Owning a commercial property offers business owners many valuable advantages throughout their operation.

However, for many businesses, there comes a day when you’re ready to sell or need to expand into a larger space to support growth, which means listing your current commercial property.

Like any property owner, you probably wouldn’t mind making a profit on the sale of your commercial space, but perhaps you’ve been there for some time and aren’t quite sure of its current value or how you can contribute to its value before selling.

In this article, we discuss five impactful ways you as a commercial property owner can increase the value of your space before you sell – But first, let’s discuss how you can determine the current value, so you understand what you’re working with.

How to Determine the Worth of Your Commercial Property

There are multiple ways one can evaluate the current worth of their commercial property, some of which include online valuation tools and manual property value comparisons.

Although these methods allow you to ballpark your property’s value, the best way to determine its worth and get a starting point is to hire a local commercial real estate agent to perform a commercial market analysis (CMA).

An experienced commercial real estate agent will have a deep understanding of the current market you are dealing with to sell your property, especially being local and being familiar with the area’s market conditions.

-Now that we’ve got that out of the way, let’s discuss the bigger picture, how to increase your commercial properties’ value!

1. Internal & External Appeal

No matter what type of property you are selling, commercial or residential, appearance is crucial.

Just the appearance of a commercial property can exude a strong impression of the business’ overall condition and even levels of success. Although some businesses leave their aesthetic to the wayside, first impressions do matter, especially for resident’s business relationships and the sale of the property to another company.

That said, one of the easiest ways to increase the value of your commercial property and possibly even speed up the success of your listing is by giving your property a bit of a facelift.

Simple ways to upgrade your property include:

• Fresh Paint
• Landscaping
• Create/Optimize Storage Space
• Flooring & Utility Upgrades
• Parking Improvements
• The Improvement of Structural Integrity
• General Modernization with diverse potential buyers in mind.

2. Eco-Friendly/Energy Efficient Upgrades

Many businesses in search of commercial property have an eye out for eco-friendliness and energy efficiency.

Eco-friendliness has become more and more important to businesses over the years, as well as their consumers. That said, eco-friendly upgrades may catch the eye of potential buyers and even increase the value of your property.

Likewise, energy efficiency is also highly sought after in the commercial real estate market. Businesses appreciate benefiting from reduced energy consumption and overhead costs in any way possible.

A few examples of smart eco-friendly/energy-efficient upgrades include:

• Using low VOC (volatile organic compound) materials for upgrades
• Install solar panels
• Use Energy Star certified products
• Install a smart thermostat
• Upgrade your building’s insulation
• Install energy-efficient lighting

3. Address Repairs

Addressing property repairs before entering the market is incredibly important if you wish to achieve a timely and profitable sale.

Listing your property for sale without addressing repairs/eye-sores often puts off potential buyers AND can also reduce your profit margins by quite a bit depending on the issues.

Another factor to consider is sale timing. For most businesses looking to sell their commercial property, time is money! The last thing you want to do is have delays in your sale, and unaddressed repairs often cause setbacks.

4. Space Configuration

Space configuration plays a significant role in showing a property for sale, regardless of its intended use.

If your business is still in operation at your commercial property while the viewing process is happening, make sure you take the time to tidy up, declutter, organize, and maximize space as much as possible.

It’s also always a great idea to create storage space and even add-on to your commercial space if the costs are feasible.

Most potential buyers love the idea of excess space for current use and growth opportunities.

5. Leave the Sale to the Professionals

Now for one of the most critical aspects of selling your commercial space and getting the most out of it – #5!

Leave the sale of your commercial property to a local and highly experienced real estate agent. The commercial market is a whole other ball game from residential real estate.

Utilizing a commercial real estate agent will ensure that your property is shown to the right buyers and that its potential and value are not only well known but showcased and emphasized as much as possible.

If you are ready to partner with an expert commercial real estate agent and get the most out of your commercial property, give Key Realtors a call today!

Our agents have what it takes to secure your profit and close the sale!