Wiczer Sheldon & Jacobs, LLCWiczer Sheldon & Jacobs, LLC2024-03-26T05:03:06Zhttps://www.wsjlawfirm.com/feed/atom/WordPress/wp-content/uploads/sites/1501785/2021/03/cropped-ID-image-32x32.jpgOn Behalf of Wiczer Sheldon & Jacobs LLChttps://www.wsjlawfirm.com/?p=475862024-03-26T03:49:40Z2024-03-25T05:50:15ZJacqueline M. Satherlie has more than 30 years of experience representingbusinesses and individuals in a variety of general,businessandcommercial legal matters,in state, federal and appellate courts.]]>On Behalf of Wiczer Sheldon & Jacobs LLChttps://www.wsjlawfirm.com/?p=475692024-02-01T15:39:00Z2024-01-15T14:20:36Z
1969-2024
]]>On Behalf of Wiczer Sheldon & Jacobs LLChttps://www.wsjlawfirm.com/?p=475612024-01-11T14:30:01Z2024-01-11T14:30:01ZZoning limits business operations
Northbrook, Illinois, like most other municipal authorities in Illinois, has carefully zoned local real property. There are areas where businesses can engage in industrial operations, like manufacturing, and there are other locations where commercial or retail business operations are a possibility. There are also areas that are residential or agricultural and are there for not currently appropriate for business development.
Those in a position to purchase real property on behalf of a business sometimes make a big mistake by assuming that they can change the zoning at a property. They assume that a few documents are all it takes to use the property in the way that they desire. Contrary to their expectations, either rezoning a property or obtaining a variance is a very lengthy and unpredictable process. The chances of success depend in part on the location and how the community perceives the proposed rezoning or variance.
The business must submit documentation explaining the reasoning behind the request for rezoning or a variance. Requests typically require a lengthy review, often including community feedback. If the proposed rezoning or variance would affect property values or the quiet enjoyment of real estate by those already invested in the region, a business's requests are unlikely to succeed.
The unfortunate truth is that there is never any guarantee of success when a business needs to rezone a property to fully use it. Therefore, executives and business owners need to plan carefully when looking at real property to avoid a scenario in which they purchase property that they cannot use the way that they intended. As such, learning more about zoning in real estate use laws may benefit those hoping to acquire commercial property in the Northbrook area.]]>On Behalf of Wiczer Sheldon & Jacobs LLChttps://www.wsjlawfirm.com/?p=475592023-11-15T20:12:17Z2023-10-13T19:11:28ZOn Behalf of Wiczer Sheldon & Jacobs LLChttps://www.wsjlawfirm.com/?p=474762023-07-19T02:18:44Z2023-07-19T02:18:44ZLease structure and terms
In commercial real estate, negotiating a longer retail lease term can lead to better base rent terms, while seeking lower early termination penalty fees provides flexibility and peace of mind.
Adding a sublease clause allows the tenant to sublet the space if needed, and a co-tenancy clause protects the tenant if their business is impacted by a major anchor tenant leaving. Including a clause that prevents the landlord from renting to a competitor safeguards the tenant's business interests. Lastly, carefully negotiating the "force majeure" clause ensures that unforeseen circumstances and obligations are addressed in the lease agreement.
Financial considerations
When negotiating a retail lease, know your budget, must-haves, and nice-to-haves before entering negotiations. Clearly defining your financial parameters enables you to negotiate a lease more effectively. Landlords typically set the initial rent higher than they expect to receive, so counter with a lower offer, usually around 10-15% below their asking price. This allows room for negotiation and finding a mutually agreeable figure.
Additionally, landlords often offer promotional periods of free rent, which can serve as a valuable discount or compromise, providing significant savings over the lease term. For a multi-year lease, ask for one free rent month per year, for example.
Property and space considerations
Verify the square footage of the space you're renting independently to ensure accuracy and avoid paying for unusable areas. Secondly, request a fair "cure" period, which gives you time to rectify any lease breaches or issues before penalties or legal consequences apply.
Additionally, explore shifting HVAC responsibility to the landlord or negotiate caps on out-of-pocket expenses related to the system. Lastly, negotiate the fixturization period, which covers the time and cost of preparing the space for your retail operations. Ask the landlord to undertake necessary renovations or provide free rent during the fixturization period since you cannot fully use the space for business while it undergoes improvements.
Additional considerations
Contemplate hiring an agent or lawyer who specializes in lease negotiations to advocate for your interests. They may uncover hidden clauses, secure favorable terms, and ensure a smoother process. Additionally, consider negotiating on multiple locations simultaneously to strengthen your bargaining position and provide alternative options.
Don't overlook the importance of negotiating for all available perks beyond the base rent, such as free parking or Wi-Fi, as these can offer long-term savings. Lastly, exercise caution when negotiating the "force majeure" clause, which outlines circumstances where rent obligations can be delayed or excused. Define the scope of force majeure and clarify the range of obligations it covers to protect your business from unforeseen events.
Negotiating retail leases involves some challenging complexity and trade-offs. However, these tips can enhance your negotiation strategy and result in a more favorable retail lease agreement.]]>On Behalf of Wiczer Sheldon & Jacobs LLChttps://www.wsjlawfirm.com/?p=474722023-04-07T17:17:49Z2023-04-07T17:17:48ZHaving high expectations
When selling your home, expecting too much money for your house can keep you from earning anything at all. Buyers are looking to get a good deal on their purchase, and refusing to come down on the price or asking too much to begin with can keep potential buyers from considering your home as their next purchase.
Not making necessary repairs or renovations
When you are planning on selling your home, it is easy to feel like you do not need to make any more changes to your home, or that the buyer will be responsible for fixing major issues. While selling real estate "as-is" is possible, it can cost you. Making renovations or remodels to a home can increase the value of the property by more than you spent to make the changes.
Not preparing your home
Staging your home for sale helps buyers envision what it could look like when they buy it, enticing them to put in an offer. Buyers often tie the value of a home to how nice it looks when they are touring it. If you are not presenting your home in its best condition, you may miss out on the sale you are looking for.
Accepting an offer too quickly
Just because someone makes an offer that matches your asking price, it does not mean it is the best offer for you. If an offer comes with too many contingencies, it may not be worth the effort to meet them. Before accepting an offer, take some time to consider the costs.
Help your sale go smoothly
The actions you take to protect your best interests while selling your home can drastically improve the quality of the results in your sale. Make sure you are avoiding these critical mistakes in your transaction so you can secure a sale that you will not regret.]]>On Behalf of Wiczer Sheldon & Jacobs LLChttps://www.wsjlawfirm.com/?p=474472023-04-04T13:46:37Z2023-04-04T05:00:43ZOn Behalf of Wiczer Sheldon & Jacobs LLChttps://www.wsjlawfirm.com/?p=474072023-02-24T12:23:04Z2023-01-09T20:50:53ZAn overview of the mechanic's lien
As the name suggests, the mechanic's lien gives a contractor or subcontractor an interest in your property until payment is made in full. If payment is not made by a specific date, your home may be sold to satisfy the debt. There is a chance that a lien may be placed against your property even if you weren't the one who failed to comply with the terms of a service contract.
When another party makes a mistake
There are multiple steps that you might be able to take if a mechanic's lien is the result of a contractor failing to pay a subcontractor. For example, you could agree to make a partial payment to stave off foreclosure until you can get in touch with the general contractor. Another potential option is to engage in real estate litigation against the general contractor. If you secure a judgment against that person or company, it may be possible to garnish wages or seize assets that belong to the business.
Minimize the risk of a lien
You may avoid a lien by obtaining a lien waiver from the general contractor before work begins. Alternatively, you can make payments directly to subcontractors or issue joint checks to all parties that need to be paid. However, making payments directly may not be ideal because it may create the appearance of a direct employer/employee relationship.
If you have a lien on your property, it may make it difficult or impossible to sell. Working with a contractor or with county, city or town authorities may make it possible to remove the lien before your home is foreclosed upon or other actions are taken.]]>On Behalf of Wiczer Sheldon & Jacobs LLChttps://www.wsjlawfirm.com/?p=474052023-02-24T12:23:11Z2022-10-11T20:36:33ZSix essential factors to consider
A lot goes into buying commercial real estate. If one or more of these considerations are unfavorable, you may have to look for another property. Carefully consider the following:
The infrastructure and surrounding neighborhood can raise or lower property value
The building's classification
Conduct an inspection to determine the building's condition
Obtain proper financing
Ensure that you have enough earnest money
Hire the right experts to help complete the sale
Where your commercial building is located can make the business fail or succeed. It needs sufficient parking, complementary businesses supporting your operation, and proper zoning. In addition, the property should have the correct classification for your intended use. Always expect some type of hidden cost, but buying the building may not be viable if that cost is too much. Financing and earnest money go hand in hand. Make sure you have sufficient funds to buy the property and secure the type of loan to meet your budget. Finally, working with professionals like commercial real estate agents, accountants, and tax attorneys can help you make the purchase worthwhile.
Closing the deal
Although similar to residential, commercial real estate transactions are more complex. Take time to review the deal's terms, especially its fine-print language that may reveal possible problems that could result in future commercial litigation.
The goal of purchasing a commercial property is to promote your business, not hurt it. Ensure that your intended purchase has the proper zoning and no issues with the title or environmental concerns, as these problems can significantly cut into future profits. Determining what you may have to repair or improve prior to the final deal can save you thousands and possibly millions of dollars in potential future profits.]]>On Behalf of Wiczer Sheldon & Jacobs LLChttps://www.wsjlawfirm.com/?p=473962023-02-24T12:23:19Z2022-07-13T20:29:41ZApplying for rezoning
The goal of zoning designations is to organize land into areas for maximum livability and usage. Common zoning designations include residential, commercial, and industrial, but your area may also have others as needed. If the land you have in mind has always been vacant or hasn't had any buildings on it for many years, local officials may be more open to changing zoning, especially if the area's intended use has changed slowly over time.
Typically, land owners must apply for rezoning the land and submit plans, surveys, photographs, and models detailing the intended usage. Sometimes, owners may need to apply for a zoning variance. This designation differs from rezoning as you may have a use in mind which is compatible with the current zoning but may not be among the list of acceptable uses under the current zoning code. Applying for a variance is similar to a rezoning hearing. Requests for non-conforming usage often occur when a governmental body decides to change the area's overall zoning. Usually, zoning boards will approve a non-conforming request if the property owner can demonstrate that the current operation will not adversely affect the area.
What other zoning changes are possible?
Sometimes, real estate owners may petition for a conditional use for their property, similar to a zoning variance. Determining which type is best for your need depends on current land use.
While zoning changes and variations are often granted, property owners may have more difficulty if a governmental body makes its own change and effectively renders the parcel worthless. This could constitute a "taking" under eminent domain law. Property owners should try to get fair value for their land and buildings when this situation occurs. Thoroughly assessing your options will ultimately benefit you.]]>