Why Owner-Occupied Industrial Properties is a Smart Investment
Patrick Buckhoff CCIM, Commercial Real Estate Broker
Commercial Real Estate Broker & Solution Provider, CRE Leader, Speaker, Owner, Investor
As an entrepreneur or an investor, you always scout for the next best business opportunity when buying a property.
With so many investment options in the market, choosing the right one that provides financial and operational benefits can be challenging.?
One such option that you should consider is investing in owner-occupied industrial properties. Let’s check some of the aspects you should know about them:
Control and Customization
One of the primary advantages of owning an owner-occupied industrial property is the control and customization it provides.
As many industrial property owners run their businesses from these buildings, the flexibility to adapt and change the space to fit their evolving needs is invaluable.
Expand Your Business?
Another excellent reason to invest in an owner-occupied industrial property is the option to use it as collateral.
By securing a loan against the property, you can use those funds to expand your business, hire more staff, or even add new equipment.
Upgrading to a Bigger Property
Since owner-occupied industrial properties typically have 8,000 square feet, some owners may need more space for their business operations.
However, selling the existing property and using the money for a 1031 exchange can be an intelligent option. This type of exchange allows investors to defer capital gains tax and purchase larger spaces that suit their business needs.
Investing in an owner-occupied industrial property can provide several financial and operational benefits. However, before investing, knowing the limitations and market trends is crucial.
Want to learn more about an owner-occupied industrial property? Check out our full blog here.
National Account Executive at Cost Segregation Services, Inc
8 个月Plus you could always accelerate the depreciation on your building, which will REDUCE your income tax liability and help with near-term cash flow!