Investing in Mississippi commercial real estate may help you increase your income because you then have the option of leasing the commercial space to businesses or individuals looking to operate a business out of it. If you decide to invest in office buildings, in particular, you may find that these buildings typically fall into one of three categories: Class A, Class B or Class C office buildings.
According to Bankrate, different sorts of office buildings offer different amenities, benefits and drawbacks. Understanding the key differences that exist among Class A, B and C office buildings should help you make an informed decision about where to invest your money.
Class A office buildings
Essentially the crème de la crème of office buildings, Class A buildings offer the finest amenities of the bunch. Generally modern and attractive, these buildings often exist in urban, high-traffic locations that are easy to access and offer many of the modern luxuries today’s business owners desire.
Class B office buildings
Though they may not be as modern or eye-catching as Class A spaces, Class B office buildings strike a balance between affordability and quality. These buildings may have “good bones,” but they may also lack some of the modern accouterments of Class A office buildings.
Class C office buildings
It tends to cost less to invest in Class C office buildings than it does Class A or B structures. This is because these buildings may be in less desirable locations than Class A and B buildings. They may also lack some of the modern amenities of interest to today’s businesses, or have outdated exteriors or interiors.
Ultimately, the type of office building you invest in helps determine how much you may charge tenants – and the quality of the tenants you may get.