5 Ways to Get the Greatest Return on Investment Property

In a recent interview, architect Charles Hendricks stated that A house or building is the most com­pli­cat­ed machine many people will ever own or operate.” With such a big expense going into something so complex, anyone con­struct­ing a building will want to make sure they can get the most out of their invest­ment. By following the tips in this article, you can be sure that you will get the kind of value you deserve from your property.

1. Keep Updating

Design features that are popular one year aren’t usually sought after decades or even just a few years later. Aes­thet­ics change quickly and something that was a selling point when the building first went on the market is likely to just be an expec­ta­tion by the time it goes back on it.

Keep making improve­ments to the building through­out your years of ownership. That way, your building won’t feel old fashioned or outdated and you won’t have to com­pro­mise on price when it comes time to sell. And remember that the pro­fes­sion­als you hire to design the building are often well aware of coming trends in design and con­struc­tion, so they may be able to tell you what features will need to be updated and when.

2. Alter the Purpose of the Property

Property values for com­mer­cial spaces can increase dras­ti­cal­ly when the intended use of those spaces change. Old warehouse spaces, for instance, aren’t worth all that much but their value can go soaring if they’re converted into multi-family or hotels.

Depending on the location of your building, it can be turned into just about anything that fits with the demands of local consumers, whether it’s an office building, a con­do­mini­um complex, or a retail center.

3. Add Amenities

This is one of the simplest and most straight­for­ward ways to sizably increase the value of your property. Let’s say you have an office space that you will want to sell someday, add a daycare or a yoga studio (or both!) to the building. Not only does that add culture to the office space, it will boost the price when you put it up for sale. Likewise, if you are planning an apartment building with a large number of family units, consider putting a play­ground on the property.

And, of course, don’t overlook the small-scale amenities that can make a big dif­fer­ence, like high-speed Wi-Fi internet acces­si­ble to anyone inside the building.

4. Build Rentable Space

One of the reasons it’s crucial to work with an expe­ri­enced, pro­fes­sion­al designer is that they will be able to work with you to maximize the square footage you can rent out. Less expe­ri­enced or skilled designers might leave too much square footage under­uti­lized, which essen­tial­ly robs you of your property’s earning potential.

Com­mu­ni­cate your inten­tions very clearly during the design phase: let the designer know that you want to be able to rent out as much square footage as possible. That will mean sac­ri­fic­ing a few things that look great on paper but that won’t bring in any revenue. Stay away from flashy, extrav­a­gant designs. You might think it’s what you want, but look carefully and what you will usually see is excessive lobby space, poorly designed hallway arrange­ments, and unfin­ished areas without a des­ig­nat­ed purpose. Instead, look for ways to use wasted space: if one room seems too large, convert it into two cozy office spaces. Do whatever you can to ensure more tenants (whether for office, retail, or apartment space) can rent.

5. Go Sustainable

For a long time, whenever anyone saw the words sus­tain­able” or envi­ron­men­tal­ly friendly” they assumed it was code for expensive.” Now, however, we’ve all come to realize that sus­tain­able products tend to cost a lot less in the long run.

One way to make sure you get a great return on your building is to earn LEED cer­ti­fi­ca­tion. LEED certified buildings make efficient use of resources and, as a result, have lower operating costs. Not only will that translate to long-term savings while you own and manage the property, it is also an attrac­tive feature for anyone who wants to rent space in your building and can allow you to increase the rental price.

And, of course, once you put the building up for sale, the LEED cer­ti­fi­ca­tion will be an appealing feature. A growing group of corporate, public, and indi­vid­ual buyers are not only keen on sus­tain­abil­i­ty but are specif­i­cal­ly looking to purchase or occupy property that has been LEED certified.

As archi­tects and owners for strive even more sus­tain­able, safe and healthy buildings, they are turning to inno­v­a­tive con­struc­tion products. Rather than just adapting and adding to tra­di­tion­al con­struc­tion methods they are starting to use new methods that have been designed to save con­struc­tion time and money while being more sustainable.

The inno­v­a­tive Bautex Wall System is an example of a product that has been designed from the ground up to build walls more effi­cient­ly and improve the return on your building invest­ment. Learn more here.