A successful facility manager, David Reynoso of NY says that although the commercial side of real estate is an appealing proposition for most investors, there is a lot to be considered to get consistent returns from it. It is important to be aware of the common pitfalls, mistakes, as well as risks associated with commercial real estate investing so you are prepared for them before getting started.
David Reynoso of NY shares the top 10 factors that you need to consider before getting started with commercial real estate investing:
1) Everything takes longer (finding tenants, renovation work, etc.)
2) Understand the market (know the fundamentals, like legal implications, competition, rents, etc.)
3) Research area demographics & trends
4) Evaluate risk by property type
5) Avoid failing businesses or business models
6) Know the time frame for all city approvals
7) Understand how market trends could impact demand for the property type you're interested in
8) Be ready to take an active role to ensure the property achieves its maximum operating potential.
9) Find capital or a good deal
10) Consider Commercial Real Estate (CRE) debt
Taking into account these factors are sure to help you identify profitable investments and guard against the potential setbacks, risks, & downsides.
About David Reynoso from Merrick, NY
Based in Merrick, NY, David Reynoso is an experienced facility manager specializing in operations and maintenance management advisory services, automated building solutions, health and safety environment management, & energy and sustainability services (including certifications, procurement, consulting, etc.). As a facility manager, he accomplishes his objectives by managing, aspects, such as Fire Safety, Security, EHS (Environment, Health and Safety), Cleaning, Maintenance, Testing and Inspections, etc.