Commercial Real Estate is real estate where the principal purpose is to do business. This includes Retail, Office, Industrial, Medical, and Land.
Where some people might get confused is that Multifamily & Health Care Facilities are also considered Commercial Real Estate, even though people live there. In both Multifamily and Health Care Facilities, the principal purpose of the owner is to run a business of collecting rents and in return they provide services that would not otherwise be available in a single-family residential property such as maintenance, providing common area amenities and more.
Land is also considered Commercial Real Estate when its purpose is to store materials, vehicles, or equipment associated with a business.
In Commercial Real Estate it is important to understand that these properties are how their owners make their livelihood. Often people assume that if someone can afford to own a Commercial Property, they are able to give some or all of it to charity or significantly discount it for a good tenant. While that can happen, most Commercial Property Owners have quite significant costs and liabilities with owning Commercial properties which severely limits their ability to offer them for free or below market.
For more information on Commercial Real Estate Properties, contact Stark Accelerators at 775-825-4400 in Reno or 208-722-2400 in Boise.