The Most Current Trends in Commercial Real Estate
An interest in commercial real estate does not do you any good if you are not paying any mind to the top trends. The trends in real estate heavily affect commercial real estate finance. Here’s some of the latest information on what is trending in terms of commercial real estate.
Taxes and Technology
When it comes to commercial trends, you can expect to see taxes on the list. With rewrites of different tax codes going into effect, it’s no surprise that real estate executives are interested in tax code. In addition to taxes, technology is also trending. Commercial real estate may include technological advancements or preparations for said advancements.
The internet absolutely affects commercial real estate finance and purchasing real estate. Online rental and property purchasing companies have changed the way that buyers and sellers see the market. This trend has been growing in recent years. The real estate agency is always changing rapidly and it is in part because of the internet.
Financers are going to look at job growth. Real estate executives believe that the job creation will grow in the coming years. This is the type of positive outlook and trend that helps companies achieve financing.
Repurposing warehouses is a major trend right now. Companies are taking warehouses and creating office space, residential lofts and mixed-use space. This type of creative refashioning allows the warehouses to be financed cheaper than an office space might be and then to use the savings to create something new.
Another reason for warehouses being attractive to developers is that as the retail market continues to shift towards online shopping, the need for more warehouses is rising. While retail space is still available, online shopping is a big move for retail.
Many cities throughout the country, including Atlanta, Chicago and Denver are seeing a rise in construction. Commercial properties are springing up throughout the business centers of these cities. The trends in commercial real estate are to create more space for more workers. Businesses want something new, creative and something that it can mold into the perfect space for its employees. With new construction come new opportunities.
Before you look into commercial real estate finance, it’s important to know the trends. Not only is this going to help you make the right choice when it comes to looking through commercial properties, but it will give you some idea of what types of considerations your lender might make.