If You’re looking to Lease Land rather than Buy, We’ve got You Covered
In obtaining a piece of land for commercial development, it’s probably more common to buy than to lease. But just like leasing an office or retail space for your business expansion, sometimes leasing commercial land to develop can make good sense from a business point of view for both landlord and tenant.
Henkle Schueler & Associates, our commercial realty brokerage arm, has a diverse portfolio of well-located land holdings of all varieties for clients looking to grow their business’ capacity or reach. Available parcels include farmland, empty acreage, lots in commercial business parks, as well as predeveloped lots in industrial business parks; we curate the most well-located, prime parcels of commercial land. And if we don’t already have what you’re looking for? Our commercial real estate brokers and sales agents will find it for you.
Why Land Leases Carry Some Advantages over an Outright Purchase
A land lease, or a ground lease as it is sometimes called, usually runs for a fairly long period of time – 50 years or more is not uncommon. Often, the tenant will construct a new building on the leased property, and under the lease terms they may then own the new facility, which may or may not revert to the landowner at the conclusion of the lease.
Sometimes, leasing a piece of commercial acreage in a prime location is a good idea for the leasing party simply because the land is not for sale, and renting it is the only way to get access to the site for purposes of development. These sites are typically part of business parks, which are large collections of land holdings that the owner typically sells or leases pieces of, creating a concentrated area of commercial industry. Some restaurant chains, for example, make extensive use of land leases for this reason.
The other aspect to leasing land that is not often the case with land purchases are that these lots are likely to have already been developed; infrastructure and access have already been dealt with. This makes the process of tailoring the land to your needs simpler, especially if an existing facility on the land lease is able to be retrofitted and you can avoid constructing an entirely new building. As well, with a commercial land lease, the owner is often involved in costs for any retrofitting and construction, which can serve to make the process less expensive.
How Land Leases Increase Capital for Both Tenant & Landlord
Leasing land rather than purchasing it also typically requires less up-front cash, which leaves the party developing the site with more funds to devote to other business needs. And with the right leasing terms, the landowner will sometimes put up the land as collateral to secure the loan to finance the construction, essentially becoming a partner in the business venture.
Landowners like ground leases because they allow them to retain ownership of the land while generating a steady income from rent. Tenants like land leases because it’s less up-front capital, and it results in much quicker access to the new land than does the purchasing process. We have a wide array of land for lease, both in our many business parks and as stand-alone sites for land development.
We’ve Collected an Extensive Portfolio of Prime Sites
From the time of our founding in 1935 as a farm brokerage, the Schueler Group has assembled some of the most desirable parcels of commercial land in the Cincinnati-Dayton and Northern Kentucky region, many of them located along major interstates, including 3,000 acres in more than 20 business parks.
If you’re looking to lease a well-located site on which to build a new business facility, we have plenty for you to choose from. We also have the expertise to assist you with working out the most favorable leasing terms, planning and obtaining financing for your project, and even designing and construction your new commercial facility for you.
Learn more about our business parks and contact one of our commercial real estate agents to discuss why we’re your best choice for leasing land in our region. Whether your business is in the commercial, industrial or residential market, we’ve got you covered.