Investing in Real Estate: Have You Considered SME Real Estate?

Investing in real estate has some clear advantages.

Investing in real estate is generally considered as safe. While real estate prices can fluctuate, in recent years they have risen year after year, often even stronger than inflation, making investing in real estate a good way to preserve value or even gaining value over time.
In addition to rising property prices, real estate investments provide a regular income stream, which is also protected against inflation thanks to indexation.
Profitable. Value appreciation combined with stable earnings are the basis of a profitable investment.

Investing without worries

But have you ever considered investing in SME units? By investing in an SME unit, or in several contiguous units, you are investing in commercial real estate with acceptable purchase prices. Especially when compared to investments in logistics real estate, retail or even offices, which are also part of the category of commercial real estate offered to professional tenants.

Renting to professional tenants of an SME unit has additional advantages:

The property tax is paid by the tenant
The costs are paid by the tenant
The rent can be increased with VAT, allowing the VAT paid on the purchase price to be recovered
The rent is indexed
…

In addition, the market of tenants for SME units is active and growing. More and more entrepreneurs want to house their business in a sustainable building with character and choose to rent a unit in a business park, where many other entrepreneurs are also active.
But even medium-sized companies and even large companies that do not want to have real estate on their balance sheet, are increasingly choosing to rent an SME unit, a B2B showroom or an office. Or even a combination of those.

Trust an experienced developer

BVI.EU has been the pioneer of SME parks for 25 years and has been resolutely committed to quality and sustainability for years. This focus on quality and innovation is also a great asset for investors as it ensures the long-term value preservation of real estate.

In addition, SME units developed by BVI.EU enjoy a high degree of modularity and flexibility. This is very interesting for investors as these elements are important in attracting a broad rental market.

Be sure to check out the projects we offer today.

Taxation

It’s important to know that actual rental income is taxed when investing in SME real estate (and that’s a big difference from renting residential real estate). Therefore, investing in commercial real estate is done through a company in order to take advantage of depreciation and VAT recovery. On the other hand, when selling real estate from the company, taxable capital gains must be taken into account. So make sure to seek sufficient advice.

Contact

Curious about how we can help you with investing in SME real estate? At BVI.EU, you have already found the right partner with more than 25 years of experience and expertise in the field of SME parks. We look forward to explaining the possibilities further in a personal conversation.