When you buy commercial property, it is important to understand the land use restrictions on the property before you consummate the sale. It's a good idea to do some due diligence and preliminary investigations with the city or county zoning and planning office first to find out what the residential and commercial zoning laws are in the area. Some properties are zoned for both residential and commercial usage, while others are zoned only for residential use or just for commercial use. If you are planning on building or developing land or tearing down existing structures and using the property for another use, you need to make sure that you comply with local zoning laws. Interpreting zoning laws is complicated and requires the expertise of a zoning and land use attorney. It is recommended that you speak with an attorney prior to purchasing commercial property.
Commercial zoning laws pertain to commercial properties including office buildings, industrial and warehouses, retail and shopping center and mixed use properties. Apartment, townhouse and condominium zoning laws are generally covered under residential zoning laws. As part of your contract negotiations, you should include a contract contingency that the purchase of the property is contingent upon you obtaining rezoning or a zoning variance for the property. If you are unable to get the property rezoned or obtain a variance, you will be able to cancel the contract, and find another property that meets your needs.
When you are purchasing and/or developing property, you need to be concerned with the following zoning issues:
The local zoning laws are strictly enforced. Zoning laws change all the time. Existing dwellings and buildings may be grandfathered in under previous laws. However, if you are planning on making additions to structures or tearing them down and building new structures, then the new additions and building structures will have to comply with current zoning laws. It may be necessary to obtain a zoning variance from the local city or county planning and zoning commission or to ask for a rezoning hearing. A land use and zoning attorney can help you resolve zoning issues with the city or county, and represent you at the zoning hearing and with contract negotiations with the seller.
Zoning issues are extremely complex and require an attorney to review documents and negotiate zoning variances. The attorney is an expert at zoning laws and can explain them to you and make recommendations on how to resolve zoning issues and problems.
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