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Retail property is considered commercial real estate (as opposed to ‘residential real estate’). Commercial real estate includes buildings or land intended to generate profit; retail is simply a sub-category of commercial real estate.
Retail property is a commercially zoned property used solely for business purposes, the actual selling of the product, rather than its manufacture — retail stores, malls, shopping centers and shops are all under the retail umbrella.
Companies selling goods and services operate businesses, such as furniture and clothing stores, in retail locations. Convenience goods are sold at businesses close to customers' homes, such as food and drug stores. Service businesses and offices sell things such as insurance, car repairs and beauty salons.
Generally, businesses that occupy commercial real estate often lease the space. An investor usually owns the building and collects rent from each business that operates there.
Retail properties are used exclusively to market and sell consumer goods and services. Retail stores include everything from supermarkets, dry-cleaners, cafes, florists, pharmacies, bike shops, fashion stores and so on.
They range from shopping centres, individual stores and pop-up shops to ‘large format’ stores like Bunnings.
So, while corporate retail giants can daunt small-timers with their tremendous range, the sky’s the limit for inexperienced retail investors. New or inexperienced retail investors typically start with fuel, fast food or convenience centres,
Retail property types are properties used to market and sell consumer goods and services. This category includes single tenant retail buildings, small neighbourhood shopping centres, larger centers with grocery store anchor tenants, and "power centres" with large anchor stores.
Types of Retail Properties
Retail Commercial Use means a commercial business that provides goods and / or services directly to the consumer, where such goods are available for either immediate purchase and removal from the premise by the purchaser; or for immediate consumption within the premise by the purchaser.