The commercial real estate market is constantly changing as demands for certain properties ebb and flow. To the delight of building owners and companies looking for space to lease, one of the more recent trends is the repurposing of former industrial buildings. As commercial investment opportunities, these buildings deserve serious consideration for a number of good reasons. Commercial property realtors are handling more of these properties every day, as it seems these formerly unwanted buildings have become very appealing to a certain following.
Appeal of Old Factory and Industrial Buildings
Although many of these buildings have been vacant for years in some cities, there is a sudden, renewed interest in old factory and industrial-type buildings an unexpected audience. Oddly enough, many tech companies are very interested in these older buildings for an increasing number of reasons. Citing positive financial reasons and an attraction to old historical buildings, tech and other similar companies are finding new homes in these vast, older structures - creating new commercial investment opportunities along the way.
Practicality of Repurposed Industrial Buildings
Commercial property realtors have noted tech companies are not the only businesses finding value in former factories and other industrial spaces. Advertising agencies, media production companies, and other businesses that thrive in larger spaces are flocking to these buildings. The open layout is preferred by many, who until now have been forced to pay for changing standard office space into open air environments. Besides open floor plans, these older buildings tend to have higher ceilings and bigger windows. This allows for more natural light and reduces noise levels. With recent advances in wireless internet technology, connecting these buildings to internet access is a problem any longer.
Commercial Investment in Former Industrial Buildings
Until recently, many industrial buildings in urban and suburban areas sat vacant after previous occupants moved to bigger and better plants, leaving historic shells of yesteryear behind. Properly converted into usable work space, these building conversions have a lot to offer in many ways. They are an asset for those willing to invest in building purchase and conversion and an economic boost to that area's urban and suburban economy. In addition, these buildings are frequently available for sale at a very reasonable cost.
Other than purchasing the building, the biggest cost comes from converting such structures into usable space by adding plumbing, electricity, heating, and air conditioning. When this can be done reasonably, the benefits can definitely outweigh the costs, especially in the current market. Previously, these buildings were turned into apartments and lofts. Now tech and other creative businesses are willing to pay for older building space with a certain charm and history. These structures are also located in desired locations and work environments, which provides more reasons than ever for investors to consider unused industrial buildings.
When considering the possibilities presented in former industrial buildings, commercial investment opportunities are becoming more evident. Availability is high in some areas; however, as more investors realize the potential offered by renovated factory and other buildings, availability is likely to change very quickly. To find out more about such investment options in specific urban markets, discuss the idea with experienced commercial property realtors in your area!