Rental business what you need to know. What is a rental business and what is its payback. Calculation of possible profit, payback period and profitability level

Real estate allows you to make good money, because many businessmen are engaged in the rental business, renting out both apartments and houses, as well as premises and buildings for the placement of shops, warehouses and other commercial facilities. Also in demand for rent are vehicles, and equipment, most often customers are enterprises, which promises high business profitability.

However, before deciding whether to engage in this type of entrepreneurial activity, you should weigh the pros and cons, since this type of business has its drawbacks and advantages.

Advantages of the rental business

Renting housing and commercial real estate is very profitable, since not every entrepreneur has the financial ability to immediately buy a building for an office, so he has to rent it. Real estate for business placement is of interest not only to small entrepreneurs, but also to representatives of the middle sector, who simply have no need and it is commercially unprofitable to buy a large amount of real estate and it is easier to rent it. The closer to the center the property is located, the higher the rent will be.

Rented housing is very popular among visitors and business travelers, and the need to rent an apartment often arises among young families. The cost of rent depends on the size of the apartment, its location, number of floors and social infrastructure. The payback of a business is usually achieved in seven years, because even if an entrepreneur bought a property with a mortgage, after seven years he will be able to fully repay the debt to the bank and continue to work only for himself.

The advantage of the rental business is also the fact that you can rent a large number of different objects. You can rent not only residential premises, but vehicles, machinery, equipment and other objects. The main thing is to take your place in the rental services market and then the profit will not keep you waiting.

The advantages of the rental business are that it very reliable and stable, since real estate will always be in price and there will always be people who will be ready to rent apartments and premises. The same goes for car and equipment rentals.

This type of business has high liquidity indicators, that is, in any case, it will always be possible to sell property and return all the funds spent.

The rental business is passive types of income, that is, the landlord essentially does not need to do anything after the contract is signed, the property passes to the tenant and under the contract he is responsible for its safety, besides, he can be obliged to insure the object.

Minuses

It is possible to earn big money on commercial and residential real estate only in large cities, where shops and warehouses open daily, students, tourists and business travelers arrive in the city. So, if you want to open a rental agency for rental apartments, you should immediately assess the profitability of the business, that is, whether rental housing in the city will be in demand. If it's big or resort town, then of course it makes sense to participate in this segment of the market, but if it is a provincial city, then you can only deal with commercial real estate, and then, provided that the city is actively developing entrepreneurial activity and need buildings for offices and shops.

In smaller towns, there is a risk that business is simply will be unprofitable and will not pay off. There is high competition in the real estate rental market, therefore, starting to conduct this business, you should be prepared for the fact that you will have to fight for customers, coming up with new ways to market the service to the market. So you can use advertising, all kinds of promotions and discounts, also, when it comes to renting real estate, you can use the services of a real estate agency, whose employees will take over the search for clients. However, again, such cooperation will cost the entrepreneur very dearly, since realtors require payment for their services from 30% of the rent.

Rental of vehicles and equipment should only be undertaken in cities that have transport and construction companies. The downside of the rental business is also that the real estate market very high level of fraud. Therefore, it is necessary to open a business only with trusted partners, and to carry out relations with tenants only on the basis of an agreement. There must be a lawyer in the state who can check the documentation.

To start a rental business, need big investments, that is, it will not work to open such a business from scratch. First you need to allocate funds for the purchase or construction of real estate, the purchase of equipment or vehicles. However, before that, you need to allocate money for the consultation of experienced realtors who will be able to advise in which area of the city real estate is in demand the most, so as not to remain bankrupt after.

A particularly large amount of money is spent on residential real estate, because no one will rent an apartment with bare walls. It is necessary to carry out cosmetic repairs, buy a minimum of some furniture and appliances. It is especially expensive to rent apartments by the day, since housing must be ready for a comfortable stay, it must have the necessary furniture and appliances, and you will also need to hire a housekeeper who will clean the apartment, change linen and keep it clean.

Also, do not miss the need for repairs in the leased premises and apartments, these costs are borne by the landlord, although cosmetic repairs can also be assigned to the tenant. This also applies to equipment and transport, since they also tend to break down and their repair will also cost a lot of money.

Ready rental business from D5invest. How it works?

When I made my first store purchase deal in 2005, it was scary. First of all, for the fact that I, an experienced residential real estate agent, did not have a clear idea how to sell or buy a ready-made rental business. Since then, more than 12 years have passed and we have helped to buy or sell the store more than 90 times. Today it is obvious to us that the sales market ready business- the same understandable market as all niches in real estate. Dozens of non-residential premises with tenants are bought and sold in Russia every day. We know how to provide this process with maximum reliability, transparency, get decent conditions and neutralize all the risks of capital loss.

Basically, the service for buying a ready-made business for our client works like this:

the client acquires non-residential premises (square meters) in the ownership in his name or in his company
the client concludes a long-term lease agreement with a grocery store tenant from the TOP-10 tenants in Russia
receives a constantly increasing rent once a month for 10 years.

This is a simple and understandable scheme that has been working in Russia and around the world since time immemorial. Do you have a room where a business wants to operate. This business is willing to pay you rent for using your facility. Your task is to get the most favorable ratio of funds invested in the purchase and the amount of rent that you receive monthly. Russian real estate market experts believe that the optimal ratio is about 1 to 100. That is, the landlord receives at least 1% of those monthly Money invested in the purchase of premises. In 8.5 years (100 months) you fully return your investment, while the object remains your property.

From this moment, important nuances begin:

a) what room to buy?

b) which tenant to choose?

c) how not to suffer from "pitfalls" in the lease agreement?

d) how to pay taxes and how much?

d) How do you reschedule?

e) what package of documents will I need?

g) What is my risk protection?

Why do we choose DIXY, Magnit, Pyaterochka companies for rental business?

We have witnessed two systemic crises in Russia. We have seen how people easily refuse restaurants, expensive shopping, entertainment. In 2008, it became obvious to us that only three areas would work stably in Russia, which we conditionally call: “eat”, “treat”, “die”. People will always be treated in the hospital, they will always buy bread and milk from the convenience store, they will always be ready to pay for the funeral. This means that such tenants will always earn.

I witnessed how the owners of premises in "passing places" 2-3 times a year easily and quickly (according to them) re-lease their object to a new tenant, because the old one went bankrupt. And these “passing places” have become an uninteresting topic for me. The owners of premises in "passing places" are sure that they have found the best solution of the possible. It sounds like this: “I have liquid premises in a passing place, if this tenant moves out, I will find a replacement in a week.”

Indeed, at first glance, it is easier to find a tenant on Vladimirsky Prospekt in St. Petersburg than on Murinskaya Road, but this is conditional and here's why:

The price of a square meter in the "passing place" of St. Petersburg is 250 000-500 000 rub. behind 1 square meter. Business that can pay 2500-5000 there are almost no rubles per 1 square meter per month, such tenants can be counted on the fingers. That is, your chances of getting the ratio 1 to 100 decrease sharply. Add here 1-3 months of rent that you lose on a new tenant (each new business will ask for benefits for repairs, buildup, etc.). Let's add here your participation in shows, negotiations, discussions, races and congresses. As a result, the profitability of your rental business drops sharply, the time of your participation increases.

Premises in "passing places" offer real yield at 5-7% per annum. Beautiful, liquid, the historical center of the city, quickly rented out ... But you didn’t decide to buy a rental business for the sake of these values, did you? You wanted a yield of 11% per annum, not to participate in the processes in any way, to have stable payments? If your thoughts are about a stable income, reliability and freedom, then the ideal answer for you will be a ready-made rental business with a grocery store, and not a room in a "passing place".

What are the benefits of grocery chains?

Our tenants are key grocery stores in Russia. Dixy, Pyaterochka, Magnit - Public companies, their shares are traded on stock exchanges, the companies are transparent, reporting is open, all payments are "white", the business processes of these companies have been worked out more than 10 thousand times. They independently and at their own expense make repairs in your premises, investing from 8 million rubles, solve all maintenance issues, pay for everything on their own public Utilities, solve emergency issues on accidents or leaks. Bear full liability for your premises. Your task is very simple - once a month to issue an invoice to receive a non-cash payment and once a quarter to carry out a reconciliation act. To do this, you do not even have to live in Russia. The rest of the time you only need to receive money.

Real estate objects for a grocery store are large premises with an area of 350 square meters. As a rule, the purchase price per square meter of such premises is no more than 180,000 rubles, and the probability of receiving a rent of 1,800 rubles per month for such a square meter is much higher. As a rule, all the properties we offer are BETTER, investing in them will give you a full return on your funds in less than 7 years.

Dixy, Magnit and Pyaterochka chains are very careful in choosing premises. The percentage of chain store closures is less than 0.1% (1 out of 1,000 stores) . That is, they almost never close. Each object is subjected to a thorough check and evaluation. More than 20 specialists of the distribution network check everything - from documents and technical condition to forecasts for the economic model. Commercial network will not invest 8 million rubles in the opening of a new store if he does not get confidence at every stage: the store will work stably and will earn money, in this location the store is very necessary for buyers, the premises are in order, there are no problems. When buying a ready-made rental business with a Pyaterochka tenant, you can be sure that if Pyaterochka has signed a long-term lease agreement, the premises are absolutely clean both legally and technically. The network lease agreement provides for all situations. Working conditions are clear from the very beginning and you will never receive any unexpected news. In each standard and non-standard situation, it is clear who is responsible for what and who should do what. From fire to flooding neighbors.

Economics of a ready-made rental business from D5INVEST:

This way of investing your capital is always better ANYONE bank deposit (both in terms of profitability and reliability. For example, your property will never be licensed, like a bank). You get a decent rent under a 10-year contract, there is a planned increase in the rental rate for each year. You have official payments with the lowest tax - 6% . This is much more profitable than renting out apartments, more profitable and more reliable than investing in construction under the DDU. Remember that the stores of the three largest grocery chains in the Russian Federation are interchangeable (they have similar formats, areas, product matrix, business processes). And if the DIXY network ever ceases to exist, then Magnit and Pyaterochka will first of all want to open in established places.

The market for the sale of a ready-made rental business does not differ from the secondary real estate market. Buyers, sellers, tenants, agents. But the success of each event depends on the sum of these terms. Every month we sell a ready-made rental business in different cities of Russia, perhaps this week, in your city. Call us to receive free consultation expert.

Sincerely, Andrey Semko, General Director of LLC " D5invest»

- a great tool for obtaining a stable passive income with low volatility. Its essence lies in the fact that an entrepreneur buys commercial real estate and then rents it out for a long-term lease. It can be like a whole shopping complex, and a small area for a boutique or office on the first floors of a residential building. The second option is the most popular. Among realtors, such commercial real estate is called street retail (street retail). It is the most demanded today among tenants in developing countries, including Russia.

Pricing Features

Even in deep economic and market crises, the amount of rent changes slightly, similar to the cost of new and second-hand housing. In whatever direction the prices for food, fuel, precious metals and currencies change, the price of real estate is always growing. In the long run, the dividends of the landlord businessman will only grow. Political factors also have little effect on the average size rent for about 20 years.

Many entrepreneurs invest in buying commercial real estate for subsequent rental and earn more than their predecessors - the former owners of the premises. Minor cosmetic repairs modern equipment, connection to high-speed Internet - and now the class "B" room becomes a class "A" office.

Yield and payback

rental business- the choice of consistent and patient people who do not seek to get easy money here and now. Profitability of well-chosen commercial premises for rent. as a rule, is 10.5-12.5% per annum. In case of a negative scenario of the development of events, the owner of office or retail space will receive at least 6-7% per annum, in case of a positive one - 14-15%.

Payback investment is 7-12 years, depending on the selected object. But, nevertheless, there is a historical guarantee of 100% return on investment, unlike investments in the following assets:

securities;
movable assets;
partnership business;
art objects;

This type of business is in many ways even more reliable than buying gold and other precious metals, since the value of real estate in Russia is practically not tied to the dollar. The rental business is suitable for those who prefer long-term investments to speculative games with a vague ending.

27.11.2015

Rental business in Moscow - pros and cons

Is it possible today to invest money in such a way as to receive a decent profit without unnecessary problems and freely manage your own time? Investing in real estate, especially commercial real estate, has become the rational answer to this question for thousands of entrepreneurs. always "lives an active life", regardless of the financial situation in the country.

According to CEO consulting company RENTAVED ESTATE Ruslana Dry , e Another significant advantage of this type of investment is the ability to enter the market with a relatively modest amount: many investors start by buying a small property for rent and build up their assets gradually.

Prospects for the rental business

As in any other activity, the commercial space rental market has its own laws and subtleties that must be taken into account when weighing all pros and cons of a rental business. Everything, perhaps, is not as simple as described in the rainbow articles of realtors, but with a balanced approach, it is more than realistic.

In general, the picture looks like this. You purchase a commercial premises or an apartment with its subsequent transfer to non-residential premises, find a tenant and receive a regular fee from him for the use of your property. With the advantageous conclusion of a long-term lease, your worries are limited to control over the flow of funds.

The benefits are obvious:

the possibility of obtaining a stable passive profit without a particularly large start-up capital;

minimum labor investment;

with proper planning, the risk of losing money is reduced to almost zero;

ever-increasing demand for property for rent;

almost 100% liquidity.

Difficulties you may face in the rental business

As elsewhere, there are some "pitfalls" here. In essence, all the difficulties come down to one question: the approach to choosing a suitable object should be as competent as possible. After all, there is only one threat to the rental business - it is downtime of space in the absence of tenants. That is why, from the very beginning, every detail must be taken into account: cost, location, condition of the object, the situation on the market, the patency of the place, etc.

Sometimes an investor gets a chance to buy a ready-made and profitable rental business that already has permanent tenants, and sometimes it makes more sense to consider a “raw” option that requires renovation or redevelopment. When looking for real estate, you will come across a pattern: when buying a cheap property, you will have to invest more in its arrangement, and vice versa.

But the possibilities here are enormous. As the practice of "Renaissance Investments" shows, nondescript at first glance, the floor basement, the prospects of which inexperienced investors could not discern, can, with a competent approach, become a real gold mine.

And then what?

Good liquidity is another significant plus in favor of investing in real estate. If you urgently need funds, it is profitable to sell rental business in Moscow won't be difficult.

First, real estate prices in the capital have a steady upward trend.

Secondly, well-established systems with existing tenants disperse on the market instantly. Investors appreciate the opportunity to make quick profits without downtime at the start and are willing to pay for it - often much more than the amount you invested.

However, a well-organized rental business is so unpretentious in terms of “labor costs” that many entrepreneurs decide to keep it for themselves, even when they go abroad or change their occupation.

If you are just taking your first steps in the world of real estate, it would be a smart move to enlist the help of investment professionals. . Just don't make a common mistake and don't contact ordinary realtors: after all, you are not buying an apartment for your family, you are acquiring a business.

Your goal is to find a trusted consulting agency that specializes specifically in the rental business. Such organizations have their own database of profitable offers, are well aware of the intricacies of the industry, carefully calculate the profitability of your investments and protect you from obviously losing options.

Investing in commercial real estate will be profitable if a number of conditions are met. Among them is the choice of reliable tenants, a good location and a legally correct contract.

How to open a rental business: choose a direction and look for a room

To find a suitable space, first decide who will be your tenant:

The shops
Companies that need an office
Organizations looking for a place to store products

Option #1: street retail

Street retail is commercial premises located on the first floors of buildings. They have a separate entrance and their own showcases. Usually, for these purposes, several apartments are bought out and combined. When choosing such a room, experts recommend paying attention to the following points:

Location on the right side of the main traffic
Ground floor or basement
There should not be other empty areas nearby
Possibility of redevelopment

This is a sought after option for commercial real estate. Most often, it is rented by small shops or private companies operating in the service sector.

If you choose the right place and assign an adequate price, finding tenants is quite easy. It is very important not to make a mistake here if you plan to conclude a contract for a long time.

Option number 2: premises for an office or shop

If you do not own an apartment, pay attention to office and retail premises located in business and shopping malls. You can buy a share from the owner and rent out a small room for rent. Demand for rental property in the city center or near the metro is usually high.

However, keep in mind that there are some difficulties here:

It is your responsibility to regulate the relationship between the tenant and the owner of the center
All changes and restrictions that may be made to the charter of the center may affect the value of the share
You will need to agree with the owner of the center the possibility of parking cars

Option number 3: storage space

Providing storage space to small companies and enterprises is a good option income. When choosing a room, pay attention that it has a convenient entrance, communications are connected and ventilation systems are installed. For some types of goods, air conditioners will also be needed to maintain a certain temperature.

Remember that leasing a warehouse is commercial activity requiring IP registration. You can choose a simplified taxation system. As for the code OKVED, suitable 70.20.2- Renting out your own non-residential real estate.

There are 4 types of warehouses, which differ in the size of the area and the conditions for storing goods:

Class A. Premises with smooth concrete floors with anti-dust coating. Ceilings cannot be lower than 13 meters. Complies with European standards: installation required modern systems fire fighting and burglary protection.
Class B. Useful area is 1'000-5'000 m².
Class C. These are capital buildings or insulated hangars. The floor can be asphalt, concrete or tile. Ceilings - not less than 3.5 meters.
Class D. "Cold" hangar with a basement, a basement on ground floor in a residential building, utility rooms and garages.

Choose the option that suits you in terms of investment size and is in demand in the selected area of the city or region.

How to manage relationships with tenants

The lease agreement specifies the location of the property: address, area, business registration data, lease term, rental rate and payment method.

According to the current Russian legislation, you can increase the rent no more than once a year. The maximum level of the rate increase and the time for which you will warn the tenant about this must be specified in the contract.

The amount of the rental fee can be indicated in rubles, dollars or euros. However, the calculation is made only in rubles. If the rental rate is pegged to a foreign currency, the contract must indicate that payment is made in rubles at the rate of the Central Bank on the day of payment.

Important point: if the tenant repairs the premises handed over to him, he is recognized as a “necessary improvement”.

This means that if such changes are not prohibited by the contract, then the tenant can demand reimbursement of expenses or their inclusion in the rent, regardless of the consent of the owner of the premises.

Carefully work out the contract, it is best to involve a professional lawyer. Specify the obligations of the tenant and penalties for their violation. For example, if the tenant delays payment or damages your property.

If a real estate lease agreement is concluded for more than 364 days, it must be registered with the territorial division of the FRS (Rosregistration). When signing a contract for an indefinite period, state registration is not required.

According to the law, the period for registering a contract is no more than 30 days if you have provided a complete package of documents.

After signing the acceptance certificate between the owner of the premises and the tenant, the premises are considered leased. Be sure to indicate in detail the condition of the property in this document in order to avoid disputes in case of property damage. Together with the premises, a technical passport is transferred to the facility.

Advantages and disadvantages of the rental business

This is the only type of business where we can talk about passive income. The main advantage of such a business is that by choosing suitable tenants and signing long-term contracts, you can make a profit without any active actions.

At the same time, it is necessary to understand that income will depend on the successful activities of tenants. You will need to supervise their work and ensure that the premises are kept in good condition.

The average payback time for investments is 7 years, provided that you can quickly find reliable tenants.

The main thing here is to specify in advance all the nuances of the activity and prescribe the conditions for the transfer of assets in the contract of sale. This will reduce the risks.

We have catalogs where you can find current offers in your city:

Rental business offers in Moscow
Options for existing facilities for St. Petersburg
Ready rental business