I'm raising money for a cause I care about, but I need your help to reach my goal! Please become a supporter to follow my progress and share with your friends.
Subscribe to follow campaign updates!
Commercial building developers can use a wealth of data to assist them identify new sites. Many people want to be able to feed everything into a software program and then click a magic button to find the right site. Unfortunately, such a straightforward solution does not exist.
Commercial real estate site selection is a combination of science and art, with the science being data and modeling and the art being market expertise and on-the-ground experience. Both are equally crucial in identifying and mitigating risks when selecting the best commercial real estate properties.
Each industry will use different data sources to make decisions, but all site selectors should evaluate area demographics, traffic volume, road structures, and proximity variables from sources such as the United States Census and mobility data.
Demographic data is based on statistics from the United States Census, which is a once-a-decade population and housing count that identifies an area's ethnicity, income, and economy. After the initial poll, the data takes another two to three years to become available.
While the census provides a useful baseline, locales change throughout data processing and between census periods, and demographic providers frequently need to model from the census year to the present to identify developing patterns. Some suppliers specialize on population growth forecasting, while others may focus on demographic changes. Understanding the strengths and limits of each provider's data can help you make an informed selection.
Mobility data can help identify travel patterns, establish trade areas, examine cannibalization, and predict cross-shopping. However, mobility data is two-dimensional, depicting device locations and activities on a flat surface. As a result, depending only on it may distort an analysis. Providers are developing solutions to overcome the two-dimensional issues, but the methodology isn't flawless. For example, if you utilize the number of visitors as your performance variable, a 30-story building may outperform a single-story location depending on available data.
A site may appear to be exceptional based on data, key performance indicators, and metrics; yet, visibility, access and egress, topography, and other factors are critical to a location's success. Spreadsheets do not illustrate how visible a building is from the road due to terrain or landscaping, nor do they estimate how future development plans would affect individual parcels of land.
Going visiting sites can also assist explain and verify data, and the best practice is to adopt a site selection procedure that includes a high-level screening analysis. If a site passes the initial survey, extra time can be spent ensuring that the initial forecasts are correct and consistent with firsthand site knowledge.
Those "in the know" are well aware that you make money when you BUY Florida real estate. That may seem counterintuitive, yet it is completely accurate. The effort you put into the acquisition process may be the most essential use of your time in any real estate purchase deal. But did you realize that it's not as simple as buying at the correct moment and price?
Commercial property is priced differently than residential real estate. To buy real estate efficiently, you need intimate knowledge and a well-planned strategy. To be successful, you must be able to evaluate deals, understand metrics, be familiar with the location, and be at the proper time in the market.
The income from commercial property is directly tied to its usable square footage, the commercial value rented or leased, and the present lease arrangements. This area contains a wide range of specialties, including industrial, residential, retail, and office.
Retail Solutions Advisors has over 100 years of experience in the industry. They understand commercial real estate. They understand buying and specialize in retail acquisitions. They have great contacts with banks, attorneys, title firms, and other real estate professionals who help them identify properties and acquire them. They examine and compare market expansion and geographic diversification. They apply our experience and expertise to mitigate the economic risk of issues such as single-market concentration.
There may never be a magic button for site selection, but a combination of relevant information and human experience provides merchants with the greatest insights to help them choose their next location.
Sign in with your Facebook account or email.