All too often, clients engage an attorney for the first time in a commercial real estate transaction when they desire to make an offer to purchase property, or after having received an offer to sell property. Yet, there is an important step in the process that is often overlooked – the review and negotiation of the listing agreement. Regardless as
Many commercial real estate transactions begin with preliminary letters of intent. The primary function of the letter of intent is to outline the essential or basic terms upon which a buyer and seller or lessor and lessee would be willing to consummate the transaction. Yet, by its title, the letter of intent is normally not intended to be the final
It’s easy to ignore the annual escrow reconciliation notice the Real Estate Settlement Procedure Act (RESPA) requires mortgage servicers to send borrowers each year. Heck, I sue mortgage servicers for a living and I admit I often shove the piece aside for days before checking to see if it’s accurate. Despite its innocuous appearance, the notice is way more important
In recent years, creditors and their counsel have increasingly sought alternatives to the traditional method of selling real property in foreclosure proceedings; i.e., obtaining judgment and scheduling a sheriff’s sale. One alternative growing in popularity is the imposition of a receivership, through which a court-appointed receiver may sell property under a court-supervised process. This alternative can reduce the time and
Seldom are there situations in Minnesota where a prevailing party in litigation can have a debt forgiven, recover attorney fees, court costs and even, potentially, punitive damages. Successful litigants bringing claims under the Minnesota Common Interest Ownership Act, Minn. Stat. §515B (MCIOA) are the rare exception who stand to recover their legal fees and additional damages for claims brought under
The California legislature enacted several measures affecting commercial real property that became effective Jan. 1, 2016. Selected measures include: Repeal of Energy Disclosure Law: New Energy Program The energy disclosure law in effect in California since 2007 requiring disclosure of energy consumption in non-residential buildings in connection with certain sales, leases and financing of real property was repealed. New Public
As protection against tenant defaults, commercial landlords rely primarily on three devices: security deposits, letters of credit and guaranties of the leases. This article will focus primarily on the third, from the perspective of the landlord. A guaranty is a promise to answer for the debt, default or miscarriage of another (California Civil Code Section 2787). Key considerations with lease
Changes in ownership of California real property permit county assessors to reassess the property for property taxation as of the date of the ownership change. Reassessments may cause taxes to increase or decrease. A change in ownership is any transfer of a present interest in real property or its use that is substantially equal to the fee interest in the
The year 2014 was active for California legislation affecting commercial real estate. Disclosure Requirements Since 1985, agents and brokers in residential real estate transactions have had to disclose their agency role in those transactions. Until now, no such requirement was imposed on licensees in commercial transactions. Effective Jan. 1, 2015, licensees in commercial real property sales and leases of more
Subleasing real estate often looks like a good solution for growing companies to find short term space at below market rates. There are several inherent risks, however, for subtenants who agree to sublease space from a primary tenant (who becomes the sublessor) that’s in a precarious fiscal position. If the sublessor stops paying or files for bankruptcy, the sublease is
All too often, clients engage an attorney for the first time in a commercial real estate transaction when they desire to make an offer to purchase property, or after having received an offer to sell property. Yet, there is an important step in the process that is often overlooked – the review and negotiation of the listing agreement. Regardless as
Many commercial real estate transactions begin with preliminary letters of intent. The primary function of the letter of intent is to outline the essential or basic terms upon which a buyer and seller or lessor and lessee would be willing to consummate the transaction. Yet, by its title, the letter of intent is normally not intended to be the final
It’s easy to ignore the annual escrow reconciliation notice the Real Estate Settlement Procedure Act (RESPA) requires mortgage servicers to send borrowers each year. Heck, I sue mortgage servicers for a living and I admit I often shove the piece aside for days before checking to see if it’s accurate. Despite its innocuous appearance, the notice is way more important
In recent years, creditors and their counsel have increasingly sought alternatives to the traditional method of selling real property in foreclosure proceedings; i.e., obtaining judgment and scheduling a sheriff’s sale. One alternative growing in popularity is the imposition of a receivership, through which a court-appointed receiver may sell property under a court-supervised process. This alternative can reduce the time and
Seldom are there situations in Minnesota where a prevailing party in litigation can have a debt forgiven, recover attorney fees, court costs and even, potentially, punitive damages. Successful litigants bringing claims under the Minnesota Common Interest Ownership Act, Minn. Stat. §515B (MCIOA) are the rare exception who stand to recover their legal fees and additional damages for claims brought under
The California legislature enacted several measures affecting commercial real property that became effective Jan. 1, 2016. Selected measures include: Repeal of Energy Disclosure Law: New Energy Program The energy disclosure law in effect in California since 2007 requiring disclosure of energy consumption in non-residential buildings in connection with certain sales, leases and financing of real property was repealed. New Public
As protection against tenant defaults, commercial landlords rely primarily on three devices: security deposits, letters of credit and guaranties of the leases. This article will focus primarily on the third, from the perspective of the landlord. A guaranty is a promise to answer for the debt, default or miscarriage of another (California Civil Code Section 2787). Key considerations with lease
Changes in ownership of California real property permit county assessors to reassess the property for property taxation as of the date of the ownership change. Reassessments may cause taxes to increase or decrease. A change in ownership is any transfer of a present interest in real property or its use that is substantially equal to the fee interest in the
The year 2014 was active for California legislation affecting commercial real estate. Disclosure Requirements Since 1985, agents and brokers in residential real estate transactions have had to disclose their agency role in those transactions. Until now, no such requirement was imposed on licensees in commercial transactions. Effective Jan. 1, 2015, licensees in commercial real property sales and leases of more
Subleasing real estate often looks like a good solution for growing companies to find short term space at below market rates. There are several inherent risks, however, for subtenants who agree to sublease space from a primary tenant (who becomes the sublessor) that’s in a precarious fiscal position. If the sublessor stops paying or files for bankruptcy, the sublease is
