The number one factor to consider when choosing downtown commercial property is the location. Look for a location that is accessible, visible, has plenty of parking, and convenient. The next important factor is the amount of space or sq. footage. You should factor in room for growth and expansion. Price is obviously important as well. There are three methods used to determine price when purchasing commercial property. The first method is the direct comparison approach. The price is determined by comparing the recent sales prices of comparable buildings in the area. The second is the cost approach. The property value is calculated on replacement costs. The third approach is the gross rent multiplier. This is the most accurate way to determine commercial property values. The annual gross rental income is multiplied by the estimated number of years that it will take to pay for the purchase. Leasing prices are competitive based upon sq. footage, location and type of building. A good commercial real estate broker can help you find the right downtown commercial property. Another source for finding downtown commercial property is the Internet.