Commercial property investment requires looking beyond price and rent

Investors in smaller commercial properties, such as offices, warehouses, or retail shops, should look beyond immediate metrics like price, rent, and advertised yield. Practical qualities, such as vehicle access for warehouses or parking availability for suburban offices, significantly impact future leasing potential.

Due diligence is critical when assessing these assets. Investors must consider the versatility of a property's layout to ensure it can accommodate different types of businesses if a current tenant leaves. Additionally, the scale of potential vacancy and the specifics of lease terms—including remaining duration and tenant stability—are vital factors in understanding the long-term viability of the investment.