Find The Right Time To Sell Your Commercial Property
Whether your commercial asset is tenanted or not, you can sell your commercial property at any time. If it is tenanted, the continuation of the tenancy leases can be passed over to the new owner.
Some buyers prefer that the property has secure tenants, especially blue chip tenants, ensuring their asset is secure and prepared to buy at very low net yields.
If you own a commercial property with good, long-term tenants, then it can be a good time to sell, as the asset you are selling is more attractive to investors and, as a vendor, your asset may be worth more with good leases in place. Like the current market whee prime assets in some areas are sub 4.5% which is unheard of for SEQ properties pre 2018.
The value of commercial property can closely correlate with the lease on the property. If a commercial property becomes vacant, or the lease is about to expire, the value of the property would generally be expected to fall.
However, don’t forget some buyers are looking for a vacant possession property for their own business to operate from so often part vacant properties can command excellent selling opportunities for their buyers.