Commercial Real Estate Law in Pennsylvania
Commercial real estate is any type of land or structure in Middletown, Pennsylvania which is used for business purposes, primarily the sale of goods and/or services to the public.
The laws governing real estate in Middletown, Pennsylvania apply differently when dealing with commercial, as opposed to residential, real estate.
Many of the protections that buyers and renters of residential real estate enjoy rarely apply to renters of commercial real estate.
Some of the protections that don't apply to commercial property include warranties of habitability, rent control, and warranties of quiet enjoyment. There are others, as well. The most basic protections, however, apply to buyers of both residential and commercial real estate, including remedies for fraud and concealment of physical or title defects.
Common Commercial Real Estate Law Issues in Middletown, Pennsylvania
Financing: The majority of small businesses in Middletown, Pennsylvania can't afford to make large real estate purchases with the money they have in the bank. Nevertheless, buying real estate is sometimes essential for a business' survival. This problem is sometimes remedied by taking out a mortgage; a loan used to buy property, with that same property being used to secure the loan.
Disclosure of Defects: Sellers of real estate have an obligation to inform prospective buyers of any defects present in the property, such as water damage and other structural problems. Basically, if the defect is significant enough that it might affect a reasonable buyer's decision on whether or not to purchase the property, and the seller knows about it, it must be disclosed. Failure to disclose such defects would give a buyer the right to sue the seller, and recover significant damages, including the cost of repairing the defect, compensation for any injuries or illness caused by it, and the reduction in the property's value caused by the defect.
Duty to Inspect: Lest you believe that the duty to disclose defects relieves any duty of diligence on the part of the buyer, the law will not reward such lapses with a major cause of action. Buyers have a duty to conduct a reasonable inspection of the property before they buy it, usuallyy with a licensed building inspector. If the buyer fails to do this, they won't be able to recover any damages for defects which they could have discovered through a reasonable inspection.
Encumbrances: Encumbrances are defects of a different type: rather than physical defects, they are defects of title. In Middletown, Pennsylvania, an encumbrance is an interest in a piece of real estate held by a third party, such as covenants or easements. An easement is a right held by someone to use the property of someone else for a certain purpose. For example, a person might have an easement on the land of another person, allowing them to cross the land to access a public road.
Can a Middletown, Pennsylvania Attorney Help?
These issues can be very complicated, and most people consider such financially-weighty decisions to be very crucial. If you are one of those people, it's a smart move to contact a Middletown, Pennsylvania real estate attorney if you are facing any of the issues discussed above.