Low-Cost Developments for Your Real Estate

Don’t let your land sit undeveloped

Whether you inherited it, happened to grab some extra when you purchased a lot for building your home, or got it through some other method, it’s not uncommon to have extra property lying around. Perhaps you bought it with the intent of developing as an investment but don’t know what to do with it. If you don’t have a plan for your land, all it’s doing is growing weeds and costing you in taxes. You could sell it outright, but at best that gives you a one-time cash infusion while someone else reaps the rewards of building up the lot. Learn what you can do to put that land to work for you on a permanent basis. If you do develop and later choose to sell a property you can get a much higher asking price than for a vacant lot.

Commercial development projects

An empty lot is like a blank canvas. You can choose all sorts of things to put there, any number of which can make you money. The sections below detail some projects that give you a relatively versatile, profitable asset that requires little work from you.

Warehouses

A warehouse is a building that companies use to store equipment, supplies or merchandise. Many firms don’t own their own warehouses, as they find it more cost effective to rent or lease the space. This is where you come in. If you build a commercial-quality warehouse on your property, you can use the rent you charge to supplement your income.

Warehouses an attractive properties for owners because they’re relatively easy to build. They don’t have to be suitable for habitation, either. Here are some tips for maximizing warehouse income:

• Location: The ideal location to set up is somewhere close to a company’s supply chain or headquarters. If you own property near an industrial park, that’s a prime spot for a warehouse. If you’re not sure how attractive your spot is for local companies, don’t be afraid to ask. Some firms don’t mind having their goods stored out of the way, even in deeply rural areas, if it means that the rent is lower than it would be in the city.
• Security features: Being able to show potential clients that their goods are safe in your facility goes a long way towards making it a more attractive prospect. Some basic essentials include high-def cameras with recorders, barbed whire or razor wire fencing, Industrial locks, electronic passcode systems and 24-hour remote monitoring. You also want to be able to demonstrate that your warehouse is exceptionally resistant to fire. Bonus points if you also use plans that are designed to protect against natural disasters that are common to your area, such as floods in the northwest or earthquakes in California.

Storage units

A storage unit complex is a commercial facility where tenants can rent out space on a monthly basis. You use them to hold old furniture, heirlooms and other things that you don’t have space for at home. Even a small property can host several storage units. Having renters in each one can quickly add up to lots of money coming in every month. Ther are a few considerations to keep in mind:

• Location: Once again, you have to set up in the right place. Urban or suburban areas are clearly the best choice, since you need as many people as possible renting units in order to maximize your profits.
• Competitive pricing:

Unlike warehouses, whose rents tend to be negotiable per client, you need to have a rice that’s consistent and competitive with the rest of the area. Make sure to check what other facilities in the area are charging. The right price doesn’t turn away potential customers but also allows you to make money on your investment.

Be aware of the costs

Any investment carries inherent risks, and there can be costs that you might not have anticipated. Here are a few common ones:

• Plans: Even if theyu’re turnkey, you still have to license plans from a credentialed architect.
• Permits: Your local municipality has unique regulations regarding planning, inspections, and safety. This costs money, especially if you have to redo things due to noncompliance.
• Taxes: Commercial development increases the value of your lot, and the associated property taxes.
• Insurance: Every business needs insurance. You don’t want to be liable for damages that your tenants might suffer during a fire or accident.
• Staffing: If you run a storage complex you need to have a manager and sales rep on site during business hours, and very likely on-call as well. You might also need to hire out security for your warehouse.

The right partner for development

Property development is something that you can do on your own, but it’s a lot easier to find an experienced partner. Kaufman Construction and Development is your best choice in Western Washington. We’ve been in business for generations and have deep roots in the community. No matter where you are in the timeline of your project, we can help you get it completed on time and with outstanding results.

We have a wide range of architect-approved plans for turnkey buildings of all sorts. If you need help with the permitting and inspection process, we know the ins and outs of all local jurisdictions. Our team even covers building maintenance and management We’re even on hand if you later choose to make improvements and remodel your building. Basically, you provide the property and funding, and we take care of the hard part while you reap the rewards.

If you have land or plan to invest, you deserve to have the best shot at making your dreams come true. We feel the same way as you, and want all of our neighbors to succeed. Give us a call or use the contact form on this site to set up a free consultation. We’ll meet up with you and explain everything clearly and honestly. You’re only a day away from starting on the path towards profitability; call Kaufman Construction and Development right now.