You’ve decided it’s time to sell your medical office building. After all, you’re ready to move on, and this is a great opportunity. But before you call a medical office broker or start looking for buyers, there are five things you need to consider first. Here, they are:
Location
After your medical office has been on the market for 60 days and it still isn’t sold, you may be ready to throw in the towel. But before you do, it’s essential to explore why nobody is interested. For example, you might not be in an area where there is demand for medical space.
Medical offices are usually located near hospitals and major roads or highways because they are more accessible. And if you’re not located near one of those main areas, chances are your building will not be in demand. However, medical office brokers will find a way to sell your office.
Price
It’s important to ensure you are getting full market value for your office. As such, you must establish an accurate asking price, which may not be evident on its own. Therefore, you should consult with an experienced medical office broker or appraiser to determine the true value of your property and set a reasonable asking price.
Remember, there are no guarantees that your building will sell simply because it is listed for sale. An office broker will help you explore alternative options if you cannot find suitable buyers for your building after waiting for months.
Taxes
Selling your medical office is an exciting and complicated process. Several factors need to be considered, including taxes. This is where it can get tricky.
Should you collect what is owed? How much should you withhold for taxes? It would help if you balanced these concerns and more about how withholding affects your bottom line.
The answer may depend on who is buying your office and whether they are willing to take over any unpaid tax liabilities. Here, a medical office broker may come in handy, as they have answers to all your sale-related concerns.
Tenant Improvements
Tenant improvements are costly, and you may not have budgeted for them in your sale. However, if you’re getting an offer significantly less than market value because of tenant improvements, then it’s worth considering accepting that offer. It’s hard to predict what will happen with interest rates in the future, but it might be worth making some profit now when they’re historically low.
It’s one of your more substantial expenses. Unfortunately, these improvements often need to be replaced when you buy or sell another office, but they will last if they are done correctly.
Parking
You may not realize how important parking is until you are looking for space for potential buyers. Parking can make or break a deal. So, before you list your medical office, make sure it has ample, convenient parking with covered and secure spaces. Keep in mind that prospective buyers may need accessible and spacious parking spaces.
Any realtor can sell a property, but closing the deal requires negotiating the complex sales and marketing process. To make sure there are no surprises halfway through the process, taking the help of an expert medical office broker is a wise decision.
