In the realm of commercial property management, there’s a subset of properties called special-purpose properties. This refers to real estate that has a specific use, often making them the only one of its kind in a particular market. In addition to having a specific use, these properties have distinct needs that only a property management company in Florida with specialized services can cater to.
Discover what makes special-purpose properties so special, as well as a few factors to consider should you decide to operate one.
What sets special-purpose properties apart?
The main characteristic of special-purpose properties is their limited use. Their construction materials, amenities, and layouts are carefully tailored to meet the requirements of their industry. As a result, these properties aren’t easy to modify for other purposes. This means that the sale of these properties is restricted to the specific industry for which they were created.
What are some examples of special purpose properties?
Property management companies in Florida oversee the operations of a wide range of special-purpose properties, such as:
Car washes
Car washes are special-purpose properties with infrastructure that facilitates the cleaning of vehicles. They often feature wash stations, water recycling systems, vacuum stations, and more. Because of their specific purpose, they can’t be easily converted for general commercial use, and instead, cater to the automotive industry.
Hotels
Hotels are commercial properties that provide accommodation to travelers. They have a unique layout with multiple guest rooms, common areas, and amenities such as swimming pools, conference rooms, and restaurants.
Cemeteries
Cemeteries are special-purpose properties dedicated to the burial of the deceased. To cater to this unique need, they consist of carefully landscaped grounds with areas for graves and memorial structures. The limited infrastructure in cemeteries is intentional, as their main purpose is to maintain a serene environment for reflection.
Bowling alleys
Bowling alleys are properties designed for bowling, featuring lanes, pin-setting machines, and other equipment required for the game. Because bowling alleys are in such a niche industry, it may be difficult to repurpose this property type for other businesses.
Schools
Educational institutions are built with the purpose of providing students with a suitable learning environment. They’re equipped with classrooms, laboratories, libraries, etc. that allow for an ideal educational experience. In addition, they must have security measures in place to ensure the safety of students and staff, such as surveillance systems.
What should you consider when operating a special-purpose property?
Due to the unique nature of special-purpose properties, they come with certain challenges that require attention. When collaborating with a property management company in Florida, they’ll expertly find solutions for these matters on your behalf. Nonetheless, it would still be valuable to familiarize yourself with these factors so you can become a more capable real estate investor.
Zoning compliance
Special-purpose properties are subject to zoning laws, which dictate how the property can be used. This also includes the activities that can be done within its premises. Because these laws are set by the local government to safeguard the interests of the community as a whole, they are tricky to challenge. Because of this, special-purpose property owners must ensure that their property complies with all zoning laws if the option for rezoning is not feasible.
Code compliance
Aside from laws on zoning, property owners must meet various codes and safety standards. Established by the government, these codes ensure that the property is structurally sound and safe for occupants. Beyond that, businesses must also abide by industry-specific rules. For example, a facility for food production may have to follow certain protocols to prevent contamination.
Maintenance of specialized equipment
Most special-purpose properties rely on specialized equipment tailored to their unique purposes. It’s crucial to maintain this equipment to ensure the property’s smooth operations. As such, property managers must have a network of skilled service providers who can effectively maintain these specialized items.
Security and safety
Owners of special-purpose properties are responsible for the safety and security of all their occupants. Depending on the property’s use, security measures may include access control systems, surveillance cameras, alarm systems, and trained security personnel. Furthermore, as special-purpose properties are considered commercial properties, their management team must have emergency response plans in case of unforeseen situations.
Environmental considerations
Some special-purpose properties may have a significant environmental impact due to their specific use. For example, a funeral home may contribute more carbon emissions than other industries, due to the cremations done. This is something that other property type owners don’t need to consider. As such, it’s crucial for them to comply with environmental regulations to avoid penalties and potential legal issues. It can help to partner with a property management firm that’s aware of environmental laws applying to their specific property type.
Insurance costs
Special-purpose properties generally have higher premiums than other property types, especially if their intended use comes with certain risks. Property owners must be prepared to pay substantially more to insure their properties, protecting them against potential liabilities.
Construction and renovation costs
Constructing and renovating a special-purpose property often involves custom features to meet the property’s specific function. These customizations can lead to increased costs. Furthermore, if the property needs to be renovated in the future or adapted for a different use, the expenses are bound to be substantial.
Navigate the challenges of special-purpose property management
Owning real estate that serves a specific purpose, such as a school, service center, or place of worship, comes with unique considerations. These types of properties require distinct services that the team at Luxury Property Care is prepared to provide.
With our expertise in managing a wide range of commercial properties in Florida, we can provide you with valuable advice and guide you through the whole management process. We can ensure the smooth day-to-day operations of your special-purpose real estate, and automate all of your work processes in order to meet your needs.
When seeking an experienced team of commercial property managers, count only on Luxury Property Care. Contact us at (561) 944 – 2992 or complete our contact form today for more information on our Florida property management services.
