Evaluate Your Utah Commercial Property
My team and I take great pride in offering commercial sellers a 100% free property analysis.
We want to make this process easy for you. As a seller in Weber or Davis County, understanding the correct valuation of your property is essential. It can make all the difference in having your commercial building on the market for one month versus an entire year or longer.
Key valuation terms
Naturally, you want to sell your commercial space quickly. In addition to your free valuation, we believe it is important to go over the following appraisal and valuation terms:
This is the estimated value—or selling price—of a commercial property’s current or future income. Our team uses proven valuation methods to calculate this number.
- Price per square foot
This is the asking price of your commercial property divided by the square footage. It does not take into account key factors like gross rental income or deferred maintenance.
- Debt service
This is the repayment of both principal and interest on the mortgage you took out to purchase your commercial property. The figure expresses an annual amount.
- Net operating income (NOI)
NOI subtracts standard operating expenses (with the exception of debt service) from the annual income you earn from your commercial property.
- Cap rate
The cap rate is an essential figure. It helps forecast the potential rate of return on a commercial property. To calculate your cap rate, divide the NOI by the property value.
- Gross rental income
This is the total income your commercial property generates. It may include rent payments or payments for value-add items like parking, storage, and more.
How to value a commercial property
Experts use three main methods to evaluate a commercial property. These techniques include the:
- Cost approach
This approach considers the value of the land the property sits on, and construction costs if you were to rebuild. It also takes into account depreciation and required maintenance.
- Income approach
This approach is popular for income-generating properties. It considers how much an owner could earn from the property (minus any expenses).
- Sales comparison approach
This approach relies on commercial transaction data from recent sales in the area. This is a proven way to guide sellers in Weber and Davis counties.
Factors that determine your property value
A number of factors affect the value of commercial assets. To valuate a property based on the local real estate market, my team and I consider factors such as:
- Lot size
- Building size
- Square footage
- Type of construction
- Commercial real estate sector
I know Ogden, Utah and the surrounding area well. My team and I have completed countless commercial transactions over the years and will evaluate your property accordingly. We always consider specialized improvements in our valuation and will make pricing adjustments as needed based on these renovations.
Know what your commercial property is worth
It’s no secret that different sellers appraise commercial real estate differently. We’ll blend art (our understanding of the local market) and science (data and calculations) to give you an in-depth look at how much your commercial property is worth.
The truth is that in selling commercial real estate, you need to be clear on the value of your property. A reminder that value is the reasonable price your property could sell for in an open, competitive market.
So access your complimentary valuation today. Sellers who are looking to list their commercial real estate must be clear on the property’s actual worth. Accessing a professional valuation, and working with an expert real estate team, can help you avoid the common pitfalls involved in selling commercial real estate.
It would be my pleasure to help make your commercial real estate venture a success. Based in Ogden, Utah, I know the local market well and have expertise in all areas of commercial real estate: retail, industrial, office, and more.
If you’d like us to do a free market value report you can complete the form here – https://whatsmypropertyworth.pro
Or you can contact me today by calling or emailing me with the information below.