There is no doubt that technology pushes markets to evolve. In the commercial real estate sector, we’ve seen advances in technology result in the demand for energy efficient smart homes. Now, with initiatives to move away from fossil fuels, electric vehicles are opening up opportunities for forward-thinking property investors.
Re-Imagining the Gas Station
As more people switch over to electric vehicles, the need for charging stations will increase. While it is true that electric vehicles can travel for much longer distances on a single charge compared to their petroleum analogs, not everyone will be within driving distance of the already planned charging stations. Commercial real estate investors who are looking to the near future are lining up commercial space to install charging stations, and are even wiring both fix and flips, as well as new construction to charge electric vehicles. Additionally, as the trucking industry pivots to electric vehicles, existing truck stops will need to be remodeled, and new rest areas will need to be constructed to function as charging hubs for commercial vehicles.
Electric Vehicles Could Revitalize the Retail Sector
Filling up a car’s tank at the gas station takes only a few minutes. At most, convenience stores bring in extra revenue from impulse purchases when people go inside to pay for gas. Electric vehicles may be cleaner and more efficient, charging times are significantly longer. Some charges take 20 minutes, and the average dwelling time as a vehicle charges is around 50 minutes. As people look for something to do while they wait, commercial real estate investors have an answer. Electric vehicles could drive a revitalization of brick and mortar retail spaces, including a renaissance for shopping malls. A recent poll by The Fuels Institute showed that roughly 60% of people wanted to see charging stations at grocery stores, while just less than 40% wanted to see chargers at shopping malls. For commercial real estate investors and developers looking for properties with staying power and heavy foot traffic to attract tenants, remodeling spaces with charging hubs would be beneficial.
Get Financing for Your Future Projects
At The Capital Rams, we provide financing solutions to forward-thinking commercial real estate investors. From property acquisitions to remodeling, and even ground-up construction, our team will work with you to structure a solution tailored to your needs. Contact our offices today to learn more.