Commercial Real Estate Opportunities in Texas

14 Aug 2023

Commercial Real Estate Opportunities Worth Pursuing in Texas Right Now

With economic obstacles rife across the country, investors are playing it safe and avoiding making big decisions or moving on big projects. However, for investors wanting to diversify their portfolio or invest in the Texas commercial real estate market, there are still plenty of opportunities for people looking in the right places. With the right approach and some outside-the-box thinking, investors will be able to uncover affordable investment opportunities.

For starters, industrial property is still an area of commercial real estate worth investigating. In particular, flex warehouses continue to offer enticing returns. A combination of storage and office space, flex warehouses remain in demand for organizations still working out complex supply chain issues, as well as companies who need to store their inventory while also providing a customer-facing space to deliver their services.

Commercial Properties

Similarly, self-storage facilities continue to outperform other commercial property investment categories. When located in the right areas, self-storage facilities can provide consistent returns even during recessions and downturns.

Another commercial property commonly overlooked by investors is cell towers. Cell towers can offer an ongoing source of income, and with cell service constantly expanding in rural areas, opportunities arise across Texas more often than you’d think.

Investment Real Estate

Another outside-the-box investment opportunity worth considering is parking lots. A relatively low-maintenance commercial property investment, parking lots offer great flexibility. For instance, parking lot owners can implement dynamic pricing to meet current demand and increase their return on investment. Additionally, owners can choose to operate their parking lot themselves or lease it to a third party who will pay rent and run day-to-day operations.

Residential

Moreover, of course, with housing in demand, there are plenty of residential opportunities to be discovered in the commercial property space. For example, as the number of adults aged 65 years and older continues to increase in the country thanks to the baby boomer generation, the need for senior living facilities is also increasing. Additionally, with times as tough as they are, people are looking for more affordable living options and many are opting for smaller properties within multifamily complexes, or mobile homes. Accordingly, this is creating opportunities for commercial real estate investors to consider multifamily properties as well as mobile home parks.

Funding

Lastly, raw Texas land loans provides another opportunity with the potential to deliver significant returns. Although it is often difficult to obtain funding from a traditional lender or bank, hard money commercial property lenders can help investors purchase undeveloped land and utilize it to its full potential.

By searching for opportunities within these commonly overlooked commercial property categories, investors have the chance to grow and diversify their portfolio with Texas hard money lenders. a strategy that can effectively safeguard investors against market volatility.