Making the decision to purchase commercial real estate is worth celebrating. At Sewell Sewell Beard, LLC, we recognize how much thought and careful planning you have put into this decision, which is why we are committed to looking out for your best interests and protecting your investment as much as possible. While it’s natural to want to speed through the commercial real estate transaction so that you can enjoy your new asset, neglecting to review each document carefully or perform your due diligence can lead to serious and costly consequences later on. When you partner with a highly qualified and experienced Texas commercial real estate attorney to assist you with your upcoming purchase, you can rest assured that this professional will safeguard your investment and make sure that the terms of the transaction are fair and legally enforceable.
We are ready to help you move through a real estate due diligence checklist that addresses every aspect of your commercial real estate transaction, looking out for your best interests at every turn. This post will explain why commercial real estate due diligence in Texas is so important and how working with a skilled Prosper, Texas commercial property lawyer is the best way to move through this process with greater understanding, clarity, and confidence.
Legal Due Diligence For Commercial Real Estate Transactions in Texas
First, it’s worth taking some time to understand the legal requirements that govern real estate transactions in Texas. Essentially, due diligence in real estate “refers to the process of investigating and evaluating a property before finalizing a real estate transaction.” The party that is interested in purchasing the property wants to know that the investment they are making is worth it—in other words, that there are no major structural problems or zoning violations associated with the property that the buyer has not been made aware of before finalizing the purchase. Working with an experienced Texas commercial real estate lawyer allows you to move through critical steps of the transaction with greater certainty, such as reviewing the title, looking into any deed restrictions, and ensuring zoning and land use compliance. Ultimately, you and your attorney want to review the purchase agreement to make sure that any potential issues have been disclosed and that your financial investment remains as secure as possible.
Completing Financial Due Diligence in Texas Commercial Property Purchases
Purchasing commercial real estate is a considerable investment. These transactions often require a certain amount of financial due diligence to ensure that the terms and conditions are mutually acceptable and fair for both the buyer and the seller. Financial due diligence often includes appraisals of the property, lease reviews (if applicable), rent rolls, tax obligations, utilities, and other considerations. Your skilled and knowledgeable Texas commercial real estate lawyer can answer your questions, address your concerns, and support you as you move through the process of finalizing the purchase of the property.
Navigating Environmental and Structural Inspections
Before you sign all the purchase documents and complete the real estate transaction, it’s essential to understand the structural integrity and environmental compliance of your new commercial property. For instance, your Texas real estate attorney can help you work with various professionals to obtain a Phase I environmental report, conduct building inspections, and ensure code compliance. If any concerns arise before the transaction is finalized, you and your dedicated legal professional can review your options for addressing these issues before they escalate into more costly and problematic liabilities.
Document Review For Commercial Real Estate Transactions
As you are likely aware, any real estate transaction involves a mountain of paperwork. It’s worth noting that this considerable volume of documents is there to protect the interests of both parties and to minimize potential legal issues or complications from arising once the transaction is complete. At Sewell Sewell Beard, LLC, our highly experienced and dedicated team of commercial real estate professionals is ready to assist you with any number of real estate documents, such as service contracts, warranties, surveys, and prior litigation history records. We’re ready to review these documents and help you draft or negotiate terms that better suit your needs and investment.
Learn More About Buying Commercial Property in Texas Today
If you are embarking on a commercial real estate transaction in the greater Prosper, Texas area, you are likely aware of the considerable volume or documents awaiting your review and signature. Before you rush through the signing process, it’s worth engaging our commercial real estate legal services to ensure that your best interests are sufficiently protected. Our goal is to review every document and help you understand your roles and responsibilities before you finalize the transaction, allowing you to make more informed decisions with greater certainty and confidence.
Frequently Asked Questions (FAQs) About Commercial Real Estate Transactions in Texas
Commercial real estate transactions address all sorts of topics, such as commercial contracts, leases, easements, land use, zoning, and much more. Below are just a few of the most commonly asked questions about purchasing commercial real estate in Texas to help you get started.
What is the Most Important Step in Commercial Real Estate Due Diligence?
It’s difficult to point to just one crucial step in the commercial real estate due diligence process. Instead, it’s worth discussing your options with a knowledgeable real estate attorney to learn more about the steps you can take to safeguard your investment, such as having the property appraised, conducting a title review, and taking many other critical steps along the way.
How Long Does the Due Diligence Process Last in Texas?
While there is no explicitly set timeline for the due diligence process in Texas, this period typically takes one or two weeks to complete. The exact duration varies depending on the agreement and other factors, so you can consult with your attorney for a more accurate timeline.
If you are considering purchasing commercial real estate in Texas, it’s worth enlisting the guidance of a highly qualified and knowledgeable commercial property attorney who can ensure that your best interests are protected at every opportunity. Please contact Sewell Sewell Beard, LLC, at our Prosper, Texas office at (972) 777-5390 or our Jasper, Alabama office at (205) 544-2350 today to get started with one of our experienced and trusted real estate attorneys.
