Another factor to consider in addition to location, location, location when investing in commercial real estate is barriers to entry.
While location is extremely important to the long-term success of any real estate investment, consider barriers to entry a top criteria as well for how much you might pay for a property.
• Legislative. City governments vote to limit car dealerships expanding into town.
• Limited commercial zoned land. A shopping center is surrounded by residential neighborhoods.
• Frontage visibility. Properties with exposure to main travel arteries always command higher rents than those just one block off of the main arteries.
– Steve Massell, Massell Commercial Real Estate, The Georgia 100
[…] source […]
Comments are closed.