💸 Passive Income from Commercial Real Estate: What to Expect

Commercial property is a solid source of passive income, especially when you:

• Rent out shops, offices, or warehouses

• Lease to banks, franchises, or multinationals

• Use long-term contracts with annual rent escalations

Typical Monthly Returns in Major Cities:

• Retail Shops: 0.6%–1.2% of property value

• Offices: 0.5%–0.9% of property value

• Warehouses: 0.7%–1.0% of property value

Benefits:

• Steady cash flow

• Property value appreciation

• Hedge against inflation

Downside: Vacancies or bad tenants can reduce income, so screening is key.