Longmont , CO
(720) 600-9513
Longmont , CO
(720) 600-9513

Business Brokering at Northern Colorado Commercial Real Estate

Tag: Commercial Property Purchase

Business Brokering at Northern Colorado Commercial Real Estate

May 8, 2024

What is Business Brokering?

Business brokering is when a third party helps clients buy or sell companies. Like a real estate broker, a business broker represents the buyer or seller throughout the transaction in return for a commission or success fee.

Typically, businesses worth over $1 million will work with a mergers and acquisitions specialist, so business brokers specialize primarily in small businesses. 

Why Use a Broker?

There are many reasons why using a business broker might make sense. Buying and selling companies can be a long and tedious process with many complexities. A broker is well-versed in the ins and outs of a transaction to ensure everything goes smoothly.

Additionally, a business broker is experienced in negotiations and will ensure your interests are well-represented. Similar to a real estate broker’s local market knowledge, a business broker is also an expert in business valuations and strategic pricing to guarantee you get top dollar when you sell.

Business brokers guide you through due diligence, licensing and permitting, and contract writing throughout the buying or selling process. As your fiduciary, they will protect your best interest at each step and relieve you of much of the legal liability.

Northern CO Commercial Real Estate

At Northern CO Commercial Real Estate, we are well-equipped to handle both your real estate and business brokering needs. With many years of experience in both types of brokering, we would love to be your one-stop shop for any commercial buying and selling. 

Furthermore, when you refer a business to Northern CO Commercial Real Estate, and we end up brokering their transaction, we will pay a $250 referral fee directly to you. If you have questions about business brokering or commercial real estate, please contact Steve Longenecker and Northern Colorado Commercial Real Estate at WeBrokerCORealEstate or 720-600-9513.

We give out $250 gift cards for referrals that become our real estate clients.

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Referrals with Northern Colorado Commercial Real Estate

April 24, 2024

Northern Colorado Commercial Real Estate

The commercial real estate world is complex. To navigate the ins and outs, Northern Colorado Commercial Real Estate is your go-to source for selling, purchasing, or leasing. 

Owner Steve Longenecker has over 30 years of business experience, including almost 20 years in the commercial insurance industry. As a trusted advisor for his commercial clients, he is known for his attention to detail, thorough standard analysis, diligent follow-up, and superior customer service. 

If you are looking to venture into commercial real estate, be sure to partner with an experienced broker to guarantee the success of your investment or transaction. 

Sending Us Referrals

Real estate is an industry highly dependent on referrals. So, how does it work when you send Northern Colorado Commercial Real Estate a referral? To show our appreciation, the referrer will earn a $250 gift card when the referral becomes our client!

Additionally, as industry experts, we have a variety of other experienced professionals we are happy to refer to you in return. For example, if you need a business broker to help sell or buy a company, we have you covered. Are you in need of specialty contractors for your next development project? We have worked with many and would love to pass along our recommendations.

At Northern Colorado Commercial Real Estate, our service extends beyond the transaction. We are eager to be a resource for any real estate-related needs or questions. 

Thank You!

Thank you for trusting us with your business! We are dedicated to serving our clients at the highest level and would love the chance to earn your referrals. 

If we haven’t gotten the opportunity to work with you before or if you have questions about commercial real estate, please contact Steve Longenecker and Northern Colorado Commercial Real Estate at WeBrokerCORealEstate or 720-600-9513.

We give out $250 gift cards for referrals that become our real estate clients.

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#longmontcommercialrealestate #commercialrealestatebroker #northerncocommercialrealestate

Cash Flow vs. Appreciation: Which is More Important?

April 11, 2024

Real Estate Investing

Real estate investing isn’t one size fits all. Each investor has their own goals, typically determined by a specific timeline.

Some investors are looking for quick returns (fix-and-flips), others are looking for long-term investments with no immediate return, and many are somewhere in between. 

Appreciation vs. Cash Flow

Often, appreciation and cash flow are the two main ways to analyze a real estate investment. 

Appreciation

Appreciation is the growth in property value over a given period. Geographic location, economic conditions, and renovations all factor into a property’s appreciation or depreciation. 

If a property isn’t well-maintained and the economy takes a turn right when the owner needs to sell, an investor may face a loss. On the flip side, booming economic conditions, well-done renovations, and other increased property values in the area may cause rapid appreciation. 

Cash Flow

Cash flow, on the other hand, is purely determined by owner expenses versus the income received. Typically, we think of this as a landlord-tenant relationship, where the landlord owns a property and manages the associated costs. In return, they receive rental income from the tenant.

This model hinges on the landlord’s ability to keep their expenses under control, rental rates high, and vacancies low. While economic conditions and renovations impact any investment, cash flow may withstand changes in outside factors better than appreciation.

Your Investment Strategy

Talking with an experienced real estate professional about your investment strategy is the best first step. Some real estate types naturally gravitate toward appreciation, while others tend to have a more robust cash flow. It’s crucial to choose the investment that supports your long-term financial goals. 

If you have questions about commercial real estate, please contact Steve Longenecker and Northern Colorado Commercial Real Estate at WeBrokerCORealEstate or 720-600-9513.

We give out $250 gift cards for referrals that become our real estate clients.

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#longmontcommercialrealestate #commercialrealestatebroker #northerncocommercialrealestate

Leasing vs. Buying Commercial Property: Which is Better?

March 14, 2024

Which is better: Leasing or buying commercial property? The short answer is that it depends on your situation.

For a brand-new start-up, taking out a long-term commercial loan might not be the right decision. On the other hand, a well-established business that has been paying rent for several years may be in the perfect place to finally make a purchase. 

Owning commercial real estate has pros and cons. A great first step is to connect with an experienced agent to discuss your strategy.

Leasing Commercial Real Estate

Here are some reasons it might make sense to lease commercial real estate space:

  • No Financing: Qualifying for financing to purchase commercial property can be a pain if your business has other substantial expenses. Leasing avoids any difficulties in acquiring a loan.
  • Less Responsibility: Depending on the type of lease, your landlord will be in charge of any major issues that arise with the building, leaving you to focus on essential business activities. 
  • Smaller Up-Front Fees: While there may be a deposit at the start of a lease, you won’t have to stress about saving for a substantial down payment. 
  • Flexibility: Although commercial real estate leases are generally longer than residential, you still have significantly more flexibility to move spaces without selling property. 

Owning Commercial Real Estate

If you are ready to purchase commercial property for your business, here are some benefits you will enjoy:

  • Equity: When you own commercial real estate, your payments come back to you in the form of equity over time rather than going straight into your landlord’s pocket. 
  • Appreciation: Desirable commercial property in great areas tends to appreciate over time. Not only will you be paying down your loan, but you will also get the added return of higher property values when it comes time to sell.
  • Control: Rather than being tethered to rules outlined in a lease, you have complete control over the property and other tenants. 
  • Steady Payments: Lease amounts tend to increase over time. If you own commercial property, however, you can secure a loan with fixed payments over the term.
  • Income Potential: Besides having space for your business to operate, there is also income potential in renting out unused portions of the building. 
  • Tax Benefits: When you own commercial property, strategies such as depreciation and interest deductions can be used to reduce your tax liability. 

Your Business, Your Choice

Ultimately, it is your business, and you have to make the right choice for your situation. If you have questions about leasing or purchasing commercial real estate, please contact Steve Longenecker and Northern Colorado Commercial Real Estate at WeBrokerCORealEstate or 720-600-9513.

We give out $250 gift cards for referrals that become our real estate clients.

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#longmontcommercialrealestate #commercialrealestatebroker #northerncocommercialrealestate

Zoning in Commercial Real Estate

February 29, 2024

States and local governments use zoning to determine how various parcels of land are developed. Each zone has specific rules and regulations that municipalities implement to create a desirable layout for their community. 

For instance, zoning laws would ensure that a developer couldn’t build a large factory in the middle of a residential neighborhood. Consequently, when done well, the process aids significantly in strong property values.

Changing a parcel’s zoning is possible; however, it’s a long and challenging process that requires proving to the public that the new zoning is beneficial. Therefore, prior to purchasing any piece of real estate, it’s essential to understand any restrictions on its future use. 

Types of Zoning

Here are the five most common zones to consider as an investor or developer:

  • Commercial: Commercial zoning is reserved for businesses. Office buildings, retail spaces, and restaurants would all require commercial-zoned property. 
  • Residential: Residential zoning determines the type and density of housing in a given neighborhood. Some zoning only allows for single-family residences, while others may include multifamily developments. 
  • Industrial: Industrial zones include facilities like factories and warehouses. These developments are often further from the city center, where noise, pollution, and other environmental factors are less of a concern.
  • Agricultural: Agricultural zoning reserves specific parcels for farming-related activities. Various subcategories determine the types of animals and crops allowed on each property.
  • Mixed-Use: Mixed-use zones continue to gain popularity and often combine commercial and residential spaces. Building a handful of restaurants and stores within a neighborhood is an excellent example of mixed-use zoning.

Commercial Zoning

Commercial zoning guidelines determine how large a building can be compared to the property size (floor area ratio and lot coverage), how much parking needs to be onsite (parking ratio), and general safety features like the number of exits and fire escapes. A property’s zone also dictates other factors, such as building height, architectural features, and noise levels. 

Zoning laws dramatically impact a property’s use and development, so knowing the details is crucial before investing. If you have any zoning questions or commercial real estate needs, please contact Steve Longenecker and Northern Colorado Commercial Real Estate at WeBrokerCORealEstate or 720-600-9513.

We give out $250 gift cards for referrals that become our real estate clients.

Like, Share & Follow us on LinkedIn and Facebook.

#longmontcommercialrealestate #commercialrealestatebroker #northerncocommercialrealestate

How to Choose the Right Commercial Real Estate Broker

February 14, 2024

Should You Hire a Commercial Real Estate Broker?

If you haven’t purchased or leased commercial real estate before, you might ask, “Should I hire a broker?”. There are many intricacies to a commercial property transaction, and a broker’s job is to keep your interests protected throughout the process. 

Having someone, who is experienced in real estate contracts and negotiations, working as your fiduciary is worth its weight in gold. So, how do you choose the right agent? Let’s look at a few things you should consider as you decide. 

How to Choose the Right Broker

Look for the following to make sure you choose the right commercial real estate broker:

  • Experience: Experience is not always determined by the length of time someone has been in the industry. Look for a broker who has a solid transaction history and is in touch with current trends and practices. 
  • Market Knowledge: Each real estate market across the country functions differently, even down to the hyper-local level. Knowing that your commercial agent has extensive market knowledge in the areas you are considering is crucial. 
  • Understanding of Zoning: The zoning of a property determines how it may be used and, therefore, has a significant impact on its investment potential. Your commercial real estate broker should be well-versed in zoning laws and their implications to best protect your investment. 
  • Communication: High-level communication is a must. Commercial property transactions are not always straightforward, so you’ll need clear communication and quick response times from your agent. 
  • Client Testimonials: When looking for a great commercial broker, dig into their client testimonials. Nothing sheds more light on a professional’s qualifications than their past customers’ words. 

Northern Colorado Commercial Real Estate

Northern Colorado Commercial Real Estate prides itself on commercial real estate expertise and serving clients at the highest level. Please contact Steve Longenecker at WeBrokerCORealEstate or 720-600-9513 regarding any commercial real estate needs in Longmont, CO, and our neighboring communities.

We give out $250 gift cards for referrals that become our real estate clients.

Like, Share & Follow us on LinkedIn and Facebook.

#longmontcommercialrealestate #commercialrealestatebroker #northerncocommercialrealestate

The Revitalization of Industrial Real Estate

January 17, 2024

Impacts of E-commerce

The impacts of e-commerce are widespread. Brick-and-mortar retailers are shutting their doors, businesses are keeping less inventory on hand, and the commercial real estate industry is shifting dramatically. 

With vendors abandoning their in-person locations, developers are reimagining retail spaces into co-working locations, housing, and offices. Additionally, the rise of e-commerce has increased pressure on the industrial real estate sector. 

Industrial Real Estate Revitalization

A booming e-commerce market is revitalizing industrial real estate. Online retail giants like Amazon allow customers to do all of their shopping from home. As this type of trade continues to be the most preferred, the commercial real estate industry is shifting to accommodate the change. 

The demand for warehouse space is skyrocketing. Businesses are repurposing old manufacturing facilities into industrial space to facilitate online shopping. Furthermore, distribution facilities and warehouses are being constructed in hubs nationwide to provide faster shipping times for local consumers. 

Along with space used to store and distribute merchandise, a significant infrastructure is required to support a rapidly evolving e-commerce landscape. Companies are desperate for data centers to manage online traffic. 

Facilities and vacant land that can accommodate industrial real estate are now some of the hottest commodities in commercial property. As e-commerce continues its growth, the demand for industrial real estate will follow suit. 

Should You Invest? 

If you are looking to expand your portfolio, now might be the time to invest in industrial real estate. There is no sign of slowing down, and with artificial intelligence gaining momentum, we will see a continued reliance on e-commerce and online transactions. 

Your commercial real estate broker will help you decide whether an industrial real estate investment is the right next step for you. Please contact Steve Longenecker at WeBrokerCORealEstate or 720-600-9513 regarding any commercial real estate needs in Longmont, CO, and our neighboring communities.

We give out $250 gift cards for referrals that become our real estate clients.

Like, Share & Follow us on LinkedIn and Facebook.

#longmontcommercialrealestate #commercialrealestatebroker #northerncocommercialrealestate

2024 Commercial Real Estate Outlook by Sector

January 4, 2024

2024 Commercial Real Estate Outlook by Sector

2024 will be a truly unique year for commercial real estate. Booming e-commerce, a possible recession, and remote work will impact each sector differently.

Office

This year, the office sector will continue to battle the work-from-home trend. Some businesses have already started calling employees back to the office, while others have decided that remote work is sustainable for the foreseeable future. 

Less demand means much of the office space across the country remains vacant. Investors with a vision to reimagine the use of office spaces should keep an eye out for bargain deals in 2024.

Multi-Family

With real estate becoming increasingly more expensive in most metro areas, many would-be homebuyers are considering multi-family rentals as their solution. Strong demand for multi-family properties means developers will race to be first to market to maximize profits. 

Industrial

Continued reliance on online retailers is keeping demand high in the industrial sector. Consumers are desperate for faster shipping times, forcing retail giants to bring substantial storage facilities closer to home. 

Owners of storage and warehouse facilities, or land that can be developed into such, will benefit from solid appreciation and rental growth. 

Retail

The retail sector will be heavily dependent on other economic factors in 2024. Increasing inflation or a recession could significantly impact growth in this market. However, if consumer sentiment and the economy remain resilient, the value of retail space will stay stable. 

Technology

2023 was a breakthrough year for technology, specifically artificial intelligence. As technology continues to permeate all aspects of society, specific infrastructure is required. The need for data centers, solar farms, and additional cell towers will drive demand for real estate to house technology.  

A Close Eye

No matter the year, keeping a close eye on each real estate sector and monitoring macroeconomic conditions are the best ways to succeed in commercial real estate.

Please contact Steve Longenecker at WeBrokerCORealEstate or 720-600-9513 regarding any commercial real estate needs in Longmont, CO, and our neighboring communities.

We give out $250 gift cards for referrals that become our real estate clients.

Like, Share & Follow us on LinkedIn and Facebook.

#longmontcommercialrealestate #commercialrealestatebroker #northerncocommercialrealestate

Perks of Owning a Storage Facility

November 21, 2023

Office buildings and apartment complexes are often top of mind when it comes to commercial real estate. While these options make up two of the largest categories of commercial property, there are many other types of investments.

Storage facilities, although often overlooked, can provide a strong return and cash flow. 

Why Invest in a Storage Facility

Here are a few reasons why you might want to consider investing in a storage facility:

Demand

As the population and economy grow, so do our storage needs. Rising demand for storage space helps boost property values and rental income. 

Turn Time

Compared to other types of rentals (residential, office space, etc.), storage facilities typically have a very short turn time. Smaller self-storage units may take less than a couple of hours to have cleared out and ready for the next renter. 

Operating Expense

Operating expenses are relatively minimal compared to other commercial real estate investments. Lower taxes, fewer management requirements, and minor utility expenses (especially if your storage is not temperature-controlled) keep operating costs down.

Group of Renters

Storage facilities bring value to a broad group of renters. Both businesses and individuals consistently use self-storage for various needs, minimizing vacancies and turnover. 

Number of Units

Self Storage typically involves owning a large number of units. The greater quantity means that a single renter deciding to leave minimally impacts cash flow.

Make a Game Plan 

You should start by mapping out your long-term investment goals and making a game plan to get yourself there. Even if a storage facility is not your first investment, you may consider adding one to your portfolio in the future. 

Please contact Steve Longenecker at WeBrokerCORealEstate or 720-600-9513 regarding any commercial real estate needs in Longmont, CO, and our neighboring communities.

We give out $250 gift cards for referrals that become our real estate clients.

Like, Share & Follow us on LinkedIn and Facebook.

#longmontcommercialrealestate #commercialrealestatebroker #northerncocommercialrealestate

Are Apartments the Answer to Unused Office Space?

November 13, 2023

Much of the workforce now has the ability to work part-time or full-time from home. Remote work, in turn, has freed up a large portion of commercial office space in certain areas.

At the same time, many metros across the country, including Denver and the surrounding suburbs, are facing housing shortages. So, how do we fix the problem? Transforming unused office space into apartments may be the answer.

Office Space to Apartments

Converting office space to apartments is rapidly gaining popularity across the United States. If you are a commercial real estate owner, there are a few things to consider before making the decision. 

Zoning

Changing a building’s use depends on how the property is zoned. When a property is built as commercial space, changing the zoning to allow for residential use can be a complex and lengthy process. Be sure to check city, county, and state regulations to determine whether it’s possible to change how your building functions. 

Budget

Converting office space to apartments is not for the faint of heart. The infrastructure of the building will need to be entirely reworked to account for new plumbing, electrical, HVAC, etc. If you are interested in diving into this development project, be sure you have the budget to support its completion. 

Investment Strategy

Considering your investment strategy is a crucial aspect in making this decision. Would you prefer to manage residential space or office space? Both involve a different set of skills, tasks, and potential problems. Additionally, offices and multifamily residential each bring differing returns on investment, so it’s crucial to pick the one that supports your long-term goals. 

The Good News

The good news? In real estate, you always have options. Converting the use of your commercial assets can be an extremely successful strategy when done wisely. Talking with your trusted commercial real estate advisor is the best first step.

Please contact Steve Longenecker at WeBrokerCORealEstate or 720-600-9513 regarding any commercial real estate needs in Longmont, CO, and our neighboring communities.

We give out $250 gift cards for referrals that become our real estate clients.

Like, Share & Follow us on LinkedIn and Facebook.

#longmontcommercialrealestate #commercialrealestatebroker #northerncoloradocommercialrealestate

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