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Why Do People Invest
in Commercial Real Estate?
Questions to Ask about Office Properties
Questions to Ask about Industrial
Properties
Questions to Ask about Retail Properties
Questions to Ask about Multifamily Properties
Questions to Ask about Hotel/Motel Properties
Questions to Ask about Land
Questions to Ask about Overall Economic Conditions
Questions to Ask about Local Market Conditions/Marketing
Issues
Questions to Ask about Individual Property
Conditions
Checklists For Real Estate Users
Questions to Ask about
Office Properties
Questions to Ask about Industrial Properties
Questions for Retail Space Users
Why do people invest in
commercial real estate?
Here are some of the most important reasons that
people invest in commercial real estate:
Cash flow from ongoing operations of the property.
Tax shelter generated by the property (for some of the property's
cash flow as well as some of the gain when the property is sold).
Anticipation of appreciation in the value of the property over the
holding period.
Equity generated by reducing principal balance of the underlying
debt.
There are a half-dozen key property categories, each having individual
characteristics that must be understood before investing. Categories
are:
Office
Industrial
Retail
Multi-Family
Hotel/Motel
Land
All categories should be understood in terms of overall
economic conditions, local market conditions/marketing issues, and
individual property conditions. The following questions apply to
all categories. Your real estate advisor should be able to provide
accurate answers to these questions. Click individual categories
for more specific questions.
Top
Questions to Ask about Office
Properties:
Is the location considered desirable? Is it easily
accessible from highways, major thoroughfares, and mass transit?
Does it have good visibility? "Curb appeal?"
Do leases contain strength and length in case the property needs
to be refinanced?
Is base rent sufficient to cover the cost of operating a full-service
building?
Are there special amenities, such as food service or convenience
shopping, to give the building a competitive advantage?
Is cash flow sufficient to pay leasing and tenant improvement fees
in case of turnover?
Are HVAC and elevator systems state-of-the-art or will you be required
to upgrade the building? How much will this cost?
How efficient is the layout of the building? How does it compare
in efficiency to other office buildings in the market?
How effective is management in responding to tenant needs? In communicating
to tenants?
What economic conditions are expected to prevail when major leases
expire?
What is the property's reputation in the business and real estate
brokerage community?
Are there opportunities to generate ancillary income, such as leasing
rooftop or riser space for telecommunications vendors?
Has the building ever had any problems with asbestos, indoor air
quality, or other environmental issues? If so, how were they resolved?
Checklist for Office Properties
The Building
Building Name
Building Address
Building Class
Type of Property
Business Park
Suburban, Low-Rise
Suburban, High-Rise
Urban, Low-Rise
Urban, High-Rise
Year Built
Number of Floors
Size of Floors
Building Size
Square Feet
Load Factor
Parking
Total Spaces
Spaces per 1,000 Square Feet Per Tenant
Operating Hours
Security
Management
Overall Appearance (Landscaping, Lobby, Common Areas)
On-Site Amenities
Dining
Convenience Stores
Fitness Center
Hotel/Conference Facility
Upscale Retail Shops
Physical Aspects of the Property: Type and Quality
Lobby Features
Bay Depths
Shell
Skin
Ceilings
Columns
Core
Elevators
Windows
Mullions
Floor Ducting
Floor Load
HVAC
Lighting
Carpeting
Bathrooms
Life Safety Features
Telecommunications
Storage
Elevators
Number of Elevators/Per Square Foot Ratio
Elevator Speed
Freight Elevators
Financials
Vacancy Rate
Tenant Mix
Copies of Income/Expense Statements
Lease Rollovers
Current Effective Rents
Tax Rate
Existing Building Financing
Mortgage Amount
Interest Rate
Second Mortgage (If Applicable)
Mezzanine Financing (If Applicable)
Asking Price
Total
Per Square Foot
Cap Rate Assumed for Transaction
Estimated Cost of Modernization
Owner Financing Available?
Percentage of Equity Required?
Expected Cash on Cash Return?
Expected Internal Rate of Return
General Disclaimer
The information and services contained on this site are deemed reliable
but not guaranteed. All information concerning any specific commercial
property should be independently verified. Additionally, the business
information, including sample checklists and forms provided on this
site are for information purposes only. All businesses and consumers
should seek independent professional advice from their brokers,
accountants, attorneys, and other professionals as needed for their
specific commercial real estate needs.
Top
Questions
to Ask about Industrial Properties:
Is the facility technologically current?
Have there been any environmental problems associated with the property?
If so, how have they been resolved?
Does the municipality, county, or state offer incentives for major
industrial tenants in the area? Have other industrial users in the
area recently received incentives? What type?
How accessible is the property to major distribution routes, such
as highways, rail lines, or airports?
What is the makeup of the area's labor pool? What are prevailing
wages and benefits?
What is the competition for this labor pool from industries and
users in the area?
What industries are growing in the area? Which are contracting?
How does this property's physical plant compare with others in the
market?
Are lease or sale terms comparable with other properties in the
area? Is leasing and/or sales velocity increasing or decreasing
in the area?
What is the property's reputation in the business and real estate
brokerage communities?
What is the lending community's attitude about investing in industrial
properties in the area?
Checklist for Industrial Properties
Project
Address
Building Size
Land Size
Sq. Ft.
Office
Acres
Production
Warehouse
Other
Year Built
Ceiling Height
Sprinkler System
Loading
Parking
Tailboard Docks
Ceilings and Roof
Drive-In Docks
Walls and Windows
Column Spacing
Floors
Rail Siding
Plumbing
Fenced Area
Outside Storage
Type of Gas
Water Supply
Sewer System
Electric Power
Type of Heat
Waste Disposal
Type of Transaction
Sale
Option to Purchase
Full Service Lease (Gross Lease)
Net Lease
Ground Lease
Sublease
Assignment of Lease
Build-to-Suit
Sale/Leaseback
Exchange
Rental Rate
Per Square Foot
Tenant Improvement Allowance
Rent Concessions
Taxes
Insurance
Asking Price
Total
Per Square Foot
Cap Rate Assumed for Transaction
Estimated Cost of Modernization
Owner Financing Available?
Percentage of Equity Required?
Expected Cash on Cash Return?
Expected Internal Rate of Return
General Disclaimer
The information and services contained on this site are deemed reliable
but not guaranteed. All information concerning any specific commercial
property should be independently verified. Additionally, the business
information, including sample checklists and forms provided on this
site are for information purposes only. All businesses and consumers
should seek independent professional advice from their brokers,
accountants, attorneys, and other professionals as needed for their
specific commercial real estate needs.
Top
Questions to Ask
about Retail Properties
Are the goods and services sold in the center compatible
with trade-area customers? What is the trade area? Have there been
any recent changes in demographics and/or retail demand?
Are stores in the shopping center compatible with the retail property
type?
Is competition balanced?
Do stores complement each other and enhance the drawing power of
other stores?
Is the merchants association active? Is it effective?
How do stores perform compared to national median operating results
of similar businesses?
Is the property located in an attractive trade area in terms of
potential customers, buying power, convenient access?
What are the competing retail locations and how are they performing?
Are there proposed new retail centers in this market?
Does the property have any unique characteristics - such as movie
theaters, outstanding restaurants, and interactive entertainment
- that provide a competitive advantage?
What is the property's visibility: signage; front footage; street
footage; windows?
How well are less-visible functions performed: storage; shipping
and receiving; HVAC control; security; life safety?
Can the property be expanded or reconfigured to meet market preferences?
Checklist for Retail Properties
Name of Property
Address
Type of Property
Super-Regional
Regional
Super-Community
Community
Neighborhood
Quality of Property
Class A
Class B
Class C
Size of Site
Acres
Square Feet
Size of Center
Square Feet
Bay Sizes
Parking
HVAC
Life Safety and Security
Roof, Walls, and Windows
Any Restrictions on Specific Uses
Daily Traffic Counts
Anchor Tenants
Tenant Mix
Property Income
Gross Leasable Area of Shops
Gross Leasable Area
Total Occupancy Area
Sales Area
Total Rent
Common Area Maintenance (CAM) Charges
Total Other Charges and Miscellaneous Income
Property Operating Expenses
Building Maintenance
Total Parking Lot, Mall, and Common Areas
Central Utility Systems
Office Area Services
Total Maintenance and Housekeeping Expenses
Advertising and Promotion
Property Management
Insurance
Real Estate Taxes
Asking Price
Total
Per Square Foot
Cap Rate Assumed for Transaction
Estimated Cost of Modernization
Owner Financing Available?
Expected Cash on Cash Return?
Percentage of Equity Required?
Expected Internal Rate of Return
General Disclaimer
The information and services contained on this site are deemed reliable
but not guaranteed. All information concerning any specific commercial
property should be independently verified. Additionally, the business
information, including sample checklists and forms provided on this
site are for information purposes only. All businesses and consumers
should seek independent professional advice from their brokers,
accountants, attorneys, and other professionals as needed for their
specific commercial real estate needs.
Top
Questions to Ask about
Multifamily Properties
What are demographic and employment trends in the
area? Are young professionals attracted to the area?
How competitive is the property, in terms of rents, layouts, amenities,
construction quality, and access to transportation and services
in the area? Is its vacancy rate in line with comparable multifamily
properties?
Are any new multifamily developments proposed for this market? How
much zoned and approved apartment land is available within the market
area of the property?
What are the issues in the market with respect to rent control,
subsidized, or assisted housing?
Does the property contain any subsidized units? Is it subject to
any such requirements now or in the future?
What is the tenant mix of the property? Has tenancy been stable
or has there been a considerable amount of turnover? What are lease
terms?
What is the property's curb appeal? Does it have any special amenities,
such as a pool, fitness center, or covered parking that would give
it a competitive advantage?
Has there been a history of theft, property damage, or other criminal
activity at the property?
What is the property's reputation in the apartment brokerage and
tenant community?
What are existing policies regarding security deposits, pets, storage,
and use of facilities?
What steps are necessary to evict a tenant in this jurisdiction?
Have there been any rent strikes?
Are properties subject to immediate reassessment after a sale? What
method is used to calculate assessed value after a sale? How often
are properties reassessed?
Does the property contain any asbestos, radon, bentonite soils,
PCBs, formaldehyde, or any hazardous waste? Are there any electrical
transformers on the site?
Are there any service and maintenance contracts that must survive
a sale? Which services can be canceled and what notice periods are
required?
Checklist for Multifamily Properties
Property
Address
Size of Property
Acres
Square Feet
Size of Building(s)
Stories
Square Feet
When Constructed
Number of Units
Types of Apartments
Studios
One-Bedroom
Two-Bedroom
Three-Bedroom
Four or more bedrooms
Construction materials and quality
Roofing
Walls
Windows and Doors
Foundation conditions
Elevators
HVAC
Plumbing
Appliances
Laundry Facilities
Amenities (Pool, clubhouse, tennis courts)
Parking
Condition
Parking ratios
Carports
Visitor
Landscaping
Security Systems
In Individual Apartments
Throughout Property
Utilities
Gas
Electric
Sewer
Water
Trash
Phone
Cable Service
Taxes
Tax Rate
Improvements Made but Not Yet Assessed
Recent Tax Appeals and Results
Ratio of Assessments to Market Value in the Community
Average Rents
Per MF
Per Square foot
Total Rent Roll
Net Operating Income (NOI)
Occupancy Rate
Expenses
Maintenance
Payroll
Taxes
Property Management
Rent Concessions
Insurance
Advertising and Promotion
Utilities
Asking Price
Total
Per Square Foot
Cap Rate Assumed for Transaction
Estimated Cost of Modernization
Owner Financing Available?
Percentage of Equity Required?
Expected Cash on Cash Return?
Expected Internal Rate of Return
General Disclaimer
The information and services contained on this site are deemed reliable
but not guaranteed. All information concerning any specific commercial
property should be independently verified. Additionally, the business
information, including sample checklists and forms provided on this
site are for information purposes only. All businesses and consumers
should seek independent professional advice from their brokers,
accountants, attorneys, and other professionals as needed for their
specific commercial real estate needs.
Top
Questions to Ask about Hotel/Motel Properties
What has been the property's track record of occupancy/vacancy
rates for the past several years? How does this compare to other
hotel/motel properties in this market? What is the pattern of occupancy
(i.e., weekdays versus weekends)?
How competitive is the property in terms of rates, quality, room
size, amenities, and service?
Has there been an increase or decrease in the volume of business-
and business-conference-related activity?
What is the property's image/brand name? Is its reputation strong?
Is it visible from nearby roads? Does it offer ease of access?
What is the property's reputation in the business, travel, and event
planning communities? How well trained is the front desk staff?
Is there a high percentage of staff turnover?
What is the quality and style of interior decor: furnishings, colors,
materials, lighting?
Does the property have a reputation for outstanding food? Service?
Does the property offer any special features or amenities that give
it a competitive advantage, such as pool, fitness center, high-speed
Internet access, and document-copying services?
How effective have its marketing and promotional campaigns been?
What percentage of guests returns for subsequent stays? How much
business is generated by "frequent guest" programs?
How effective are the property's security/life safety procedures
and systems? Has there been an undue amount of theft or property
damage?
Checklist for Hotel/Motel Properties
Property
Address
Brand
Size of Property
Acres
Square Feet
Size of Building (s)
Stories
Square Feet
Size of Common Areas
When Constructed
Number of Rooms
Types of Rooms
One Room
Suites
Construction Materials and Quality
Roofing
Walls
Windows and Doors
Foundation Conditions
Elevators
HVAC
Plumbing
Amenities (Pool, Tennis Courts, Restaurants)
Parking
Condition
Parking ratios
Landscaping
Security Systems
In Individual Rooms
Throughout Property
Utilities
Gas
Electric
Sewer
Water
Trash
Phone
Cable service
Taxes
Tax rate
Improvements made but not yet assessed
Recent tax appeals and results
Ratio of assessments to market value in the community
Average Room Rates
Total Income
Room rates
Restaurant(s)
Bar(s)
Parking (if appropriate)
Catering
Rent from shops
Occupancy Rate
Expenses
Maintenance
Payroll
Taxes
Property Management
Insurance
Advertising and Promotion
Utilities
Asking Price
Total
Per Room
Cap Rate Assumed for Transaction
Estimated Cost of Modernization
Owner Financing Available?
Percentage of Equity Required?
Expected Cash on Cash Return?
Expected Internal Rate of Return
General Disclaimer
The information and services contained on this site are deemed reliable
but not guaranteed. All information concerning any specific commercial
property should be independently verified. Additionally, the business
information, including sample checklists and forms provided on this
site are for information purposes only. All businesses and consumers
should seek independent professional advice from their brokers,
accountants, attorneys, and other professionals as needed for their
specific commercial real estate needs.
Top
Questions to Ask about Land
What is the highest and best use for the property? What is the best
use in terms of the market: Retail? Industrial? Office? Multifamily?
What does the parcel's zoning call for? Are there any regulatory
authorities beyond the municipality that must review plans for the
parcel?
What is the optimum size of the commercial operation that the parcel
could support?
What is the market value of the land? Have comparable parcels been
sold in the area recently? If so, for how much? For what purpose?
What are the physical characteristics of the parcel: soil, slope,
drainage, and topography?
Are there any environmental constraints on the property? Is it a
brownfields site? Is it in a flood plain? Are there hazardous waste
issues?
What is the prevailing attitude among local regulatory authorities
toward land use issues? Is the rezoning application process relatively
straightforward or lengthy and contentious?
What is the parcel's access to roadways, rail services, and area
amenities? If no direct access were available, what would be the
cost of providing it?
What are the physical systems supporting the property: sewers, roads,
power, water, waste disposal, and telephone and cable systems?
What are hookup charges for utilities? What is the general quality
of utility servicing?
How is the land taxed currently?
What is the path of growth in the market? What are the development
trends?
Checklist for Land
Location of Parcel
Size
Acres
Square Feet
Frontage
Configuration
Terrain
Topography
Drainage
Size and Shape
Improvements
On-site
Off-site
Engineering Requirements
Estimated Cost to Complete Off-Site Improvements
Land Use Issues
Current Zoning
Proposed Zoning
Maximum Buildable Area
Regulatory Authorities
Environmental Regulations
Title Restrictions
Current Tax Rate
Neighborhood Features
Access
Markets
Employees
Materials
Support Services
Customers
Asking Price
Total
Per Square Foot
Owner Financing Available?
Percentage of Equity Required?
General Disclaimer
The information and services contained on this site are deemed reliable
but not guaranteed. All information concerning any specific commercial
property should be independently verified. Additionally, the business
information, including sample checklists and forms provided on this
site are for information purposes only. All businesses and consumers
should seek independent professional advice from their brokers,
accountants, attorneys, and other professionals as needed for their
specific commercial real estate needs.
Top
Questions to ask about
overall economic conditions:
At what rate is the economy growing?
What are employment/unemployment trends? Which industries are growing
the most? The least?
What are consumer-spending trends?
What is the generally accepted productivity rate?
What are wholesale price trends?
What are interest rate trends?
What are the trends in new home starts? New home sales? Home resales?
General Disclaimer
The information and services contained on this site are deemed reliable
but not guaranteed. All information concerning any specific commercial
property should be independently verified. Additionally, the business
information, including sample checklists and forms provided on this
site are for information purposes only. All businesses and consumers
should seek independent professional advice from their brokers,
accountants, attorneys, and other professionals as needed for their
specific commercial real estate needs.
Top
Questions to ask about local market conditions/marketing
issues:
Do local economic conditions match national trends?
If not, what special conditions prevail?
How does the income from a prospective investment compare with other
comparable properties in the area on a per-square-foot basis?
Is competition anticipated at existing rental rates? At what rate
will it begin?
Is there potential for future competition at or below the property's
rental rates? What new construction is planned or underway?
What has happened to land values over the last several years? Comparable
building values?
What is the vacancy factor in the area? What is the absorption rate?
At what point in the real estate cycle is the local market?
What is the financial community's attitude about commercial real
estate investments? What equity requirements do lenders have? What
property type preferences have they shown? Are financing prospects
better for existing properties than for new construction?
General Disclaimer
The information and services contained on this site are deemed reliable
but not guaranteed. All information concerning any specific commercial
property should be independently verified. Additionally, the business
information, including sample checklists and forms provided on this
site are for information purposes only. All businesses and consumers
should seek independent professional advice from their brokers,
accountants, attorneys, and other professionals as needed for their
specific commercial real estate needs.
Top
Questions to ask about
individual property conditions:
Is the gross income increasing, decreasing, stable,
and why?
What is the financial strength of the tenants? Are their industries
growing or contracting?
Are the expenses being used in the analysis realistic projections
of what a new owner can expect? Will taxes go up or down based on
the new acquisition price?
What is the property's reputation in the business and real estate
brokerage communities?
Is the building functionally or technologically obsolete? If so,
what would it cost to upgrade the building?
Can an owner add value by upgrading the building - physically and
esthetically - by improving management; marketing to new tenants
at higher rates, as leases roll over; or by giving the building
a competitive advantage through technology?
General Disclaimer
The information and services contained on this site are deemed reliable
but not guaranteed. All information concerning any specific commercial
property should be independently verified. Additionally, the business
information, including sample checklists and forms provided on this
site are for information purposes only. All businesses and consumers
should seek independent professional advice from their brokers,
accountants, attorneys, and other professionals as needed for their
specific commercial real estate needs.
Top
Questions to Ask about
Office Properties:
Is the location considered desirable? Is it accessible
from highways, key thoroughfares, and mass transit? Is it easily
accessible for employees? Customers? Suppliers?
Are there special amenities, such as food service or convenience
shopping?
Are HVAC and elevator systems state-of-the-art or will the building
be upgraded? What are the charges for after-hours usage? What costs
of upgrading, if any, will be passed on to tenants? Is power sufficient
to meet your needs?
Now efficient is the layout of the building? How does proposed space
compare in efficiency to other office buildings in the market?
How effective is management in responding to tenant needs? In communicating
to tenants?
How well is the property maintained? How is janitorial service handled?
Is the building ADA-compliant?
Is the building wired for high-speed Internet access and data transmission?
Does it offer fixed wireless telecommunications service?
What is the building's financial condition? Existing mortgage? Is
there a refinancing pending? Are major leases turning over soon?
What economic conditions are expected to prevail when major leases
expire? How does this impact your decisions regarding expansion/contraction/termination/renewal
lease terms?
What is the property's reputation in the business and real estate
brokerage community?
Has the building ever experienced problems with asbestos, indoor
air quality, or other environmental issues? How were the problems
resolved?
Who is to be responsible for space planning and interior construction?
Who pays for it?
Checklist for Office Property Users
The Building
Building Name
Building Address
Building Class
Type of Property
Business Park
Suburban, Low-Rise
Suburban, High-Rise
Urban, Low-Rise
Urban, High-Rise
Year Built
Number of Floors
Size of Floors
Building Size
Square Feet
Load Factor
Parking
Total Spaces
Spaces Per 1,000 Square Feet Per Tenant
Operating Hours
Security
Management
Overall Appearance (Landscaping, Lobby, Common Areas
On-Site Amenities
Dining
Convenience Stores
Fitness Center
Hotel/Conference Facility
Upscale Retail Shops
Physical Aspects of the Property: Type and Quality
Lobby Features
Bay Depths
Shell
Skin
Ceilings
Columns
Core
Elevators
Windows
Mullions
Floor Ducting
Floor Load
HVAC
Lighting
Carpeting
Bathrooms
Life Safety Features
Telecommunications
Storage
Elevators
Number
Elevator/Per Square Foot Ratio
Elevator Speed
Freight Elevators
Lease Terms
Space to Lease
Square Feet
Usable Square Footage
Rent Rate
Per Square Foot
Effective Rent
Per Square Foot
Tenant Improvements
Rent Concessions
Utilities (If Included)
Expenses and Stops
Escalations
Options
Renewal
Expansion
Contraction
Termination
Sublease/Assignment Rights
Security Deposit
Move-In Date
Services to be Provided
General Disclaimer
The information and services contained on this site are deemed reliable
but not guaranteed. All information concerning any specific commercial
property should be independently verified. Additionally, the business
information, including sample checklists and forms provided on this
site are for information purposes only. All businesses and consumers
should seek independent professional advice from their brokers,
accountants, attorneys, and other professionals as needed for their
specific commercial real estate needs.
Top
Questions to Ask about Industrial
Properties
Is the facility technologically current?
Have there been any environmental problems associated with the property?
If so, how have they been resolved?
Does the municipality, county, or state offer incentives for major
industrial tenants in the area?
Have other industrial users in the area recently received incentives?
What type?
How accessible is the property to major distribution routes, such
as highways, rail lines, or airports?
Is the area's labor pool suitable for the intended use? What are
prevailing wages and benefits?
What is the competition for this labor pool from other industries
and users in the area?
What industries are growing in the area? Which are contracting?
How does this property's physical plant compare with others in the
market?
What are the financial implications of a decision to lease, versus
a decision to purchase the property?
Are lease or sale terms comparable with other properties in the
area?
What is the developer or owner's reputation in the business and
real estate brokerage communities? How responsive is management
to tenants' requirements?
Checklist for Industrial Properties
Project Name
Building Name
Address
Building Size
Land Size
Sq. Ft.
Office
Acres
Production
Warehouse
Other
Year Built
Ceiling Height
Sprinkler System
Loading
Parking
Ceilings and Roof
Walls and Windows
Floors
Plumbing
Tailboard Docks
Drive-In Docks
Column Spacing
Rail Siding
Fenced Area
Outside Storage
Type of Gas
Water Supply
Sewer System
Electric Power
Type of Heat
Waste Disposal
Type of Transaction
Sale
Option to Purchase
Full Service Lease (Gross Lease)
Net Lease
Ground Lease
Sublease
Assignment of Lease
Build-to-Suit
Sale/Leaseback
Exchange
Rental Rate
Per Square Foot
Tenant Improvement Allowance
Rent Concessions
Taxes
Insurance
Utilities
Rent Escalation
Options
Renewal
Expansion
Termination
Purchase
General Disclaimer
The information and services contained on this site are deemed reliable
but not guaranteed. All information concerning any specific commercial
property should be independently verified. Additionally, the business
information, including sample checklists and forms provided on this
site are for information purposes only. All businesses and consumers
should seek independent professional advice from their brokers,
accountants, attorneys, and other professionals as needed for their
specific commercial real estate needs.
Top
Questions for Retail Space Users
What are the property's strengths and/or weaknesses
in terms of potential customers, access, traffic, and image? What
is the trade area?
Have there been any recent changes in demographics and/or retail
demand? Are there new retail centers proposed in the area?
What type of lease is being offered and how does this compare to
other properties in the area?
(Percentage? Gross (Full-Service); Net; Ground Lease; Sublease or
Assignment; Build-to-Suit?
How favorable are lease terms, including base and percentage rents,
utilities, finishing costs, and any pass-throughs?
Are your goods and services compatible with trade-area customers?
Are stores in the shopping center compatible with your retail property
type?
Is competition balanced? Do stores complement each other and enhance
the drawing power of other stores?
Is the merchants association active? Is it effective?
Does the property have any unique characteristics - such as movie
theaters, outstanding restaurants, and interactive entertainment
- that provide a competitive advantage?
How well are less-visible functions performed: storage; shipping
and receiving; HVAC control; security; life safety?
What is the property owner's reputation in the retail business and
brokerage communities? How responsive is management to tenants'
requirements?
Checklist for Retail Properties
Name of Property
Location
Type of Property
Super-regional
Regional
Super-community
Community
Neighborhood
Quality of Property
Class A
Class B
Class C
Size of Site
Acres
Square Feet
Size of Center
Square Feet
Bay Sizes
Total Parking
HVAC
Life Safety and Security
Roof, Walls, and Windows
Any Restrictions on Specific Uses
Daily Traffic Counts
Anchor Tenants
Tenant Mix
Retail Space Offered
Lease Term
Rental Rate
Common Area Charge
Escalation
Landlord Services
Parking for Store
Insurance
Rent Concession
Tenant Finish Allowance
Option to Renew
General Disclaimer
The information and services contained on this site are deemed reliable
but not guaranteed. All information concerning any specific commercial
property should be independently verified. Additionally, the business
information, including sample checklists and forms provided on this
site are for information purposes only. All businesses and consumers
should seek independent professional advice from their brokers,
accountants, attorneys, and other professionals as needed for their
specific commercial real estate needs.
Top
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