Know When to Hold ‘Em, Know When to Sell
- Jeff@CEGspaces
- 3 days ago
- 2 min read
Property owners should regularly evaluate whether to keep an asset or pass it on to the next owner. Talking it over with a commercial real estate expert allows you to know when to hold ‘em and know when to sell.
Both options have their benefits, and individual investor situations vary. The property may bring healthy passive income or carry long-term tax benefits, each strong reasons to keep it in your portfolio. On the flip side, the property may be high maintenance, and higher yield options would better meet your investment goals. Opting for a property that offers a tax-deferred exchange, such as a 1031 Exchange, might be a better solution.
Brokers can offer key insights regarding future growth potential. Those familiar with the market (or have to connections to find out) know about upcoming infrastructure improvements and development changes. They can also offer advice around lease renewals and what are reasonable rent increases to make the asset more financially viable.
Your investment goals are the anchor when deciding so having them front of mind is important. For example, you may have satisfied your goal of turning a property around through renovations or achieving 100% occupancy. Or maybe you received an off market offer that on the first glance looks like an amazing deal. Whatever the situation, sort it out with your broker. They'll help you figure out if you have a strong hand or need a new deal, saving you time and money. 😀
Jeff Salzbrun is the owner/broker of Commercial Equities Group (CEG). As a veteran-owned real estate brokerage, CEG has been involved in thousands of sale and lease transactions, ranging from single offices to 250,000+ square foot buildings. At CEG, we get your deal done. We know space, and we know the CRE business.
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