What are the key operational or financial red flags to look for when evaluating industrial real estate tied to a business acquisition (e.g., manufacturing or logistics firms)?
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by a searcher
1yr ago
from University of San Francisco
in Lafayette, CA, USA
Luke Ty for the tag..... Before you go to far down the rabbit hole you may consider a couple of topics. Deferred Maintenance or Poor Building Condition: Structural problems, outdated electrical or HVAC systems
Non-Compliance with Zoning or Permits: Properties not in compliance with local zoning, building codes,
Environmental Concerns: Issues such as contamination, improper waste disposal
Tenant or Lease Disputes: Existing tenants with unfavorable lease terms
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by a professional
1yr ago
from Pontificia Universidad Católica Madre y Maestra (PUCMM)
in Santo Domingo, Dominican Republic
Adding to the previous comments, if the building is up to date with the before mentioned you can also use this as a potential for a better deal. Take out the building from the deal and lease it out instead of buying it. This will also keep cashflow on the the seller who will also keep an interest in the company doing well