Private charges (or private assessments) occur when a party places a lien against a piece of land in order to recoup expenses. These charges can have a huge impact on a commercial real estate transaction, so it’s important to have a passing understanding of them. In this article, we are going to discuss a few things you need to know about private charges / assessments when dealing with commercial real estate.
Private Charges Relate to Many Items
Private charges can relate to a variety of different factors, including:
- Utility payments made on behalf of the owner
- Maintenance charges
- Association assessments
- And more
Private Charges Can Arise in Many Places
Private charges can arise in a variety of different places during a commercial real estate transaction. They can be established in recorded instruments such as: deeds, mortgages, leases, development agreements, or declarations. The most common example when dealing with commercial property is the right of prior approval of a future purchase or occupant – which can be used to keep direct competitors away.
Commercial Title Services
If you are searching for commercial title services for your next real estate transaction, look no further than Commercial Partners Title. We have decades of experience facilitating commercial transactions of all shapes and sizes for our clients. We bring our commitment to customer service to each and every transaction and will help guide you through the entire process. Reach out to our experts today to learn more about the services we provide and how we can help you with your transaction. Our office is located in downtown Minneapolis but we work with clients throughout the country!