The dictionary definition of commercial property is a building that is intended for business use. Any building that generates an income from rent is also considered a commercial property.

The list of properties that would be considered commercial is very long. However, the main ones are offices, shops, medical centres, individual retail outlets, factories and storage units.

Commercial property is not necessarily single use, some buildings combine residential and commercial or business use. For example, many apartment blocks have retail units at street level, but above that are apartments for residential use.

If you want to you can buy commercial property outright or you can lease it from an agency. Should you decide to buy a commercial property it is vital that you do your research. Using a chartered surveyor for this is a good idea. They cannot do it all for you, but can give you a lot of detail about the state of the building and the land.

As well as checking out the land and the building itself you need to look into the building’s current tenants. You need to fully understand the terms of the current lease and make sure that the existing tenants are financially secure. In most cases you are taking these people on at the same time you take on the building.

If you can check recent insurance claims made against the building. This can highlight potential issues with the fabric of the building. It is also important because previous claims can affect how much you will have to pay to insure the building.

Regardless of what the building is being used for now it is important not to assume that activity is taking place legally. If it is being used as a factory check it is zoned as such, because if it is not you could end up with a useless building and possibly be fined for carrying out an illegal activity.

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