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All Warehouse Finder Articles & Links for Tag "Commercial Real Estate Terminology"

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  • library_books Dock Leveler - Picture with Definition
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    Posted by Steve Watts,
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    Close-up image of dock-high dock wells with shrouds, bumpers, wheel guides and dock levelers - thumbnail.In a ‘perfect world,’ one would be able to back a trailer up to a 4’ dock-high dock, or a 2’ semi-dock, open the doors and start loading or unloading. Of course, we don’t live in a perfect world (with or without quotes), so you may need a dock-leveler…

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  • library_books Common Area Maintenance (CAM) - Commercial Lease Terminology - Part 2
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    Posted by Eric Hughes,
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    The Cogs of Industrial Leasing ThumbnailIn Commercial Real Estate leases, Common Area Maintenance, or CAM, refers to activities related to areas and items shared between tenants in a multi-tenant building or complex…

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  • library_books Expense Caps - Commercial Lease Terminology - Part 1
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    Posted by Eric Hughes,
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    The Cogs of Industrial Leasing ThumbnailIn Commercial Real Estate Leases, an Expense Cap typically refers to expenses that are passed along from the landlord to the tenant for Common Area Maintenance of a building…

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  • library_books Modified Gross - Types of Commercial Leases - Part 5
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    Posted by Eric Hughes,
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    The Cogs of Industrial Leasing ThumbnailIn Commercial Real Estate, a Modified Industrial Lease involves modifications to the Industrial Gross Lease. The modifications can vary, but the tenant often pays for certain items contributing to a Multi-Tenant building’s Common Area Maintenance…

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  • library_books Net Lease - Types of Commercial Leases - Part 4
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    Posted by Eric Hughes, Steve Watts,
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    The Cogs of Industrial Leasing ThumbnailIn Commercial Real Estate, there tends to be confusion regarding the difference between a Gross and a Net Lease - and variations of each…

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  • library_books Side Load Dock Well - Picture with Definition
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    Posted by Eric Hughes,
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    front view image of side loading truck well added to a grade level warehouse facility | Warehouse FinderA side load dock well allows for dock-high loading access to containers in a truck court with very limited depth and is feasible to add to an existing grade-level building…

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  • library_books Paved or Stabilized Yard - Picture with Definition
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    Posted by Eric Hughes, Steve Watts,
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    paved or stabilized yard for inventory storage thumbnail

    Paved or stabilized yards have many uses. They can be used to store inventory - i.e. pipe and other items that can withstand the elements - as shown in the attached photo. They can even be used to display inventory, as in the case of processed stone used for countertops. They can also serve as a place to park trucks and trailers - empty and loaded. With proper security, gating and fencing, they can be a reasonably secure place for these and many other items.

    So, why not just buy some land and place these items onto it? The purpose of land stabilization is to prevent heavy materials stored on or moving across that land from sinking into the ground. Roads are a primary form of stabilization. Vehicle tire contact points concentrate the vehicle’s weight and represent an excellent example of the need for and the challenges of stabilization. A broad range of situations drives the need for stabilization. In this article, we’ll discuss:

    • Several types of stabilization
    • Issues with stabilizing yards
    • Stabilization use cases
    • Problems with using stabilized yards

    For the record, we are not discussing stabilizing your back yard here. We are discussing industrial grade stabilization - probably an acre or much more.

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  • library_books Heavy Power - Picture with Definition
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    Posted by Eric Hughes,
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    warehouse heavy electrical 3 phase thumbnail

    General warehousing does not typically require electrical service beyond that needed to operate an office area with HVAC and general warehouse lighting and light-duty electrical plugs…

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  • library_books Rail Access - Picture with Definition
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    Posted by Eric Hughes,
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    warehouse with rail access/siding thumbnail

    Having access to rail siding (doors on rail cars are generally on the side - hence “rail siding” - see photo), which is actually serviced (meaning a rail provider will use the track…

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  • library_books Clear Height - Picture with Definition
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    Posted by Eric Hughes,
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    High Clear for Maximizing Inventory Storage Volume ThumbnailWarehouse operations often involve high ceilings under which to conduct various types of business. Clear height is defined as the maximum height of objects a building can accommodate. Buildings sometimes have different areas that have different clear heights…

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  • library_books Land Acquisition Guide
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    Posted by Eric Hughes, on December 4, 2019 and Updated on July 1, 2022
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    Locating and acquiring the perfect tract of land to develop can be quite challenging. An experienced developer and its real estate broker can conduct initial due diligence to help avoid costly issues. However, more in-depth inspections and research are necessary before finalizing a purchase…

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  • library_books Dock Well - Picture with Definition
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    Posted by Steve Watts,
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    Warehouse with Dock Well Loading | Warehouse Finder

    A dock well is commonly used to provide dock-high truck loading for a grade-level warehouse. This photo illustrates one of the major advantages for dock wells - the straightforward ability to have both dock-high loading/unloading and grade level entry to the building…

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  • library_books Commercial Warehouse for Lease - Property Categories
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    Posted by Eric Hughes, on January 28, 2012 and Updated on November 7, 2019
    Article Synopsis

    Commercial warehouse” as a label is broadly used to describe a number of types of commercial space typically offered for lease or rent.  For purposes of this article, we will use Five (5) main categories.

    General Office/Warehouse

    Typically grade level, this type of building is suited to businesses that provide a product and need to receive materials/items and ship out materials/items which may be at grade level or at dock high. The dock-high loading requirement with smaller freestanding buildings is usually facilitated thru use of in ground dock truck wells where the truck backs down a ramp to adjust for the height of the shipping container.

    Bulk Distribution

    Used for the distribution of palletized products in large volume, these buildings have true 4’ dock high loading with multiple doors, high clear height and fire protection systems.

    Heavy Manufacturing

    With grade level overhead doors and ample outside storage yard, these buildings often have large overhead cranes, heavy power and high clear heights.

    Flex office/warehouse (aka Service Center Space)

    Heavy office ratio and  air-conditioned and heated areas used for tech or assembly are common with Flex space.  High parking ratios and generally higher end business park settings are also popular with this type.

    Truck Terminal w/Cross Dock

    Used to transfer goods quickly from container to container, these buildings are usually very shallow and long to allow for a very high number of offloading spaces and overhead doors.  Additionally, an abundance of trailer storage area and staging yard is normally required.

    These are some of the main categories of buildings in Commercial Warehouses which are found for Lease.

    For a more recent article with an updated list, go here.

    For help finding a qualified industrial broker in your area and the perfect warehouse for your business call WarehouseFinder.net at 800.814.4214

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  • library_books Free Rent! Warehouse for Lease! Really? - Let Me Explain...
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    Posted by Eric Hughes, on December 13, 2011 and Updated on August 18, 2019
    Article Synopsis

    So we need to lease a warehouse - how much free rent can you get us?”  That is a common question I get from my clients.  It generally does not matter if they are local or global, $100k/year or $100mm/year, everyone wants to feel they got the upper-hand or a good “deal.”  But what does “free rent” really mean?

    Free rent is, in most circumstances, a period of time where the tenant pays no rent or partial rent during the lease.  This period is usually front loaded on the lease term.  This is a great marketing ploy for landlords and is generally a win for the tenant too.  It is pushed as a savings in rent to offset move-in and set-up costs incurred by the tenant.  Free rent is also called “Rental Abatement” - which is, as a description, generally more palatable to Landlords.  Owners hate to give away money.  At the end of the day, owners want to lease their properties up and if they can lease it now, give a few months of free rent and eliminate the risk of additional months of vacancy, then it ends up being a wash for the owner. 


    Let me explain the tricks around Free Rent.  Typically,  free rent is never free.  Rental abatement is recouped later in the lease.  While time value of money may be gained, the Landlord will generally pad his proposal to account for any opportunity costs.   As an example, if you as the tenant want to rent 10,000 SF for 60 months and the Landlord gives you 3 months free rent, he will typically add the months to the term of the lease - so 63 months.  Now the Landlord will want rental increases in later years and will start those “bumps” in month 13 of the lease.  Now the added three months will be at the highest rate in the term, thereby increasing the average rate over the lease. 

    Free rent up front is a plus for the tenant, provided the tenant does not have to pay more in rate over the term in order to get the free rent. 

    Looking for Warehouse, Office or other space in Houston or elsewhere? Needing to renew your lease?

    Contact the WarehouseFinder.NET Broker Affiliate Network below.

    Centermark Commercial Real Estate specializes in Industrial and Office in the Greater Houston area. CCRE is the exclusive affiliate broker for WarehouseFinder.NET in Houston, TX.


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  • library_books Commercial Warehouse for Lease - A Broker's Definition
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    Posted by Eric Hughes, on May 22, 2011 and Updated on November 7, 2019
    Article Synopsis

    What is commercial warehouse  for lease?  What is commercial warehouse for rent?  They are the same and they are different.  “Commercial” is just a description of the property to indicate an exclusion of residential uses.  “For rent” and “for lease” while basically synonymous, “lease” actually refers to a contractual agreement between a tenant and landlord.  “Warehouse” has many meanings in the sense that a “warehouse” can be used for many purposes and in many manners.  Here are few examples of Commercial Warehouse for Lease:

    • Distribution WarehouseTypically dock high warehouse with fire protection sprinkler systems and warehouse clear heights over 24’.  The high clear is to accommodate pallet racking.  Users of distribution space normally require minimal office finish.
    • Flex WarehouseWith a higher percentage of office finish, Flex Space is combination of warehouse and office finish, sometimes 50% of each.   Warehouse Renters of this space can be high tech, assembly and light manufacturers.
    • Manufacturing Industrial Warehouse: For me, the word industrial conveys images of heavy cranes and steel being moved, modified and shipped.  Manufacturing Warehouses often are crane served with overhead bridge cranes or jib-cranes.  The buildings are chiefly made of metal and require heavy power.

    These are just a few examples.

    Looking for Warehouse, Office or other space in Houston or elsewhere? Needing to renew your lease?

    Contact the WarehouseFinder.NET Broker Affiliate Network below.

    Centermark Commercial Real Estate specializes in Industrial and Office in the Greater Houston area. CCRE is the exclusive affiliate broker for WarehouseFinder.NET in Houston, TX.


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  • library_books How to Use a Grade Level Facility for Dock-High Loading
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    Posted by Eric Hughes, Steve Watts,
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    Building with Single Dock Well Conversion | Warehouse FinderThis article attempts to answer the question “Can I achieve dock-high loading/unloading using a grade-level building?” The fundamental problem addressed by warehouse loading areas - or docks in this article - is how facility team members get materials from the shipping surface of trucks, trains, etc., onto the facility floor for further handling…

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  • library_books Buildings For Sale - Commercial property by type
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    Posted by Eric Hughes, on May 14, 2011 and Updated on August 18, 2019
    Article Synopsis

    When looking at buildings for sale, it is important that the business owner understand the types of commercial property for sale in the market. 

    Warehouse or Industrial:  These are typically for distribution or manufacturing and can be constructed of metal or masonry materials.  Crane served manufacturing warehouses are typically metal buildings.  Warehouse can be grade level, semi-dock (2’ high) or dock level (4’ high).

    Flex Buildings:  Flex space is a hybrid of office and light industrial warehouse/tech space.  This property type caters to laboratories, computer and technical companies and instrument or data-logging industries. 

    Office Property:  Self explanatory except that single story business parks often provide very nice office space for less rent than the typical multi-story office building.

    Retail:  Again, self explanatory.  Retail options come in many shapes and sizes.  The latest trend is lifestyle center with outdoor walkways and park settings versus the old Mall style projects.

    These are a few very basic types of property to consider when looking at buildings for sale.

    Looking for Warehouse, Office or other space in Houston or elsewhere? Needing to renew your lease?

    Contact the WarehouseFinder.NET Broker Affiliate Network below.

    Centermark Commercial Real Estate specializes in Industrial and Office in the Greater Houston area. CCRE is the exclusive affiliate broker for WarehouseFinder.NET in Houston, TX.

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  • library_books Typical Selection Criteria - Warehouse for Lease, Rent or Sale
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    Posted by Eric Hughes,
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    thumbnail photo of large dock high warehouseIf you are considering renting, leasing or purchasing a warehouse facility and would like to get off to the best start possible, I advise taking ample time to define your needs in a facility. Here are some specific criteria to consider…

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  • library_books Full Service Lease - Types of Commercial Leases - Part 3
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    Posted by Eric Hughes,
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    The Cogs of Industrial Leasing ThumbnailFull Service Lease - Generally applicable to multi-tenant office buildings, this lease has one monthly rate and covers all the costs associated with the property including electrical, janitorial, management, property taxes and property insurance…

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  • library_books Triple Net (NNN) - Types of Commercial Leases - Part 2
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    Posted by Eric Hughes,
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    The Cogs of Industrial Leasing ThumbnailTriple NNN or Triple Net - A NNN lease is set up to have the Tenant pay a base rental amount each month to the Landlord.  In addition to the base rent, the Tenant also reimburses the Landlord monthly for the tenant’s pro-rata share of certain estimated expenses (“reimbursables”)…

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  • library_books What is an Industrial Gross Lease?
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    Posted by Eric Hughes,
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    The Cogs of Industrial Leasing ThubnailThe industrial gross lease is common in multi-tenant industrial properties. In an industrial gross lease, the tenant is responsible for some, but not all, or the operating expenses of the property. This warehouse lease type requires the tenant to pay one base monthly rent which covers the property expenses, management and Common Area Maintenance (CAM).

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  • library_books Dock High Loading - Picture with Definition
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    Posted by Eric Hughes, Steve Watts,
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    Photo Illustration of Dock High buildingA dock-high loading dock is used to provide a highly efficient method to move cargo between a semi-trailer and your warehouse. The height of such a dock is typically…

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  • library_books Why Use a Commercial Real Estate Brokerage
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    Posted by Eric Hughes, on September 23, 2010 and Updated on August 17, 2019
    Article Synopsis

    Market Knowledge 

    As seasoned commercial real estate brokers, we have a firm grasp on our market. We know which buildings are available, understand restrictions, zoning, are aware of proposed developments and are up to date on comparable sales or rents.

    Experienced Negotiators 


    With 100’s of transactions negotiated, we are experts at closing a deal. Our specialty is “thinking outside the box” to get deals done that may be difficult.

    Contracts/Document Understanding 


    Having vast experience with commercial earnest money and lease contracts helps prevent many legal hurdles that arise when the client’s attorney gets the documentation. Also, we make suggestions and point out red flags to legal counsel to avoid problems for our clients.

    Financing 

    Seller notes, bridge loans, mezz loans, conventional, SBA, Seller seconds…we have seen it all and have relationships with lenders which have money to lend at competitive rates. Most of all they are familiar with the Houston Market.

    Understanding Construction 

    Not all commercial real estate brokers understand different types of commercial construction and the advantages/disadvantages of each as well as related reproduction costs. Since we also do development, we have seen what goes into a new building.

    Loyalty 

    Above all, we are here to look out for your interests. As many of our clients will attest, if we feel the deal is not right for you, we will tell you. Our success comes from repeat business and referrals. Unhappy clients do not make for long term success.

    Let our experience, knowledge and loyalty work for you.

    Looking for Warehouse or Office space in Houston?

    Centermark Commercial Real Estate specializes in Industrial and Office in the Greater Houston area. CCRE is the exclusive affiliate broker for WarehouseFinder.NET in Houston, TX.

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  • library_books Types Of Commercial Real Estate Leases
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    Posted by Eric Hughes,
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    The Cogs of Industrial Leasing ThumbnailIn my 29 years of commercial real estate leasing, both in warehouse and office, I have seen hundreds of lease documents with many arrangements of rent and responsibilities. The basic and most used leases are as follows…

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  • library_books An Agent Will Qualify You - You Can Also Qualify Yourself!
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    Posted by Eric Hughes,
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    Qualify Qualify Qualify

    A commercial real estate broker will qualify clients - as a prospective buyer/tenant, you should spend a bit of time to assess yourself in terms of qualifying for a real estate purchase or lease…

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  • library_books Entering Into a Commercial Lease Agreement - A Guide From a Broker
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    Posted by Eric Hughes,
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    Two Guys Talking Real Estate in a WarehouseOverview 

    Committing to a lease for 3, 5, 7, or 10 years is a monumental consideration for a business. Whether that is moving into the first property or from one location to another, entering into any commercial lease agreement can be stressful, time-consuming, and requires adequate research and qualified commercial real estate brokers, attorneys, and possibly even engineers to determine the most suitable location(s)…

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  • library_books 6 Tips When Looking To Purchase Land
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    Posted by Eric Hughes, on September 23, 2010 and Updated on August 18, 2019
    Article Synopsis

    The following are a few of about 40 checklist items we typically cover in our due diligence when assisting clients:

    • Zoning/deed restrictions - Be sure any applicable zoning or restrictions allow for your business use 
    • Access - The property needs to be easily accessed from major thoroughfares and delivery trucks should be able to navigate the roadways to your warehouse 
    • Taxes and POA’s - Compare property tax rates as MUD’s and other U.D.’s can increase the tax rate significantly. Also Property Owner Associations may assess annual fees to keep the property mowed and cover some common electric 
    • Elevation - While many properties lie outside 500 and 100 year flood zones, they still may hold water after heavy rains or get run off from adjacent property. Do your homework, interview adjacent property owners and get a good topographic survey 
    • Detention - In many counties, the Flood Management District will require a developer install storm water detention onsite to control water runoff. This can eat up 15% or more of your useable area. Some master planned business parks have the detention in place for the entire development and your land could be used entirely for your improvements with no detention required 
    • Utilities - A buyer needs to confirm that his prospective site has access to sanitary sewer, water and storm water outfall. If a water well and/or septic system are to be used, be sure all required installation distances, spray field, and local government requirements can be met 

    Looking for Warehouse, Office or other space in Houston of elsewhere?

    Centermark Commercial Real Estate specializes in Industrial and Office in the Greater Houston area. CCRE is the exclusive affiliate broker for WarehouseFinder.NET in Houston, TX.

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  • library_books Warehouse Loading Types
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    Posted by Eric Hughes, on September 23, 2010 and Updated on February 17, 2022
    Article Synopsis

    Distribution, manufacturing, service, fabrication, storage and many other uses occupy millions of warehouses around the world. Goods go in, goods go out, machinery goes in, machinery goes out - and on and on - through docks. Understanding the types of access to these warehouses is imperative when evaluating business needs and alternative facilities available. In this article we will explore several widely used loading types.

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  • library_books Property Due Diligence Guide
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    Posted by Eric Hughes, on September 23, 2010 and Updated on August 18, 2019
    Article Synopsis

    So you found your perfect office and/or warehouse. It is the right square footage, has adequate ceiling heights and yard area and is in a good location. You just went under contract at the Title Company. Now what?

    Now the real important work begins. There will almost always be several buildings that fit your requirement, however finding the one with few to no issues is a different story. Many brokers feel their work is done once the property is under contract. This is far from the truth. A good commercial broker shines once the contract clock starts ticking.

    Free items first 

    While there are numerous due diligence items which have to be handled, I always put the questions on the top of the checklist which won’t cost my client anything to get answered. That way if my Buyer can’t live with these he won’t waste money on phase one environmental studies, appraisals and further attorney fees.

    Physical inspection of the property is more than just looking at the obvious components of the warehouse and or office as the roof, structure, paving, electrical and mechanical systems. The ones that can be missed are indications of standing water near the building which may be caused from poor drainage. Does the roof drain to one side or does it collect in the middle of the building in a gutter, which may be problematic. If you have an office building, do you have enough parking, adequate and efficient HVAC? Does the building meet ADA codes? If an office warehouse, is the truck court adequate, is there enough power, is the rail siding up to the rail provider’s specs? The structural, MEP and environmental studies should be handled by licensed professionals…however they often miss issues. A second set of eyes is important.

    Documents contained in the Seller deliveries and the title commitment are the first to get tackled. While attorney consultation is a must with contract and commitment review, a quality broker can make valuable suggestions that an attorney may miss and then can evaluate. The title commitment should provide copies of any recorded deed restrictions on the property which may be problematic. At this stage local zoning should also be confirmed for the same reason. Encumbrances evidenced in the commitment may also be revealed such as an easement which may prohibit the Buyers intended use. Again a good real estate attorney is important at this point.

    Looking for Warehouse or Office space in Houston?

    Centermark Commercial Real Estate specializes in Industrial and Office in the Greater Houston area. CCRE is the exclusive affiliate broker for WarehouseFinder.NET in Houston, TX.


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