Insider Tips for Commercial Real Estate Investment in Central PA
Are you considering investing in Harrisburg commercial real estate, but you’re not sure where to start? Perhaps you are a first-time investor looking for tips, or maybe you want to reenter the market after an investment break.
Whatever your situation, understanding the unique demands of the Central PA market can help you craft your strategy. Here are four insider tips our experienced team put together to aid you.
1. Demand for Office Space Is in Flux
We usually see demand for fairly priced office space no matter what time of year. The area has a shortage of quality, well-priced inventory, which is why many high-priced spaces sit on the market. Annual volume levels of sales for offices in Central PA fell for several years until a rebound in 2018, fueled partly by big purchases by the state government.
But the COVID-19 outbreak hit the local market hard. Many companies aren’t even back in their space yet with employees still working from home. Some leases are not being renewed, and some people are looking for new space. Sales are of more interest right now.
2. Industrial Real Estate Leads Other Sectors
The past few years, industrial space has been the top real estate sector in Central PA. We’ve seen high demand due to the area’s stable and available workforce, access to major highways and affordable prices compared with other states.
3. Higher Investments in Retail Space
The retail sector has experienced increased interest in the past few years, too. For retail, location is a key factor. If you are buying an investment space, you want to find a desirable location where businesses will want to lease from you, such as a building along the Carlisle Pike in Mechanicsburg.
Talk to your agent about the long-term prospects of the property and what types of retailers may want to rent from you. If the space already has accommodations your leasers can use, such as big windows where they can display merchandise, you will see higher demand for rentals.
4. Stay in Close Touch With Your Agent
Many of the deals we broker are for properties that have not ever hit the market. We match properties with people we think will be interested in owning them, and sales can be made without ever having to officially list the property. For such properties, the sales process generally runs smoothly, and both sides get what they want without having to pay for marketing or other expenses.
If you want to get an early heads up on a great opportunity, stay in touch with your agent. They can tell you what’s available and what’s coming onto the market, giving you a competitive edge. At SVN | Latus, we have a lot of repeat business because people appreciate us looking out for them.
Are you interested in purchasing commercial real estate as an investment property in Camp Hill, Harrisburg, and surrounding areas in Central PA? Contact SVN | Latus to learn more.