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commercial real estate

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Commercial Property
Real estate and improvements thereon that the local government has specifically designated for business use. Commercial property may be set aside for farming, industrial use, or professional offices. Municipalities usually group commercial property together to maintain orderliness in the city, and to prevent new developments from interfering with existing homes and businesses. For example, a city may set aside an area for commercial development so a business does not build a large factory next to personal homes. Commercial property usually has to comply with certain standards set by the municipality; for example, a building may be required to have a certain aesthetic. Commercial property may be taxed differently from other property. See also: Zoning.

commercial real estate

Typically refers to office or retail space, or multifamily residential properties such as apartments. May include industrial real estate, but sometimes the phrase is meant to exclude industrial properties and must be read in context.



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