Tag Archives: commercial property

What are the Different Types of Commercial Properties?

Beginning any new business comes with a set of foundational questions to ask yourself. One of those foundational questions is what type of building or space you’d like to build your business in. Choosing the right property for your business is essential in its ability to properly flourish. Before you sign that medical office lease, continue reading on to find out more about different types of commercial properties and choosing the one that is right for you.

Office

Office buildings are a very generalized commercial property that can vary on a wide spectrum. They are usually divided by urban or suburban environments. Urban offices are found in, you guessed it, urban neighborhoods or cities that are usually housed in high-rises or the like. They also tend to be a lot larger than suburban offices. Suburban offices, on the other hand, can be found even in residential looking buildings or in a group with other offices. Office buildings can also vary depending on their rank (Class A, B, or C). Class A buildings are regarded as the more premier office buildings compared to B or C. They usually have a great marketing presence and incorporate innovative building techniques or style. Class B buildings are considered the average among office spaces. They generally have a reasonable rent and are adequate as an overall building. Class C buildings usually offer low rent but are not considered the best in building adequacy.

Medical office buildings are another commercial property to consider among the office group. These properties often house private practice or group practices. In a group practice, several doctors come together to work together in providing their medical specialty. On the other hand, a private practice involves one doctor who runs the operation, though they may have some employees to help them with this. Medical office buildings are a very popular option for medical companies or private doctors. They offer many amenities at a good rate. For example, Boulevard Medical Properties in Los Angeles offers to take care of lease paperwork and wishes to work with you to provide your office with what you specifically need for your business to succeed.

Industrial

Another type of commercial property is an industrial building. Industrial buildings are usually frequented by several different tenants. These can house anywhere from basic industrial operations for manufacturing to bulk warehouses or an industrial & office space mix.

Retail

Retail properties are made up of retail stores, restaurants, etc. This can range from housing multiple tenants to single buildings. This can also include big chain stores such as Walmart, Target, etc.

Hotel

A hotel is another type of commercial property that people don’t often think about. Hotels can be a part of a chain, such as the Marriott, or an independent business. Depending on their status, they may offer anywhere from limited service, to full service with a restaurant and concierge. Casinos are also regarded as hotel commercial properties. Another type of hotel is an urban or resort located establishment like a bed and breakfast. This is regarded as a “boutique” and isn’t part of any larger chain.

Multifamily

Any type of residential real estate outside of a single-family home is considered a multifamily commercial property. This includes high-rises, mid-rises, a two-three story home (which is considered a “garden-style” property and walk-ups. Housing communities or low-income housing is also considered a multifamily property.

Overall, commercial properties are defined as anything larger than one house or lot. So whether you’re looking to lease a new medical office (contact Boulevard Medical Properties today!) or rent an apartment in a condo building, it’s all considered commercial!

Most Important Questions to Ask When Renting Commercial Real Estate

Whether you are just starting the hunt for the perfect space for your business or are narrowing in on the final steps of the process, it is crucial to know the right questions to ask when renting commercial real estate. Fortunately, Boulevard Medical Properties can help guide you from the first steps to the last signings. For more information about our commercial property services, get in touch with us today!

Question #1: What is the cost?

Perhaps one of the most obvious places to start is the price. After all, the price will dictate if you can seriously consider signing the lease for the property. In addition, it is important to note how they expect to be paid, when the amount is due, and if you can lock in that rate and terms for your entire time in the location. Since each property can vary greatly from one to the next, it can be extremely helpful to have the team of Boulevard Medical Properties on your side.

Question #2: How long will the lease run?

When selecting a commercial real estate property to rent, one of the first questions that should be asked is about the length of the lease. It is crucial to establish the length of the lease and not assume that it is the same as the other properties you have viewed, especially since it is beneficial to the landlord to have you sign for as much time as possible. (Longer leases tend to benefit the landlord since it reduces the likelihood of vacancies where they are not getting paid for the space). It is also important to discuss what the beginning date of the lease is, and what will happen in the event that it is not ready in time. Discussing this information will ensure you do not wind up paying for the space while they undergo emergency renovations or have difficulty removing the previous landlord.

Question #3: Can I sublease?

While your intention going into the agreement may be for you to stay in the property for the entire time, it is important to know your options in case of a drastic change in your business. Whether the change is good (ex: exponential growth that has caused you to outgrow the space) or bad (ex: you can no longer afford the rent), having the option to sublease for the remainder of your agreement can be a great option for your business.

Question #4: Is there a “recognition” or non-disturbance clause?

Another way to protect yourself, your company, and your employees is through a non-disturbance clause. This will ensure that you do not get the short end of the stick if your landlord goes broke and a new landlord tries to double your rent.

Question #5: Am I limited to a certain Internet provider?

In today’s modern workplace, efficiency can be severely hindered with a subpar Internet provider. Before signing and agreeing to the lease, make sure you find out if you have any flexibility with your Internet provider. In the case of the landlord only working with one option, make sure that it is effective and it is not just the cheapest option to save them money. (During this discussion it can also be beneficial to discuss if a cleaning crew is provided, who pays for which repairs, which utilities you are responsible for, etc.)

Finding the Appropriate Medical Office Lease for Your Practice

Regardless of what your practice specializes in, the right location cannot be stressed enough. Boulevard Medical Properties take on the headaches that come along with searching for commercial property, so you can focus on running your practice. To learn more about our services or to get straight to your property search, contact us today.