LONG ISLAND, New York. According to Forbes, commercial real estate is the fourth top investment strategy, behind stocks, bonds, and cash. More people are turning to commercial real estate as an investment option because it has some degree of insulation against volatility in markets. While the markets tend to go up and down and are tied to world events, commercial real estate remains relatively stable. Commercial real estate also allows investors to diversify their portfolios, so they are not tied entirely to the stock market. The investment also comes with some good tax benefits. With good investments, commercial real estate can offer excellent returns. However, there are some legal issues that investors should consider before they jump into commercial real estate as an investment.
According to Solomon Richman, P.C. in Long Island, there are several legal concerns that commercial real estate investors should consider. For instance, if you plan to rent your real estate to businesses, it is wise to double check zoning rules and requirements. Subdividing buildings may require approvals. If you plan to use a building in a way that differs from prior uses, it may be wise to consult with a commercial real estate lawyer. Additionally, commercial real estate investors who plan to rent apartments, may also want to seek the assistance of a commercial real estate lawyer to review their landlord tenant agreements. You’ll want to check that you are in compliance with laws governing rent control, are meeting your obligations as a landlord, and ensure that your agreement protects your rights should a dispute arise.
It is also a good idea to have a qualified commercial real estate lawyer’s phone number handy. Many savvy investors develop a relationship with a commercial real estate lawyer long before any disputes arise. Commercial real estate investors could find themselves facing litigation should zoning rules change, should they have a dispute with a tenant, or should a boundary dispute arise. Having a good relationship with a commercial real estate lawyer you trust can protect you when or if an emergency arises. Resolving issues quickly can save you both time and money, so knowing a good lawyer can be considered a strong protection to add to any investment strategy. After all, no one wants to scramble to find a good attorney while trying to fight a contentious dispute with a tenant.
According to Yahoo Finance, there are several strong types of real estate investment properties on the market. These include land investments, office buildings, retail space, storage units, industrial property, and multi-family housing. Each of these investments are governed by regulation, so you’ll want to speak to a lawyer before choosing. The kind of investment property you may choose to invest in will depend on how much money you have, your willingness to shoulder risk, and your interests. However, if you are new to commercial real estate, it is always wise to speak to a commercial real estate lawyer, like the attorneys at Solomon Richman, P.C. before making your first investment. Visit our website to learn more http://solomonrichman.com/.