343. Let's Review a Couple Value-Add Commercial Deals | Office Hours

Key Takeaways:

Value-Add Commercial Real Estate Strategy

Look for properties with potential for improvement

Opportunities exist in buildings needing work, like roof or HVAC upgrades

Potential to increase value by raising rents and converting to triple net leases

30-Day Challenge Launch

Free challenge for learning commercial real estate deal underwriting

Starts October 22nd

Provides access to deal analysis toolkit and AI underwriting tools

Leasing Commercial Spaces

Importance of detailed marketing materials

Create comprehensive listings with floor plans, pictures, and property details

Consider finishing out spaces to make them more attractive to potential tenants

Cap Rate Considerations

Not a single metric for evaluating deals

Varies based on property type, location, and potential

Look at multiple factors beyond just cap rate

Broker Relationships

Brokers are motivated by commissions

Sometimes owners need to take initiative in leasing their own properties

Be prepared to market spaces independently if brokers are not effective