What commercial real estate has been doing well during this trying time? Find out here.
Commercial real estate has undoubtedly taken a hit due to this year’s debacles. With the lockdowns and the increasing popularity of remote work, it might look like commercial real estate has taken a serious blow. However, because of the economic success in pre-pandemic months, some businesses are suffering less than one might think. In addition, some businesses have actually thrived during this time. If you are a CRE investor looking to broaden your portfolio, here are a few areas to check out.
Local Retail
Retail covers a broad range of consumer forums. Big box stores and shopping malls had already been struggling before the pandemic, and because of their high occupancy capabilities, they have suffered even more. However, local stores and delivery services have thrived. Grocery stores, local shopping centers, and food delivery services continue to go strong.
Class B and C Office Space
While Class A office space, which encompasses corporate and high-value office buildings, is less popular these days, Classes B and C may be doing better than one realizes. While working from home had already been prevalent and continues to hold even more, working in an office building is still valuable. Class B and C premises are more affordable, albeit less fancy, but still provide adequate opportunity for productivity and community. Be sure to study your local office space options carefully before investing.
Light Industrial
E-commerce has had no problem with holding its ground. Rather, its warehouse and fulfillment centers have been more stable due to the rise in online shopping and food delivery orders. Because this form of business is not likely to go anywhere in the near future and tolerates pandemics well, light industrial real estate is another possible contender for the investor’s newest portfolio addition.
Data Centers
Along with the increase in warehouse and fulfillment centers’ strength, data centers also hold much power. Data centers hold the key to enormous quantities of online data for individuals and businesses alike. This type of real estate is highly expensive to develop, but its value is likewise substantial. If you would like to increase your investments in the Frederick, Maryland, area, contact Clagett Enterprises for a consultation.
Trust the Professionals at Clagett Enterprises for Your Realty Needs
If you’re looking for an experienced property management company, the perfect realtor for your property, or a professional to assist you during your purchase of any home, you can rely on Clagett Enterprises. Clagett Enterprises is a full-service real estate company with almost 30 years of experience in the Frederick and Western Maryland area. For assistance with commercial sales, leasing, management, and development and consulting, contact us online or give us a call at 301-665-6009. To meet our team and see some of our beautiful homes, follow us on Facebook and Linkedin.