Buying Property for your Business

The Step-by-Step Process to Buying a Property for your Business

Initial Consultation

• Understand the business goals and specific property needs: 

  1. The type of business and industry.

  2. The desired property location.

  3. Essential property features (size, layout, amenities, etc.).

  4. Discuss budget & financing strategy for purchasing the property.

  5. Timeline for acquisition.

Market Research

• Identify suitable properties that meet the business owner's criteria, including:

  1. Market demand and availability of commercial properties in the desired area.

  2. Property values, zoning regulations, and land use restrictions.

  3. Local competition and potential customer base in the area.

Property Identification

• Identify commercial properties that align with the business owner’s needs: 

  1. Searching through online listings, personal networks and commercial property databases.

  2. Contacting property owners or brokers directly to inquire about off-market listings or properties not yet listed.

Site Visits and Property Evaluation

• I arrange site visits for the business owner to view potential properties and assess their suitability. 

• Evaluate the layout, space, and facilities, ensuring they align with the business’s operational needs.

• Must consider many factors such as parking availability, employee access, customer foot traffic, and proximity to suppliers competitors...to name a few. 

Financial Analysis

• I help the business owner assess the financial aspects of purchasing a property, including:

  1. Reviewing the property’s asking price in comparison to its value and the local market.

  2. Estimating ongoing costs (taxes, utilities, maintenance, insurance).

  3. Helping with financing options, such as working with lenders to secure commercial loans.

Due Diligence

• Once the business owner selects a property, I assist with due diligence, which may involve:

  1. Reviewing the property’s title and legal status to ensure it’s free of liens or disputes.

  2. Coordinating inspections for structural issues, environmental concerns, and other assessments.

  3. Checking zoning laws to ensure the property can be used for the intended business operations.

Negotiation

• Negotiate with the seller to reach favorable terms for the business owner, including:

  1. Price negotiations based on market conditions and property value.

  2. Drafting and negotiating purchase agreements that include contingencies (e.g., financing, inspections, etc.).

  3. Addressing specific terms related to the property (e.g., repairs, inclusions/exclusions, or timelines).

Contract and Legal Review

• Once an agreement is in place, the business owner’s attorney and other professionals review contracts and legal documents. This includes:

  1. Ensuring the purchase agreement includes favorable terms and conditions.

  2. Reviewing any clauses related to leaseback options (if the seller is renting back the property) or tenant rights.

  3. Working with an attorney to ensure compliance with local laws, regulations, and business permits.

Closing the Deal

• I  coordinate the closing process, which typically involves:

  1. Finalizing financing, ensuring that funds are transferred and all agreements are signed.

  2. Facilitating the exchange of funds and property title.

  3. Ensuring that all necessary documents are filed, including any new property registrations or permits.

Post-Closing Support

• After the purchase, I like to support the business owner with:

  1. Transition assistance, ensuring that the business is set up in the new space (e.g., coordination of moving in or renovations).

  2. Providing referrals for contractors or vendors for any immediate changes needed for the business operations.

  3. Assisting with leasing any part of the property to other business owners. 

  4. Offering ongoing advice on potential expansions or future property acquisitions as the business grows.