It’s no secret that when real estate is up for sale, whether it’s a home, building, office space, retail space, industrial space, or land, appearances matter. A commercial real estate transaction involves the outward and inward appearance of the property in addition to the value of the business that owns the property. If you are gearing up to sell commercial real estate, a little work in the front end can dramatically increase your ROI and net you an asking price that is far more than you originally thought was realistic. The following are some ways you can increase the value of your commercial property before closing.
- Ensure the exterior and interior are neat and well-maintained. Investing in landscaping for the outside of your business can pay dividends later. Applying a fresh coat of paint to the exterior (and interior) can also make your real estate more attractive to prospective buyers. Depending on the type of property you are selling, you may not have much control over some appearances, but doing anything possible to promote a well-manicured and inviting space is wise when preparing to sell.
- Invest in eco-friendly opportunities. Reducing your property’s carbon footprint and instituting otherwise “green” initiatives is another way to entice a potential buyer. Energy-saving light bulbs require somewhat of an investment up front, but the savings over time can get the attention of a prospect. Setting up solar panels, timed lights, and certain types of insulation are also ways to both save money and be more environmentally friendly.
- Increase your company’s value. There are countless ways in which business owners and entrepreneurs can raise the valuation of their business entity before a sale. There are accounting practices you can engage in, such as increasing sales and lowering expenses, that can benefit your company’s bottom line and overall value. Demonstrating that your company’s financial records are up-to-date and thorough is another step you can take to up your business’s value.
Before you proceed with a buyer, make sure that the property will be able to be used as the buyer intends. Check with the local zoning ordinances for assurances that the commercial activity of the buyer is allowed in the specific area of your real estate.
Conclusion
There are numerous moving parts associated with the sale of commercial real estate. As the owner, you will want to make sure that actions you take to maximize the property’s value will result in a positive ROI for you and your business. For legal guidance that makes sure your commercial real estate transaction goes smoothly, trust your situation with Salas Law Firm. We have years of experience helping South Florida businesses thrive. Contact our office today.