Take the 'What Commercial Property Investment Should You Buy Next Quiz' HERE

I’m going back to basics this week and addressing the question What’s Commercial Property?

(Did you know that's the most googled thing about commercial property)

Here’s the basics…

- Commercial property encompasses various spaces beyond residential use, including retail, offices, and industrial units.

- Unique Regulations: Commercial properties are governed by the Landlord and Tenant Act 1954, Part Two, distinct from residential properties.

- Valuation Methods: Commercial property valuation focuses on income potential, using investment methods based on rental income projections.

- Investment Advantages: High yields of 8-10% or more are possible, and long-term leases (5-10 years) provide stable income.

- Market Trends: Commercial property markets shift every five years, offering opportunities to adapt strategies. Resilient areas include tourist hubs and university towns.

- Navigating Change: Long-term investment strategies, like fixing mortgage terms for five years, help navigate market fluctuations. Consider locations with robust development pipelines.

- Key Statistics:

- Commercial property yields range from 5% to 12%, often outperforming residential investments.

- Longer leases and stability are common in commercial property, offering consistent income.

- Prime locations, such as Central London and university towns, show resilience in commercial property markets.

- Market sentiment indicators like the Knight Frank Investment Yield Guide provide insights into changing dynamics.

For personalised insights and advice, reach out to me [email protected]. Thank you for tuning in!