The ins-and-outs of industrial property investment
Category Industrial Property News
There are very few certainties in life and being a business person in any industry has its risks. A recession is a problem in many emerging and developed economies, political unrest plays a role and certain markets can be fickle, to say the least. According to respected South African property news resource Property24, industrial property is still seen to be a worthwhile investment even in the light of growing uncertainties on a local and global scale.
According to a recent article published off the credible news agencies website, the South African and global industrial market has shifted due to it being based less around the manufacturing of goods, largely because of an influx of foreign imports, that said this has created a wide need for bigger and more equipped warehouse space.
“A stronger shift towards warehousing and distribution facilities has changed the profile of industrial property over the last few years, and this change offers more rewarding opportunities”. -www.property24.com
That said there are still many contributing factors when potential industrial property investors have to consider when they wish to invest in this market in order to reap the success that is possible. Here are 3 tips to help you make the best possible decision.
Finding the right area and right tenants
It's a widely accepted notion that certain companies within most if not all industrial businesses will want to invest in areas that are close to key infrastructure that benefits their business. Due to this world-wide trend where many goods are being made in other parts of the world, most notably, highly industrialised Asian economies. Goods are likely to be arriving via ship or aeroplane. This makes it desirable for a warehouse to be located in certain nodes or close to them, so this is something to take into consideration when opting to buy or rent industrial property. “Industrial nodes adjacent to every airport and harbour across the globe will generally see high demand. Within South Africa, the same is true and they have seen consistent growth in these nodes, in all the major centres”. -www.property24.com
Make sure you know exactly what you are getting into
Buying any kind of property isn’t an easy task, however there are varying factors that come into play when buying industrial property. You aren’t just buying property for your own needs but you’re buying it for the needs of a lot of other people as well. This means a lot needs to be taken into consideration. Some factors to consider include, proximity to residential areas, safety and what state the building happens to be in. Sometimes renovations can be equally as costly as buying the building itself, so take this all into consideration.
Get it right with the right advice first time round
It's highly advised to get advice from the experts when opting to buy industrial property. Many people decide to draw up paperwork and contractual agreements on their own. This isn’t advised as buying industrial property is complex, get it right first time by asking the professionals for advice.
The industrial area of Crown is a highly favourable up and coming node within the Gauteng expanse. It would seem it's a great time to invest as their are only two available properties in the area for rental through API Property group, one of the leading industrial property companies in the market. They have a highly skilled and professional team of brokers waiting to make your move to this great industrial area as pain free as possible. Get in contact today.
Author: API Property Group
