How To Determine The Right Size For Your Industrial Or Commercial Space
Category Industrial Property News
Are you currently in the market for a new industrial or commercial space to accommodate your business needs? Whether you're in the process of leasing or purchasing, the decision-making process extends beyond merely ensuring your machinery fits.
In this article, we'll delve into six essential considerations when searching for a new business space:
What Exactly Do You Need The Space For?
It's important to get crystal clear on what the industrial space needs to accommodate. To do this, you need to have the precise measurements of any machinery and tech you'll be moving in. How much space is needed for your machines to operate effectively? Also, how much space do you need for employees to move around and operate the business comfortably? You'll also need to know what kind of office space you'd need, if any, and if this office needs to be soundproof.
When you have a clear vision of exactly what you need for you to work comfortably and your business to operate smoothly, you can ask the right questions of the property specialists you're working with.
Where Do You Want To Be?
Location, location, location! It's one of the most important aspects of getting a commercial property. If you choose the wrong location, running your business can become way more difficult (and expensive). Some infrastructure you may want to be close to (depending on your business) include:
- Public transport hubs
- Main highways
- Proximity to suppliers and customers
- Healthcare
Another important aspect of location is security - how safe is the area you're considering? It may be a good idea to opt for a space in a secure complex with around-the-clock security.
You're also going to want to check local zoning regulations to ensure that the intended industrial use is permitted in the area you're considering. Compliance with regulations related to safety, environmental standards, and permits is crucial.
How Reliable Are The Utilities?
Ensure that the location has reliable access to the essentials such as electricity, water, gas, and telecommunications. The availability of these utilities can significantly affect operations.
Unfortunately, access to electricity can be a sore point in South Africa. Frequent power interruptions or high energy costs can impact business operations. In such cases, it's prudent to consider alternative energy solutions. Putting solar panels or batteries on your industrial property wish list can offer many advantages. Solar panels can harness renewable energy, reducing reliance on the grid and potentially lowering electricity costs. Meanwhile, batteries can store excess energy for use during outages or high-demand periods, enhancing operational resilience. If the property you're considering does not come with energy alternatives, you may want to negotiate putting up your own.
How Is Your Business Going To Grow?
Choosing an industrial property is a long-term commitment - commercial and industrial leases are generally three to five years and deposits can be up to three months rent. Therefore you've got to know your plans for the future. If your business plan includes expansion, it's important to ensure that the property you lease (or buy) can accommodate this growth.
Consider how your space requirements might evolve in terms of workforce size, equipment, and storage needs. It's also wise to evaluate the flexibility of your lease agreement to ensure it allows for adjustments in space or terms should your business needs change during the lease period.
Are The Lease Terms Reasonable?
When you get to the stage of reviewing rental contracts, it's vital that you fully understand what you're getting yourself into. You've got to know the lease terms, lease duration, and the rent structure. Then, you've also got to understand any hidden costs like maintenance or common area fees - who's responsible for what repairs and general upkeep? Getting clear on this can prevent any unwelcome surprises.
This is why consulting with property experts is so key. API Property Group are commercial and industrial property specialists. Our team of trusted and professional brokers possesses extensive knowledge of the local market in Johannesburg, Pretoria, Durban, Cape Town, and Port Elizabeth, allowing us to pinpoint the ideal industrial property that aligns perfectly with your needs. What's more, our expertise in negotiations ensures that you not only find the right property but also secure contract terms tailored to your specific requirements, potentially saving you time and money in the long run.
Who Is The Landlord?
If you're planning on leasing an industrial space, it's important to know who your landlord is and find out more about their reputation. Perhaps speak to previous tenants of theirs to learn whether or not they're communicative, responsive, and professional.
A landlord's track record in these areas can significantly impact your business operations, as a responsive and professional landlord can be a tremendous asset to your business success. If you do encounter concerning feedback about a potential landlord, discuss your concerns with your real estate professional to address any issues before signing a lease.
Entering into a new industrial property lease or purchasing a business property should be a confident and well-informed decision. To achieve this, carefully consider the above six key points. Remember, thoughtful planning and due diligence are your allies in securing the right space for your business and ensuring its success in the long term.
Author: API Property Group
