NYC rental properties offer a number of benefits to local commercial real estate investors. The property market is more accessible than ever, drawing in new investors with the ambition and know how to generate revenue from all types of real estate.
More Units Mean More Revenue
Space has always been a premium in NYC. While investors can generate a lot of revenue based on square footage alone, having multiple units to rent is where the real magic happens. One rental property with multiple units or floors can generate more revenue than buying and selling commercial real estate. Additionally, multiple tenants create a financial buffer. If one resident or business relocates, there is still revenue coming in from other tenants until a replacement is found.
The Option to Sell
Investors do not have to hold onto NYC rental properties for life. Sometimes an offer comes along from a buyer that’s impossible to refuse. The revenue from the sale along with a reduction in property management headaches might make trimming down the property portfolio worthwhile. Besides, the revenue from the sale could always be used to purchase other NYC rental properties.
Incentives for NYC Rental Properties
It is advantageous for commercial real estate investors to look at city and state incentives for purchasing NYC rental properties. Rental properties, depending on their designated purpose, bring in new residents and businesses. This translates to more jobs, people who are putting money into the local economy, and ultimately more taxable revenue. Local and state governments often have programs for commercial real estate investors to make purchasing easier.
Financing for Rental Properties in NY
There are a number of financing options available to New York real estate investors. From SBA and bridge loans to CMBS, state income, mezzanine, and construction financing. The secret is finding a lender who is familiar with NYC rental properties and the local commercial real estate markets. After all, what works in Manhattan may be completely different in Queens or Brooklyn. The right lender will be able to expedite your financing request and work with you to create a solution tailored to your needs.
Express Capital Financing specializing in solutions for commercial real estate, and we are located in Brooklyn, NY. Whether you are trying to finance your first NY rental property or you’re a seasoned pro, we can help. Contact our offices today to learn more.