There are many different types of commercial real estate, all of which can bring great returns. How can you determine the best commercial real estate opportunity for you? Our friends at SVN | Graham, Langlois, and Legendre, LLC have discussed industrial real estate as the best commercial real estate opportunity. Industrial real estate is considered to have the most reliable returns. Read below to learn why:
In an article posted today by National Real Estate Investor (NREI), author Patricia Kirk reveals that industrial real estate is the asset class most preferred by commercial real estate investors and lenders.
We delve into the sector’s current strong performance and take a look at the key trends that any user or owner of industrial real estate should have on their radar.
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Strong Fundamentals Create Equally Strong Demand and Competition
One thing is certain, both investors and lenders are happy to throw their money at industrial real estate. With many U.S. markets posting vacancy levels at below 2%, yes 2 PERCENT, as a result borrowers are seeing increased lending options and owners are seeing rental rates that continue to rise.
According to recent investor surveys, industrial real estate is the sector most preferred and considered to produce the most reliable returns. With market fundamentals at peak strength, industrial is coming up roses across the board.
As with any commercial real estate sector that experiences this kind of popularity there is always a worry of eventual oversaturation. But with the continued strength of the e-commerce giant, industrial real estate should remain bullish for cycles to come.
The increased availability of financing is also…