When it comes to investing in commercial real estate, you have quite a few options to choose from. Each type offers different returns on your investment and accommodates your level of risk. If you enjoy the residential sector, why not check out multifamily units like duplexes or triplexes? Do you like the industrial scene? Then warehouses may fit your portfolio well.
Avoid jumping into investing on this level without the assistance of a commercial real estate broker in Jackson, MS. At The Estes Group, our team has immense experience and our brokers have their thumbs on the market. Our client-centered approach means we work with you to find your portfolio’s best investments based on your needs and desires. Not only do we serve the Jackson, MS area, but we also cover Alabama, Louisiana, and Tennessee.
8 Categories of Commercial Real Estate to Build Your Portfolio
Using commercial real estate to effectively build out your portfolio begins by knowing the different types. From there, you can discuss with your commercial real estate broker in Jackson, MS, the best options to attain your specific wealth-building goals. Here are eight categories you can explore:
- Multifamily – These properties are dwellings for residential tenants that serve as investments for the owners. They include duplexes, triplexes, and quadruplexes. Other options include suburban garden apartments, which are low-rise buildings with 50-400 units and surface parking. Mid-rise and high-rise apartments round out this category as well.
- Office – You can generally find office buildings in one of three categories: Class A, Class B, or Class C. Each category indicates the type of location and the health of the surrounding market. For example, Class A indicates the best site and construction, whereas Class C properties tend to be less desirable. Other options of office types include central business districts and suburban office buildings.
- Industrial – These properties range from heavy manufacturing to light assembly, to flex warehouses and bulk warehouses. Each type has its purpose that can easily round out your portfolio.
- Retail – A few subcategories include strip malls or centers where Mom and Pop style stores exist, generally without an anchor tenant. Another option is a community retail center, which is very large and has multiple anchor stores. You might decide on a power center with several small stores and only a few box retailers, a mall, or a land parcel.
- Hotels – Here again, you can choose from a few options. Full-service hotels will typically be your big-name hotels. Limited service indicates a business that is smaller with fewer amenities. Finally, extended stay entities with larger rooms and small kitchens designed for people to stay a week or more round out the list.
- Mixed Use – You may be familiar with these as distinct real estate buildings with retail shops or restaurants on the main floor and offices and residences on the upper floors. These are more commonly found in urban areas.
- Land – If you are looking for undeveloped lands like farms or pastures, you want greenfield or agricultural land. Vacant lots found in cities are called infill land. Finally, brownfield land includes parcels that were previously used for industrial or commercial purposes. A lot of times, these pieces are suspected to be environmentally impaired because of their previous uses. Your commercial real estate broker in Jackson, MS can provide the right insights and guidance.
- Special Purpose – This category is your miscellaneous group. Most commonly, you will find amusement parks, bowling alleys, parking lots, stadiums, theaters, and zoos in the group.
Choose Jackson’s Favorite Commercial Real Estate Broker – The Estes Group
Increase your net worth when you choose to work with The Estes Group. We are a boutique investment firm with market knowledge and leadership to help you make a sound real estate decision. We are one of the few Accredited Management Organizations (AMO) in Mississippi. This hard-earned certification means you get the best in investments and property management. Talk with us and learn how we can help you reach the financial success you seek.
Call us at 601-362-9633 or contact us online to discuss your real estate goals with our knowledgeable and experienced commercial real estate brokers. We’ll help you purchase a commercial investment property that delivers the best return on investment.