Selling commercial real estate can be a lot different than dealing with residential properties. While residential real estate often revolves around the needs and wants of a homeowner and their family, commercial real estate is more business-oriented. Owners invest in commercial property to achieve an anticipated rate of return on their funds. The key factor in selling commercial property hinges on numbers and return-on-investment (ROI) calculations. In commercial real estate, a person can buy, sell, lease (as a lessor or lessee), syndicate, joint venture, develop, option, and invest in a wide range of commercial real estate categories. Commercial real estate agents are usually familiar with many of these areas, but generally specialize in one discipline or another. Most often, REALTORS® that choose to focus on commercial real estate either represent tenants or lessees, building owners or lessors, and investors looking to capitalize on a profitable opportunity.

Here are 6 valuable tips for selling commercial real estate in the Peel Region.

1.     Become Familiar with the Appraisal Process
Appraisals in commercial real estate are much more complicated and involve more subjectivity than appraisals on residential properties.  The inspection is only a small part of the appraisal process. It is important to know what to ask for and also what to provide to the appraiser. Appraisers must adhere to a strict code of ethics, so it is important not to withhold any information that could be a part of the appraisal process.

2.     Know Your Zoning
There are a lot of nuances when it comes to commercial use and zoning. In order to best serve your clients, it is important to be on top of any upcoming changes. Talk to your local zoning officer about individual properties to ensure that you’re up to date.

3.     Prepare for a Slower Pace
While the average home will sell in between 10 and 90 days, the commercial real estate business tends to move much slower. It can take longer to move commercial listings, so be prepared for a slower pace, especially when you’re first getting started.

4.     Focus on Connectivity
The Peel Region is one of the most connected communities in all of Canada. Businesses are just a short drive away from Toronto and the U.S. Border, making it one of the most sought after areas for commercial real estate. The Region of Peel is within a day’s drive of over 158 million consumers. The region is connected via Ontario’s extensive 400 series highway network and is also located near Toronto Pearson International Airport, which is Canada’s largest and most connected international airport.

5.     Excellent Supplier and Consumer Base
There are over 8,700 business establishments located in Brampton and over 80% of those businesses are small-and-medium sized enterprises with less than 50 employees. As a designated urban growth centre by the Province of Ontario, Brampton has the second-fastest growth rate among the 50 largest cities in Canada at 4.2%. An average of 18,000 people move to Brampton each year, giving the region a prosperous consumer market.

6.     Prosperous Consumer Market & Labour Force
The last of the 6 tips for selling commercial real estate is to focus on the expanding consumer market and talented labour force. Businesses need talented employees to survive and prosper. Brampton’s population features a highly skilled work force. Over 50% of residents have obtained a post-secondary education of some kind.

With a consumer base that is expected to grow to 900,000 people by 2041, the region of Peel has become a great place to invest in commercial real estate. Follow these 6 tips for selling commercial real estate and you will be sure to get a great return on your investment!