What is Commercial Real Estate? - YouTube

HI. This is Raman, your Alberta Real Estate Tutor. Today we'll talk about commercial  

real estate so let's take a look at what's  considered commercial real estate so before  

we dive into that it's important to note that  in order to sell commercial real estate you need  

a commercial real estate license if you have  residential license you cannot sell commercial  

real estate so let's dive into it so what is  considered commercial real estate now there  

are multiple different types of buildings that  would fall under this category the first one is  

office so these would be your office towers  or the definition is buildings intended for  

business use usually inhabited during business  hours like I said these would be your office  

towers or corporate offices the next category  is retail the definition for retail would be  

buildings used to promote commerce with consumers  for goods and/or services the retail would consist  

of your store-fronts the type of buildings you  would find in original shopping centers or strip  

malls then we have industrial the definition  is buildings used for processing raw materials  

and manufacturing goods as well as their  storage here we are looking at buildings such  

as warehouses factories plants all of these would  fall under the category of industrial real estate  

then we have a multifamily definition for  life would be buildings used for dwelling  

that is comprised of more than four premises so  multifamily commercial would be anything that  

is bigger than four Plex so four Plex and under  would fall under residential real estate and you  

can sell that with residential real estate license  however any building that has more than four units  

would be considered multifamily and in this we  can get small buildings with six units or ten  

units all the way up to hundreds of units all  of that is considered multifamily real estate  

and then we have institutional the definition here  would be a building with the specialized use aimed  

at serving the public or private clientele in this  category we have things like schools personal care  

facilities government buildings hospitals all of  these would fall under institutional real estate

let's do a quick recap in order to  sell commercial real estate you need  

a commercial real estate license and the  different types of buildings that would fall  

under this category include office retail  industrial multifamily and institutional  

now let's take a look at some of the exam  questions you may see related to this topic

the question is a building used for processing raw  materials and manufacturing goods as well as their  

storage describes which of the following  types of buildings and the options are a  

commercial be industrial c recreational or d  institutional and the correct answer here is B  

so any building that is used for processing  raw materials or manufacturing Goods would  

fall under the industrial category let's  take a look at another question a building  

with a specialized use aimed at serving the  public or private clientele describes which  

of the following types of buildings  and the options are a multi-family be  

industrial C office or D institutional and  the correct answer here is D institutional  

so any specialized type of building would be  called an institutional buildings and like  

we just talked about these would include your  school's personal care facilities hospitals etc

so that's it for today if you like some extra  help in preparing for your Alberta real estate  

exam I invite you to visit www.albertarealestateschool.com or you can give us a call on 587-936-7779.

good luck  with your exam and I'll see you next time