Author Archives: Fritz

Commercial Real Estate

Orange County Real Estate: Is Now the Time to Buy?

Orange County real estate

With a population of over 3.2 million, Orange County CA is a hot place for real estate investors to start buying. Still, knowing when to invest can be challenging if you don’t know current market trends. That’s why it’s important to do your research and get informed.

You’ve come to the right place! Read on to learn the ins and outs of Orange County real estate market trends so you can make a lucrative commercial property investment.

High Demand, Low Inventory

The US unemployment level is currently at its lowest in 54 years. It’s currently at only 3.6%, which means that the majority of the population that can work is doing so.

Workplaces are also expanding. Per the current Fortune 500 list, the 500 biggest companies in America made a collective $13.7 trillion. That’s about 2/3 of our nationwide economy.

Naturally, this leads to an increased demand for commercial property rentals. People need a place to work whether they go into an office each day or work in a warehouse or manufacturing plant.

However, the high population of Orange County means that there isn’t enough real estate for everyone who wants to purchase. This makes them somewhat expensive.

It’s important to know that you will have competition. You may need to pay more money upfront than you would have in previous years.

A High Economy

Luckily, with the Orange County economy at an all-time high, investing in commercial real estate is still possible.

Employment has risen by over 215,000 jobs since the end of 2022. This puts about 6.33 million people in the current workforce. This growth is about 4.8% of the growth across the US.

Long Beach, Los Angeles, and Anaheim are doing economically better than a lot of the country.

Naturally, a booming economy should lead to higher buyer confidence levels. Unfortunately, this isn’t always the case when it comes to commercial real estate. List prices are high because demand is high, so people question whether or not it’s the right time to make an investment.

Generally, though, now is a good time to buy. You just need to be willing to take the leap and make that high upfront purchase.

So, When Is the Right Time to Invest in Orange County Real Estate?

Generally, buying commercial real estate is best during times of economic growth. That’s when the market is at its strongest. When more people are looking to buy, more people are also looking to rent.

That definitely describes the current situation in Orange County!

Spring and Summer

It’s also important to note that like residential sales, the best time to buy commercial real estate generally follows a seasonal pattern. March through August tend to be the best times to get good deals on the market. A spring or summer purchase is a great idea.

While there are no weather conditions in SoCal to prevent a smooth winter move, the US trend is important everywhere. People’s leases often expire in the summertime. Out-of-state businesses looking to expand will want new properties then. You’ll have an easier time finding a renter.

The Right Space Is Available

You can’t just invest in any property and expect to turn a high ROI. It’s extremely important that you find the right one.

You don’t want a dilapidated property that will require a lot of initial upfront maintenance. This will cost more even if the property is listed at a lower price. Since you won’t start collecting rent until the renovations are complete, you’ll lose a lot of money for a long period of time.

You also want to make sure that you can find a property in a desirable area.

Businesses don’t want to operate in bad parts of town. Retail shops especially want places with high foot traffic. You’ll have a hard time finding renters if you’re not cognizant of this.

Finally, make sure that the appropriate type of property is available for you. Owning and maintaining an office building is much different than a retail storefront. Industrial and warehouse buildings are even more different.

You want to take on the perfect project for your individual needs.

Why Commercial Investments?

There are tons of awesome reasons to invest in commercial properties. The main downside is the upfront list price, but there are ways to make it easier on yourself. Banks and credit unions offer loans specifically for new commercial property investors, and they often have reduced interest rates and APR financing.

You’re also going to get a really high ROI from commercial properties. While a residential investment can only be let out to one family at a time, commercial properties can usually be leased to multiple companies. Office buildings have several floors, and warehouse spaces can store goods from multiple businesses.

Plus, since commercial renters have more money allocated for rent than individuals, you can get away with charging more.

Leases are also longer on commercial properties than on residential ones. Individuals and families usually request yearly leases. Commercial renters can sign leases for 5-10 years at a time.

This locks people into a longer commitment, giving you a steady and stress-free source of passive income in Orange County.

Start Investing With Expert Real Estate Brokers

Now that you know whether it’s the right time to buy Orange County real estate, it’s time to begin looking for properties that you can rent out. Our experts are committed to helping you find the perfect location for your next investment so you can get the highest return.

We offer retail, industrial, office, and warehouse building options, so you have several different possibilities to choose from. Contact us and call (877) 775-9625 to start looking for top-notch real estate today.

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Commercial Real Estate

5 Things to Know About the Commercial Real Estate Market

commercial real estate market

In 2022, over $1.1 trillion was spent on commercial real estate transactions. This includes properties like office buildings, warehouses, etc. Investing in commercial Orange County real estate can be an amazing way to generate exponential returns. However, there are certain nuances of the commercial real estate market you need to understand before you get involved.

This will prevent you from dealing with obstacles you may have otherwise encountered.

Let’s explore some of the most notable things you should know.

1. Determine Your Needs

One of the most important steps to take before investing in commercial real estate is assessing your needs. This includes figuring out your desired annual return, what type of property you’re capable of managing, etc. For example, someone might want a substantial annual return on their commercial investment.

However, they might not be able to deal with the nuances associated with managing a property this large. The same can be said about managing a large number of properties. It might make more sense for someone to purchase a warehouse instead of multiple apartment buildings in a case like this.

As long as you take time to plan, you’ll narrow down your potential options.

2. Location Is Everything

Similar to residential real estate, location is one of the most important attributes of the commercial real estate market to consider.

No matter how nice a commercial property is, you likely won’t be able to get the most out of it if it’s located in the wrong area. To clarify, let’s assume that you purchase a brand-new office building that’s already outfitted with plenty of amenities.

Let’s also assume this building is located in an area that is both difficult to access and has a high level of crime. There’s a good chance you won’t be able to easily find tenants, leaving you with enormous ongoing expenses that you have to pay out of pocket. In contrast, a less impressive building in a prime location will perform much better.

It’s not uncommon for there to be a large amount of competition among commercial property renters if the location is ideal. In situations like this, renters are also more likely to overlook the property’s shortcomings. Be sure to consider this when moving forward.

3. Understand Trends

Starting market trends can help you gain insight into the future potential of the property. The city might have a massive boom in commercial real estate development, for instance.

With a sharp increase in overall property volume, the average property value will likely decrease. Trends can be influenced by non-real estate factors, as well. One of the best examples is the mass exodus of residents from certain states during the COVID-19 outbreak.

Thousands of people left places like New York and California in favor of states like Texas and Florida. This subsequently caused the commercial real estate prices in the destination states to rise.

Another factor to consider is government regulations. A common scenario would be a state government passing a law that limits the development of new commercial real estate in certain areas.

This would inherently make existing commercial real estate more valuable, meaning it would be in a buyer’s best interest to purchase property before this law is passed.

The best way to stay on top of market trends is to study them each day. Many people choose to read commercial real estate news in the morning before work or at night before they go to bed.

4. Have a Plan For Financing

You won’t get very far if you don’t have a solid plan to secure financing. Unfortunately, obtaining approval for a commercial property loan is more difficult than obtaining one for real estate.

This is simply due to the fact that commercial properties are typically worth exponentially more than residential properties. They can also take longer to obtain approval for commercial loans.

So, it’s highly recommended that you secure financing as soon as possible. The last thing you want is to find yourself in a situation where you find the perfect property but aren’t able to purchase it. Your prospective lender will tell you everything you need to provide to give yourself the best chance of approval.

5. When to Hire a Broker

Put simply, you should hire a broker unless you have extensive knowledge of commercial real estate investing.

Those who have never handled this process will likely make mistakes that they could have avoided. A broker has all of the required knowledge and resources to help you find the ideal property.

They also have access to a list of available properties they can match you with, allowing you to save a substantial amount of time. When searching for a broker to work with, consider their past reputation. Only choose brokers that have overwhelmingly positive feedback from previous clients.

You should also consider how communicative they are. If they aren’t easy to get in touch with, you’ll find yourself stressed during the transaction process.

Finally, assess if they are interested in helping you meet your needs. When speaking with them, they should go out of their way to answer your questions and concerns.

Invest in the Commercial Real Estate Market

As previously mentioned, the commercial real estate market is an amazing investment opportunity. As long as you consider the above information, you’ll be sure to give yourself the greatest chance of success.

Reach out to us today at (877)-775-9625 to learn more about how we can help. Our team of experts is ready to connect you with the ideal property for your needs.

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Commercial Real Estate

Your Guide to the Different Types of Industrial Buildings in Orange County, CA

types of industrial buildings

E-commerce currently accounts for only 20% of all retail sales, giving the industry lots of room for growth. With the growth in this industry comes the need for more industrial warehouse spaces.

Industry continues to show growth in nearly all sectors coming out of the pandemic, and the demand for all types of industrial buildings is high.

Are you looking to buy or sell an industrial building in Orange County? Take a look at the different industrial buildings in demand in this market. Read on to learn more about the industrial real estate market.

Types of Warehouses

Many industrial building types fall under the category of warehouse. Yet, a warehouse has many different functions, depending on what they’re housing.

Let’s take a closer look at some of the types of warehouses you’ll find here in Orange County.

General Warehouse

A general warehouse is, as the name suggests, a warehouse for storage. These buildings often act as just storage for inventory or manufactured goods.

A business might have a manufacturing facility (more on this type of industrial building shortly) and then also have an on-site warehouse.

The square footage and how the warehouse is equipped will depend significantly on the product it’s housing.

Distribution Warehouse

A distribution warehouse goes beyond the function of a general warehouse. This warehouse type is used to ship goods and products from it.

Because it’s a shipping hub, location is a critical factor in a distribution warehouse. Access to airports and other shipping hubs is critical for efficiency in moving products.

If a company distributes, then easy access to major roadways is key for this type of property.

Specialized Warehouse

A specialized warehouse handles out-of-the-ordinary product storage. In some cases, the warehouse holds unusual products. In other cases, the specialized warehouse might be a rental facility for people with unique storage needs.

A specialized warehouse might hold barrels and cases of wine that need to age before distribution. This type of facility might hold antique and vintage cars or art.

Hazardous Material Warehouses

Hazardous material warehouses are much different because of the things stored in them.

There are many considerations for this type of warehouse. It must be secure to ensure the materials don’t get into the wrong hands. The warehouse must also have the right storage inside to ensure materials don’t mix or combust.

Workers’ safety in these facilities is also important because the materials are likely flammable, corrosive, or otherwise dangerous.

Cold Storage Warehouse

Another type of warehouse is one that stores items that must be kept cool or refrigerated.

A cold storage warehouse might store food, flowers, or medications that need to be kept cool.

Inside the warehouse, you’re likely to find huge refrigeration units that are big enough to manage the storage, too.

Heavy Industrial Buildings

Another industrial space you might need is for heavy industry. These are typically huge locations with ample space for heavy equipment to move and function.

This type of facility will have big storage areas to hold all the materials needed for manufacturing. They will also house abundant heavy equipment used while manufacturing and after.

It is likely to be retrofitted with the exact needs of the occupant for things like user-specific drainage, ductwork, ventilation systems, and chemical lines.

Light Manufacturing Buildings

Another form of industrial real estate is a facility used for light manufacturing. This type of building is typically smaller than one used for heavy industry.

It may have fewer needs to make the facility functional in the manufacturing process.

Data Centers

One newer type of industrial facility is one used as a data center. Companies with many computer servers and equipment might use this type of building off-site from their main location to hold the computer equipment.

Often computers, servers, and other telecommunications equipment must be in a cool environment, so a temperature-controlled warehouse is key for this use.

Research and Development Facilities

It might surprise you how many industrial sites are actually used by companies for research and development.

An industrial location is good for R&D because it has plenty of space to set up research and then use it to develop products or prototypes.


Another type of commercial real estate is a showroom. A business with products or materials that need display but might not function well in a traditional storefront will often use more industrial, commercial spaces to showcase a product.

Sometimes these showrooms are attached to a light industrial location or a warehouse that displays the materials.

A business that wants a commercial showroom will want to consider a location that gets more traffic in an effort to bring in the customer.

Truck Terminal

A business that works in the distribution of products or a company that handles its own trucking might also need a trucking terminal for its fleet of trucks.

A truck terminal should include:

  • Parking spaces for trucks
  • Service bays for maintenance
  • Repair areas and tool storage
  • Fueling stations

These facilities may partner with other industrial buildings and include places to load and unload cargo.

Know Your Options With These Types of Industrial Buildings

Now that you know about the different types of industrial buildings, you can decide what best meets your industry’s needs. There’s a host of available industrial real estate waiting for you in Orange County.

Let us help you find the right property for you. If you’re in the market to sell, we’ll help you get the best buyer. Call us today at (877) 775-9625 or contact us through our website and see available properties.

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Should You Rent or Buy a Commercial Warehouse in Orange County, CA

commercial warehouse

Nearly 50% of businesses fail within the first five years in the United States. However, there are measures you can implement to help avoid this. Having the right facility goes a long way when it comes to the longevity of your company.

This is especially true when considering what warehouse you use. A common obstacle people encounter is deciding between buying and renting a commercial warehouse.

Making the right decision is crucial, and it’s important to understand the key attributes of both. Let’s dive in.

Renting a Commercial Warehouse

Most people consider this as their primary option because it requires less money upfront. As such, it’s often the ideal choice for small business owners. Owners of larger companies may not need this flexibility, though.

Renting provides you with a fixed monthly cost, allowing you to have better insight into your future expenses.

Having the ability to leave the property is also something to consider. Sudden changes in your life could require you to relocate, which can be fairly difficult if you own the warehouse.

You can also take advantage of tax breaks for property expenses even though you rent. Unfortunately, renting does not provide you with equity in the property. This also means that you can’t benefit from appreciation.

Since you don’t own the warehouse, you won’t be able to rent out space to other people. This will prevent you from establishing passive income in this manner. Those who read also won’t have control over the warehouse itself.

So, you will need the landlord’s permission to make modifications. Depending on who owns the property, they may have tight restrictions in place.

Buying a Commercial Warehouse

There are many positive aspects of purchasing a warehouse instead of renting it.

One of the most notable is that you will build equity over time. This allows you to get much more out of the money you contribute to the property.

Your commercial warehouse will also serve as an asset that can increase your net worth. This can come into play in the future, such as when looking for financing to purchase an additional commercial property.

If you don’t use the entirety of the warehouse, you can rent out the extra space to other business owners.

In certain circumstances, you might even find that you can generate substantial passive income. Owning a commercial warehouse can also give you a tax break on non-mortgage expenses, interest, and depreciation. Over time, this can easily add up to a significant amount of money.

You’ll also have full control of the property. As long as you don’t infringe upon regulations, you’re free to do what you want with it.

It’s not all good news, though.

Purchasing a commercial property often requires a very large down payment. Many people simply can’t afford to contribute this amount of money. It’s notably more difficult to qualify for financing when it comes to commercial properties compared to residential ones.

You’ll also need to budget for liability insurance.

Of course, there’s always the possibility that your property loses value. While this is mostly out of the control of property owners, it’s still something to consider.

Making the Right Choice

It can be tough to decide whether you should buy warehouse property or rent warehouse property instead. In order to make the best decision, you should assess your primary needs.

If you value predictability and flexibility over other attributes, it may be in your best interest to rent. The same can be said for those who don’t have access to sufficient forms of financing. People who want to benefit from building equity should consider purchasing a commercial warehouse instead.

There’s also something to be said about the level of control that ownership provides. If you feel as though you will want to modify the facility later on, you should buy instead of rent. Owning the property will also give you the potential to establish a passive income stream.

Getting Started

To get started, it’s in your best interest to work with a professional. They have all the tools and resources necessary to help get you on the right track.

When searching for someone to work with, take a look at their past reputation to gain insight into what you can expect. You should also consider if they typically work with clients like you.

For example, you might not get much out of the professional relationship if they frequently work with people who have a much larger budget than you do. They should be highly communicative and committed to helping you reach your goals.

If they don’t seem interested in helping find the right property, be sure to look elsewhere. This is a red flag that you shouldn’t overlook. Finally, inquire about fees and miscellaneous expenses that you’ll incur.

The last thing you want is for financial issues to arise during or after the transaction. As long as they are transparent, you shouldn’t encounter any problems.

Take Action Today

The commercial real estate market changes on a daily basis, and it’s easy to miss opportunities by waiting too long. Once you make your decision, it’s best to look into taking the next steps for your commercial warehouse as soon as possible.

Reach out to us at (877) 775-9625 to learn more about how we can help connect you with your ideal property. Our professional staff will help ensure the process goes as smoothly as possible.

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Commercial property

Understanding the Basics of Commercial Property Investment in Orange County, CA

commercial property investment

With about 29% of Americans citing it as their favorite long-term investment, the real estate market continues to thrive across the US. While a lot of purchases are residential, others take the leap and reap the benefits of commercial property investment.

If you’re looking to become an investor in the commercial real estate market, it’s important that you understand the basics, benefits, and investment processes. Read on to learn how you can start investing in commercial real estate in Orange County, CA.

Why Invest in Commercial Real Estate?

Commercial real estate is a tangible investment. It physically exists and can appreciate or depreciate in value over time. Rather than having a value that companies assign to it as stocks do, tangible assets have intrinsic value in their own right.

Tangible assets like real estate are good because they have real-world applications. This increases the value because you and renters can consistently use it.

Portfolio Diversification

Diversifying your portfolio is important because all investments come with risks. If you make a stock market investment that doesn’t pay off, you could be out a lot of money.

But diversifying with real estate investments makes it more likely that one of your investments will pay off. That way, if one fails, you’ll still have income and returns to fall back on. You won’t lose all your money.

Commercial real estate investing is one way to add a new type of asset to your portfolio. It can coexist with stocks, bonds, and other tangible assets like precious metals. You can mitigate risk and reduce the probability of a stressful financial loss.

Passive Income

Investing in commercial real estate is a great way to generate income. You can rent it out to businesses that will pay you a monthly sum for its use. All you need to do is maintain the building with the terms that you outline in their leases.

It’s easier to get more passive income from commercial real estate than residential alternatives. For one thing, commercial properties are larger. If you buy an office building, you may be able to collect rent from several businesses that operate in different parts of the property.

You also will be able to have longer leases with commercial renters than residential ones. While most individual home renters will want 1-year leases at most, commercial leases usually last between 5-10 years. You won’t need to worry about vacant properties, turnover costs, and unpredictable cash flow.

High Investment Returns

It’s also easy to get a high ROI on a commercial investment. This is because they tend to appreciate in value more over time.

There are a lot of great renovations that you can make to commercial buildings, and you’ll have a lot of time to do this. Since leases are longer, you’ll be able to work while people are still using the building in most cases. You won’t need to schedule upgrades around when people are living in the building since they’re not residential.

This is convenient and also helps you justify raising business’s rents when their leases expire. You can also sell it for more money down the line when it’s time to let go of the investment.

Types of Commercial Property to Consider

There are several different types of commercial property available to you. Retail storefronts are great for those who want a venue that hosts a business. This is ideal for well-positioned properties that get a lot of foot traffic.

You also may rent out an office building. Many investors like this because they’ll have the option to collect rent from multiple businesses in one building.

Unlike a retail store where only one person would pay you rent, you’ll get a ton of passive income from multiple people. Note, though, that you will likely need to perform more maintenance on these spaces.

Industrial facilities and warehouse centers are also commercial property options for new investors. You can rent these out to multiple businesses with similar manufacturing and distribution needs.

Because these facilities tend to be large, they’ll require a lot of maintenance and routine inspections. However, since you’ll be collecting so much rent, it’s often worthwhile.

If you’re looking to become a big-time real estate investor, you might consider purchasing multiple types of property. It’s a great way to expand your portfolio. As a beginner, though, research the pros and cons of each to decide what your first investment should be.

How Can You Make the Right Commercial Property Investment?

Before you get started, look at what commercial properties are available to Orange County investors. Carefully research the demographics in the area of prospective purchases and how much competition you’ll have for rent and leasing.

Properties in high-traffic areas tend to cost more upfront, but you can charge higher rent to businesses that want visibility. Consider this as you compare rates and decide on a location that’s right for your objectives.

Get the Right Funding

There are a lot of loans available specifically for those investing in commercial real estate. Commercial bank loans are the most common, and you can get a nearly unlimited amount of financing assuming that the property meets the bank’s basic requirements.

They’ll look at your personal lending habits and credit score, but they’ll also afford you more based on whether the property has a high projected cash flow and ROI.

Become an Investor Today

Now that you know the basics of commercial property investment, it’s time to become an investor ASAP. Our experts are committed to helping people like you find high-value properties in Orange County, CA.

We’re excited to discuss your specific wants and needs, so contact us to learn more about the properties we have available for sale.

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Commercial property

A Guide to Finding the Right Commercial Property in Orange County, CA

commercial properties

The commercial real estate industry employs about 3.9 million people as of 2023. Because of this growing figure, investing in a new property is a lucrative way to grow your portfolio.

Here, we’re going to talk about how you can find and invest in the right commercial properties in Orange County, CA. Read on for some tips, tricks, and advice to ensure that you diversify your assets the right way.

Determine Your Objectives

There are three core reasons that people invest in commercial real estate. These are safety, capital gains, and income.

Safety is basically when people invest in something to diversify their portfolio. If you’ve already invested in the stock market, you’ve risked money on those stocks. The company you invested in could fail, which would lose you a lot of money.

But diversifying means that you’ll have other investments that could still pay off. Real estate is a tangible asset, meaning that it holds intrinsic value (though this value can fluctuate with its condition, location, and market value). It’s a more secure investment than volatile alternatives.

Capital gains come from the sale of an asset. People buying property may be doing so to flip it, meaning that they’ll fix it up and sell it again for more money.

If this is your goal, you’ll need to do a lot of upfront research about maintenance costs and how much you can sell it for later. You’ll need to compare the costs and potential gains.

Many people also get capital gains several years down the line after generating income, so this is a long-term goal for some people who primarily are investing for passive income.

Generating income is one of the biggest objectives for commercial property investors. This usually comes in the form of renting it out to businesses and organizations. You’ll want to figure out how much you can charge in rent based on market trends, location, building condition, and building layout.

Look at All Available Options

Look into multiple types of property, including:

  • Office spaces
  • Warehouses
  • Retail venues
  • Industrial locations

Determine which will best help you meet your objectives.

Once you know what type of property you want, you can begin to look at available properties in Orange County, CA. Don’t get set on a single property. Exploring multiple options with an open mind means that you can compare and contrast various investments to find the most lucrative one.

As you examine and bookmark potential investments, you’ll need to consider what makes a property valuable.

Decide on a Location

Profitable investments need to be accessible and well-developed.

Orange County is fairly large and has multiple areas. Some places have better infrastructure than others, meaning that it will be easier to find tenants willing to pay rent. You’ll also be able to sell it later for more money.

It also will be easier to conduct repairs on the property if you’re in a well-constructed area. While it may cost more upfront to purchase a commercial property in Irvine or Newport Beach, it will ultimately pay off since people want to work and commute there.

Value the Condition

You can probably find dilapidated, run-down commercial investments for a really low price. Unfortunately, you’d also need to pay for extensive repairs to get them back in good condition. This is almost never worth it, especially because it would take so much time and labor.

Make sure that you go to the property in person and assess its condition. If the structural foundation of a building doesn’t look sturdy or it has excessive water damage, you might want to look elsewhere. People won’t want to pay to rent out a poorly-maintained space, so you could be looking at months or years of maintenance before bringing in any kind of ROI.

Examine the Space

Once you find a property that looks promising, thoroughly examine its layout. The arrangement of a commercial property will impact how effective it is for businesses to operate there. If people won’t like the layout, it’s not a good investment choice regardless of the building condition.

At this point, you’ll also need to talk with professionals about coding and projects. Make sure that the building layout is free of hazards and up to legal regulations. See what you’d need to do to fix it if not and make sure that you can get permission from the necessary authorities.

This will give you the full picture of your investment and let you know what you might need to do to get a high return.

Understand Risks

All investments come with risk.

High-risk investments tend to pay off more, but they also can fail. That’s why diversifying your portfolio is so important. If one investment doesn’t pay off, another will keep you afloat.

It’s important to consider how risky investing in a specific property is before you put any money into it. This means looking into the area’s commercial property market, the history of the specific building, and market trends within the industry.

Be Mindful of Your Budget

While it’s better to pay a higher upfront cost to save money later, you also don’t want to overspend. Make sure that you stick to the budget that you originally set. Incorporate any immediate maintenance that you deem necessary into the upfront budget, too.

If you’re not careful of how much you spend, you might end up with insufficient funds for maintenance and upkeep. This is a surefire way to make your investment fail, so avoid it by calculating all costs accurately. If you’re unsure of anything, you can also talk with a financial advisor.

Invest in Commercial Properties Today

Buying property is a good way to obtain passive income, access a tangible asset, and ultimately turn a profit. Now that you know how to find commercial properties in Orange County, CA, it’s time to get started.

Our experts are excited to help you find retail venues, office spaces, warehouses, and more in the area. If you’re looking to buy or sell commercial real estate, contact us online or call (877) 775-9625 for more information.

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Commercial Real Estate

Benefits of Investing in Commercial Real Estate in Orange County, CA

investing in commercial real estate

Investing in commercial real estate has a 9.5% ROI, so it’s a good move for anyone looking to diversify their portfolio. Whether you need a space to conduct business or want to lease it out to commercial tenants, you’re making a great choice.

Here, we’re going to talk about some top benefits of real estate investing in Orange County. Read on to learn how you can make the most of your next financial move.

Diverse Opportunities

“Commercial real estate” isn’t just a single type of property. It includes:

  • Retail store venues where businesses can set up shop
  • Office spaces for SMBs to conduct business
  • Industrial facilities for manufacturing plants
  • Warehousing venues for distribution

You’re not locked into a single type of property when you consider a commercial real estate investment. You can lease out multiple types of spaces and broaden your reach over time.

Portfolio Diversification

Investors need to diversify their assets to mitigate the risk of financial loss. If you put all your eggs in one basket and only invest in stocks, for example, you’re going to lose all your money when the stock market dips. However, if you have more assets like bonds and real estate, you’ll have income from multiple sources and won’t lose all your money because of a single financial event.

Real estate is a safe investment because it’s tangible. You can access the property, involve yourself in maintenance, and even use it for business if the need arises. People are also constantly looking for places to rent out for business, industrial, and distribution purposes.

This means that your commercial property will still generate income for you regardless of your other investments. You’ll still be getting passive income even if you make poor stock market investments or try your hand at buying new virtual assets.

Passive Income Potential

Passive income” is money that comes from a source besides an employer. Renting out a space and collecting money from tenants is one of the most common passive income sources.

You don’t need to do anything but prepare the paperwork, sign a lease, and maintain the property when necessary. In exchange for this low-effort job, you can collect thousands of dollars each month in rent.

Commercial properties are a great way to get a lot of passive income since you can lease out to multiple tenants. You can give multiple companies office space on different floors of your building to collect from each business individually. You can rent out warehouse space or storage facilities to many different commercial companies.

Plenty of Financing Options

Commercial Orange County investing has more passive earning potential than residential alternatives. You’ll be glad to know that there are also more financing options available for those looking for commercial investments.

Banks and credit unions have loan programs made specifically for commercial investments. Third-party lenders are also often willing to give out commercial loans because they’ll be paid back with interest.

In a lot of cases, these loans have lower interest rates than residential property loans or personal loans. They also usually have better payback terms than those that residential mortgage brokers might offer. You’ll have a wider variety of funding to choose from.

Tax Deductions

Those who invest in commercial properties also can get a lot of tax benefits. Some benefits include:

  • Depreciation deductions for income taxes
  • Deductions for property repairs, management and operating expenses, and maintenance fees
  • Tax deductions for interest expenses
  • Reduced tax burdens for your beneficiaries/heirs
  • Deductions for Qualified Business Income (QBI)

These tax breaks make real estate a profitable investment. You don’t need to worry about high taxation on your commercial property. You will also be able to funnel more money back into the property and increase its overall value for future rentals and leasing opportunities.

Value Appreciation

Commercial properties will also naturally accrue more value over time. This is true even when you don’t consider the changes, renovations, and improvements you’ll make.

The real estate market is a steadily growing one, especially in some areas of California. The population has increased a lot over the past decade. There are more jobs than ever before.

This means that Orange County investors stand to get a lot of money as a result of this natural growth. The demand for commercial rentals will go up while the supply remains stagnant. You’ll be able to collect more rent and sell it for more money in the future when you choose to move on.

A Long-Term Investment

Residential properties are often fairly short-term investments. You only have a few tenants and they won’t require too much maintenance. This is, of course, assuming that you keep the property in top shape to begin with, but it will be less effort than a commercial building.

Commercial investments require more care and maintenance, but this is actually a good thing. You will have the chance to make improvements and turn your profitable property into something extremely lucrative.

Over time, you’ll be able to perform major renovations that greatly increase the property’s value. You can charge more rent and get greater benefits. Commercial real estate is an investment that never stops giving.

Start Investing in Commercial Real Estate Today

Now that you know the top benefits of investing in commercial real estate, it’s time to get started. Our experts are dedicated to helping people in Orange County find commercial properties to buy or lease.

We will help you access retail, industrial, office, and warehouse facilities so that your business can be as profitable as possible. Call (877) 775-9625 to begin searching for property to invest in.

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Commercial Real Estate

Commercial Real Estate Market in Orange County, CA: What You Should Know

commercial real estate market

The average American landlord makes about $73,406 annually. In Orange County CA, this number is even higher at around $75,141. If you’re looking to make an investment with a high return, you can’t go wrong with real estate.

The Orange County commercial real estate market is one of the best in the nation for property owners to collect rent in. Read on for an overview of this market and some trends to keep an eye out for.

Averages and Statistics

The first thing that you may wonder is whether purchasing Orange County real estate is worth the return. The answer to this question is a resounding ‘yes.’

Los Angeles is about one hour north of Orange County, but its market is similar for several reasons. Both are high-end communities in Southern California. Both have excellent real estate markets, wealthier homeowners, and good weather and living conditions.

In Los Angeles, the average commercial property sells for $484 per square foot. Most business landlords ask for about $46 per square foot of commercial space monthly.

This amounts to $552 per square foot every 12 months. After leasing a building out for 1 year, the average LA property owner turns a 14% profit. In 

That’s not bad, especially considering that you’ll be leasing it out over several years! Plus, when tenants remain in the building longer, you’ll have the opportunity to increase their rent and make more money.

Would Residential Renting Be Better?

Short answer: no.

Residential property costs less to purchase up front, but the average California landlord only gets $3-4 per square foot of rental space. Property values will obviously vary – a well-maintained home may be a better investment than a dilapidated office building. But these are exceptions to the standard, not the norm.

Commercial properties are also a superior investment because they’re long-term. They require more care and maintenance than residential buildings, but this is a blessing in disguise. You’ll have a lot of chances to raise the property value and turn an already-lucrative investment into something extremely profitable.

Not only that, but commercial property landlords also get a lot of tax benefits. Maintenance comes with deductions, but so do interest expenses and depreciation deductions. There also will be deductions for Qualified Business Income, so you’ll get a lot of tax breaks.

Bouncing Back

The pandemic hit the Orange County real estate market hard. Leases had 12% vacancy rates in 2021 at the heart of the COVID-19 crisis.

However, they’re now coming down and have reached about 11%. This is still higher than the 2016-2022 10% vacancy rates, but it’s a step in the right direction. 

In both commercial and residential real estate markets, rent also did not grow during the pandemic. In 2021, the average rent for all property types decreased by about 5%. However, it’s bouncing back and is at about -0.8%.

Landlords in Orange County can expect future growth, though. California’s real estate market is currently characterized by high demand, growing businesses, and varying supply chain needs. Each of these factors makes the state a top-notch place to purchase and lease out property.

The Orange County Office Market

Commercial property sales in Orange County are lower than the national average. They make about 350 trades when compared with the national average of 400.

It’s important to note, though, that the value of property sales is higher than most. The overall $2.7 billion value means that the market is likely to make a pretty good comeback in the coming years.

More Financing Options

If you were to purchase a residential property to rent out, your financing options would be severely limited. You’d need to take out personal loans or specialized mortgage loans for residential properties.

However, commercial real estate has far more financing options. Banks offer specific loan programs for those looking to make commercial property investments. There are also third-party lenders looking to give people commercial loans to buy property.

Many of these loans also have lower APRs than residential property loans. They certainly have lower interest rates than normal personal loans. You’ll be able to choose from more funding options that give you better bang for your buck.

Many Types of Commercial Buildings

It’s also important to note that there are several types of lucrative commercial investments. Orange County commercial real estate encompasses office buildings, retail venues, industrial facilities, manufacturing plants, and warehouses. You’ll be able to determine what type of property you want to maintain and rent out.

To determine the best option for you, consider:

  • The condition of the specific properties you’re looking at
  • The location of the property you’re looking to lease
  • Which facilities require more maintenance
  • How much the current rent is (so you know how much you’ll make)
  • The square footage of the property (so you can accurately calculate ROI)
  • The distance between the property and others you’re looking to buy in the future

Note that you aren’t committing to only leasing out a single type of property. Once you have an in with the commercial real estate investing market, you’ll have access to all these property types. You can expand your reach over time to be even more lucrative.

Beyond the Orange County Real Estate Market

Now that you know the basics of the Orange County commercial real estate market, it’s time to begin investing in high-ROI properties. Our team is committed to helping you locate a property to manage so that you can collect rent and earn passive income.

We offer office spaces, retail venues, and more, so you’ll have a diverse selection to choose from based on your specific needs. Call (877) 775-9625 to learn more about leasing or buying property.

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Commercial property

The Key Steps to Starting a Retail Business in Orange County, CA

starting a retail business

In 2022, 5,044,748 new businesses were started in the US. Small businesses help drive the US economy and are some of the largest employers across the country. 

Starting a retail business requires serious planning and fortitude if you want your business to beat the statistics for long-term survival. 

If you have a passion and an idea, you can turn it into a successful retail business with proper planning. So, what should you do if you’re ready to start your own business?

Read on to learn the things you should consider and do before you jump into business ownership.

Create a Business Plan

Before you ever consider physically starting a retail store, you need to do some planning. Learn from the wisdom of others who have walked that road before. It would greatly benefit you to research expert business tips. 

One of the first steps in opening a business should be to create a business plan. This step forces you to work out your plan and organize it on paper. 

Most banks and investors won’t do any financing for a business that doesn’t have a concrete business plan in place. 

The business plan should outline your business mission statement, goals, and specific steps you’ll use to achieve those business goals.

Consider Your Start-Up Costs

Any business needs money and funding sources to get started. Maybe you’ve been saving to get your business off the ground. Or perhaps you’ll seek a small business loan. 

Either way, as part of your business plan, you need specific anticipated costs to get the business going. Let’s take a closer look at what some of those costs will include.


You know the adage, location, location, location. Building a successful retail space means finding a location that attracts customers.

You need to evaluate the commercial real estate market for both what’s available and what it will cost to rent or buy for your business. 

You may also run into some renovation costs to set up a location so it meets your business needs. 


Once you’ve narrowed down the location, consider rental costs. If you opt not to buy a property, you’ll need to commit to a lease agreement. 

Part of your business plan should include what rent will potentially cost for the duration of a lease. You also want to anticipate how much business you need to generate to cover this expense and others. 


All businesses have a variety of insurance needs. You’ll need business insurance and liability coverage to cover the property and the goods inside your business. 

If you don’t have another avenue to get it, as part of your plan, you must also account for the cost of health care coverage.


Once you start to consider properties for your business, you should be able to get basic utility information for a property. You need to consider your costs for:

  • Gas
  • Electric
  • Water and sewer
  • Trash pick up

Your utilities, like gas and electricity, will vary greatly depending on the physical size of your location and the climate in which you live. In Southern California, for example, much of the year, you should anticipate needing air conditioning for comfort. 

Product and Display

Your need for product and merchandising will significantly depend on if your retail business is product or service-based. Even most service-based companies have some products to sell. 

You need to work with vendors and evaluate your start-up costs to stock your shelves. You also need to anticipate costs for displays for the product. 


Some small businesses opt to start as one-person operations where the owner handles the business until revenue is coming in. While this might work short-term, it won’t be sustainable long-term.

You need to anticipate your costs for employee coverage. How many employees will you need on the payroll? Do some number crunching to consider how much revenue potential additional employees are? Does this number outweigh the costs?


You’ll have to be prepared for some technology costs for your business. You will need phones, computers, and wifi to run the business. 

You need to have a method of payment system in place. A robust retail point-of-sale system not only gives you a means for collecting money, but it usually also provides data collection and customer information security.


One cost that many businesses forget to plan for is marketing. They have the idea and are ready to get started. But marketing costs are essential so others can learn about your business and you can retain returning customers. 

You should anticipate marketing costs for:

  • Logo design
  • Business cards
  • Website design and maintenance

You need to obviously also consider any marketing campaigns to get the customers coming through the door. It would be wise to consider your costs for marketing for the first year as part of your start-up costs.

Secure Funding

Now that you’ve planned start-up costs, you can see that running a company requires funding. Your business won’t last long if you don’t have a plan for managing the costs. 

If you have a solid business plan with all the data for anticipated start-up costs, you can begin to research funding. Will you need a small business loan to get started?

Look for options for new business financing with terms that will work within the framework of your revenue goals.

Find a Business Location

Once you have financing in place, you can begin the actual search for commercial properties that fit your needs. Know ahead of time what amenities are important to you and how much space you need. 

Remember, location is one of the most important factors determining whether a business can attract customers. Be particular about where you choose for your business. Look until you find the right property for you.

Ins and Outs of Starting a Retail Business

Before actually starting a retail business, you need to plan for starting a retail business. The more time you spend planning and anticipating your costs and needs, the better prepared you are when you open the doors. 

Once you’ve done all the planning, you’re ready for a great commercial property and a proper grand opening celebration. For help finding the best property, call (877) 775-9625 to start your commercial property search.

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Commercial Real Estate

Investing in Commercial Real Estate in Orange County, CA: How Much Money Do You Need?

investing in commercial real estate

Did you know that the commercial real estate industry is expected to increase by over $250 billion by 2027? This means it’s a better time than ever before to invest money in commercial properties.

However, not everybody understands how much money they need to have for investing in commercial real estate. Let’s take a closer look at what you need to know before getting involved in the commercial real estate industry in Orange County, CA.

What Are the Different Types of Commercial Properties?

As you might guess, office buildings, retail stores, and industrial sites are all considered commercial properties.

Interestingly, though, many people overlook the fact that apartment buildings with five or more units are also considered commercial properties. This means there is plenty of opportunity in the area to find a great investment property.

Be sure to take your time when searching, though. This will allow you to find the best option for your needs.

How Much Money Do I Need to Invest in Commercial Real Estate?

The amount of money that you need for investing in commercial properties is highly dependent on the type of property that you choose. For example, an apartment complex may require a large down payment and more capital over time than an office building will. Additionally, the size of the property that you choose will affect your investment budget.

In general, buyers need to have a down payment of approximately 20% in order to secure financing. Otherwise, they may not be able to find a lender that is willing to work with them.

Additionally, it’s recommended that buyers have a cash reserve that is equal to six months of mortgage payments in order to cover any expenses or vacancies that may occur.

Where Do I Look for Properties?

Commercial real estate in Orange County is available through local realtors who specialize in the area.

Additionally, there are many online resources available that can help you find properties in the area. It’s important to do your research, though, as many of these sites may not have real-time pricing or accurate data on the availability of properties.

Are There Any Tax Benefits?

Investing in commercial real estate can offer many tax benefits for those who are willing to take the time to understand the laws. For example, depreciation of the property can be used as a deduction on taxes.

Additionally, investors may be able to qualify for 1031 exchanges which allow them to defer capital gains taxes when trading in one investment property for another.

What Financing Options Are Available?

There are several different types of financing options available for commercial real estate investments, including traditional bank loans, private money loans, and bridge loans.

Depending on your financial situation and credit score, you’ll want to look at all of these options to see what best fits your needs. Your loan history will also play a large role. If you had issues repaying commercial loans in the past, it will be more difficult to secure financing.

What Other Costs Should I Consider?

When investing in commercial real estate, it’s important to factor in all of the associated costs that come along with owning a property. These can include property taxes, insurance, maintenance, and repair costs.

You should also consider utilities and legal fees. It’s important to go over each of these costs with your financial advisor before making any decisions. This will help you avoid complications in the future. P

What Type of Return Can I Expect?

The returns that you can expect from investing in commercial real estate are highly dependent on the location, type of property, and other factors.

Generally speaking, though, it’s not uncommon to see an annual return of 6-7% on your investment. This is contingent upon multiple factors like the local market, the condition of the property, and how well you manage the rental income.

What Are the Different Ways I Can Invest in Commercial Real Estate?

One of the most common ways to invest in commercial real estate is by purchasing a property outright and renting it out.

Alternatively, you could invest in a real estate investment trust (REIT), which allows you to own shares of multiple properties while still being able to benefit from the rental income.

There are also syndications that allow multiple investors to pool their money together and purchase larger properties. This is great for those who don’t have a ton of capital to work with.

Many people find they benefit the most when they have more control over their investments. So, take this into consideration. Group-based investments might not always be the best choice.

What Should I Do When I’m Ready to Invest?

Working with the right commercial real estate brokerage is essential when it comes to finding the property that is best for you. When searching for one, make sure to look for an experienced team in the Orange County, CA area.

They will be able to guide you through the process, helping you to find the right property and obtain the financing that you need. Keep this in mind when looking for Orange County properties.

Investing in Commercial Real Estate Doesn’t Have to Be Overwhelming

Initially, investing in commercial real estate may seem daunting. The good news is that the guide above has everything you need to know to make the process simple.

Looking for more information about what we can do? Reach out to us today to see how we can help.

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