Owning a commercial building can be very profitable, especially compared to other investment opportunities. According to the Bureau of Labor Statistics (BLS), non-residential fixed investments grew by 6.1% in 2019, and this trend is expected to continue in 2020 and beyond. Therefore, investing in commercial real estate can be an excellent source of long-term income for investors.
Not only does owning commercial real estate provide investors with a steady income, but it also typically appreciates faster than residential properties. For example, the National Association of Realtors reported that the average price of commercial property increased by 6.6% between 2018 and 2019, while residential properties only increased by 4.8%. Commercial buildings are a great way to build wealth over time as they grow in value faster than other real estate types.
Additionally, owning a commercial building also provides tax benefits that can help improve the profitability of an investment. For instance, owners may qualify for certain deductions, such as depreciation or repairs, which could significantly reduce their overall tax liability. Furthermore, many states and local governments offer incentives for those who own and maintain commercial buildings, such as property tax credits or reduced licensing fees, which can further increase the net worth of an investor’s holdings.
However, holding a commercial building means you are responsible for ensuring your tenants and their employees are safe. Although laws and regulations vary by state, there are a few essential safety requirements all owners should follow to remain compliant with the law and protect the well-being of those in their buildings.
Physical Safety Standards
Safety protocols are essential in a commercial building, as they ensure the tenants and their employees have a safe and secure environment for work. Safety protocols should be comprehensive and include measures to protect against physical threats like fires, floods, or chemical spills. Owners should also protect against cyber threats by implementing up-to-date network security solutions.
Here are a few physical safety standards to consider for your commercial building:
Commercial buildings should be equipped with fire alarms, sprinkler systems, and fire extinguishers to protect against fires. OSHA fire protection guidelines can help investors invest in the regulations.
Commercial buildings should have multiple exits throughout the building in case of an emergency. All exit points should be marked and unobstructed at all times.
Adequate lighting is essential for safety in commercial spaces, as it helps tenants and their employees navigate safely within the building. Lighting should be consistently maintained throughout all areas of the building.
Commercial buildings should also feature secure locks on all entryways to ensure that only authorized personnel can access them. CCTV cameras or other surveillance measures may also be necessary to monitor activity within the building and deter potential threats.
Commercial buildings must have all these safety protocols in place to remain compliant with the law and ensure the safety of those inside. By taking these steps, commercial building owners can enjoy all the benefits of owning a commercial space while keeping their tenants and employees safe.
Custodial Management System
Keeping a commercial building clean is just as important as other safety protocols for ensuring the safety and well-being of those inside. A clean facility not only creates an inviting environment for tenants and their employees, but it can also help to minimize the risk of certain illnesses like colds or flu. Additionally, a clean environment can reduce the likelihood of potential accidents due to poor visibility in cluttered areas.
Custodial management systems are essential for keeping a commercial building clean and sanitary. These systems typically involve a combination of cleaning services and specialized technologies that track when spaces have been cleaned and which areas most need attention. The best custodial management systems can provide detailed data on all aspects of the cleaning process, such as a maintenance log with records of each task that has been completed or a timeline report showing when each area was last cleaned.
The benefits of having a custodial management system in place for commercial buildings extend far beyond simple hygiene—it can help keep costs by optimizing routine tasks and tracking how long they take. For example, the system will recognize if staff members spend too much time on a job. This allows managers to make adjustments to spend better on more critical tasks. Additionally, custodial management systems can monitor inventory items like cleaning supplies or trash bags. This helps prevent overstocking or running out unexpectedly during busy seasons.
Emergency Security Services
Renting on a commercial building means that businesses benefit from the convenience of having an emergency security service on-site. This service typically includes a 24/7 patrol to ensure the safety and security of tenants and their employees and secure access points like key cards or fingerprint scanners to keep unauthorized personnel out. Additionally, this type of service can also provide response services in emergencies like fires or break-ins.
By investing in an emergency security service, owners can be sure that their commercial building is always safe and secure no matter the time of day or night. This will give tenants peace of mind knowing that their business is always protected from potential threats.
Besides security forces, you should also consider investing in ASAP services to help tenants in an emergency. ASAP services provide help when needed, such as medical assistance or property damage assessment. This could help relieve some of the burdens on tenants if they ever experience a crisis while doing business on your premises.
Commercial building safety is essential to protect tenants and employees from potential harm. By following all the necessary safety protocols, owners can ensure that their buildings comply with regulations and remain productive for years to come. With these measures, commercial building owners can enjoy all the benefits of owning a retail space without compromising anyone’s safety.