Investment Sales
Should you be considering CRE investment sales?
CRE investment sales are an awesome way to get a meaningful return on your investment. You can get passive income from tenants who rent the property and also get a big return on your investment when the time comes to sell the property.
If you haven't already considered investing in commercial real estate (CRE), you may want to. Here's what you need to know about commercial real estate investment sales to help you decide whether this is a good investment for you.
Types of CRE Investment Sales in Oklahoma City and the Surrounding Areas
Just about any property that is used for business purposes is considered commercial real estate. There is a tremendous range of investment opportunities for you to consider in Oklahoma City and the surrounding areas. Here are some of the best CRE investment prospects in this area:
Office Space
You can buy a huge variety of office space, from upscale skyscrapers in the heart of the city to comfortable office malls in the suburbs. Investment sales in office space are available for just about any budget of real estate investments.
You can expect to be invested into an office space for 4 to 5 years at a minimum. However, it's very likely that you will choose to continue to own the office building for ten years or more as you continue to collect rent.
Warehouses
The more popular e-commerce becomes, the more important warehouses are for shipping goods all over the country. It should come as no surprise that warehouses are on the rise and a very good investment at this time.
Warehouse investments are often stable for as long as 15 years and provide excellent passive income provided the tenant is successful in e-commerce.
Retail Stores
Retail stores took a hit during the COVID pandemic. The popularity of e-commerce for most things that retail stores would otherwise offer is causing problems for retail stores as well.
Many retail stores may end up being transformed into other kinds of businesses in the upcoming years. However, if you can get a stable and popular building for retail, you may be able to make good on your investment.
Benefits of CRE Investment Sales
Are you interested in long-term investments? Perhaps you're the kind of person who likes an investment that you can actually look at and walk into. Commercial real estate can be a great investment if you don't mind that it takes some time to pay off. Here are just a few of the benefits of investment sales in commercial real estate:
- Lucrative. You can expect commercial leasing to pay off well for you. The payoff is higher than for residential rental properties. Of course, you will also be able to benefit from the sale of the building down the road.
- Stable. CRE investment sales are well insulated from market fluctuations like most real estate investments. Because it's a long-term investment, the rate of return is steady. This is one of the most stable investments you’re likely to find that also has the potential for significant payoff.
- Potential golden goose. If a CRE building ends up being desirable for a particular group of tenants, you may be astounded by what they’re willing to pay in rent. Sometimes you can expect a building to be lucrative in rent, but other times it comes as a surprise that the building ends up being valuable.
- You may be able to use it. A house is a great investment because you need somewhere to live anyways. The same is true of commercial property if you need commercial space. If you're looking for commercial property for sale in Oklahoma City for your own uses, why not also buy it as an investment property?
- Your property will likely be kept in good condition. Many of the options in commercial real estate involve a business-to-consumer model. For these businesses, the building is the public face of the company. Businesses want to make a good impression, so they'll likely keep your property looking good.
- Operate during business hours. If you're considering investing in real estate and renting out the property, there's a big difference in how involved you'll need to be outside of business hours depending on whether you choose commercial or residential real estate. Commercial buildings are unlikely to have emergencies or need help from you as the landlord outside of business hours.
How a Good Commercial Real Estate Agent can Mitigate Potential Downsides of Commercial Investment Sales
Finding investment opportunities can be a challenge. Unlike residential listings, which are easy to access, commercial listings require the help of a quality realtor. Thankfully, a great realtor like Creek CRE is always aware of opportunities.
You'll likely need to make a significant investment. Commercial buildings often cost more than residential buildings, which means that you may need to make a meaningful initial investment. Creek CRE can help you find investment sales opportunities within your budget. You could also split the cost with other investors.
There is more risk involved than with some other investment opportunities. If you’re going to invest in commercial real estate, you need to know that your commercial real estate agent has found the perfect investment opportunity for your level of risk tolerance and your need for a return on your investment.
Questions to Ask as You’re Seeking out an Investment Opportunity
As you’re thinking about what kind of commercial real estate investment you want to make, you may be tossing around a number of different options. This is a huge area of investment. Not everyone will benefit from the same kinds of commercial real estate investments. You want to make sure that you choose an investment that meets your needs.
Here are some questions to ask yourself to help you determine what kind of investment you want to make:
Q: What's my budget?
Commercial real estate investment can be more expensive than residential real estate, but a great realtor can help you find something even on a smaller budget. However, you need to know just how much you're ready to invest as you start looking for property.
Q: Do I want to use the property myself?
If the property you’re considering buying will be used for a business venture of your own in addition to being an investment, you'll have different considerations in the purchase you make than if you were only looking for an investment property.
Q: Am I more interested in resale or passive income?
Some buildings are more likely to sit empty for periods but may have the potential for a great pay off when they are eventually sold. Others stay full and tenants always pay rent, but you probably won't make a lot of profit when you sell the building.
Q: How involved do I want to be?
Commercial real estate can be a completely hands-off investment that you go into with a pool of other investors and have managed professionally. Or, you could act as the landlord, repairing things and getting to know the tenants. Your level of involvement is up to you, but may be hard to change later, so think hard about your decision.
How Creek CRE Can Help
Creek CRE is a full-service commercial real estate firm with extensive experience in Oklahoma City and the surrounding areas. Our comprehensive investment sales platform combines our local real estate expertise, superior market knowledge, and thorough research to uncover opportunities and execute effective results for our clients.
Whatever kind of commercial investment you want to make, you can rest assured that we have lots of experience making just that kind of investment and can help you make the right decision. We're in this for the long term. Your satisfaction and referrals matter to us.
If you're looking for a commercial realtor in Edmond, Norman, or another OKC suburb who you can trust to give you the best deal on the best commercial property in or around OKC, look no further than Creek CRE.
Our advisors have over 30 years of combined experience in the following investment sales sectors in Oklahoma City metro, and surrounding areas:
- Office assets
- Retail assets
- Industrial buildings
- Land development
We work in OKC, Edmond, Yukon, Norman, Midwest City, Moore, and Stillwater. We pride ourselves on being available to our clients to answer any questions they might have, offer investment advice, and provide support through every detail.
Because we have so much experience in the local commercial investment sales market, we know how the market is trending and which buildings will be the best investment at any given time. We are happy to work with your time frame. If you’re in a rush to find a property to invest in, we will be too. If you want to keep looking for years to find the perfect investment prospect, we are happy to stay with you for the journey.
If you're looking for commercial realty in Edmond, Yukon, or any of the other suburbs of Oklahoma City, nobody can help you find better available commercial real estate for your needs than Creek CRE.
Contact us today and let us know what you're looking for from investment sales. We can help you find the perfect commercial investment.