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Updated about 9 years ago on . Most recent reply
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Commercial property help with analysis
I'm looking for my first commercial property. This property has a long standing nice Irish pub in one unit. There is another small unit upstairs. I'm not sure if its rented out yet. I will get more onformation tomorrow. My question is this? So far all the information I have for this property is what the realtor gave me. How can I find out the true expenses and rents for this property?
This is what I know so far. According to the realtor.
This is on a main busy road with a lot of businesses in the town over from me. I know the area very well.
Asking $325,000
3,154 TOTAL SF
1st floor 1,220 sf. Pub 2,300 sf month to month $1,975/mo...$23,709/yr
2nd floor 1,164 sf. CAM $2,833.80
3rd floor 660 sf. Total rent. $26,542.89
Annual Expenses
Sewer $913.47
RE Taxes $5,630.34
Insurance $922.74
Common area expenses -allocated
Parking lot lights, MAINTENACE & repair $301.26
Snow Removal $899.81
Landscaping and plant care $360.18
Trash $613.89
Total $9641.68
NOI $16,900
How can I get more accurate information?
Most Popular Reply
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In commercial properties it is common to have a due diligence period to do inspections and verify the numbers given to you. Leases, copies of bank statements, tax returns, estoppel letters from tenants, etc and just a few of the things to check when buying a commercial property.