Investors come in many different varieties, but one thing most of them will tell you is that real estate, when done well, is still one of the best opportunities out there. A well-planned strategy is essential for managing both residential and commercial properties. The client bases of each of these have distinct needs, and when you know what to do, you can make your investments even more valuable and desirable. It doesn’t matter if you own a small complex with only a handful of shops, or you have apartments in your portfolio, or an epic mixed use development with shops and luxury living. Let’s look at smarter ways to invest in your business and residential properties.
Avoid the Most Common Mistakes in Real Estate Investing
No one does well in real estate investing without a few missteps along the way. Putting in the effort, however, is crucial to getting things right, eventually. The operational side of ownership is one area that many investors can easily fumble. While they are smart and buy according to potential value, sometimes they don’t think through additional ongoing costs, tenant needs, or even high tech upgrades.
Another common mistake is putting all the extra cash into the wrong thing. They may focus on sinking money into custom cabinetry in the kitchen when what tenants really want are smarter systems for climate control or better parking.
Don’t Forget the Package Room, Especially in Mixed-Use Spaces
Have you ever gone to a business or residential complex, and there is a front desk or hallway overflowing with packages? Have you ever been the victim of a porch pirate who snatched an important package off your doorstep? Now, more than ever before, people are shopping online and getting deliveries at all hours of the day. And for businesses, they are ordering essential supplies that help them to meet the needs of their guests. Considering different package room solutions helps investors solve multiple problems at once.
Of course, a strategically designed package room does a whole lot more than just store boxes. It can easily integrate with technology to do things like log deliveries, notify the recipients, and keep the items secure until they get picked up. Residential tenants love this kind of setup because it helps them feel safe and secure, while commercial tenants love that it means fewer disruptions during the workday.
Rethink Shared Spaces to add More Value
Real estate developers love to maximize space. Of course, the more tenants you can fit into a building, the more money you can make. However, shared spaces make a building not just profitable, but desirable. Hallways, stairwells, and lobbies are essential, but they can also be functional.
Residential properties might include flexible lounges with high-speed Wi-Fi to help remote workers. A commercial space might benefit from a courtyard that has power outlets, lighting, and even seating to promote better collaboration.
Investing in Security
Business owners and residents appreciate a space where they feel secure. Tenants have higher expectations than ever before when it comes to building security. Some might appreciate app-based entry or facial recognition, while others might want to be able to manage visitors remotely. Business owners like things like after hours access, automatic on-off switches, and even digital logs to track who’s in after work is over.
Investors who install modern access systems can lower their liability which can even reduce insurance premiums. Plus, these upgrades feel bougie to many tenants.
Better Building Management With Technology
Investing in real estate comes with a side of building management. Whether you as the investor are going to do it directly, or hire someone else, you’ll need to consider how you’ll take care of everything from maintenance requests to compliance schedules. It’s important to use technologies that are designed just for this purpose.
Smart investors recognize that property management software is crucial for centralizing everything. You can use tech to automate everything from maintenance scheduling, to billing, to tracking energy use in your building.
Sustainability and Green Features Matter
More and more people care about their carbon footprint and how their lifestyle impacts the environment. Tenants, especially younger ones will even pay more money for facilities that prioritize energy efficiency, eco-conscious design, and even smart utilities.
Whether you plan to invest in solar panels, EV charging stations or green HVAC systems, these upgrades can appeal to business and residential clients alike. As you’re looking at what investments to make in your real estate properties, don’t forget to consider the future with eco-friendly upgrades.
