investment passive as they will take care of the many necessary repairs that come with rental investment properties.
Business Owners Guide to Commercial Property Investing
The Grand Rapids commercial real estate market offers many opportunities for growth. When you partner that growth with the right management company you won't find yourself tied to your property day after day.
At PMI West Michigan we pride ourselves on our excellent customer service and intimate knowledge of the Grand Rapids area. With over 20 years of experience in the property management business, PMI has been helping investors like you to put the passive back in passive income.
If you're ready to work with the premiere commercial property management company in Grand Rapids, then reach out to us today.
