Updated 3 days ago on . Most recent reply
Newbie asking for advise
I was presented with a property to purchase. It's a mix of retail and office with cap rate of 10%.
this is the first time I deal with the agent that presented the property and I'm not sure if he is trying to help me or just trying to get the commission.
I sent a friend of mine to check the property as I was not able to go, my friend told me the agent didn't ask any questions and he felt the property was not that attractive as the parking lot was mostly empty and not much movement in and out of the property. In addition , the rent roll includes multiple 1 year contracts.
This is my first time purchasing a commercial property. Should I proceed with the property or find another one. Also, should I trust this agent? In other words, what should be my expectation from the agent?
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@Paul De Luca I appreciate the insight and the help.
the agent is my agent and not the listing agent.
I do review the financials, some of the rent rolls have expired and are only on a 1 year term. The listing agent stated that it was because these renters have multiple locations and they use the address just to show that they are in the area.
again, I'm not experienced in commercial real estate and as for my friend he is not very experienced but he has experience in retail commercial real estate.
the location is in Illinois, close to "bad areas" about 15 mins drive from those areas.
the biggest reason for me for not making it very attractive is rent roll and the location.
the visit to the location was on a Monday and in the middle of the day.