What are the Pros & Cons of Ready-to-Move in commercial properties?
Commercial property can offer good returns on investment provided you time your investment and choose the right property to buy. Traditionally, big businesses and investors were the primary players in the commercial real estate segment. In recent years, many developers have launched shops and small offices to open up the segment to all investors. There are many advantages of investing in commercial real estate including higher rental income, corporates as tenants, regular flow on income due to the high availability of tenants, etc. Furnishing an office space can be costly and take a lot of time. Hence, many developers have started offering ready-to-move-in commercial properties. In this article, we will look at the pros and cons of investing in these properties.
What are ready-to-move-in commercial properties?
As the name suggests, a ready-to-move-in property is equipped with necessary amenities that allow you to occupy it immediately. These usually include a power backup, air conditioning, necessary furniture, workstations, washrooms, and other infrastructure utilities based on the size of the property. These properties allow you to establish your business without having to worry about furnishing it.
Pros and cons of ready-to-move-in commercial properties
Here is a quick look at the advantages and disadvantages of ready-to-move-in commercial properties:
1. Immediate availability – A ready-to-move-in commercial property allows you to start your business without having to wait until the place is furnished. Even if you are an investor and want to rent the space, you can find a tenant immediately and start earning a monthly income.
2. Minimal risk – Many under-construction properties tend to get delayed due to unforeseen circumstances. Also, if you are buying from an owner (and not the builder), then the seller can back out at the last minute. With a ready-to-move-in commercial property, these risks are not present since you pay and take possession immediately.
3. Saves rent – If you are already running your business from a rented office space, then buying a ready-to-move-in office can help you save the rent amount by moving your business to the new office in no time.
4. Better financing options – Many banks and financial institutions offer better rates to buyers of completed projects compared to under-construction ones.
5. Added benefits – Many builders offer perks and benefits to buyers of ready-to-move-in properties to reduce their inventory.
6. Customization – If you are buying from a builder, then you can ask for some customizations in furnishings based on your needs.
1. Costs – Usually, ready-to-move-in commercial properties are costlier than unfurnished ones.
2. Standardized furnishings – The buyer has little control over the quality of the furnishings being used.
In simple terms, when you buy a ready-to-move-in commercial property, you get what you see. Hence, there are no surprises after getting possession of the property. This makes it a better option for people looking to start a business or rent the space. However, these properties can be costly. Hence, it is important to assess your requirements and compare the costs of a ready-to-move-in property with an unfurnished one in the same area where you get the furnishings done. This comparison can help you choose the best options.
In recent years, Pune has evolved into a hotspot for commercial property investments in India. It is one of the most prominent start-up hubs in the country. Also, with the government trying to turn Pune into a smart city, many areas have started developing and creating opportunities for offices and shops to thrive. If you are planning to invest in a commercial property in Pune, then make sure that you think about whether you want to buy an under-construction property or a ready-to-move-n property. BramhaCorp is a leading developer in Pune offering a range of commercial properties to choose from. If you are looking for a ready-to-move-in commercial property, then you can consider buying the F PLAZA in New Kalyani Nagar which has ready-to-move-in shops and offices in a fast-developing and well-connected locality.