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5 Points to Keep in Mind while Investing in Commercial Projects

Author: Reema Sharma
by Reema Sharma
Posted: May 24, 2019

Real estate investment is a highly lucrative option when it comes to getting high end returns which are in safe hands. Once you have got the money and the plan to invest in a place where you will get guaranteed returns you should look no further than the real estate business in India. It is the second largest employment sector in the country. This also proves that it is the fastest growing fields in the country with more and more people investing in this lucrative field and getting high rated benefits. Housing sector is one part of the real estate business but you can also look into the commercial sector which guarantees better returns than the rest. If you are looking for commercial property investment but do not know how to approach it, then you should read through this article to get a clear idea.

Prime Location

Always remember that the first thing that the customers look forward to when going for commercial spaces is the significant location in which the property is situated. If you are going to invest in a space for commercial purposes then you should confirm that the property is located in a prime spot like the top rated commercial projects in mumbai. You should also ensure that the property is located in a place where the vacancy percentage around is less than 5%. This way you can also get higher rents and better clients.Quality of Property

Quality of a property is something that most of the leading offices like commercial projects in Mumbai never compromise with. If you have a property which has a large space in a prime spot with multiple floors and large number of elevators then you will surely find top companies eyeing this space to get hold of good business. Look out for companies which have the interest to go in for long term business deals with you. For proper returns in this sector, you must be very careful about the companies who you are doing business with. Avoid start ups which tend to go into 6 month deals. Security Deposits

Security deposits are the most significant amount that you get once you lease out your property to the tenants. The companies which have a good cash flow and want to go for high end returns for a long time, go for deals with the owner for a good security deposit amounting to the rent amount of 11 to 12 months. This will ensure a good amount of money in the beginning.

Lease structure

The lease structure is usually of 9 years or 15 years with an escalation after every 3 years. Be very clear about the rules of vacating. Demand of Property

You should keep a check on the demand of the location where you are buying the property. You must keep an eye on the various micro markets that deal with the most significant offices of the city. If you are looking for great returns then you must be sure of its all round features.

About the Author

Reema Sharma is a professional content writer specializing in blogging, press releases. I would like to share some knowledge by that Articles.

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Author: Reema Sharma

Reema Sharma

Member since: May 08, 2017
Published articles: 50

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