How Summer Tourism Impacts Lake Havasu Retail Property Values
Lake Havasu retail real estate is a strong draw for investors. While the growing population creates opportunities for CRE investors, tourism is still a significant factor. Visitors have been a consistent force shaping the evolution of retail in Lake Havasu. Tourism is also a key factor influencing property values.
How does summer tourism impact Lake Havasu retail property values? Read on as we take a closer look.
Summer Tourism and Lake Havasu Retail Property Values
It Brings Increased Foot Traffic
Estimates suggest that close to 1.5 million people visit Lake Havasu annually. This influx of visitors increases foot traffic in several areas around the lake. The effect is especially noticeable around London Bridge, popular waterfront areas, and entertainment districts. For commercial property owners, this increased activity boosts the visibility and profitability of their retail tenants. That makes these spaces more desirable to retail businesses and more attractive to investors.
Peak Seasons Push Rental Rates Higher
With more people in the area, the summer tourism surge increases demand for retail space in Lake Havasu. Property owners may have opportunities to charge higher rents as retailers seek to capitalize on the tourism boom. This demand can also support seasonal leases or short-term rental agreements, providing flexibility and premium pricing opportunities. Some locations even allow owners to negotiate percentage leases during peak seasons. The more robust cash flow and higher income during summer months can make properties more attractive to other investors.
Retail Businesses See Elevated Consumer Spending
Summer tourism also brings increased consumer spending. Tourists go to entertainment venues, rent recreational equipment, buy souvenirs, stop at convenience stores, and dine out. With seasonal residents, you may also see increased sales of groceries and other necessities. This uptick in seasonal revenue strengthens tenant performance, increasing demand for retail space.
Tourism Drives Property Appreciation
With the increased economic activity of summer tourism, retail businesses perform well during the season. That drives profits and makes Lake Havasu’s retail space more attractive to businesses. As a result, tourism plays a key role in driving property appreciation. The effect is even more noticeable for waterfront properties and those near tourist attractions. With strong seasonal performance, investors can expect reliable property appreciation over time.
It Increases Investor Interest in Lake Havasu
Summer tourism is a key factor influencing investor interest in retail property near Lake Havasu. Knowledgeable investors see how tourism drives strong performance for retail tenants. Along with local investors, it also brings investment capital from other areas. Properties with high seasonal income and appreciation potential are particularly appealing. Additionally, the demand generated by tourism often spurs new retail development.
Are you looking to buy commercial real estate in Lake Havasu? Shuffler Commercial Realty is your expert guide to the local market. From retail to industrial, we’re ready to help you succeed. Reach out now to learn more about investing in Lake Havasu.
