What Is Commercial Real Estate?
Commercial real estate is property used primarily for business or investment purposes. That can include warehouses, offices, retail centers, medical buildings, multifamily communities, and land.
Read the free lesson ↗Based on The Commercial Real Estate Investment Playbook by Michael Bruni, CFA®. Learn the essentials free, then explore the deeper analytical curriculum planned for serious investors.
Start learning free ↗Commercial real estate is property used primarily for business or investment purposes. That can include warehouses, offices, retail centers, medical buildings, multifamily communities, and land.
Read the free lesson ↗Commercial real estate is not reserved exclusively for people who already have substantial wealth. Some investors begin with a smaller property, responsible financing, a business they operate, or a carefully structured partnership.
Read the free lesson ↗Different property types behave differently. A warehouse, medical office, and retail strip center may all generate rent, but the risks behind that rent are not the same.
Read the free lesson ↗Net operating income (NOI) is the property’s income after ordinary operating expenses, but before debt service and income taxes. A capitalization rate relates NOI to property value.
Read the free lesson ↗Before touring properties, identify what you want an investment to accomplish and how much risk you can actually afford.
Read the free lesson ↗Clarify your objectives, available capital, preferred property types, risk limits, and first-deal criteria.
Open worksheet ↗Explore NOI, cap rate, debt service, cash-on-cash return, and DSCR with editable assumptions.
Open calculator ↗