Irrespective of nature of a business, one deciding factor that remains important to the success of a business is its location. Selecting the right property for your business would depend on its intended use and customer segment that you want to target.
Below are some important questions to ask when looking for a commercial property for your business:
- Is The Title Clear?
The buyer should be provided with a full report mentioning any encumbrances against the property. It is important to have a clear title and title insurance for maximum protection.
- Is There Insurable Access To The Property?
Simply having access to the property is not enough. For future development, financing or selling the property, access to the property should be insurable.
- Are There Any Environmental Concerns That You Should Be Aware Of?
To ensure there are no environmental concerns, ask for environmental assessments to protect yourself against unexpected costs and delays.
- Does The Zoning Code Permit Your Intended Use?
Ask the seller whether the zoning code of the city or county (that you are purchasing the property in) permits to appropriately use it for your business purpose.
- Are There Any Liens Or Encumbrances Against The Property?
Inquire whether there are any code enforcement liens, easement obligations, unsatisfied development or unpaid municipal liens that can lead to legal liabilities for you as the owner.
- What Are The Municipal Design Requirements?
To create an effective financial blueprint, ask about the municipal design requirements, permits and fees in the area. These requirements will shape your project and have an effect on your budget.
- Are There Tenants?
If the property has tenants, go through the lease agreement and ask whether there is a rent roll with the log of tenants, their deposits, expenses and other operating data to determine the accuracy of accounting.
- Are There Any Issues With The Building?
Ask whether there are any issues in the building that you should be aware of such as plumbing, electrical, roof, elevator, fire sprinklers, etc. Get the property inspected to evaluate the need for repairs, if any. Request for due diligence documents pertaining to all the systems in the building.
- Are There Any Financial Records?
Ask for financial documents related to the property prior to your ownership. The documents will give you a glimpse into the operating expenses.
John Reider Properties assists its clients in finding an ideal commercial property. The agency also offers commercial property management. For more details on things to know before selecting a commercial property site, visit 455 E. Central Texas Expwy, Suite 101, Harker Heights, TX – 76548. You can also call at: (254) 699 – 8300.