Average Cost Of Commercial Real Estate Per Square Foot
Commercial real estate is a vast market that includes properties like office buildings, retail spaces, industrial properties, and warehouses. If you are planning to invest in commercial real estate, it is important to understand the average cost per square foot for the type of property you are interested in. In this article, we will discuss the average cost of commercial real estate per square foot for various types of properties.
Office Buildings
Office buildings are a popular choice for commercial real estate investors. The average cost per square foot for office buildings varies based on the location and the class of the building. Class A office buildings are the most expensive, with an average cost of $48.50 per square foot, while Class B and C office buildings have an average cost of $28.50 and $20.50 per square foot, respectively.
Retail Spaces
Retail spaces can be found in shopping centers, malls, and standalone buildings. The average cost per square foot for retail spaces varies based on the location, the size of the space, and the type of retail establishment. In urban areas, the average cost per square foot can range from $50 to $100, while in suburban areas, the cost can range from $20 to $40 per square foot.
Industrial Properties
Industrial properties include warehouses, distribution centers, and manufacturing facilities. The average cost per square foot for industrial properties varies based on the location and the type of property. In urban areas, the cost can range from $50 to $100 per square foot, while in suburban areas, the cost can range from $20 to $40 per square foot.
Warehouses
Warehouses are used for storage and distribution purposes. The average cost per square foot for warehouses varies based on the location, the size of the warehouse, and the amenities provided. In urban areas, the cost can range from $50 to $100 per square foot, while in suburban areas, the cost can range from $20 to $40 per square foot.
Conclusion
Investing in commercial real estate can be a profitable venture, but it is important to understand the average cost per square foot for the type of property you are interested in. The cost can vary based on the location, size, and class of the property. By doing your research and understanding the market, you can make informed decisions and maximize your returns on investment.