How to buy commercial property in 2024 can be a rewarding investment that offers long-term financial benefits, whether you’re a seasoned investor or a business owner looking for a strategic location.

The process of purchasing commercial property, however, involves significant financial commitments, thorough research, and understanding various legal and financial aspects.

As we step into 2024, certain trends, modern developments, and market dynamics will shape the way commercial property is bought and sold.

In this article, we will explore a comprehensive guide on how to buy commercial property in 2024, focusing on the features and offerings of OZ Developers’ groundbreaking commercial project located on Main Ferozepur Road, Lahore.

The development is Pakistan's biggest cantilever building, featuring a gated community, playgrounds, jogging tracks, and a wide range of world-class amenities such as a Direct Factory Outlet (DFO) on the ground floor, rooftop spaces, penthouses, basements for parking, food courts, restaurants, and much more.

Assessing Market Trends in 2024

As you prepare to buy commercial property in 2024, the first step is to familiarize yourself with the market trends.

Real estate markets across the globe, including in Lahore, are constantly evolving due to changes in economic conditions, government policies, and consumer preferences.

Digital Transformation:

One of the key trends in commercial real estate in 2024 is the integration of technology.

Commercial properties with advanced IT infrastructure, such as OZ Developers' IT Hub, are highly sought after by businesses, especially those in tech, finance, and communication sectors.

Sustainable Design:

With increasing awareness of climate change and sustainability, businesses are seeking commercial spaces that are energy-efficient and environmentally friendly.

Look for developments that incorporate green building practices, such as eco-friendly designs and energy-efficient utilities.

Flexibility in Use:

Commercial spaces that offer flexibility in terms of layout and utility, such as mixed-use developments, are becoming more popular.

OZ Developers' project includes a range of flexible commercial units, including retail spaces, offices, and shared workspaces, making it a versatile investment option.

Defining Your Investment Goals

Before purchasing commercial property, it’s essential to have a clear understanding of your investment goals.

Are you buying the property for your own business, or are you planning to rent it out for passive income? The type of property you choose and its location will vary depending on these goals.

Owner-Occupied:

If you’re purchasing the property for your own business, consider factors like proximity to customers, suppliers, and transportation.

OZ Developers' location on Main Ferozepur Road is ideal for businesses that need high visibility and foot traffic, especially with the DFO (Direct Factory Outlet) on the ground floor that attracts shoppers.

Investment:

If you’re looking to purchase property as an investment, research the rental yield in the area and the expected capital appreciation over time.

The diverse mix of amenities offered in the Lahore Sky Project, such as apartments, restaurants, and penthouses, makes it a prime area for rental properties.

Location Considerations: Why Main Ferozepur Road Lahore?

The location of a commercial property plays a crucial role in its success.

Main Ferozepur Road in Lahore is one of the city’s busiest and most strategic commercial corridors. Here’s why this area is ideal for commercial investment:

Accessibility:

Main Ferozepur Road is a major thoroughfare that connects various parts of Lahore, making it highly accessible to customers, employees, and suppliers.

This makes the area attractive for businesses across sectors.

Commercial Hub:

The road is home to numerous retail outlets, office spaces, and restaurants, creating a thriving commercial ecosystem.

OZ Developers’ Direct Factory Outlet will further enhance the area’s appeal by offering a unique shopping experience within the building itself.

Future Growth Potential:

As Lahore continues to grow, the areas surrounding Main Ferozepur Road are expected to see significant development.

Investing in commercial property here now can yield high returns in the future.

Researching the Developer: OZ Developers’ Reputation

When buying commercial property, it’s important to research the developer behind the project.

In 2024, with large-scale, high-rise developments becoming more common, the credibility and reliability of the developer are essential.

Track Record:

OZ Developers are well-known in the real estate industry for delivering high-quality projects.

Their Lahore Sky project is a testament to their commitment to creating world-class living and working spaces.

The biggest cantilever building in Pakistan demonstrates their ability to push architectural boundaries.

Amenities:

The amenities offered by OZ Developers make their properties stand out.

From rooftop spaces to three basements for parking, penthouses, restaurants, swimming pools, and even schools and mosques, they provide everything a business or investor might need to thrive in the development.

Legal Due Diligence

Before you finalize your purchase, it’s crucial to perform legal due diligence to avoid any potential issues. Some key aspects include:

Title Search:

Ensure that the property has a clear title, meaning there are no legal disputes or liens on it.

A clear title ensures that you have full ownership of the property.

Zoning Regulations:

Ensure the property is zoned for commercial use.

Zoning laws dictate what types of businesses can operate in a specific area, so it’s important to verify that your intended use is allowed.

Building Codes and Compliance:

Check that the property complies with local building codes and safety standards.

Ensure that all permits and approvals are in place before proceeding with the purchase.

Financial Planning and Securing Financing

Commercial properties are often more expensive than residential properties, so securing financing is a critical step in the buying process.

In 2024, many buyers are opting for creative financing options and partnerships to make property purchases more affordable.

Down Payment:

Typically, commercial property loans require a larger down payment (usually between 20-30%). Ensure you have enough saved up for this initial payment.

Commercial Loans:

Shop around for the best commercial loan rates. It’s important to compare terms from different banks to ensure you’re getting the best deal.

Lease Agreements and Tenancy:

If you’re buying the property to rent it out, review lease agreements carefully.

Commercial leases can be more complex than residential leases, so it’s wise to seek legal advice when drafting or reviewing contracts.

Evaluating Property Value and ROI

Commercial properties are a long-term investment, and understanding their return on investment (ROI) is crucial. Evaluate the property’s potential for rental income and appreciation in value over time.

Rental Yield:

Calculate the expected rental yield, which is the annual rental income divided by the property’s value. A high rental yield indicates a good investment.

Capital Growth:

Look at the historical and projected capital growth of the area. Main Ferozepur Road, being a growing commercial hub, is expected to see significant capital appreciation in the coming years.

Operating Expenses:

Don’t forget to account for the operating expenses of maintaining commercial property, such as property taxes, maintenance costs, and insurance.

Finalizing the Purchase

Once all due diligence is complete, and you’re confident in your investment, it’s time to finalize the purchase.

In 2024, the purchasing process has become more streamlined with the help of technology, allowing for digital transactions and online documentation.

Contract Negotiation:

Before signing any agreements, ensure that all terms are clearly outlined and agreed upon. This includes purchase price, closing date, and any contingencies.

Escrow Process:

The funds for the purchase will typically be held in escrow until all conditions of the sale are met. Once all paperwork is finalized, the title will be transferred to you.

Conclusion

Buying commercial property in 2024 can be a lucrative investment, especially when you have the right information and approach.

Whether you’re looking for a space to grow your business or a property for long-term investment, OZ Developers’ project on Main Ferozepur Road, Lahore offers a range of modern, high-quality commercial units with excellent amenities and future growth potential.

By following the steps outlined in this guide, from market research to legal due diligence and financial planning, you can make a smart and informed decision when purchasing commercial property in 2024.