Buying, selling, leasing, financing, and developing commercial property can become a complicated, even daunting process. While you may be able to manage a smaller exchange on your own, even the most straightforward-seeming deals can quickly become complex and go beyond your comfort zone. When dealing with big finances, the stakes are too high to cut corners. The only way to ensure your interests are protected and the deal successfully closes is to hire an experienced commercial real estate attorney.
From selecting your property and determining your investment strategy to going through due diligence and underwriting your deal, there are many steps to commercial real estate transactions. Not to mention there are countless everchanging laws and regulations to comply with that even the most veteran investors cannot be expected to keep up with. A lawyer will help you safely and successfully navigate the entire process.
Here are a few reasons why you should hire a commercial real estate attorney:
They Will Save You Time
Handling the legalities of a commercial transaction is not your full-time job – it is your attorney’s. You may not have the time or resources to try and figure out all the legal intricacies by yourself, not to mention handle all the paperwork involved in working out and finalizing a deal. Leave it to an expert to handle everything so you can focus your time and energy on more important things, like running your business.
They Could Save You Money
Yes, attorney fees are an added cost to an already expensive endeavor, but do not let that fact alone stop you from hiring one. Retaining a commercial real estate attorney could end up saving you more money than what you are paying them. Hiring an attorney with extensive knowledge of legal technicalities and contracts can give you a significant leg up in negotiations. It is difficult to successfully negotiate when you are uninformed, especially if the other party has their own legal representation advocating for them. Attorneys are not motivated by commission, so their only priority is to protect their client and get them the best deal possible. Not only will they save you money on the deal, but they will also save you money down the line by protecting you from making unwise or uninformed decisions now.
They Handle the Contracts
In commercial real estate contracts, everything must be clearly defined with nothing left to interpretation. Anything left unspecified could be subject to disputes and lawsuits in the future. Contracts can be filled with legal jargon that a non-attorney may have a difficult time understanding, and you do not want to sign a contract without fully knowing what you are getting in to. You could inadvertently agree to something or get charged with hidden costs without even realizing it. And once you sign the contract, it is legally binding, so you need to make sure you have an attorney on your side to ensure what you are signing is fair, legitimate, and profitable.
They Know What Questions to Ask and Are Prepared for Anything
Commercial real estate transactions are never as straightforward as they seem, and challenges can arise at any point throughout the process. There are issues involving zoning laws, environmental regulations, boundary disputes, financing, title issues, and much more. Even when nothing seems to be wrong – for example, when a property’s price is too good to be true – an attorney will know what questions to ask and what to investigate to protect you from potential risks. Commercial real estate buyers are much less protected than residential real estate buyers, so it is up to you to do your own due diligence. You will want an attorney to facilitate your inspections because even when a property, property survey, or environmental report appears to be satisfactory, there may be hidden problems or defects the untrained eye would not notice. You do not want to spend months working on a deal just to have it fall through because of previously undisclosed issues or loopholes. Commercial real estate attorneys are prepared for complex issues and are equipped to prevent and solve them.
Commercial real estate attorneys offer you the peace of mind that your interests are protected. No matter if you are the buyer or the seller, having an attorney on your side is indispensable for successfully closing the optimal deal.
Looking for an Expert in the Chicagoland area?
Our Cawley Chicago experts are proud to partner with reputable commercial real estate attorney’s in the area. If you have any real estate needs or questions, please contact us today to begin the process.
Written By: Claire Fiffik