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The Most Common Commercial Real Estate Problems

When one decides to venture into commercial real estate, the unknowns can make the process seem more intimidating than it is. To keep this from deterring you, we have put together a list of the most common problems people encounter when they first enter commercial real estate.

Flow of people

In recent years due to the global pandemic, the flow of people within and between countries has changed quite a bit. The flow between countries has been nonexistent in terms of people looking to immigrate here or buy their vacation properties here in the US. While within the country, those who have been able to emigrate to areas away from major cities have snapped up properties, leaving those who can’t afford the exorbitant prices stuck where they are.


With vaccines rolling out every day, more and more businesses will get the chance to open up fully and bounce back from the financial hit many of them took in 2020 once the pandemic is well and truly over; but in the meantime, we all have to consider investing in commercial properties such as retail spaces when the average person is still hesitant to go shopping in person. This is also true of office spaces and even restaurants, as more companies push to keep remote work part-time at the very least, and takeout services such as Doordash make a commission from restaurants using their service, which may cut into a small restaurant’s bottom line in the end.

Buy new or update old?

One of the first questions we come upon when buying a commercial space is, do we buy a brand new space, or update an older space? To help make this decision, look at the things you cannot change- the location of the space, the foot traffic of the area, the types of buildings and spaces in close proximity to your potential space; these can all have an effect on your business in the end, and a prime location more often than not will be worth the money whether the space is brand new or in need of an update.

Choosing what type of real estate to invest in

When choosing the type of commercial real estate investment you’d like to make, it’s best to compare your options to the goals you’d like to achieve through said investment. This is where it’s particularly helpful to do your research, whether you’re more interested in a value-add property, retail space, or perhaps an office or warehouse space. Or perhaps you’re more interested in purchasing an existing business, in which case it’s worth talking to a business broker to help you through the process.

No matter the investment type or process, there’s an option in commercial real estate for everyone who’s looking to be a part of it. If you have any specific questions, feel free to contact us through the form on our home page, and we’ll be happy to assist you as we can.