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ZONING and Commercial Real Estate

One of the most important  factors in a commercial real estate transaction is Zoning and Land Use. There are Zoning laws that dictate how commercial property and land can be used for business.  Because the laws constantly change, a zoning investigation (Zoning Due Diligence) should be performed before purchasing a commercial building or land. Some of the items in the Zoning Due Diligence process include:

  • Verify Zoning – to insure the intended use of property is legal.
  • Verify Building Permits – to insure the structure on the property has been permitted by the county and it matches as-built floor plans, square footages and building features.
  • Verifying there are no pending zoning changes.

If you are planning to invest in commercial real estate, it is crucial you have a complete understanding of the city’s Zoning Ordinances and how they may affect your business plans.  Most Cities have an Economic Development Department offering assistance to help business owners.  It is also important your Real Estate Broker is knowledgeable and able to facilitate finding the appropriate zoning required for a particular business’s use.

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