What is Commercial Real Estate?
First of all, what is commercial real estate? Commercial real estate can be broken down into four main categories:
- Office
- Retail
- Industrial
- Multifamily
Outside of these four main categories there are many other types of speciality commercial real estate types such as:
- Land
- Self-storage
- Hotels
- Marinas
- Car Washes
- Golf Courses
- Assisted Living Facilities
- Co-working
- Condominiums
- Flex Office & Warehouse
- Religious
- Event Space
- Gas Stations
- Single Family Lot Development
- Subdivisions and Homebuilding
- Master Planned Communities
- Build to Rent Communities
- And more
If you want to buy or lease commercial real estate then browsing all available commercial real estate listings is usually a good place to start. However, it is important to note that the commercial real estate industry does not operate the same way as the residential real estate industry.
In residential real estate there is a single multiple listing service where all available property in a particular area is listed. Unfortunately, this is not true in commercial real estate. First of all, while there are several websites that list commercial property for sale, there is no one single MLS where they all must be listed. It is also common for commercial property to be “off market”, but still available for sale or lease. This means that the property is available, but only through private channels such as mailing lists or broker networks. This can make finding commercial property much more difficult than finding residential property.
Real estate involves economics, finance, valuation, construction, design, architecture, environmental issues, political and legal issues, and more. This is why learning commercial real estate is a lifelong process, and also why many people find commercial real estate so interesting and fun.
he cap rate, short for the capitalization rate, is a commonly used metric in commercial real estate. It is simply the ratio of Net Operating Income to the value of a property. The cap rate is important because it is used by appraisers and other industry professionals to determine a property’s valuation. It is also a commonly tracked market statistic used to track trends for a particular market or asset class.
Bienville Realty Group – Keller Williams Spring Hill is a full-service Real Estate agency serving the Gulf Coast from Mobile to Orange Beach in Alabama and all cities and towns in between. Bienville Realty Group offers Residential, Commercial, and Luxury Real Estate services. Our team of top producers will help you navigate your Real Estate transaction every step of the way. Our team prides itself on Integrity, Customer Service and Communication. Bienville Realty Group provides Real Estate services in Mobile, West Mobile, Midtown Mobile, Saraland, Daphne, Fairhope, Foley, Grand Bay, Irvington, Coden, Dauphin Island, Gulf Shores, and Orange Beach in Alabama. Call Bienville Realty Group today for all your Real Estate needs!!
