November 22, 2022
Commercial real estate law: Do you need an attorney?
Purchasing commercial real estate is a significant investment for anyone, be it an individual or an entity. More often than not, such purchases can turn into very complex tasks and require attention to detail and a high level of expertise to get them right. Considering the size of your investment and its importance, it’s advisable to have an experienced real estate attorney to guide you throughout the process and explain commercial real estate law if needed.
What is commercial real estate law?
Commercial real estate law is a collection of regulations that primarily deal with selling properties for business purposes. While this type of law includes some same topic areas as residential law (e.g., mortgages, construction, leases), these topics are strictly addressed in a business context. Zoning issues are also involved with commercial real estate transactions, which is why having an experienced commercial real estate attorney can help you steer clear of many risks and issues that may arise along the way.
Responsibilities of a commercial real estate lawyer in Florida
Commercial real estate attorneys perform many of the same duties as those who focus on residential real estate. Their primary duties include working on transactions between buyers and sellers, handling title issues, as well as negotiating with lenders. So, you may be wondering what differentiates these types of real estate lawyers and what exactly falls under the commercial real estate lawyers’ duties. To help you gain a better understanding of the subject, we’ve highlighted a few of the most important commercial real estate lawyer’s responsibilities:
Real estate development law
Commercial real estate lawyers must have an in-depth understanding of real estate development law. This law entails municipal zoning laws, land use, as well as assistance with property management. For example, an attorney might be asked to help during the evaluation of the property site, securing financing, purchasing, leasing, and selling the developed land, and obtaining permits.
- Unlike in residential real estate, zoning issues often arise when it comes to commercial real estate cases. Zoning laws essentially restrict the ways a property can be used. Hiring commercial real estate attorneys in such cases can prove to be a highly beneficial move, as they can handle any issues, including applications, rezoning, appeals, hearings, etc.
- Title insurance can also present a challenge when dealing with commercial real estate. Therefore, it’s essential to have a skillful attorney who can assist you when facing obstacles with title insurance in Florida. An attorney will make sure to conduct a thorough analysis of the title to check whether any defects are present. Doing so will minimize the risk of significant financial losses for you or, in some cases, even the loss of your commercial property. Keep in mind that title insurance is not like most other types of insurance; it doesn’t protect you from future instances, but instead the past ones.
- Reviewing, drafting, and negotiating commercial leases also fall under the responsibilities of commercial real estate lawyers. Drafting leases without professional assistance is never recommended; you need an expert who fully understands the ins and outs of such leases and is able to spot any problems or loopholes within the lease.
8 undeniable benefits of hiring a commercial real estate attorney
It’s safe to say that commercial real estate transactions without professional real estate attorneys involved often prove to be a high risk for litigation. Every significant agreement comes with certain risks, from hidden agendas to different types of state codes and regulations. If such issues go unnoticed, you may be in for significant financial losses. With that in mind, let’s review a few main benefits of hiring a commercial real estate attorney:
Working with a commercial real estate attorney with extensive knowledge about the business law in Miami protects your interests and ensures the contract is fair. They’ll also be able to act promptly whenever unexpected situations arise and make sure to give you proper guidance and a clear comprehension of the transaction process.
As a business owner, you most likely don’t have enough time to thoroughly study commercial real estate law and gain a better understanding of it before making decisions and transactions. On the other hand, having an attorney by your side will not only take this significant weight off your shoulders, but also ensure that all the work is performed on time. We’re well aware that whenever legal issues arise, they tend to be overwhelming and may distract you from your own work.
Overseeing the paperwork
There is a lot of paperwork involved in every commercial real estate transaction. An attorney by your side can help you with all the documentation needed to finalize a real estate deal. That can be especially important when it comes to title insurance and signing the contract.
Buyers have certain rights when getting contracts for purchasing a business property, which many are unfamiliar with. On the other hand, the sellers and builders prepare contract documents, so it’s good to have an expert by your side to ensure all your rights are upheld.
Buying a commercial property is a significant investment; such investments can often turn into challenging emotional processes. Negotiating from a biased point of view can quickly get you in an unwanted position. Your attorney will act as a third party and remove the emotions from the process, resulting in a better negotiating outcome. Also, unlike realtors, business real estate attorneys do not charge transaction commissions. With that in mind, you can count on their competent advice without hidden intentions, and as a result, you’ll save more money in the long run.
Sometimes, real estate deals seem too good to be true. And in such cases, they often prove to be precisely that. For instance, you may find a fantastic deal only to find out that the property has an enormous tax debt. An experienced attorney can therefore put a property inspection clause on your documents to discuss any defects noticed before finalizing the deal. They will also investigate the building, the licenses, and other issues to ensure that the facts of a decision are presented to you.
Preparing you for potential issues
Whether you have experience buying commercial real estate or not, some issues could still arise as the procedure progresses. That includes leaseholds, environmental concerns, corporate owners, and tenant disputes. An attorney with extensive real estate experience can help by pointing you in the right direction.
Ensuring peace of mind
Handling a commercial real estate transaction on top of taking care of your business results in too much stress and not enough right decisions. Therefore, it’s best to leave the deal in the hands of experts, and rest assured knowing all your interests are presented.
Looking for a commercial real estate lawyer near you?
Due to the nature of commercial real estate transactions, it’s often beneficial to work with someone located near you. A lot of the time, you may need to meet in person to sign the paperwork or go through critical issues, so finding an experienced real estate attorney in Miami can prove to be the right choice.
Commercial real estate laws are typically complex, and their regulations vary from state to state. Moreover, they may even vary within the same county. Therefore, it’s best to find local attorneys with extended expertise and ensure your transaction is in the right hands.
Get in touch with a professional team of commercial real estate lawyers in Florida
If you’re planning to make a big step and purchase a commercial property, we highly suggest you find professional assistance and start working with an experienced commercial real estate attorney. When looking for an attorney, make sure to find the one whose experience matches your project.
At Law Mandel, we’re here to help you with your commercial real estate law needs. We are proud to offer outstanding, ethical representation and counsel. Our commercial real estate attorneys provide insightful legal analysis and consulting to ensure you understand the buying process better and have all your questions answered. We’re committed to looking out for your best interests.