It can be a challenge to find and develop commercial investment opportunities when the market is flat, prices are stagnating, and interest in buying properties has slowed to snail pace. This means that commercial real estate investors need to look for new and original opportunities
How can you find more commercial investment opportunities?
Here are some ways that you can find opportunities to continue investing in commercial real estate:
Develop and strengthen relationships
In order to find new commercial investment opportunities, it is important to expand, develop, and strengthen your network of contacts. This can help alert you to new and upcoming opportunities that you would otherwise miss. If you are looking to gain more market share, find new tenants, or even sell more properties, you need to have the right contacts.
Become a market authority
If you can establish yourself as an authority in the commercial real estate market, investors will view you as ‘the person to go to’ for advice. You can stand out as a specialist for real estate investment and tenant management. This opens up many new opportunities for investment.
This can also help you attract the better tenants to your existing properties. At some point, all tenant leases come to an end. If you have established yourself as an authority, you can use that as leverage to draw in tenants who are willing to pay more in rent.
Diversify into niche markets
In order to get more investment opportunities, it is important to diversify into different types of commercial property investment. If you are able to find out the specifics of each market, and then develop strategies to tap into them, you can find new opportunities.
What are some of the niche markets for investment? Here are two that are worth thinking about:
- Corporate housing. Assist companies in relocating their employees. This can be a great source of referrals.
- New construction. This is looking at unfinished properties that are lying dormant. Getting some of these half-built properties in good locations can lead to large profits in the future.
Buy into a REIT
Many forecasters are predicting that all the signs are there that RIETs will be a sound investment in 2016. Interest rates appear to be quite stable and REIT valuations are low. Many market analysts are upbeat about how well RIETs will withstand fluctuations in the market in 2016. This can provide investment opportunities if actual properties are currently in short supply.
