This document discusses different types of commercial properties and their subcategories. It describes industrial properties like manufacturing facilities, warehouses, and flex properties. Retail properties are discussed, including malls, shopping centers, and pad sites. Office properties include standard office spaces, office buildings, and medical/dental office suites. Other property types covered are multi-dwelling units, luxury homes/estates, hotels/lodging, and restaurants. Each property type has distinct features related to its intended commercial use.
2. A commercial property is defined as a
building, structures and improvements
located on a parcel of commercial real
estate intended to generate a profit.
Touring different properties and
considering their use can help prepare you
to accurately price and develop a general
procedure for your commercial property
inspections.
3. THE DIFFERENT TYPES OF COMMERCIAL
PROPERTIES AND THEIR SUBCATEGORIES.
Industrial: These buildings typically
have considerable square footage, loading
docks for trucks, several HVAC units, and
several points of electrical distribution, an
easily accessible flat roof, and other
installed features.
4. Manufacturing Facility: This type of
building is used to produce goods or
materials and is categorized as either
a heavy manufacturing facility or
a light assembly facility.
A heavy manufacturing facility tends to
make heavy-duty products and has large
machinery and equipment. These facilities
are typically renovated and customized
for specific owners and tenants.
5. A light assembly facility tends to be
smaller and simpler than a heavy
manufacturing facility.
These facilities also produce smaller
goods.
6. Warehouse: This type of building is used for
general storage and distribution of goods.
The layout tends to be an open space, where
the ceilings open to the roof’s interior structure.
This helps to accommodate high freestanding
or installed rack systems.
Some warehouse spaces may be dedicated
truck terminals, where goods are loaded from
one truck to another, and have less square
footage for storage space.
7. Flex: A building that combines more than one
use in a single facility is considered a flex
commercial property.
An example is an office space combined with
and a light manufacturing facility. The
identifying factor for this type of property is
the amount of office space.
There is always more office space in flex
buildings than in other types of industrial
properties.
8. Retail: This type of property is where
goods and/or services are sold to
customers.
An inspection of this kind of property
could entail evaluating just one unit or an
entire retail complex.
Most retail spaces have ample parking
areas and bordering sidewalks, while
some may have escalators, elevators, and
covered parking structures.
9. SUBCATEGORIES INCLUDE
Mall: This type of retail space is
an enclosed shopping center that
has many different outlets that
may include department stores,
food courts, and movie theaters.
10. Shopping Center: This is type of property is
also commonly referred to as a shopping plaza
or strip mall and can vary greatly in size and
tenant type.
These are open storefronts that have several
units under one roof or within one complex.
Shopping centers are often home to big-box
stores (like Home Depot and Target), along
with other smaller shops, restaurants, and
convenience stores.
11. Pad Site: A pad site is a standalone
building, commonly in front or within
a shopping center, and its business
types often include fast food chains,
banks, and restaurants.
12. Office: A commercial office is a property
that is used by business professionals,
medical and dental professionals, tech
firms, and more.
A standard office space is divided into
separate rooms, and typically includes
restrooms, and a possibly a residential-
style kitchen.
13. Office Building: This type of space is
designed for higher occupancy and can
range in size from a single-story building
to a high-rise.
It can contain several electrical and
HVAC systems, and if the building has
multiple levels, then at least one staircase,
and perhaps also an elevator.
14. Medical or Dental Office Suite: This is generally a
larger space that’s divided into several smaller spaces,
including offices and exam or treatment rooms.
There are typically also a waiting room, restroom(s),
HVAC unit and controls, electrical system, and
multiple plumbing basins or points of plumbing
distribution.
The size and complexity of such spaces can vary
greatly, and it is also common for these spaces to
contain customized and permanently installed
structures.
15. Multi-Dwelling Unit (MDU): This includes
residential properties such as apartment
buildings and townhomes.
The interior of each individual dwelling unit
may be familiar to a home inspector, but a
commercial inspection for this type of property
will require you to inspect more than one
dwelling unit and possibly its common areas,
which may include a communal pool and spa,
and parking structure.
16. Luxury Home or Estate: Although a
luxury home or estate is still technically a
residential property, these properties may
be designed and built with commercial
applications or contain commercial
features, such as substantial square
footage, multiple HVAC systems, and
commercial kitchen equipment.
17. Hotel and Lodging: Similar to a multi-
dwelling unit, this type of property will
entail several individual residential units.
The biggest difference is that lodging is
designed for temporary occupancy, and
will usually include a large commercial
kitchen or on-site restaurant.
18. Restaurant: This type of property will
vary in size and complexity but will
generally include a large kitchen with
commercial appliances, a storage room or
pantry, a refrigerated space (such as a
walk-in refrigerator and/or freezer), an
office, the dining area, and public
restrooms.