Should you Lease, Buy or Build your Next Commercial Property?

Which way to go - wooden signpost
If you own a business, it may be time to reassess your commercial property. That is, you may be ready to make the jump from renting to buying or building, or perhaps you are ready to relinquish the responsibility of property ownership. Due to the pandemic, some interesting trends are emerging in the Colorado real estate market that merit attention- and that could be a compelling consideration when making your own choices. According to real estate professionals at tower realty partners, Colorado has a unique and distinct market that has great potential to flourish in 2021.

Should you lease, buy, or build? Here is what you should know:

Lease

Is leasing a commercial space the smartest option? Here are some reasons when renting makes sense:

  • Renting is practical for new businesses or smaller companies.
  • Renting offers a chance to operate with minimal financial investment.
  • Leasing space gives you an opportunity to assess how much space you need.
  • You are in a hurry to find a worksite.
  • You need a location near your target audience or a specific geographic locale but want to make sure it is profitable before investing further.
  • Your business is seasonal.
  • You get an offer you cannot refuse!
In Colorado, the transition to working-at-home continues to grow and impact conventional workplaces and offices widely. More people are wanting to rent residences, but fewer are seeking to rent office space. This results in an ample supply, with little demand- which could make it a great time for companies and businesses to rent in this region.

Buy

Perhaps, buying a commercial space is the right move. Again, there are distinct situations that make this the most viable approach but other times when it could be burdensome to a burgeoning business or brand.
 
Some things to know about buying commercial properties include:

  • You will immediately reap the rewards and perks when it comes to taxes and valuation as soon as you take over ownership. Talk to your tax preparer to learn more.
  • You will know exactly what you are buying with a thorough inspection of the property.
  • You are building equity for your company.
  • Essentially, you can do what you want without consultation with property owners or landlords, if it falls within the confines of the law.
  • You are potentially building long-term wealth.
If you are thinking of buying a retail space in Colorado this year, you may find a great selection of properties to consider. Brick-and-mortar retailers in this region are closing their doors, post-pandemic, and these sites are being reimagined and redeveloped, making for a unique and intriguing marketplace for buyers throughout the state.

Build

With time and money, building your own commercial space can be a dream come true.

  • You are getting what you need, want, and envision for your property.
  • You can assess and implement energy efficient features and systems from the get-go.
  • You have warranties in place for your property.
  • Your site is modern, new, and free from the headache of refurbishment and repairs- hopefully!
  • You are building equity in your company and for your future.
When building a commercial property in Colorado, do not forget about the demand for industrial spaces to accommodate the booming cannabis industry. Factories, warehouses, and rural locales are sought for operations and companies that are bursting at the seams. It is an excellent income option for commercial real estate investors in the coming year.

When you are ready to lease, buy, or sell, come talk to us first at Tower Realty Partners. We are proud to represent Property Owners, Tenants, and Buyers with exceptional, personalized services across the market. We focus on providing a superior level of individualized attention, and we believe in the American Dream of small business ownership. We succeed when you succeed; come see us to learn more about the commercial market in Colorado today.