Heavy industrial is another class of the industrial property market. Industrial property is versatile and can be put to a variety of uses, and these include properties that fall under the heavy industrial category, which we take a look at in this section.
Heavy Industrial properties or units are typically involved in goods that offer high end consumer value or those that are used by other companies in their own businesses. In general, heavy industrial goods are high in value while sold to end users would be out of the realm of light industrial production.
Furthermore, it means that if you are involved in large scale manufacturing, this is the type of industrial property you should be looking for. Due to the manufacturing and transporting of large and heavy goods, heavy industrial properties are typically at the upper end of the scale in terms of floor space.
Examples of large scale manufacturing that goes under the heavy industrial category include the production of:
Heavy industrial properties are frequently older stock and may not be as flexible as newer commercial properties. Furthermore, due to the high potential environmental risks including causing footprint and pollution in form of air and noise, heavy industrial properties are typically found in non-residential locations. For this reason, heavy industrial properties are highly regulated by the Government.
In general, you will not find many new or small businesses acquiring a heavy industrial property also due to the high capital cost involved and large rate liability which creates high barriers to entry.
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