When it comes to investing in commercial real estate, there are a lot of risks. Given how many buildings, lots and businesses fall under the umbrella of commercial real estate, it can be difficult to choose a path.
Forbes suggests there are several safe commercial real estate options for investors to choose from.
Mobile home parks
Mobile home parks are amongst one of the top commercial real estate lots to invest in. In most parks, the tenants own their own mobile homes. This means that you only have to maintain the grounds. You can focus on landscaping and light maintenance.
Self-storage is a good investment no matter the state of the economy. There is very little maintenance and in between tenants, all you have to do is sweep. Other buildings require you to maintain plumbing, carpeting and paint.
Multifamily dwellings or apartment buildings have a lower risk than most commercial properties. As the population continues to rise and home prices increase, most younger people and those without a lot of money tend to choose apartment living. Likewise, many older adults who do not wish to maintain their homes will choose apartment life. Of course, with any apartment complex, you do have to maintain and service the building.
Flex spaces are light industrial complexes. These complexes have multiple units with showrooms on one side and offices on the other. Small businesses tend to occupy said units and due to their affordability, most tenants can keep up with the rent and are less likely to go out of business.