Commercial Real Estate

Guest Post by Duke Long, Broker/Owner in Lafayette, IN

So there you are sitting in front of you computer searching around and looking at commercial property.  Thinking well, what am I looking at?  What’s out there? What’s available? What’s the market like?  And they’re asking WHAT for that property down the street?  Simple straight forward questions that any property owner would have. What are some basic questions you should ask yourself if you were thinking of putting your property on the market?

1. How Much Is My Property Really Worth?

Should I have an appraisal done before I put it on the market?  Some of the data that is out there and the numbers and pricing placed on property; is it relevant to the market today?  What is the average market time for my type of property?  Are my taxes in line with similar properties?  Does that affect value?

2. How Does My Property Compare To Similar Properties In My Area?

Of course your property is the prettiest, and the most well-maintained.   You have put a ton of money, time and effort into it.  Be realistic.  Most buyers will look at the data. Period.  A commercial property sale is not usually and emotional transaction.  Is it in an A, B, or C type condition?  What potential improvements can you do to make to the property to make it more marketable?  Don’t be cheap.  Five or ten thousand dollars spent now may mean Sale or No Sale!  Just because you heard that X property went for X number does not create a market for your particular property.

3. Why Am I Selling, Really?

Is it bail out and go to Florida time? Was this carefully planned between you and your financial advisers? Are your expectations realistic about price and time on the market?  How much input and or willingness to stay away from the transaction are you capable of?  How qualified are you to help?  What type of seller are you?  Can you take consultation and or advice?  Which of course leads to…

4. Which Commercial Real Estate Professional Should I Use?

Do they really know their local market?   Talk to them. Ask questions like, “You would price my property at X and why?”  Make them prove it with lots of data.   Check them out online!  You don’t think that matters?  Where did you start your property search, the yellow pages?  Where do you think your potential buyer will come from?  I have been in this business for far more years than I would like to admit.  There are some incredible people in my profession .They posses some incredible knowledge and skill sets. Seek them out.

Duke Long

Broker/Owner whose passion is Commercial Real Estate with focus on Technology, Social Media, and Networking. Lead instigator of CREBARCAMP.