If you own your practice, there are few things that will impact your future net worth more than owning your office.
Think about it. In the next few years, you could own sizable equity in your office. In 15 years, you could own it outright — or you could be the proud owner of a big stack of rent receipts. The good news is that, with a little bit of preparation, the process of buying an office is easier than ever.
There is a growing trend across the country in which buyers turn to Real Estate brokers who not only guide the buyer through the transaction to closing, but also help in arranging tenant improvements. That serves a critical need when the inventory available needs major renovation to fit the client’s needs.
Dan Coletti of Sun West Custom Homes is one of Nevada’s most respected builders. His long history of building includes not only iconic multimillion-dollar hillside homes but also a significant amount of commercial construction.
“There are a lot of very attractive buildings downtown if you have an eye for the possibil-ities,” Coletti said. “We see some interiors gutted and reworked, and these buildings are perfectly suited to attorneys’ business needs. With the right eye for design and construction details there really are opportunities an owner can really be proud of.”
(Point of disclosure: Mark Fierro, the author of this column, is an agent with a related company, Sun West Luxury Realty LLC.)
There is good news on the loan side as well. The Small Business Administration offers a loan, the SBA’s 504 program, which allows the owner to wrap all the tenant improvements and building rehab right into the loan.
A generation ago Small Business Administration Loans had a reputation for not being user friendly, but those transactions have been made far simpler with help from Nevada State Development Corporation, which specializes in SBA 504 loans for business owners seeking to buy property or equipment.
“These loans typically feature below-market rates. In the first quarter of 2017 we are in the mid-4 percent range, and that’s with 10 percent down,” said Evan Dickson, Senior Vice President/Senior Credit Officer with Nevada State Development Corporation. “We can get the customer in, ask a pretty short list of questions regarding your business and its performance over the past couple of years, and give you a pretty good idea whether the SBA’s 504 program is a good fit for you and if it looks like you’ll have a chance to qualify.
Taking advantage of the opportunity to own their own headquarters can represent a pivotal point in the career of many entrepreneurs, according to Dickson. It’s something he sees time and time again working with Nevada State Development Corporation.
“That’s what we do,” Dickson said. “The basis for our program is about job creation and economic development, and one of the results is the fact that it lets businesses purchase property with as little as 10 percent down, which can allow the business and its owners to start accumulating wealth by taking ownership of a building. We can wrap tenant improvements into the package, subject to a satisfactory appraisal”
It’s a road that the Editor of this magazine, Vegas Legal Magazine, used to great effect in buying and completely renovating his offices at 630 South 3rd Street in downtown Las Vegas.
NSDC’s Paola Gonzalez worked with Preston Rezaee, Esq., principal of The Firm, P.C., and Editor in Chief of Vegas Legal Magazine to make his renovations and the purchase of his new office in downtown Las Vegas a success.
“NSDC is a company that’s very vested in investing in the business future of this com-munity,” Rezaee said. “The level of personal attention that I received was unexpected, so definitely go.”
Chris Hunter, who serves as vice president and business development officer with NSDC, pointed out that many business owners — whether in the legal realm or any other field — may be experts in their own line of work but unfamiliar with the nuances of financing a building purchase.
“We walk them through every step of the process, laying out the financials up front to make it as easy as possible,” Hunter said. “We explain it in terms they understand. My job is to make life easy for them.”
About Fierro Communications, Inc.
Fierro Communications, Inc., is a full-service public relations and marketing firm with video production assets and a wealth of media contacts in Southern Nevada and throughout the United States. Mr. Fierro is an author of two books and has appeared on national news broadcasts including CNN, “Entertainment Tonight” and ABC’s “20/20.”
The Firm, P.C. is a boutique Las Vegas law firm founded by Preston Rezaee, Esq. Preston Rezaee is also the founder and Editor in Chief of Vegas Legal Magazine.