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I get asked this question quite often. Should I lease or should I buy.  There are a lot factors when evaluating the options. Leasing: Depends upon the type of business, product type and where you’re at in your business and financial cycle. We all know that Covid has rocked the demand and needs for Office Space. Since there is an abundance of vacant/sublease space and projects still under construction, creates an opportunity for office users to move from a lesser class building to a newer building. The office market will take years to recover. Leasing does give a business more flexibility especially the facility requirement changes, the company merges or sold. You also don’t have deal with maintenance issues. Down side.. Rents will go up . Properties might be sold. Retail: Lack of product and the retail sector is very healthy as the desire for services and restaurants. Not typical for owner/occupant. Retail rents are at an all time high Industrial/Flex Service Center. Extremely hot product type driven by the Samsung, Tesla’s of the world. High demand for their suppliers. Big projects in Travis, Williamson and Hays County. The majority of these new projects are only looking for big users. Strong demand for smaller users. Typically most users will lease space Purchase: I have always encouraged clients and friends to purchase if they can afford it. You build equity, pay yourself rent, appreciation in the property, you control your environment. Talk to your CPA of the benefits of ownership. Interest rates and construction costs have obviously slowed acquisitions but that hasn’t slowed down business/companies from looking to own their real estate. Lenders have addressed the concerns from potential buyers about interest rates as well as the inevitable rate reductions. Honestly this would be a good time to consider a purchase of an existing facility or land for the future. High interest rates have driven values down. When interest rates start dropping, values will start increasing. Many people have created wealth and lost money in the stock market. Real estate is an excellent long term investment considering how blessed we are to live in Texas and the desire for companies and people to be in Texas.