Commercial real estate law can be hard to grasp when you’re in the middle of it. Laws exist at the federal level and the state level and the local level includes regulations. It’s best to seek professional guidance to keep a level-head, particularly when a sizable investment is involved. The following primer will explain a couple areas of law that all commercial real estate property owners need to understand.
Tenant/Landlord laws differ enormously for each state, but they’re meant to protect both of the parties involved in any kind of leasing or rental agreement. Such laws often call for:
• Payment of rental fees
• Necessary disclosures
• Rights of privacy
• Duration of tenancy
These laws are essentially finely crafted legal definitions of how the relationship between the property owner and the individual residing in the space works. Knowing what the laws are in Chicago is a vital part of ensuring you don’t violate your tenant’s rights. It’s also good to understand the laws if a tenant should ever violate your contractual arrangements.
Zoning and Land Use Regulations
State or local legislation generally dictates how zoning and land use laws are enforced. As well as determining taxation, such regulations define the way an estate (commercial or otherwise) may be used. Zoning mandates can determine whether the property can partake in retail operations and even the kind of retail operations that can take place. For instance, property as simple as a hot dog cart falls under zoning regulations and the operator could be close down if the business infringes on the established property rights.
State legislation usually directs the procedures for any zoning changes. It involves applying for rezoning and getting the local board to hold a meeting. It could be more complex than that depending on what the local law looks like.
When In Doubt, Ask an Expert
Attempting to steer through the tricky regulations and local laws that dictate commercial property leasing can be hard. There are just too many variables within the state, federal and local levels that must be acknowledged. To request information or talk to an attorney, contact us now at (815) 242-9153.
***This is not intended to be legal advice and you should consult with an attorney.