Commercial real estate in Tennessee can be a profitable investment venture. Commercial real estate properties have the potential to make considerably more income than an outgoing mortgage loan expense. However, before investing in Tennessee commercial property for sale, conduct a commercial property analysis.

If you've never invested in Tennessee office space or commercial land in Tennessee, obtain the services of real estate brokers in TN. Commercial realtors in Tennessee have the knowledge and experience to guide you through the intricacies of a successful commercial real estate transaction.

Before purchasing Tennessee real estate commercial properties, research the following:

1. Where is the best location to invest in properties for commercial rental in Tennessee?

2. What type of Tennessee commercial property is a good fit for your finances, time, skills and investment portfolio?

3. What is the estimated income generated from a Tennessee commercial property lease?

Action Steps
The best contacts and resources to help you get it done

Purchase commercial real estate in Tennessee located in areas of economic growth

The saying 'location, location, location' is key for commercial real estate property investments. Where the commercial real estate property is located will directly affect the property's income. Research the commercial real estate property's accessibility to major roads, area crime statistics, neighborhood appearance and local economic growth.

I recommend: Grubb & Ellis|Centennial publishes a comprehensive Nashville market survey report. Search for commercial real estate in Tennessee by city or county at Tennessee Real Estate Multi List. The Batson Group offers commercial properties in Knoxville, Mt. Juliet and Clarksville, TN.

Invest in commercial real estate properties in Tennessee that best match your available resources

There are several different types of commercial real estate Tennessee property types: hospitality, industrial, office, retail, multi-family and land. When determining what type of commercial real estate property to purchase, evaluate your available resources, including your skills, abilities, time and finances. You may have the money to purchase a large retail property, but don't have the time to work with dozens of tenants; so analyze your resources before making a commercial real estate lease Tennessee commitment.

I recommend: Browse free Tennessee commercial real estate listings by property category at Belz Enterprises, a Memphis-based commercial real estate firm. EIKO International, Inc. offers property management services for investors who are not interested in managing tenants. Let the commercial realtors do the work for you; fill out a buyer information request at Realty Executive Smoky Mountains and a real estate representative will contact you with property details.

Buy commercial real estate for lease Tennessee that will generate a high return on investment

Carefully calculate the amount of money you project to make each month from your commercial properties Tennessee investment. Keep in mind that in order to turn a profit, you will need to make more from tenants than your monthly mortgage payment. Analyze other nearby commercial real estate properties and contact local commercial real estate developers in Tennessee to determine their success in renting space and retaining tenants.

I recommend: Commercial Industrial Real Estate Associates, based in Nashville, provides a wide range of consulting services, including lease abstraction analysis, management tracking reports, portfolio review and owned and leased asset analysis. Find Tennessee commercial properties in your price range using the Sperry Van Ness | R.M. Moore Real Estate Company search function, which includes minimum and maximum price fields.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  Commercial real estate in Tennessee is expensive, especially considering the large down payment usually required, closing costs and insurance fees. Don't forget to plan for property taxes, which can add thousands of dollars to your expenses depending on the city and state tax codes. Research local tax incentives and estimate your annual taxes before purchasing a Tennessee commercial property.
• •  To maximize your profits, purchase foreclosed commercial properties in TN, which are usually sold below market price. Before making foreclosed commercial real estate transactions in TN, make sure the properties are structurally sound and well maintained.