Investing in commercial real estate, especially flexible office spaces, comes with lowered risk and higher income potential. Commercial properties generally have an annual return between 6 and 12%, but real estate investors are looking for ways to increase that return. To get the highest rate of return on investment, developers and investors need to start with the right building materials.
Which building materials offer the fastest construction for flexible office spaces?
The most significant advantage of choosing prefabricated steel for an office building is fast construction. Developers and real estate investors can save up to 50% on time and material costs over the life of the project when choosing steel over organic materials. It’s all about the off-site design process. The exact specifications for the office building are entered into a design program to create a customized building kit. That kit is delivered to the construction site, ready to be erected with simple bolt-together construction. The process provides builders with the best of both worlds – quick and easy installation at the lowest possible cost.
But don’t let the term “prefabricated” fool you. Steel buildings are fully customizable, even after the initial construction process. Office spaces can be easily changed or extended based on future needs, affording renters the ability to expand without having to rebuild or move. Investors can look forward to office space renters who stay in the building for more extended periods, saving time and money that would be spent advertising for new tenants. Customizations that could make your office space more attractive to potential renters include:
- A range of color options
- Skylights and wall lights
- Flexible partitions for shared office spaces
- Customized facades including stucco, wood siding, masonry, and more
- Clear span construction for open concept workspaces
- Personalized entrances and waiting areas for greeting clients and guests
- Noise-reducing wall panels
What does this mean for the ROI of my office building?
Prefabricated steel buildings of all uses have a significantly lower initial cash requirement than alternative materials. With lowered initial costs and flexible interiors, builders are free to move ahead with construction. The result is a faster and often higher return on investment.
But the cash benefits don’t simply stop after the initial investment and return. The benefits of steel have an extended effect throughout the life of the building, all thanks to long term efficiency and sustainability. Throughout the life of your investment, you can look forward to:
- Minimized waste. Steel is the ideal building material for short term investments for one unique reason – it’s 100% recyclable. Deconstructing and recycling your steel building is quick and cost-effective because the materials can be recycled endlessly. Recycled steel is actually a necessary component of a new steel building.
- Strength and durability. Steel structures are designed with strength in mind. The sturdy building materials can withstand a variety of harsh weather conditions, including heavy snowfall, earthquakes, hurricane-force winds, and more. Steel is also the only building material that is totally resistant to pests. Unlike organic building materials, no pest can snack on your steel office building. You can look forward to long term savings on costly chemical treatments and material replacement.
- Reduced maintenance and costs. Unlike other building materials, a steel office building won’t experience any shifting or loosening over time. Maintaining a tight seal with durable, sturdy materials is the first step in reducing energy expenditure. Another way to reduce costs and increase sustainability is to choose eco-friendly insulation, a key component in any steel office building.