Sure there are cold winters, and many people don’t think of Anchorage initially when purchasing real estate, but when you step back and look at the bigger picture, there are many benefits to investing in commercial real estate in Anchorage Alaska. These are a few of those benefits.
1. Population density & taxes –
In the state of AK, more than 45% of the total population resides in Anchorage. For commercial purposes, it makes it the ideal location to open up shop and begin a commercial business in the area. In addition to a majority of the state’s population living in the area, it has also been named one of the most tax friendly cities in the US. So low tax rates, means more profits to the commercial property’s owner.
2. Refueling –
If your business is in the industry of import/export, driving, or similar trades (which many in the state are), this is also the perfect location for commercial investments. The reason being it is ideally situated in an area where refueling is simplified. Fedex’s main hub is in the city, and many other major transport companies are situated in the area. There’s a reason for this.
3. Financing –
Securing financing for pre-existing commercial properties is also relatively easy in Anchorage. As a business owner, or investment with reasonable credit, assets, and a good business plan in place, many lenders are willing to work with you, and offer you a relatively high amount when borrowing. Many investors can also receive reduced interest rates when investing, so choosing a lender is something which is competitive (but benefits investors).
Appreciation values are also reasonably high in the area. This means if you invest in commercial real estate in Anchorage Alaska today, it is going to increase in value in a short period of time. Add in the fact that commercial properties are cheaper than in other major US cities, taxes are low, and operational costs (including cost of labor, utilities, etc) are lower than in other major cities, and it is the ideal location to consider investing in commercial properties.
Regardless of your business plan, as long as you have one, some money set aside, and reasonable credit, financing shouldn’t be too difficult to come by. For investors, and new businesses alike, Anchorage might be the perfect (hidden) location to consider investing, when it comes to operating a commercial business, or opening up new commercial properties in the near future.