10 reasons why now is the right time to sell your office & industrial commercial premises in WorcestershireMarch 2021
1. Capital values for freehold industrial and office premises have increased during the pandemic.
2. There is STILL a shortage of supply of commercial premises as very few new offices have been built in the County since 2008. Most industrial accommodation consists of larger warehouse properties on business parks.
3. There is (and has been for several years) a large pent-up demand from SME businesses who want to buy their own premises rather than renting.
4. Interest rates are still at record low levels and banks and lending institutions actively want to lend to well-managed owner occupier businesses.
5. The Bank of England is forecasting an economic bounce back as we come out of full lockdown along the lines of the mini-boom we saw last year after the first lockdown.
6.When you go through a period of uncertainty (as we have just done over the last 12 months) investors tend to shun the unpredictability associated with the stock market and move towards investing in bricks and mortar which is seen as being far more tangible and stable.
7. If your commercial property appeals to owner-occupiers AND investors it results in competition which drives prices up.
8. In the wake of Covid, Corporation tax will increase and income tax will be frozen. Those looking to offset these new tax rises will purchase commercial premises using tax free vehicles such as Self Invested Pension Schemes (SIPP) and Self-Administered Pension Schemes (SASS).
9. This article relates to office and industrial premises but now could be a fantastic time to buy retail premises. Prices for commercial retail premises are at an all time low.
10. Don’t put the sale of your office and industrial premises off too long, as many companies that have survived the last year will unfortunately not survive much longer. We anticipate these companies will offload their rented premises. Supply goes up and prices fall – you have been warned!Return to News