When inspecting industrial land or warehouse property to assess its potential for sale, lease or development, it is wise to do so with a clear set of facts and research.
An industrial property checklist for this purpose is beneficial and will help identify you as a professional real estate agent or broker to work with the listing. Use the ideas in this article to create your checklist for listing.
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Checklists for Industrial Property
Some critical issues surrounding industrial properties are detailed below to help you on this listing path.
You can create an inventory or schedule of issues to investigate with all your warehouse or showroom listings.
1. Site Levels
Industrial land is desirable if it is level to a significant degree. Slopes of greater than 5% create problems of usage for the occupant.
Sloping industrial land will, therefore, must be levelled off and that will incur a cost of development.
2. Access to Raw Materials
Industrial tenants and businesses need access to the raw materials related to their business.
Given the raw materials available, your regional knowledge will help you understand the types of tenants best suited to the location.
3. Access to Labour Force
Industrial tenants need labour as part of their activities; therefore, the proximity to towns and transport is essential for the labour force supply. Think about the travelling time and convenience of transportation for workers to the property.
4. Local Services and Amenities
Industrial tenants need a variety of utilities, such as kerbed bitumen road access, water, power (3-phase), waste disposal, sewer, and gas, for the satisfactory function of their business.
It is essential to understand what utilities are available in the region and how necessary they are for industrial tenants.
Naturally, different businesses will require utilities and services in different ways. Your assessment of the industrial precinct is therefore essential.
5. Stability of the Land
Industrial land is to be stable firstly for the requirements of construction and secondly for the movement of vehicles.
It is usually necessary and practical to undertake a soil report across the gross allotment of vacant land when considering its application as an industrial site.
6. Hardstand Space
The use and requirement of ‘hard stand’ areas on the property are advantageous for motor vehicles, trucks, and other aspects of industrial storage.
Local councils require the complete containment of the industrial business operation on the property.
This means an industrial site incorporating a balance of sound quality fixed improvements such as sheds, offices, car parking, and ample ‘hard stand’ areas is highly desirable.
7. Fencing and Security
The industrial site needs to be well-fenced and secured.
Since the industrial property areas are usually remote to the local community, considerations need to be made regarding securing the site.
8. Site Risks
When looking at industrial land it pays to look at the greater precinct for potential risks. This can be land slippage, flooding, cyclones, earthquakes, and environmental pollution.
Consider the potential risk frequency of natural events, and identify how the property could address the issue. There are experts in this field who can help you.
9. Access to the Site
Access to the site: road access to the industrial premises must be convenient and practical. It is vital that delivery vehicles can easily access the site at all times.
Main road locations with high volumes of passing traffic can, therefore, offer logistical problems for transport and deliveries to the industrial premises.
It is better to have an industrial property on a secondary road adjacent to the main traffic corridors.
10. Car Parking and Turnaround Space
The land internal to the property needs enough room for transport vehicles to easily make deliveries and then turn around to exit the property.
The more effectively this can be achieved, the less downtime is incurred by the business occupant in delivering essential raw materials and shipping products from the property.
Consider the entire balance of the industrial property’s storage, loading, and car parking capabilities.
11. Synergy with Nearby Properties
It is essential that the industrial property use is compatible with the surrounding precinct. This includes both the neighbouring businesses and the greater community.
Any mismatch of property occupants to the precinct will frustrate operations and, therefore, rental or property prices achieved from the occupation.
12. Car Parking Staff and Customers
Ample onsite car parking is essential to industrial property design and function. The business’s staff and customers should be able to park on the property rather than on the street.
An industrial property with significant and secure onsite parking will be much more desirable from a leasing and selling perspective.
Many industrial tenants require some form of corporate signage to identify their property and activities to customers.
It is a matter of checking the signage rules and regulations for property in the relative industrial area. Your local council or building authority is the best place to start.
14. Communications Systems
Whilst communications can be regarded as a standard utility for many tenants and businesses, it is also a singularly important element of business function.
Some industrial parks and precincts have access to world-class communications facilities such as digital data, comprehensive mobile phone facilities, and fast internet links.
Further aspects of communication can include radio and or communication towers for links to remote sites, communication hubs, or data exchanges.
15. Transport Corridors
Transport facilities: every town and city will have major transport facilities such as ports, railheads, and airports.
The proximity of the industrial area to these locations is vital for industrial business functionality, deliveries, and exports.
What is the best transport method for goods to the transport facilities, and how easy is it to achieve 24/7?
16. Environmental Impact
While some comments have been made earlier regarding risk on the property, the environmental impact also stands alone as a critical issue in the location and usage of the industrial property.
Some tenants will generate elements of pollution, noise, and visual impact. Consider these facts with every potential new tenancy and set the appropriate restrictions in any lease occupancy document.
17. Property Improvements
Improvements: the industrial property will feature industrial type improvements such as warehouses, sheds, offices, car parks, hardstand areas, and open space.
These must be assessed for age, deterioration, practicality, serviceability, and future usage.
Given that transport is a critical part of industrial property usage, the dimensions and dynamics of all the improvements should also be assessed in balance with the activities of modern transport trucks and vehicles.
18. Buffer Zones
Industrial precincts and properties are increasingly buffered from impacting the greater surrounding community.
These buffers are typically incorporating vegetation and road design elements. They are regarded as a positive aspect of industrial property and precinct function.
Key Issues for Industrial
So, these are some of the key issues relating to the characteristics of industrial property.
You can incorporate them into your listing and property assessment process.
You can also add to the list relative other elements of your local precinct that impact your industrial property sales and leasing activities.