All Topics > Financial Services > Commercial Real Estate >

Commercial Real Estate North Carolina

A guide to the various kinds of commercial real estate management and land development investments.

Local Companies

RSM McGladrey, Inc.
(704) 367-6251
4725 Piedmont Row Drive
Charlotte, NC

Accounting Principals
(704) 552-5454
6000 Fairview Road
Charlotte, NC

L. Frazier Accounting
(704) 553-9996
1510 Burnley Road
Charlotte, NC

Padgett Business Services
(704) 248-6283
6000 Fairview Rd
Charlotte, NC

Paragon Commercial Bank - Charlotte Office
(704) 644-4001
4725 Piedmont Row Drive
Charlotte, NC

SouthPark Jewelers
(704) 554-6010
5950 Fairview Road Suite 12
Charlotte, NC

Wagner Noble & Co.
(704) 552-0553
5970 Fairview Road Suite 402
Charlotte, NC

Mauney-Pitt Financial Management
(704) 481-0101
310-2 E. Graham St.
Shelby, NC

American General Auto Finance
(704) 846-0134
1811 Sardis Rd N
Charlotte, NC

Adapted From: Commercial Real Estate Investing For Dummies

Most people think commercial real estate is all about apartment rentals. Even though residential properties are a big part of commercial real estate investing, other types of properties make for excellent investment opportunities.

Commercial real estate is defined as any real estate that's bigger than one house on one lot. So even if people live in the property, it's still commercial as long as it's bigger than one house. The following sections show the different types of commercial property.

Apartment buildings (also known as residential properties)

Residential properties include everything from small apartments (five or more units) to huge multi-story apartment buildings. What's great about investing in apartments is that they're easy to find, banks love to lend on them, and they're great cash-flow generators.

Offices and warehouses

Offices and warehouses are great for investing because they have triple net leases, in which the tenants pay you rent plus

All maintenance and repairs
The insurance on the property
The real estate taxes

Typical triple net leases are 5 to 20 years long with rent increases every couple of years. That can be a disadvantage as well as an advantage, and here's why: Say the lease is for 10 years. If your neighborhood experiences explosive growth over the next five years, you won't be able to capitalize on what's happening because you're locked into a 10-year lease agreement. But overall, triple net lease investments are great for investors.

Retail centers

Most investors like retail centers — shopping centers and malls — because, like office and warehouse properties, they're leased out on a long-term triple net lease basis. As an investor, your rates of return won't go down over time as the taxes and expenses go up. In fact, as rents go up over time, your returns just keep getting better and better. And as in most triple net lease agreements, rent increases are built into the agreement with the tenant.

Hotels and resorts

This asset type isn't the best place to get started, but many experienced investors find it to be a fun and profitable area. Of course, other investors have also lost their shirts, so make sure that you know what you're doing before jumping in.

One way to get started in this niche is to invest in the property and then lease it out to another company that will operate the hotel or resort. Why? Running a hotel is a business, not an investment, and running a business brings with it a whole new set of rules, regulations, and headaches.

Land development

Land development is one of the most exciting types of commercial real estate. However, it can also teach you to some quick and painful lessons if you jump in without knowing what you're doing.

By taking land that isn't yet fit for building through the approval process, you can dramatically increase its value. Commercial real estate investors call this "taking it to the map." Remember that it also makes sense to start small and work your way up with land development. Starting off small allows you to get comfortable with the land development process before going out to raise millions of dollars.

provided by:

For Dummies is a registered trademark of Wiley Publishing, Inc. in the United States and other countries. Used here by license.

Featured Local Company

RSM McGladrey, Inc.

(704) 367-6251
4725 Piedmont Row Drive
Charlotte, NC

Read more about Commercial Real Estate

- Real Estate Investment North Carolina

When we think about "investing in real estate," one of the first ideas that come to mind is that of purchasing property outright. For centuries, it was a privilege granted only to the very rich, based on the simple fact that common folks simply did not (and still don't) have the economic power to afford multiple properties.

- Real Estate Sellers North Carolina
- Real Estate Appraisers North Carolina
- Real Estate Formula North Carolina
- Avoiding Commercial Mortgage Loan Problems North Carolina
- Refinancing Real Estate Investments North Carolina
- Commercial Mortgage Mistakes North Carolina
- Secured Business Loans: Commercial Mortgages North Carolina
- How To Choose Investment Property Loan North Carolina
- Hard Money Loan Glossary North Carolina

Regional Articles

- Hard Money Loan Glossary North Carolina

This website offers a glossary on the most important terms associated with hard money loans.

- How To Choose Investment Property Loan North Carolina
- Avoiding Commercial Mortgage Loan Problems North Carolina
- Refinancing Real Estate Investments North Carolina
- Real Estate Appraisers North Carolina
- Real Estate Formula North Carolina
- Real Estate Sellers North Carolina
- Commercial Mortgage Mistakes North Carolina
- Real Estate Investment North Carolina
- Secured Business Loans: Commercial Mortgages North Carolina

Related Local Events

Economic Outlook Conference 2009
Dates: 12/2/2009 - 12/2/2009
Location: Charlotte Convention Center
Charlotte, NC
View Details

Economic Forecast Luncheon
Dates: 12/1/2009 - 12/1/2009
Location: Gaston Country Club
Gastonia, NC
View Details

Rebarcamp Rdu
Dates: 11/6/2009 - 11/6/2009
Location: Raleigh Regional Association of Realtors
Cary, NC
View Details

Membership Matters Breakfast (Membership)
Dates: 11/3/2009 - 11/3/2009
Location: Raddisson RTP
RTP, NC
View Details

Advertising	Food & Beverage	Nightlife
Business Services	Franchise	Online Database
Career	Health	Pets
Cars	Holidays	Real Estate Resources
Computer Hardware	Home Appliances	Retail & Consumer Services
Construction	Home Electronics	Software
Education	Home Services	Technology
Entertainment	Industrial Goods & Services	Telecommunications
Environmental	Insurance	Trade Shows
Family	Internet	Travel
Fashion	Legal	Weddings
Financial Services	Miscellaneous	World History

Advertising	Family	Home Services	Real Estate Resources
Business Services	Fashion	Industrial Goods & Services	Retail & Consumer Services
Career	Financial Services	Insurance	Software
Cars	Food & Beverage	Internet	Technology
Computer Hardware	Franchise	Legal	Telecommunications
Construction	Health	Miscellaneous	Trade Shows
Education	Holidays	Nightlife	Travel
Entertainment	Home Appliances	Online Database	Weddings
Environmental	Home Electronics	Pets	World History