Not all commercial real estate is the same. Local authorities maintain a variety of zoning options for commercial properties. Some facilities are mixed-use, while others are solely for industrial or retail purposes.
Those intending to acquire commercial real estate for business operations or pursue a redevelopment project need to validate the zoning of the property before making an offer. If the current zoning at the property does not align with the intended use of the property, then the buyer or owner may need to take the matter to local authorities.
How can commercial real estate owners ensure they can comply with local regulations if zoning does not match their intent?
There are two zoning solutions available
Individuals and businesses with commercial real estate holdings in their portfolios have two options when there are zoning issues. The first is to ask local authorities to rezone the property.
Particularly in cases where the characteristics of a neighborhood have evolved substantially in recent years, rezoning the property is an appropriate response. Rezoning has a permanent impact on the parcel and possibly other adjacent parcels as well.
Other times, a zoning variance might allow business leaders to use a property for a purpose that does not technically align with the current zoning. Both options require paperwork, thorough plans and patience.
Consulting with a commercial real estate lawyer can make it easier for investors and business leaders to manage zoning issues effectively. If current zoning does not align with business plans, business leaders may need to address their zoning issue as soon as possible.
