Commercial RE in Southern California

[Michael Kim]

Hi all,

Im looking for seasoned CRE agents or investors in Southern California willing to give me some advice. My partners and I are looking to get into our first CRE deal. We are trying to learn the nuances of CRE, as it seems a bit more complicated than the single family investment we are used to.

We have access to costar, but everything I hear tells me that the best deals are not even listed. We dont have a specific focus right now but our goals are to get a deal in southern california (want the first deal to be local) and we want a NNN lease. I specifically would like some advice about how to vet the quality of tenants since this seems to be one of the most important factors. any other advice would be graciously accepted.

Thank you

[Henry Clark]

@Michael Kim

Recommend you put more thought and description into the type of CRE. This will help both you and the realtor to focus.

Retail store fronts, offices, Medical complexes, Storage, Truckstops, Parking lots, bowling alley, Governmental, contractor buildings, etc.  Narrow down your investment search.  Would also narrow down a geographic location.  

Be able to understand this situation. Given the same Dollar investment, same ROI, same Cap rate, etc. Why would you pick location A over B? Future value growth, stable market areas (college, government, airports, hospitals, etc). More square footage, more parking, better road access, next to anchor businesses that compliment yours.

Define the above to help you and your realtor narrow your focus.

Don't recommend you approach this from a purely financial Target standpoint and end up with a mixed bag of investments, unless that is part of your investment strategy.