What is a commercial investment property?


The property sector in the United Kingdom is undoubtedly big business and it manages to attract huge investment each year from domestic parties as well as from abroad. Naturally, there are many who choose to direct their funds towards the residential area of the market but commercial property offers a lot of possibility too.

The purpose of making an investment is to reap the benefits for a number of years to come, but as everyone is more than aware this is not always how it transpires. Someone who invests in commercial property might choose to buy into retail stores or offices for example. When the value of the property rises they will benefit from this profit and the investment can be made via a trust or fund, or directly. The units that have been purchased can be rented out to various companies.

For an investor who chooses the option of a property fund it gives them the exposure to the property they are looking for but in a considerably cheaper way. It is advisable to approach property funds cautiously if they do not hold a significant number of properties. Experts say that the type of fund to seek is one that holds as many as 40 properties at least.

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