California Commercial Real Estate Lawyer

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hire california commercial real estate lawyer

Commercial real estate involves the ownership, use, and management of properties intended for business purposes. Purchasing, renting, and managing commercial real estate in California can prove to be complex. That’s why experienced California commercial real estate lawyers are ready to assist you.

Meet Lobb & Plewe, Attorneys at Law

At Lobb & Plewe, we focus on business and real estate law throughout California and Nevada. We’ve served both businesses and individuals since 1993. Our services include estate planning, business litigation, employment law, intellectual property, and other commercial legal matters. Whether you contact us at our office in Corona or Las Vegas, we are ready to assist you.

Types of Commercial Real Estate in California

Commercial real estate includes multiple property types. Each form of real estate is defined by its use for financial purposes and includes offices, retail spaces, industrial properties such as factories, and multifamily properties, which encompass apartment buildings or similar complexes designed to lease homes to tenants. The Los Angeles-Long Beach area contains 1,055,613 multifamily units, alongside millions of square feet of commercial real estate. 

If you own office space, it is also important to note the type of structure class your office falls into. Office buildings are classified as Class A, Class B, or Class C. Each class marks a decrease in building quality and, therefore, its attraction to investors.

Commercial Leases in California

Many people who use commercial spaces lease them from the property owners. Property may fall under five types of commercial leases. These include:

  • Gross lease or full-service lease. In a gross or full-service lease, the tenant pays the base rent for the property, and the landlord handles all other costs, including insurance and maintenance costs. While this can lead to higher rent and operating expenses, it takes the burden of property maintenance off the tenant.
  • Net lease. In a net lease, not only do tenants pay the base rent, but they also pay for some of the operating costs. The operating costs vary based on the type of net lease, such as:
  • Single net lease. Tenants pay for rent, utilities, and property taxes.
  • Double net lease. Tenants pay rent, utilities, taxes, and building insurance.
  • Triple net Lease. Tenants pay rent, utilities, taxes, insurance, and maintenance fees.
  • Percentage lease. The tenant pays their base rent, utilities, and a portion of their gross income generated from the business. This percentage is typically below 10% and is applied to retail spaces.
  • Modified gross lease. A modified gross lease is similar to a triple net lease, but the tenant does not cover all the extra expenses. The exact fees the tenant is expected to pay can vary from lease to lease.
  • Absolute triple net lease. Not only do tenants cover rent and operating costs, but they also do not receive any assistance from their landlord. All financial responsibility rests on the tenant.

How Lobb & Plewe Can Help

An experienced California commercial real estate attorney handles a variety of legal matters. The team at Lobb & Plewe can assist with:

  • Lease drafting, review, and negotiation
  • Purchase and sale agreements for commercial property
  • Title issues, easements, and boundary disputes
  • Zoning, land use, and permitting compliance
  • Commercial evictions 
  • Breach of contract claims
  • Construction defects and contractor disputes
  • Property development and financing agreements

There are a variety of disputes that can arise regarding commercial real estate. These can include disagreements on property lines, titles, construction, or easements. Each of these disputes has various options for resolution. Lobb & Plewe can support you through mediation or arbitration, keeping the conflict out of the courts. 

When necessary, our attorneys can represent you in court. Commercial real estate cases are generally handled by the Superior Court of California. Lobb & Plewe has an in-depth knowledge of California commercial real estate law and can help clients navigate disputes, transactions, and litigation throughout the state. We can help to streamline your case and avoid mistakes that could cost you both time and money.

FAQs

Can a Commercial Lease in California Be Enforced Even if It Was Never Formally Signed?

Yes, in some cases, a commercial lease may still be enforceable even if it was not formally signed. Courts may look at the parties’ conduct, such as payment of rent, occupancy, and communication, to determine whether an agreement exists. Proving the terms can be difficult, which is why having a clearly written and executed lease at the onset is essential to avoid costly disputes.

What Rights Do Commercial Tenants Have in California?

The rights of commercial tenants in California are limited by the terms of their lease. Senate Bill 1103 gives certain tenants extended rights if they qualify under the law. To qualify, a business must be a microenterprise, a restaurant with fewer than 10 employees, or a non-profit with less than 20 employees.

What Are the New Laws for Landlords in California?

California landlord-tenant laws continue to evolve, and the rules that apply can depend on the type of property involved. Because legal requirements may change, landlords and tenants should review current California law and any local rules that may affect their rights and obligations.

What Legal Risks Should I Consider Before Purchasing Commercial Property in California?

Before purchasing commercial property, it’s important to evaluate title issues, zoning compliance, existing leases, environmental liabilities, and potential use restrictions. Hidden problems, such as easements, code violations, and tenant disputes, can significantly impact value and operations. A commercial real estate lawyer can conduct due diligence, review contracts, and help identify risks before closing to protect your investment.

How Do I Handle a Commercial Real Estate Dispute?

If you find yourself in a commercial real estate dispute, the California commercial real estate attorneys from Lobb & Plewe can help you develop a plan to reach a settlement or represent you in litigation. Their understanding of commercial real estate law can help you achieve a fair compromise for your situation.

Hire a Commercial Real Estate Lawyer Today

Commercial real estate can be essential to the operation of a successful business. Real estate disputes can disrupt your entrepreneurial dreams. That’s where Lobb & Plewe can come to your aid. If you need to hire a commercial real estate lawyer in California, contact Lobb & Plewe today.