Flex Space
Flex space refers to a versatile type of commercial property that combines elements of industrial warehouse and office space, giving investors the opportunity to profit from a rapidly expanding sector without having to develop the property themselves or become a limited partner in a syndication.
Why Invest in Flex Space?
High Demand and Growth Potential
- Flex space demand is growing as businesses prioritize flexible and scalable real estate solutions. As of 2024, the market for flex space has grown by 13% annually, driven by e-commerce, small businesses, and startups needing versatile and cost-effective solutions.
Lower Costs and Greater ROI
- With fewer buildout requirements compared to traditional office or retail spaces, flex spaces often come with lower construction and maintenance costs. This efficiency translates to higher returns on investment and quicker break-even points.
Versatility for Multiple Tenants
- Flex spaces appeal to a diverse tenant base, including logistics, creative studios, healthcare, and tech startups. This versatility reduces vacancy risk and provides stable rental income.
Resilient in Economic Downturns
- Flex spaces have shown resilience during economic slowdowns due to their lower overhead and broader market appeal. Industries that thrive in lean times, like e-commerce and healthcare, are ideal flex-space tenants.
Key Features of Flex Space
Adaptable and Scalable
- Flex spaces can easily transition between different uses, making them ideal for tenants looking to expand or contract without costly modifications.
Affordable Leasing Options
- The adaptable nature and lower buildout costs of flex spaces allow for more competitive lease rates, attracting a broader pool of tenants and creating stable income streams.
Triple- Net Leases (NNN)
- Triple-net (NNN) leases offer several advantages for investors. They provide a steady and predictable income stream since tenants are responsible for property taxes, insurance, and maintenance costs, reducing the landlord's expenses and management responsibilities. Additionally, NNN leases often attract long-term, stable tenants, which can lead to lower vacancy rates and more consistent returns on investment.
Prime Locations and Accessibility
- Flex spaces are often located in areas with strong transport links and access to city centers or industrial zones, making them attractive to businesses in need of efficient logistics.
Flex Space Success Stories
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Flex Space Webinar
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Investment Opportunities with Peak Flex Spaces
- We will present you with a curated selection of properties or projects, highlighting their projected returns, strategic location advantages, and the demographics of the target tenants.
- We will implement a comprehensive strategy to source, manage, and optimize flexible space properties, ensuring that your investments yield maximum returns.
- We will position your investments to not only deliver strong returns but also to capitalize on the increasing demand for flexible spaces, ensuring you are well-placed for future market growth.
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Potential Tenants
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Trades
- Automotive aftermarket (coatings, conversions, add ons..etc)
- Builders, Architects, Land Surveyors & Engineers
- Electrician, HVAC, Roofing,
- E-commerce Gig workers
- Light manufacturing and distribution -
Sports
- Club Teams (Basketball, Volleyball, Soccer etc)
- Indoor pickle ball courts
- Sports Training
- Crossfit Gyms
- Dance Companies
Small Business Demand
See how Flex Space is a hot spot for small businesses
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There are 33.2 million small businesses in America, which account for over 99.9% of all U.S. businesses. Of the 33.2 million small businesses, over 32.6 million businesses employ 0-20 employees.
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From 1995-2021 small businesses are credited with just under two-thirds of new jobs created.
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Small businesses have added just under 13 million jobs in the last 25 years.
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Small businesses are the backbone of the U.S. economy and will continue to grow with the economy.
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According to Dallas Culture Map, DFW ranks as a top 10 metro to start a small business.