Benefits Of Investing In Commercial Property In Malad

Commercial properties may refer to retail buildings, warehouses, office buildings, industrial buildings, apartment buildings and mixed-use buildings.

Investing in commercial property has always been a challenge for the common investor. Any type of property, whether itss commercial or residential, can be a good investment opportunity, however commercial properties usually have a higher financial reward than residential properties.

Commercial properties in Mumbai attract a lot of investors because commercial real estate is witnessing steady demand and increase in prices, say various reports. There is a common perception that investing in commercial property is only done by big investors and businessmen, however its not always true. Just checking a few things while looking to invest in commercial properties can make it a great investment opportunity.

Pros Of Investing In Commercial Property

Higher Rental Income

The average rental yield of commercial property is in two digits i.e. 10%. Sometimes it can also go up to 12%-14% depending on the property. This is the single largest advantage of investing in commercial realty estate.

There is less hassle when dealing with corporates, banks or retail chains when compared to residential tenants. There is no running around for rent and other operational hassles are minimum.

No furnishing cost -

You can hand over a raw unit to a tenant. Banks and Corporates like to furnish property according to their brand/taste, hence the furnishing cost is NIL.

Regular inflow of income -

The income for commercial property is usually consistent when compared to residential property. Moreover, leases for commercial properties are usually long term, so there are consistent returns.

5 Things To Check While Looking For Commercial Property

Location -

Location is of key importance when checking out commercial property. A prime location would be an obvious choice for retail offices. A low vacancy location is ideal so that it doesn't give the tenants an option to negotiate rents. Commercial properties in Malad West like Ashray Groups Jaswanti Allied Business Centre is one of the prime locations for office spaces.

Marketability -

A good building in the appropriate location is definitely important. The building needs to withstand wear and tear but also be able to be ready for the new tenants. Thus the building should have the latest technical specifications and should also be structured and designed to withstand the overtime damage.

Budget -

You should plan your budget in advance before looking to invest in commercial properties. This will help you to pick the relevant property according to your budget.

Facilities -

The building should have necessary facilities like parking, lift and security. Knowing your needs and then browsing properties will help you make a better decision.

Documentation -

The property should be free from any previous litigation and you also need to check if all the documents are in place.

Benefits of commercial property in Malad

With several impeccable high-rises throughout the landscape and world-class commercial/retail spaces, Malad has transformed into a cosmopolitan region of Mumbai. It has several features which make investing in a property here, a very wise decision.

Social Infrastructure -

Malad is a social hub. It is ideal for the commercial sector because it is a well-developed area. Malad has schools, colleges, bars, pubs, markets, sports complex, malls and restaurants.

Open Spaces -

Malad is a beautiful locality with a lot of open spaces. Even though Malad has seen quite a lot of infrastructure development in recent times, it is still less chaotic than Andheri or Goregaon. Some areas, especially, Evershine Nagar and Jankalyan Nagar are very serene and peaceful.

Rate benefit -

Commercial properties in Malad are a good investment because it is the fastest-growing suburb. Malad has a great social infrastructure and the rates for properties are relatively lesser compared to Churchgate and Marine Lines.

Industrial development-

Malad is very well connected to nearby suburbs by SV Road and Link Road. Its also easy to reach Malad from any part of Mumbai by the Western Railway. Malad is the ferry service from Marve-Manori and from Madh-Versova, which drastically cuts down travel time to Andheri. This makes it very easy for the employees to travel and hence makes for a great commercial estate.