Evaluating a Commercial Property in Andheri

1. Evaluating a Commercial Property in Andheri Investors prefer spending money on commercial properties because they bring good returns at minimal risks. Are you planning to invest in Andheri’s commercial property market? If the answer is yes, then here are a few things that you need to know: The first and most important thing to understand when buying a commercial property in Andheri are the different investment assets that are available in the market. Commercial properties can either be retail buildings, apartment buildings, warehouses, office buildings or even industrial buildings. Commercial units can also include mixed use buildings that can be a mix of retail space, office space and apartments. There are several benefits that you can enjoy whether you buy a commercial property in Andheri West or any other location in Mumbai. For instance, this type of property investment has a lot of income potential. Compared to the 1 to 4% annual return in residential real estate, the return on the purchase price of CRE property is 6 to 12% higher. The owner of a commercial property can enjoy a steady income stream the longer a tenant is in place. So longer lease terms bring in a lot of benefits. In case of triple net lease (NNN), the tenant is responsible for all types of commercial property expenses. This means, there will be minimal ownership responsibilities involved. When investing in a commercial property in Andheri West, it is also necessary to analyse the risks of your investment because there is no investment without any risk. One of the risks that you can face is tenant turnover. If you lose a commercial tenant, then you need to find a new one. There are chances you will dis- cover that there are expensive repairs or upgrades that you need to do before a new tenant moves in. It can be a difficult task to valuate a commercial property without having any information about the prop- erty’s history or without knowing what the future holds for the surrounding area. If you are also finding it to be a daunting task, then it is recommended to seek help from a property manager who has experience of working with clients with similar investments. So what is the value of a commercial property? Value is basically the expected price a property needs to yield in a fair market with scrupulous sellers and buyers. A property is considered to have value when it generates income that covers all expenses required with its standard upkeep. When investing in a commercial real estate unit, it is very important to do some research and choose a reli- able project. There are several reputed real estate companies that have launched their commercial projects in Andheri. For instance, Sunteck Grandeur is one of the projects by a reputed developer in which you can invest. It is recommended to hire a broker when finding a good property. Just make sure you are doing some good research when hiring a broker. He/she should have years of experience in this field.