Point Acquisitions Blog

Commercial real estate depreciation can be complex and misunderstood. Different methods exist to calculate it, each impacting a property’s value differently. Tax treatment varies based on property type and location, underscoring the need for professional guidance. This article simplifies the topic, explaining depreciation calculation and its tax implications. It covers two common methods, considerations for cost evaluation, and touches on depreciation recapture upon asset sale. Seeking professional advice is key to effectively navigating these concepts, maximizing tax benefits, and seizing investment opportunities. What is commercial real estate depreciation? Commercial real estate depreciation is an important but often misunderstood tax deduction.…

If you’re thinking about investing in commercial real estate, South Florida could be a great option right now. While some areas, like retail, have seen prices drop due to more people shopping online, this could be a good chance to buy retail spaces cheaply if they’re in good locations. On the other hand, office spaces are doing well, especially in Miami, with lots of demand and rising rents, so selling these properties could be profitable. The market is expected to get even better in 2024, thanks to Florida’s strong economy and ongoing need for office and industrial spaces. Florida also…

Commercial real estate is a booming industry and for a good reason! It can be a very lucrative investment. However, if you’re new to the world of commercial real estate, it can be confusing to know where to start. To buy commercial real estate effectively involves a series of strategic steps designed to maximize investment potential while minimizing risk. To start, you must understanding what constitutes commercial real estate. This category encompasses properties used for business purposes, including retail spaces, offices, warehouses, apartments, and more, each offering different benefits such as revenue generation through rent or business operations. The process…

When buying or selling commercial property, you need to be aware of certain commercial real estate closing costs. These costs add up quickly, so it is important to understand what they are and how they will impact your transaction. At Point Acquisitions, we buy commercial real estate in any condition. If you are selling commercial real estate, contact us before taking the steps in this article, as some or all of these costs can be avoided! In this blog post, we will discuss the most common commercial closing costs associated with commercial real estate transactions for sellers. We’ll also advise…

Commercial rent abatement is an agreement where a tenant pays less or no rent for a certain period when they start leasing a new space. This deal helps tenants save money as they set up their business, allowing them to spend on things like furnishing the space or stocking up on inventory without worrying about rent. Landlords also benefit from offering rent abatement as it makes their property more attractive, helping them fill vacancies faster. Stable, long-term tenants are valuable, and an initial rent break can encourage businesses to commit to longer leases. In this blog post, we’ll explain how…

Are you wasting time with your commercial property sale? Knowing the property value is key in commercial real estate (CRE) sales. Accurate valuations give competitive pricing and attract qualified buyers. Successful CRE transactions often lie in the underwriting process. Traditionally, a real estate underwriter evaluates financial details, including cash flows, debt to income ratio, and scrutinizes bank statements and employment history. This examination confirms the financial stability of the potential deal. However, this can take months and when you’re eager to sell, waiting on this process means missed opportunities. With advancements in technology, methods like iBuyer have started influencing the…

Commercial real estate is one of the most important industries in the world. It is responsible for creating and managing essential assets such as office buildings, shopping malls, and industrial parks. If you’re looking to break into this industry or just want to learn more about it, then you should read commercial real estate books! The best commercial real estate books recommended for anyone interested in the industry, from beginners to professionals, cover many topics. These books offer insights into different aspects of commercial real estate, including investing, management, negotiation, and understanding market trends. Here are the highlighted top 10…

What is a ground lease in commercial real estate? A ground lease is a real estate term that is often misunderstood. In its simplest form, a ground lease is an agreement between the landlord and tenant in which the tenant leases the land from the landlord for a specific lease period, a ground lease is usually between 50 and 99 years, or more. The lease agreement will spell out the tenant’s rights and obligations, as well as the landlord’s. A ground lease in commercial real estate is a specialized lease agreement where a tenant rents the land from a landlord…