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Considerations for Selecting a Commercial Property as a Critical Factor in Project Initiation

Choosing a commercial property, whether you are establishing a new facility or expanding your existing business, is a critical decision that can significantly impact your business's success across various aspects, including well-being, visibility, accessibility, collaboration opportunities, and economic stability. Therefore, renting a commercial property for your business is a matter to be taken seriously, considering factors beyond just the size, price, and intended purpose of the property. This article will delve into the important parameters for finding a commercial property for rent that best suits your organization.


Location of the Property

Regarding location, it is essential to distinguish between businesses that aim to attract a wide and varied customer base to maximize their revenue potential, such as the Azrieli Mall in central Tel Aviv, which attracts tens of thousands of people daily and creates economic stability for both the towers and the small businesses within, and high-tech companies requiring office complexes with specific characteristics. A prime example of the latter is the Ra’anana High-Tech Park, surrounded by popular and large city neighborhoods, providing excellent access to the business and convenient commuting options. This location also offers the option to live nearby in high-quality housing.


Property Size

The size of the property you rent is another crucial aspect to consider. The size must serve the organization and its employees while also allowing for potential expansion. Overcrowded spaces can lead to less efficient work, whereas excessively large spaces can result in unnecessary expenses. Therefore, creating an accurate functional program, as we do at DVIEWSION, becomes highly relevant.


Nature of Business Activity

The nature of the business activity is a decisive factor. For example, retail businesses require and prefer properties with high visibility and exposure to attract numerous visitors and generate customer traffic. Manufacturers, on the other hand, need ample warehouse space. Companies based on office work will look for offices in large office complexes equipped with advanced infrastructure and technology.


Accessibility to the Property

Ease of access to the property, whether it is a large commercial property requiring customer traffic or office workers who commute during peak hours, is always a critical consideration. Public transportation and accessible parking are essential for businesses relying on a large customer base or numerous employees. Proximity to public transport can attract more customers and make commuting easier for employees. Parking, a significant modern-day issue, can deter people from visiting certain places. Therefore, a business, depending on its field, should offer adequate parking spaces for visitors or employees to alleviate access difficulties, especially if it is not centrally located.


Lease Duration

The appropriate lease duration is a strategic decision heavily dependent on the business's stability and growth forecasts. Short-term leases, such as those in Tel Aviv, offer flexibility but come with the risk of steep rental price increases. Long-term leases, however, provide stability and some cost savings but limit the business's flexibility in cases of expansion or relocation.


Conclusion

Selecting the right property for rent requires evaluating several factors that influence the property's suitability for the business's goals and needs. Smart choices allow for long-term flexibility, while poor decisions can lead to substantial financial losses.

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