As the age-old saying goes, “location, location, location!” While this saying may have become quite cliché, the fact remains that location should be a top priority when you’re looking for commercial real estate.
Commercial real estate encompasses industrial buildings, retail stores, hotels and other hospitality establishments, offices, multifamily units, and farmland. Each of these types of real estate has a distinct set of characteristics that you will want to keep in mind when shopping around.
However, we’ve comprised a basic list to adhere to when looking to make that perfect purchase:
Safety
Crime rate could play a huge factor in where you lease or buy. While you may not consider it your number one priority for a something such as farmland, it could be make-or-break if you’re trying to establish a nice family unit or hotel. Before visiting, try researching the local crime rate on sites such as NeighborhoodScout and AreaVibes.
Things to ask yourself include:
- What is the daytime and nightlife like around this area?
- Is there a large amount of foot traffic on this street?
- Are there working streetlights?
- Check the locks and doors and other security features of the property for reliability.
Convenience
Convenience is highly dependent on where your target audience is located. If you provide warehousing for large items, such as furniture or cars, having quick and easy access to major thoroughfares will help your customers and product transportation find you quickly. If you’re opening a coffee shop, buying near a set of office buildings may secure your daily revenue.
Things to ask yourself include:
- Can your customers find you easily?
- Are you located off a busy street with an easy access point?
- If located in the middle of a downtown area, does the building have parking or will I rely on foot traffic?
Competition
Something to consider should be how saturated the area is with your type of business. If there are two hotels already, understanding their maximum capacity and sell-through rates are key. On the other hand, having stores together that fit a similar genre may increase visibility and attractiveness.
Things to ask yourself include:
- Do these businesses receive enough patrons to sustain their business currently?
- How similar is the service or product I’m offering?
- How many businesses similar to mine are there in close walking distance or driving distance?
Local Economy
In the Madison-Huntsville area, our local economy has developed immensely. Businesses are moving in quickly, and places such as Providence, Twickenham, downtown and south Huntsville are steadily growing. We are thriving with many small and large businesses. These are all items to scope out when looking to lease or purchase a commercial real estate property.
Things to ask yourself include:
- Are there many good public amenities?
- What kind of market is available?
- Is there access to public transportation?
- What are the future development plans?
Upcoming Areas
Upcoming areas can be fantastic spots to locate in; however, it is essential to consider the current condition of the properties and neighborhood. The Madison-Huntsville area has seen a lot of this in recent years, particularly near the former Madison Square Mall/now MidCity District. Evaluating how these upcoming areas are growing can help you determine if you’d like to incorporate your business into that location.
Things to ask yourself include:
- Does my business fit in with the trends in this upcoming area?
- Does this area continue to grow?
- What are the trends and plans for the future in this area?
- Is this area zoned for what I want to use it for?
Aesthetics
Overall aesthetics can play a role in customer visibility and the influence of style on your business. If you’re looking for something trendy and artsy, maybe an older warehouse would fit your patrons’ vibes. Additionally, aesthetics can go beyond the style of your property – they can impact your ability to pull in customers.
Things to ask yourself include:
- Is there a place for prominent signage?
- Do your neighbors have well-maintained landscaping and buildings?
- How does the style of the area fit with what you’re offering?
Of course, depending on your potential business, this list of considerations could shrink or grow.
Are You Looking for Commercial Real Estate?
Whatever you’re looking for, Freedom Real Estate has the expertise to help you shop.
We’ll help you curate your options and find the perfect commercial space for your business!