Commercial real estate closings do not just happen, all of the parties involved and their respective counsel pave the way for a successful closing. At Attorneys’ Closing Services, we help law firms, title companies and businesses confidently handle their commercial real estate closings. When it comes to the close, every detail matters.
Here are 5 important tips to remember when closing a commercial real estate transaction:
- Establish a plan. Developing a transaction plan is the first step. The plan must guide contract negotiations and the steps necessary for closing and post-closing. If there are certain zoning requirements, availability of utilities, or the confirmation of structural elements of a building, the plan along with the purchase agreement must address those issues and be included as part of the closing requirements.
- Assess the issues. It is important to be prepared for issues that can arise during a commercial closing. Not understanding and resolving these issues timely is one of the greatest causes of transaction failure. “Risk-shifting” techniques can effectively mitigate transaction risks. This can include title insurance with appropriate use of available commercial endorsements. When addressing risk-shifting opportunities, an experienced commercial real estate attorney familiar with available commercial endorsements can often overcome certain title obstacles through creative and effective contract drafting and the assistance of a knowledgeable title underwriter.
- Be prepared for third party delays. It is important to recognize that the closing deadlines important to the parties involved in the transaction are oftentimes meaningless to un-related third parties whose participation is vital to the close. These third parties can include government agencies or any vendor who is not a representative of the buyer or seller. An experienced commercial real estate attorney can recognize when a delay is occurring and push for a timely response when necessary. They have developed relationships with reputable vendors and third parties over the years who can expedite the transaction on the table.
- Coordinate all closing requirements. New issues often arise towards the end of a closing, oftentimes because of the necessity of relying on independent third parties and having to provide certifications and showings dated in close proximity to closing. As the closing approaches, real estate brokers, commercial real estate counsel, and all necessary representatives of the buyer and seller should remain available and ready to respond to the changing demands and circumstances.
- Proactively address potential obstacles. Sounds simple, but creative problem solving in any commercial closing transaction depends on a process that allows you to gather information and resolve issues proactively and predict the ever-changing demands of a commercial closing transaction.
At Attorneys’ Closing Services (ACS), we allow our clients to cut staff time and come to the closing table fully-prepared. When you partner with ACS, you have more than 50 years of combined experience in the fields of law and real estate on your side! ACS assists real estate attorneys and title companies with a variety of timely services that include complete closing document preparation, preparing commitments and policies, ordering products to satisfy title requirements and trust account reconciliation. Working closely with attorneys, title agents and lenders, we deliver professional closing documents of the highest quality – from the initial draft HUD-1 / Closing Disclosure to the final closing package.
Whether your office needs assistance with full or partial closing processing services, ACS is ready to step in at a moment’s notice. We tailor our services to meet each client’s individual needs. While we handle the processing, you can remain the closing agent and collect the premium. We would be honored to work with you on any and all of your real estate closings. Call us today at 407-270-8855 to see how we can help you.
To learn more, visit http://attyclosingservices.com/about-us/.