Why is Commercial Real Estate (CRE) a great investment?
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Cash Flow - CRE is income-producing, generating revenue each month to cover expenses and debt while generating returns. (It is not an investment if income is not produced.)
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Tax Advantages - CRE allows the owner(s) to depreciate the asset resulting in large tax deductions. Additionally, the asset is eligible for a special sale (1031 exchange) where the proceeds can be tax-deferred and rolled into another asset.
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Inflation Hedge - CRE is a great hedge against inflation since the cash flow generated from the asset comes from rents that are regularly adjusted to market rates.
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Forced Appreciation – CRE is not valued like residential real estate which is dependent on comps, size, location, etc. CRE’s value is derived from the cash flow it generates. Increase the cash flow, you increase the value.
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Benefits Others - CRE can be an amazing tool to impact the lives of others. Flourishing people and communities are enabled by real estate, be it a living room in an apartment, a restaurant in town, or meeting at the office. CRE is the back bone of where and how people gather.
"Our Investing should mirror our values. I am passionate about partnering with Faith Driven investors to purchase redemptive real estate for the good of the residents and communities and for the Glory of God." Jay Kennedy
Types of Commercial Real Estate
Multi-Family
Investing in housing such as condos, duplexes, and apartment buildings
Retail
Investing in single tenant or multi-tenant shopping centers.
Industrial
Investing in warehouses or other manufacturing and distribution buildings.
Storage
Investing in units used for storage that could be indoor/outdoor and climate controlled or not.
Office
Investing in buildings used for office space
Mobile Home Parks
Investing in land that has mobile homes or RVs leasing space for their trailer.
