Location Location Location
In residential real estate you constantly hear the saying “Location, Location, Location” and in Commercial Real Estate the right location means everything to the success and sustainability of your business. Location is not limited to what city you choose or the corner lot versus the middle of a busy intersection. It also determines your zoning requirements, market rental rates, parking, visibility, flood zones, etc.
As you begin your search, think through what your desired location means to you and how it will impact your business. You should be considering your location’s proximity to your workforce, a large customer or client, accessibility to public transportation and amenities can be helpful in recruiting and retaining talent. A new venture may need visibility and affordable market rates. An expanding business may need more parking or proximity to a major highway. Consider what you want to achieve in your business. If you’re introducing a new product or service, your location also determines if zoning requires a special use permit or prohibits your use altogether. If you want to be in a densely populated area like downtown, you should consider your budget and what concessions you need because these areas tend to have higher market rates.
Location is also pertinent to building your presence in the market. Where is your competition located? Is it beneficial to be close to your competition? You might be surprised to know that Wendy’s wants to be across the street from Chick-fil-a or McDonalds, or do you want to be isolated from businesses with similar services so you can build out your footprint unencumbered by your competitors. Ask yourself, what are my long term and short-term objectives with my commercial space. As always consult your commercial real estate professional to help you determine what your location “must-haves” are and always keep an open mind to not only what you will need now but what your business may need long-term.