Industrial real estate includes any property used for manufacturing, storage or distribution and is a core component of the global economy. As such, it is highly resilient to economic downturns and typically offers solid rental income and capital appreciation over the long term.

In the first half of 2023, New York City saw a robust level of activity for industrial real estate with 54 transactions. This reflects the fact that this market continues to be in demand and that businesses need reliable warehouses and distribution centers to fulfill consumer orders quickly. However, while the number of deals was impressive, the total value of these sales was a considerable drop from the same period in 2022.

When you invest in industrial properties, make sure you’re familiar with the specific needs of the industry you’re targeting. A thorough due diligence process can be helpful in this regard, but it’s also important to consider broader market trends and the overall business climate.

For instance, e-commerce growth has been a driving force behind the increasing need for warehouse and logistics space. Consumers want their online purchases delivered to them as soon as possible, which has led to an increased demand for locations close to major transportation hubs like airports, highway and rail junctions and seaports. This, in turn, has driven the need for infill industrial spaces within or proximate to large population centers.

It’s also important to look at the types of leases associated with any industrial real estate you may be considering purchasing. Generally, dự án sun group nha trang khánh hòa will require net leases where they’re responsible for all operating expenses, including insurance and property taxes. This is in contrast to other commercial real estate where tenants will pay a base rent plus the cost of utilities and maintenance.

Another aspect to take into account is the zoning requirements of any given area where you’re targeting an industrial investment. Many areas have strict zoning requirements that limit the use of certain properties, or will require permits and fees in order to change the usage of a building. In some cases, the zoning requirements of a region can even prevent you from investing in industrial properties altogether.

Before making any investments, it’s also a good idea to surround yourself with a team of experienced professionals that can provide guidance throughout the entire process. These individuals can include attorneys, accountants and property managers, among others. In addition, they can help you assess potential risks and consider insurance coverage to protect your investment against unforeseen events. Finally, they can also advise you on any tax deductions that might be available to industrial investors. These may include those from depreciation and interest payments.