Business condos

[amkkba]

Have any of you developed business condos? What do you think of them? They seem like a good investment option for developing.

[Deal Hunter]

Before developing a whole bunch on new commercial condos, why not buy an existing one from a motivated, underwater seller?  There are TONS of them out there, unable to rent their units and sinking by the month. 

If commercial is 1-2 years behind the trend in residential, this may not be a good time to get in, unless you have free and clear land you are just sitting on.   My experience is just in commercial loans - I have not invested in commercial myself.  Loans are steady, but seasoning requirements and SIVA documentations is getting stiffer in commercial lending world.

[EZLoanz]

Commercial condo conversions was my foray into real estate investing (back in the late 80's) and although I haven't revisited it since, depending on location and demand, it can be an investment that pays long term residuals. 

This is what I did...

I purchased a 10,000 sq ft open space in a office building and offered office condos built to suit.  I coupled this with a shared infrastructure such as a common conference room, shared secretarial services, shared PBX system, shared computer network, etc.

My target market was business start ups and one man business operations (like insurance agents, lawyers, etc.). 

I found it to be a win-win---my office space and back room operations/adminstration costs were deferred and my tenant owners got affordable support staffing, infrastructure and office space. 

Regards,

Scott Miller

[tatertot]

Business condos seem to do well in my area.

What really surprised me was that shop/dwelling combination condos all sold out at very (very very) high prices.

That would be a shop with a living accomodation fir the owner on the upper floors.

They are in a fashionable area and nice buildings, but still..... ?

[Deal Hunter]

How about Dialysis Centers?  It's a business on the rise.  Have you seen many opting to set up shop in business condos?