Maarten de Jeu has spent the majority of his career consulting Fortune 100 companies and enterprising individuals looking to diversify their investments or take their business to international markets. Whether he’s handling long-term or short-term investments, he has an informed opinion of what it takes to get a return worth the effort, which is why he thinks more investors ought to consider commercial real estate as an investment worth their time.
Commercial real estate is becoming more of an accessible investment opportunity in recent years, changing the kinds of people who can invest. But this is still considered an expensive venture, one that may require several investors to pool their resources together in order to acquire a property. But unlike residential properties, commercial real estate, like offices, apartment buildings, industrial parks, manufacturing sites, etc, have benefits that can bring investors together.
De Jeu notes that some of the advantages of commercial real estate are that it’s something of a steady investment. Stock market volatility isn’t really much of a factor to consider. Property values are instead impacted by things like its condition and the value of surrounding property. But investors can jump right in without turning to a financial advisor, meaning there are no management fees or any other to consider when eyeing a property.
In order to keep commercial property values, or to restore one to such condition, de Jeu notes that it will take the capital. Luckily, this is an area where there is some protection from inflation, keeping costs down. While stocks may or may not appreciate in value over time, their value will be impacted by market inflation. That can be hard to predict, but commercial property investors by; ass this because they appreciate faster than stocks, at a lower rate of risk, over the same stretch of time. Investors also hold the option to boost rent at fixed intervals, passing off the cost of maintenance and renovation on to tenants rather than investors taking on the risk.
No matter the type of investment, de Jeu says that investors will always have a need to keep cash on hand. While the long-term investment of increased property value may be the ultimate goal. rent can be a source of revenue to cover the costs of owning property. But an even bigger advantage may come in the form of tax deductions and incentives. Depreciation can be deducted from the overall value when filing by accounting for maintenance and repairs. Learn more: https://www.bizjournals.com/chicago/potmsearch/detail/submission/6469621/Maarten_De_Jeu
For Maarten de Jeu, the benefits that come with owning commercial property makes it an ideal fit for investors looking to diversify their portfolio while accessing returns on their investment in the short term and the long term.
About Maarten de Jeu:
Maarten de Jeu holds an MBA from the University of Oxford, which he used to get his start at Aviva PLC as their Director of Strategy & Corporate Development. Working with wealthy individuals and large corporations, helping them break ground in new markets, provided de Jeu with the experience and skill to found the SVM Business Advisory, helping smaller businesses establish a sure international footing from their headquarters in Chicago.