• Skip to main content
  • Skip to secondary menu
  • Skip to primary sidebar
  • Skip to footer
  • HOME
  • RECOMMENDED BOOKS
  • FREE TOOLS
  • CONTACT US
  • ABOUT

The Fortunate Investor

Investing, Business & Personal Finance For Wealth Builders

  • Save Money
  • Invest Your Money
  • Get Out of Debt
  • Making Money Online
  • Family & Money
  • Taxes
  • Business
  • Retirement
    • Retirement Calculator
Home » Don’t Invest In Commercial Property Unless You Know These 3 Things

Don’t Invest In Commercial Property Unless You Know These 3 Things

January 27, 2021 By Bobby | This article may contain affiliate links. For more information visit our Disclosure

Tweet
Share
Pin
Share
Share

Don’t Invest In Commercial Property Unless You Know These 3 ThingsCommercial property is a broad term that refers to many different buildings. The easiest way to think of it is any property where business is carried out. Typically, this relates to offices, retail units, restaurants, and so on. You could include warehouses here, though that usually falls under the industrial property banner. 

Investing in commercial property can be profitable as it’s a great way to start a buy-to-let empire. However, you’ll commonly encounter a few issues or hidden worries when looking at property to purchase. As such, you should never invest in a commercial property unless you know about these three things:

Building safety

Unlike residential property, a commercial property needs to follow strict safety regulations to be deemed safe for people to work in. Some investors make the mistake of rushing into a purchase and ending up with an office that fails all health & safety checks. Now, you have to spend even more money getting things in order before you can rent out your office to willing businesses. 

Thus, you should always spend time conducting the necessary tests before buying a commercial property. This includes things like fire suppression inspections, electrical inspections, safety hazard checks, and so on. When you know the state of the property’s safety, you can invest with more confidence. 

Planning regulations

What happens if you want to extend your commercial property? You may wish to add an extra floor to the building or extend it out either side. You could even wish to build a new and improved parking area outside of it. All of these things will require planning permission, which could be denied! 

If a commercial property is built somewhere with strict planning regulations, it may be against the law to extend it in any way. Therefore, you’ve invested in something that you can never really change. So, always check with the local council to see if there are any strict regulations in place, or if you’re good to go. 

Soundproofing

This sounds like a random thing to worry about, but it’s a huge feature of commercial properties. Many of these buildings are built close to busy areas with lots of noise every day. Not only that, but the people that stay in the properties are going to be working hard on their business operations. As such, you need to invest in a building that’s as soundproof as possible. If people can hear everything outside or from the office next door, it will be a horrible place to work. 

Why does this matter? Well, if you’re working in the building, you’ll find it hard to concentrate. If you’re renting it out to other businesses, nobody will want to pay for a noisy office! In turn, you end up investing in soundproofing the building, which can be costly. It saves money if you know the building is already soundproofed from the onset. 

When you choose the right property, a commercial real estate investment can be a wise way to spend your money. These three things are big concerns, but don’t forget about all of the more obvious worries when investing in real estate.

  • About
  • Latest Posts
Bobby
Latest posts by Bobby (see all)
  • How to Take Care of Your Commercial Property - June 25, 2022
  • How To Avoid Buyers’ Remorse When Purchasing Property - June 21, 2022
  • Steps To Prioritize Employee Safety As A Business Owner - June 21, 2022

Primary Sidebar

Popular Articles

bitcoin vs gold

The Bitcoin vs Gold Debate: Which is a Better Investment?

Are you interested in learning about the ongoing Bitcoin vs Gold debate? Investors looking for … Read More about The Bitcoin vs Gold Debate: Which is a Better Investment?

How to Take Care of Your Commercial Property

How to Take Care of Your Commercial Property

When you have a commercial property you need to make sure that you are always doing what is … Read More about How to Take Care of Your Commercial Property

How To Avoid Buyers Remorse When Purchasing Property

How To Avoid Buyers’ Remorse When Purchasing Property

Buying a home is a big investment, and if something goes wrong, it can have serious effects. This is … Read More about How To Avoid Buyers’ Remorse When Purchasing Property

A Business Owner's Guide to Hiring Freelancers

A Business Owner’s Guide to Hiring Freelancers

Did you know that an astounding 36% of US workers are now part of the gig (freelance) economy? If … Read More about A Business Owner’s Guide to Hiring Freelancers

Steps To Prioritize Employee Safety As A Business Owner

Steps To Prioritize Employee Safety As A Business Owner

Running a business involves taking on responsibility for the safety of employees and customers. If … Read More about Steps To Prioritize Employee Safety As A Business Owner

Footer

TOPICS

SAVE MONEY
INVEST MONEY
REDUCE DEBT
MAKE MONEY
FAMILY & MONEY
TAXES
START A BUSINESS
RETIREMENT

THE FORTUNATE INVESTOR

ABOUT US
ADVERTISE
CONTACT US

The Fortunate Investor focuses on personal finance topics to build wealth. Topics include saving money, investing, managing debt, family and money, taxes, making money, college planning, starting a business, coupons and retirement.

SOCIAL MEDIA

FACEBOOK
TWITTER
PINTEREST
INSTAGRAM
YOUTUBE

Copyright © 2022 Fortunate Investor. All Rights Reserved. | Disclaimer & Disclosure | Privacy Policy | Terms of Service