what kind of zoning is better for invest for the future? now could use for the warehouse.

am looking for the warehouse now, but don't know anything about the zoning, which zoning it will have more chance to raise up the value of the property?
In Buying Property - Asked by qianyi l. - Nov 16, 2010
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Answer(s)

Nadina C.
Broker/Agent
Phoenix, AZ

The first consideration with zoning is that it permits you to lease to, or own and operate, the kind of business that plans to use the property. The value of the zoning is its legality or appropriateness for the use it is intended and vice versa.
In addition to appropriate zoning for the use, the value of the property also is related to its desirability to the kind of business which will use the property or, if you are an owner-user, the business which will subsequently lease or buy the property from you when you no longer operate your business at that location. For instance, with a warehouse, is there sufficient ingress and egress for the type of vehicle which will be delivering materials to and from the business? Is there sufficient power for the business? Are the ceilings high enough? Does the zoning permit warehouse storage but also permit light or heavy manufacturing? Is there sufficient parking for the employees and customers? How close is the property to main city arterials and freeways? If there is manufacturing, is there sufficient water? Is there sufficient office space? What kind of cooling is available? Lighting? Does the business need for part of the warehouse to be a showroom?
No matter the use, a commercial property's value increases with the amount of profit an investor is able to derive from leasing it to a tenant whose business is appropriate for the zoning: tenant rent-(expenses +mortgage payment) = cash flow or profit. Or how much profit an owner is able to derive from selling it to another. Or a combination of both. Lease and hold for a period of time, then sell.

Nov 18, 2010
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Gerald T.
Broker/Agent
Edmonton, AB

I would like to expand a bit on what Nadina mentioned about proximity to arterials and freeways. Another couple questions you should be asking with respect to future value increases are; a) where are the City's future plans for expansion, and b) what are current development trends.
To answer the first question, most municipalities have Master Development Plans and Master Transportation Plans (etc.) for free download.
To answer the second takes a lot of research. One trend that may benefit you is that many older warehouse districts are ripe for re-development across North America (once the economy recovers sufficiently). Maybe consider an older warehouse district, the more central the better.
Of course, take into account the numerous user features you require (see Nadian's earlier answer for a good list of questions).

Jan 5, 2011
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