6 Important Things to Consider When Purchasing a Commercial Real Estate Property
Completing your due diligence when considering a purchase of commercial real estate is more complex than when you are buying residential property. There are additional steps that must be taken to safeguard your investment. The legal experts of Scheichet & Davis, P.C. routinely advise and assist clients with the steps involved in making a wise purchase. To speak with a real estate lawyer in New York City, call Scheichet & Davis, P.C. today at 888-373-0163.
New York City Real Estate Lawyer
To secure your future with this exciting venture, here are 6 important things to consider when purchasing a commercial real estate property.
- Ask yourself if this property fits your needs and will provide you with the income you require.
- Research the area to collect the following information: demographics for the surrounding areas; traffic counts; crime reports; prevalence of natural disasters; future plans for new construction and renovation of the neighboring properties and community; petitions for rezoning of local properties; road construction projects that would impact the property; property values; reported profit for local businesses; turnover rate for property sales and purchases; and lease amounts for similar commercial properties if you plan to lease out the property.
- Hire a survey company to verify property details, which include boundary lines, property access points, location of easements, any land improvements that have been made over the life of the zoned property, and location and availability of utilities.
- Hire an inspection company to pick through the building(s) with a fine-toothed comb. Major repairs, such as those related to electrical and plumbing issues, can turn a great real estate deal into a money pit.
- If there are tenants currently leasing the property, obtain current lease rates and contract details that outline lease terms and your obligations. Be certain to pay close attention to allowable rental increases, maintenance and repair responsibilities, utilities supplied by the property owner and a log of rental rolls with previously collected security deposits.
- Request current and past copies of P/L reports to gauge future earnings and property expenses.
Real Estate Lawyer in New York, NY
At Scheichet & Davis, P.C., we provide our legal expertise for commercial real estate purchases from start to finish to be certain our clients are fully protected throughout the transaction. If you are in the market for commercial property in NYC, contact a real estate lawyer on the legal team of Scheichet & Davis, P.C., to ensure you are represented by qualified experts of property law with extensive backgrounds in all issues related to real estate, finance and business. With more than 135 years of combined experience in real estate law, you can rest easy knowing you are protected by the professionals when you choose Scheichet & Davis, P.C. for your legal representation. Call our friendly New York City legal staff today at 888-373-0163 to schedule your initial consultation.