Why Black Athletes Should Invest in Commercial Real Estate

As Black athletes forge recent paths in their skilled sports careers, additionally they have an unprecedented opportunity to shape their financial futures. While lucrative contracts and sponsorships provide significant income, the volatility of athletic careers implies that constructing long-term wealth outside of the sector is essential. One of probably the most promising avenues to accomplish that is business real estate (CRE) investing.

Here’s why emerging black athletes should consider business real estate as a mainstay of their investment portfolio.

Investing in business real estate offers a stable, passive income stream that may last well beyond an athlete’s playing years, in line with one expert. Commercial properties akin to office buildings, retail spaces, and industrial complexes generate consistent rental income, providing a reliable source of income no matter an lively athlete’s status.

“Over the years, we have seen many stories of Black athletes landing big contracts today and going bankrupt tomorrow,” said ARVO Small Business CEO Ed Ryland. BLACK ENTERPRISE“And now that college athletes can take advantage of NIL agreements, it’s even more important for them to learn early on how to secure their financial future for when their playing days are over. Investing in commercial real estate is a great way to do that.”

The fantastic thing about business real estate is that its value typically increases over time, allowing investors to profit from each income and asset growth. For emerging black athletes, which means using their current earnings to secure real estate that can increase in value, providing financial security and prosperity in the long run, Ryland noted.

“Real estate investing isn’t just about immediate gains, it’s about creating a legacy of wealth that can benefit athletes and their families for generations,” Ryland added. “It’s about making smart financial choices today that will pay off in the future.”

Investing in business real estate also can function a strong tool for community empowerment. Some black athletes have been known to “buy back the block” in their old neighborhoods, helping to revitalize communities in need. These deals also help create jobs, improve local infrastructure, support small businesses, and have a positive impact that goes far beyond individual financial gain.

“Investing in commercial real estate allows athletes to give back to their communities by driving economic growth and creating opportunity,” Ryland said. “It’s a way to leverage their success to make a tangible difference in the lives of others.”

One of probably the most appealing reasons to speculate in business real estate is the tax advantages. We’ve all heard of rich business owners who pay little or no in taxes. This is because depreciation, mortgage interest deductions, and various other deductions can reduce taxable income, allowing investors to maintain more of their earnings. These tax advantages could be especially useful for athletes, who often find themselves in higher tax brackets as a result of their large earnings.

Whether you might be an expert athlete or not, Ryland advised those interested in investing in business real estate to achieve out to an expert who may help them navigate the complexities of real estate investing.

“It’s not something you want to do without the knowledge of a professional who can help you with negotiations, market analysis, property management and other aspects of the commercial real estate world,” Ryland said. “These partnerships ensure that athletes make informed decisions, maximize their investment potential and effectively manage their portfolio.”