Even before the pandemic, big-box retailers were already struggling with companies losing the competition against eCommerce businesses offering more convenient online alternatives. These blows have left the commercial retail industry struggling even more during these uncertain times.

While some big-box retailers are jumping onto the e-commerce bandwagon, leaving behind empty big-box spaces. Others are looking for creative ways to re-tenant their 200,000 to 250,000 square feet big boxes. While many still prefer to offer the actual physical store appeal, looking for more creative ways to re-tenant these big-box retailers is the next challenge. Here are a few ideas:

Storage Facilities…

Real Estate Entrepreneurs Without This Trait Have a Much Lower Chance of Success

If you truly break down the top real estate executives that have really strong, highly effective teams that love to work together you will find their leader will be, tenacious, have vision, forward thinking, team leader, good communicator but first and foremost they will have emotional maturity. If you are without an awareness of your own emotions and the ability to manage them, you won’t be able to manage other people or your business effectively.

What is emotional maturity? Emotional maturity is when someone can manage their…

Investments can be tricky, and if you are looking into making more money in real estate, keep in mind that loans may appear the same, but they are not. Before venturing into commercial or residential real estate, there are a few things that you will need to consider, from different interest rates, loan terms, amortization periods, and penalties. Banks will also look into the types of income you have and if the real estate property generated revenue.

Interest Rates

Commercial real estate or CRE and residential loans have different interest rates; CRE are considered at a higher risk, therefore, are…

It’s not a secret that numbers drive real estate investment decisions. But the real question is, which metrics are valid? Which metrics matter? Depending on your investment goals and property type, some metrics are more important than others. The following metrics/terms real estate investors commonly use when making portfolio decisions:

1. Capitalization Rate (Cap Rate)

Cap rate is mostly used for apartment complexes and commercial buildings. Capitalization rate can also be used for houses and small multifamily properties, but the flip side is that operating expenses are unpredictable with houses since you can’t know how often or how bad your…

The main aim of Opportunity Zones is to encourage long-term investments, especially in low-income rural and urban areas throughout the country, and to boost the economy. An Opportunity Zone is an economically distressed rural or urban community that has been identified by state, local, and federal qualifications.

Opportunity Zones offer a great investment opportunity for smart real estate investors. However, investors should bear in mind the risk profile of Opportunity Zone deals, which can be much higher in some targeted census tracts than the exchange. The key is to stay diversified while taking advantage of the capital gains tax relief…

Unlike the airlines, hotels, leisure, restaurants, and gyms, there are still a few essential businesses proven as pandemic proof. Companies that had to make minimal adjustments and were barely affected by the restrictions brought about by Covid-19.

Healthcare and Pharmaceuticals

Healthcare and pharmaceuticals are some of the few essential businesses that have not only remained afloat during these trying times but have also expanded. Both the public and the private sectors have provided plenty of resources to improve hospitals, Covid-19 quarantine facilities, and other healthcare infrastructures. …

Ground leases and NNN leases have different responsibilities for the tenant and investor. Both have great benefits, but there can be a few negatives to your investments as well. Let us take a closer look at these.

Ground Lease

A ground lease investment covers the land, so only the land is charged rent. Any improvements made to the building on the land will be the responsibility of the organization or individual renting it.

Benefits

One of the benefits of a ground lease is that the investor has some control over the property’s developments, including having a say on how the…

In commercial real estate, an investor can encounter barriers to entry in their investment.

With the competition in the real estate market, the entry of new businesses can bring many challenges. Existing businesses can take advantage of these barriers, such as economies of scale, implementing vertical integrations, and maintaining strong customer loyalty. Let us take a closer look at what those mean and see if they make a better investment.

Economies of Scale

If the business has been in the area for some time, they are at an advantage. They would have grasped a better understanding of the existing economy…