The Power is Now

5 things you need to know about repurposing real estate in Placer County

Homeownership Program

Author: John Brophy

Simply put, the remaking of a building to fit some other purpose other than why it was built, is a beautiful innovation. For one, it is a more economic and sustainable option to meet novel housing needs, compared to constructing new buildings. Besides, although nerve-racking, it gives one an edge over the competition. And with the changing landscape of the real estate, it just might be one of the best things to consider to make the most of investments.

Realtors have noted that the South California real estate stock is presently experiencing an annual drop due to the COVID-19 pandemic. Interestingly, it has been identified that this state has pulled the attention of people to technology and entertainment, providing real estate investors in South California an opportunity to repurpose and benefit from the unique growth capacity of the economic base.

Things you Should Consider Before Repurposing Real Estate Property

Given that recent happenings – such as the Covid-19 pandemic – are leading to shifts in demand, repurposing your property might be your top consideration to maximize profit. Nonetheless, no matter how good or necessary an idea seems, you must examine it thoroughly to avoid taking reckless risks. That is because not every great thing will work for you.

So, here are five essential factors you should consider before embarking on repurposing projects:

  • The economic viability of the project
  • Environmental sustainability considerations
  • Proper collaboration with the public sector
  • Location, demand, and local infrastructure
  • Incorporating Flexibility

Let’s look at these in detail.

  • The Economic Viability of the Project

The chances a repurposing proposal has to thrive is an essential factor you must pay proper attention to. You may even have to hire an experienced realtor to check out the feasibility of the project – and whether it is something you can sell or rent at a competitive and profitable rate. Because if it’s not going to be viable on the market, what’s the point?

  • Environmental Sustainability Considerations

To guarantee a future-proofed atmosphere for a repurposing program, you must be willing to contemplate sustainability. As the world is generally going greener, you must have a fool-proof plan to implement sustainability best practices within your project design.

  • Proper Collaboration With the Public Sector

For a successful repurposing of real estate, a project must have the local administration’s support. Ensure that you have any required permits and are willing to meet any local regulations as you consider whether or not to repurpose.

  • Location, Demand, and Local Infrastructure

What will work in Orange, for instance, might not work in San Bernardino. You have to analyze the location of your property, and how that would affect demand. Also check out available local infrastructure: will it prove helpful if you were to embark on repurposing? These issues are germane to determine if a repurposing project would succeed – and how well it would.

  • Incorporating Sufficient Flexibility

The long-term accomplishment of repurposing projects should be easily adaptable to subsequent changes in the market. If you choose to invest in one, you must continue to think creatively and flexibly, to ensure that the project adapts to a frequently fast-changing market force.

Conclusion

Repurposing real estate is now becoming a trend, heightened by the impact of the recent pandemic on consumer behavior. Nonetheless, and like all other trends, it is essential that you adequately evaluate what it would mean for you before jumping on the boat.

 

References

https://www.mashvisor.com/blog/tips-investing-california-housing-market/

https://placetech.net/analysis/repurposing-real-estate-opportunities-challenges/

https://rand.org/blog/2020/07/declining-commercial-real-estate-demand-may-provide.html

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