By Soniya Gaonkar on Apr 22, 2022 6:25:16 PM
Are you about to search for new commercial shops for sale in Pune? Of course, you must have some locations in your mind to set out in a particular direction. While location matters and is paramount to the success of your commercial investment, you must stay mindful of a few more equally significant factors. Let’s look at ten of them through this blog to help you make a better and more informed choice.
Buying Commercial Spaces for Sale in Pune – 10 Factors as Important as the Property’s Location
From the developer’s reputation and business potential to administrative factors like documentation, compliance, etc., you must emphasize knowing about these things and understanding them before you finalize a commercial property in Pune.
Developer’s ReputationCheck out the developer’s reputation at the outset. You don’t want to partner with a developer with a poor market reputation or credibility and let your investment down the drain. Assess the developer’s reputation through some online and offline research. Check for existing or past litigation concerns, if any, customer feedback, quality of construction, overall market position, etc., before you decide.
Sustainable Business PotentialRegardless of whether you will use the shop for yourself or rent it out, you must check if your type of business or any other, especially B2C, has sustainable potential to grow in the region. Even if you don’t think about them while buying the property, your tenants will certainly be curious. They will vet the property’s potential based on prospects their business may have in the future. If they find it promising enough, your property may start generating returns. If it is otherwise, it is likely to remain empty.
Surrounding DevelopmentSome essential questions to ask in this regard include,
- Is it a rapidly developing area or an already developed vicinity?
- How quickly are things changing around the commercial property?
- How beneficial would those changes prove for your commercial shop in the future?
- Will infrastructural development like flyovers construction, etc., reduce your commercial shop’s visibility, especially if it is a consumer-facing business that needs to be prominently visible.
- These questions will help you gauge how advantageous it is to buy the property in the long run. It is because some commercial spaces look lucrative. But they might lose luster considering a spree of developments the location may undergo in the future.
The Layout and Area of the ShopYou won’t have to think as much if it is a straightforward shop space. Here, only the area of the space will matter. However, suppose it is an office or a showroom space you plan to buy. In that case, you will have to vet the property across various aspects like its layout, natural ventilation and lighting arrangements, space for back-office setup, etc. Additionally, the area will also matter, as you wouldn’t want to create congestion for your customers or have tenants rejecting the space only because they feel it cluttered.
Prevalent Per Square Feet RateResearch the per square feet rate prevalent in the prospective area. You will have to do some property hunting! Weigh rates against benefits and the potential to make the right choice. As an additional suggestion, hire a realtor to help you negotiate. It will incur some realtor fees. But realtors are professionals who know how to pull out beneficial deals through sensible negotiation.
Basic and Advanced AmenitiesYou don’t need an expert to suggest this one. Nevertheless, you must assess the various basic and advanced amenities your property will offer you as a tenant. The basic ones include electricity supply in the area, water supply, drainage arrangements, type of flooring, paint quality, fixture, security, firefighting systems, etc. On the other hand, the advanced ones can include advanced security, smart office features, integrated workspaces, advanced locking systems, etc.
Age of the Building and Corresponding Risks (If Any)If you’ve found a potentially advantageous property in an old building, you will benefit from its popularity and prominence. However, with these benefits, you might have to welcome varying risks. If the building is quite old, you must have professional property inspectors inspect the property thoroughly for electrical points, pipelines, structural weaknesses, etc., and get a complete report about it.
Rental EarningsIf you plan to rent out the property and earn some income, you must have a realtor assess its minimum rental earnings. Further, you must compare the income and your investments to determine the time it will take for you to recover your investment through the earnings.
Additionally, factors like property maintenance, taxes, etc., should also be factored in while comparing investments and earnings to get a near-accurate value and a clear picture.
DocumentationGet a lawyer to assess the documents of the property, identify litigation possibilities, if any, clear title, etc., to avoid legal or administrative hassles. Discuss concerns raised by the lawyer with the developer and get clarifications in the lawyer’s presence. Have the agreement papers and every clause thoroughly assessed to avoid conflicts, disputes, and unpleasant experiences.
Assured Returns (Subject to the Developer’s Commitment)An assured return is a certain amount of monthly return that the developer commits to the buyer before the possession of the property. Check out if the developer offers such an assurance. If he does, enter an agreement mentioning every commitment made by the developer in this regard. It is an effective way of gaining returns much before the property is even ready.
Buy a New Commercial Shop in Pune at Kohinoor World Towers (KWT)
KWT is an under-construction business hub located in the rapidly-growing city of Pimpri Chinchwad near Pune. It features multi-sized commercial spaces equipped with ultra-modern amenities to create an appeal to business owners of varying types, needs, and demands. KWT’s strategic location, coupled with its features, amenities, and the reputation of the Kohinoor group, gives it an edge among other commercial projects in Pune. To explore more of these advantages, call +91 20 6764 1818.