Alaska is known the world over as the Land of the Midnight Sun. It has gained a reputation for being cold and desolate and, while true, Alaska has a lot more to offer than subzero temperatures and snow.
If you are considering investing in the commercial property industry in Alaska, you should always do your research and find a good Alaskan commercial real estate broker that can help you find the commercial properties you are looking for that are within your investment budget.
There are some special considerations when buying commercial buildings in Alaska. These include making sure:
1. It’s suitable for the local climate: Alaska has pleasant summer and very cold winter. It is important that the commercial building provides enough heat when needed. Warm air should start to blow into rooms within a few minutes after your turn on the thermostat. A hot summer day is rare in Alaska, but it may reach 80 degrees Fahrenheit. During a particularly warm day, there should be a condensing unit that can remove the heat from inside the building. Plumbing can be susceptible to freezing and cold weather, make sure the piping will withstand the extremely cold temperature. Commercial buildings have a big front door and plenty of windows, so each should be properly insulated against cold draft. This contributes significantly to the reduced business energy bills.
2. It’s in the right location: Alaska is sparsely populated compared to many other states in the U.S., making location important for any type of business. If your commercial buildings are located too far from population centers, it may cost customers money and time to reach you.
3. Good condition: Look beyond paint. It should be a building that will last for decades with minimal maintenance. It can be expensive to repair a commercial building, especially if you find a major structural fault.
4. It has the right facilities: Whether it is in an office block, in shopping center or in the suburbs, choose the right premise for your business operation. If your business is selling retail products, consider properties with high speed Internet connection that can handle dozens of transactions at once. Consider having a warehouse in the commercial building, so you can immediately send products to customers.
5. It supports future growth: If you want your business to grow, consider the amount of space you’ll need for future endeavors. A good rule of thumb is to provide at least 10 square meters of office space per person. This can be higher if you have a warehouse or production facility in the commercial building. There should be enough space for future expansion, because a crowded workplace will cause poor productivity.
For more information on Alaskan commercial real estate, contact SSS Commercial Real Estate today.
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