Every business is unique in terms of its culture, business model and preferences. While some spaces may be perfect for a telecom corporation, that same space might not be very beneficial for a logistics company. A wrong setup may even lead to friction in communication between departments.
While commercial office spaces come in all shapes & sizes, you must finalize exactly how much space your day-to-day operations are going to require. Do you have any plans for expansion in the future? Are you expecting a heavy customer/client footfall? After tackling these preliminary questions, we must dive down to the more fundamental ones. We have jotted down some variables you ought to consider while purchasing your first commercial office space.
Size and location
The right area will have plenty of room for driving your current operations as well as have scope for expansion both in terms of machinery and manpower. Connectivity is another primary concern associated with any location. Your new office must be accessible by various modes of transportation for customers/employees/vendors. Another important aspect to consider is the connectivity of the location to basic necessities like 24/7 running water, electricity and security.
Financial plan
Budgeting is crucial before you start the quest for your dream office space. Tight budget constraints will significantly affect the number of commercial office spaces available in a given area. Before finalizing a commercial office space, a business owner needs to carefully weigh the pros and cons of leasing or buying office space. Financing a commercial office space can give you flexibility in the short run as you can allocate your budget to other aspects of your business.
Renovate or ready-to-move
Some commercial office spaces might be in a poor state but situated in a good commercial location. Such properties require intensive renovation but their value appreciation is higher than the money spent and the potential business an office like that can generate. On the other hand, you might also come across fully furnished commercial office spaces which will be expensive but their ready-to-move nature will help you set up & relocate faster than ever.
Compliances
Real Estate Regulation and Development Act, 2016 protects the interest of buyers and makes it mandatory for the real estate developer to register the commercial project with the authority. So, the RERA registration number provides credibility and authenticity to the real estate developer and the project itself. Thus, this will help you in making an informed choice. Make sure to ask for the RERA registration number of the property and check it on the government website.
Due diligence
Do your homework before closing any deal. Run a thorough background check on the property. Talk with the neighboring offices or local residents, interact with other local property dealers to better understand the property history. Connect with trusted builders or property dealers with a proven track record to help you make the right choice in buying your first commercial office space.
Finalizing a commercial office space can be an intensive process. A successful investment in commercial office space that will surely affect your growth prospect requires good knowledge of the real estate market, industry trends, and knowledge about the potential risk associated with the same. Commercial investing is different from regular real estate investing as it comes with potential risks, but commercial investments definitely give a higher return on investment when compared to residential properties.
