When someone is looking to define the difference between residential and commercial real estate, the most important thing to help you remember is to consider what the property is being used for. If the primary use is going to be to reside or live in, it is residential property. When the primary use of the property is going to be for profit or to make money, the building would be commercial, even if the owner resides there (with a few exclusionary factors). Its always best to check with a real estate attorney if you are unsure, but if your main purpose of buying a property is the pursuit of income or business, it is like commercial property, which has it its own sets or ordinances and tax laws that you need to be aware of in whatever state and county you reside in. Let’s take a look at three common types of commercial real estate.

Three Popular Types Of Commercial Real Estate

  • Retail
  • Office
  • Multifamily

Retail sounds exactly like it is – the exchange of goods for money. This could include storefronts, a strip mall, an entire mall, outdoor mall, outlet center, storefront, or more. Sometimes restaurants are included in this category, because it’s a rare strip mall or retail center that doesn’t have some type of restaurant located in it. Usually, if there are multiple stores in a strip mall, there is a lead store that does the majority of the advertising and brings in the most traffic. This could be a popular restaurant.
Office space could be anything from law offices, medical offices, urgent care centers, daycare centers, accounting services, even your local real estate agent! In large cities, very large corporations may inhabit massive areas in tall buildings (such as major banks or financial institutions). In smaller towns, office space could be a massage therapist, a tattoo artist, and a lawyer in the same building. In truly depends on building codes and town culture.
Multifamily refers to rental/tenant type situations – usually, apartments or townhomes. As long as it two dwellings connected together, it could qualify as commercial real estate. If it is one home you are buying to lease/rent out, it is not a commercial property, it is still a residential property. Multi-family units can be high-rise building with elevators to four-unit townhomes in the country.
In the meantime, check out these 1-click searches:

Newest Key West Commercial Properties on the Market

One of a kind Investment & trophy property in Key Largo.This is a State of the Art security facility and very few properties comparable anywhere in the Keys. Property is leased & guaranteed by the Federal Government. Newly constructed in 2016, concrete building & interior improvements were designed and specially built for US Customs & Border Protection. This is their main office in Key Largo. Main property is fenced with private levered gate and secure with restricted access. Paved parking lot. Property totals 1.5 Acres with 1/2 acre of unbuildable hardwood hammock. 6,674 sf. building has 5,177 sf. of net leaseable area & is a concrete bunker. Poured CBS construction, Bullet proof windows, Kevlar lined walls, enhanced video surveillance, elevator, fully ADA compliant with full elevator. Propane Generator with automatic transfer backs up entire building.Full service lease started June, 2017, five years with one five year option. 2 years remain on existing term and then rent to be substantially increased for a new lease. This is a full service lease. Landlord responsible for certain maintenance & Tenant reimburses Landlord base rent and those operating costs.Tenant also pays Real Estate Taxes and Insurances. One could not replicate this building or its features in today's market. $3,500,000 Active

101350 Overseas Highway KEY LARGO, Florida

2 Baths 6,674 SqFt

Tranquil ''Old Keys'' style marina nestled on a rare 1 + acre Oceanside lot with many possible uses! Deep water protected harbor with 18 large boat slips that can handle 50+ ft. yachts. Approach depth approx. 6 ft.+ at high tide with clearly marked channel. Successful Boat Rental Business with 17 Boats included in the sale. Lucrative Vacation Rental Business with (10) Aqua Lodges and 1 houseboat also included. Water, New 30 Amp and 50 Amp electric at each slip. Fuel dock, concrete building w/office, ship store, workshop, and garage/storage. 2 Outdoor Showers, 2 Bath houses with indoor showers, stalls, and dressing area. New Waste / Pump Out Station, and fuel station. An additional separate concrete building used for storage on North side of property. Private marina, Must call for an appointment and sign an NDA/CA for more information. $9,750,000 Active

200 Treasure Harbor Drive ISLAMORADA, Florida

4 Baths 1,069 SqFt

Prime retail location on busy 300 block of Duval St. Good visibility in the 6 unit strip center located at the corner of Eaton St.Unit E is approx. 800 sf. and has been totally renovated including new flooring, ceilings, lighting and AC fixtures. Exterior of the entire building has been renovated as well. Private ADA compliant half bathroom. Ample customer and employee parking in the rear. Great mix of tenants including Wendy's, Kermits Key Lime Pie store, Nitro Ice Cream and Mystic Lobster Roll. Potential for retail or small restaurant. Tenants to pay their own Utilities incl. Electric, Water and Trash.Base rent is $80/sf. plus current NNN estimated at $24.50/sf. plus sales tax. Total rent is $104.50/yr x 800 sf. + $83,600/yr. or $6,966.67/mos. plus sales tax.Interior photo's coming soon. $5,334 Active

335 Duval Street E KEY WEST, Florida

2 Baths 6,495 SqFt

Prime Commercial Investment property in the heart of Big Pine Key at MM 30. Commercial zoning allows for many other Commercial uses. Large lot is 20,150 sf. or just under 1/2 Acre. Good visibility with 120' of frontage on Overseas Hwy x 167' deep. There is some parking in the front of the property and within FDOT right of way. Also, large vacant land in rear of building for possible added income with parking, equipment storage or may be potential for additional building. Current CBS single story building is 3,200 sf. Formerly divided up into a 6 unit strip center it is currently fully occupied by 4 tenants. Each tenant is mos. to mos., or soon will be. Leases have been short term and tenants paying below market rents. First time on the market since current owner purchased property in 1977! $1,150,000 Active

30200 Overseas Highway Big Pine, Florida

3,200 SqFt


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