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Myre captial Preleased Commercial Property for Sale Preleased Property Sale

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Myrecapital
Myre captial Preleased Commercial Property for Sale Preleased Property Sale

Preleased property  may be a  commercial real estate property that is an income-generating asset, with tenants  in situ . Preleased properties offer a stable and predictable return on investment. Leases with MNC/A-grade tenants are usually for an extended duration of 5-15 years. Tenants also prefer longer-term leases  because it  enables them to amortize the fit-out and furniture expenses over a longer tenure. Further security is provided via a registered lease agreement that outlines the rental schedule and terms, thereby providing predictability for a landlord with  reference to  the rental cash flow.

The concept of vacancy risk  may be a  reality. The vacancy risk  are often  evaluated and minimized but cannot be completely mitigated as this i2 an inherent risk of the underlying asset class. Some strategies of minimizing vacancy exposure are:

The stickiness of the tenant

Tenants that have invested significant Capex  within the  premises are relatively more sticky to the premises. Often tenants incur fit-out and furniture expenses of Rs. 2000-3000 per  sq ft .  to form  the investment economically feasible, tenants usually  like better to  amortize the cost over a longer-tenured lease term and are hence less likely to vacate. Over time,  the situation  also becomes a sticky factor for the tenant. Employees, Clients, and customers tend to correlate a location with the brand of the tenant.


Quality & Stability of the tenant

MNC and A-grade tenants are often a  safer  choice when choosing a tenant. Such tenants seldom violate the agreed-upon lease terms and are more likely  to take a position  in capital up-gradation of the property during their tenancy period.


Micro-market fundamentals


It is pertinent to understand the dynamics of the demographics and fundamentals of the micro-market. Factors  like  upcoming supply, absorption rate,  percentage , and tenancy profile help provide insight into the long-term stability and performance.

Building quality & intrinsic asset value


A-grade buildings tend to perform relatively better with time. These buildings are often  the well-liked  option for MNC tenants and tend to be isolated from the real estate demand cycle.

Fractional ownership platforms provide retail investors access to a curated selection of opportunities that are identified after evaluating and optimizing all such risks and mitigation strategies. Retail investors are  ready to  enjoy the benefits of the Preleased property whilst end-to-end management and expertise are provided by the fractional ownership platform.



Visit us at:https://myrecapital.com/

Call us :+91 80 41227676


21/30 Prestige Craig House, 4th Floor,Mahatma Gandhi Rd, Craig Park Layout,Bengaluru, Karnataka -560001.

Email us at:[email protected]


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