Be Wary Of Creating Title Problems When Renovating Your Commercial Space

11/03/2026 09:46 AM Mark Goodman

If you recently purchased commercial property and you want to personalize the space, or it’s been a while since you’ve done any meaningful upgrades to your property, you may be considering some minor or major renovations. These renovations can bring your commercial space into the 21st century and even improve the property’s value, but if they aren’t done correctly, these upgrades could lead to the creation of title issues that could cause problems down the road if you ever want to sell. Below, we share some tips for avoiding creating title problems when upgrading your commercial property.

Boundary Issues - You may want to install a new fence along your property line, but if the fence isn’t positioned exactly where it needs to be, it can be a big problem. A fence that ends up partially installed on a neighbor’s land may need to be removed prior to a sale.
Mechanic’s Liens - If you fail to pay contractors for their work, the company may take out what’s known as a mechanic’s lien against the property. This debt will need to be settled if discovered ahead of closing, because no buyer is going to want to inherit that debt. You’ll either need to pay it off or spend time in the court system fighting the legitimacy of the lien, neither of which you’ll want to do at that time. Make sure you get lien waivers or final releases from contractors or suppliers.
Zoning Problems - If upgrades or changes to the business do not acquiesce with the property’s zoning regulations, the upgrades may end up being a very costly mistake. We can look into zoning and land use regulations ahead of any upgrades.
Environmental Damage - If construction ends up polluting the groundwater or contaminating the property, you may have to pay a hefty assessment to have the environmental damage addressed. Work with reputable contractors who will ensure waste is disposed of properly.
Permits - You may feel that the government shouldn’t need to get involved in the upgrades you make to your home or business, but life doesn’t really work this way. If you don’t pull the permits for air conditioning upgrades or other commercial renovations, you could create title problems down the road.

Renovating your commercial property can be exciting, but don’t let it turn into a major headache because you rushed through the project, failed to pull permits or follow codes, or left contractors unpaid. Slow down, check your plans and ensure everything is in order so that you don’t end up creating a title issue that will come back to haunt you later. For help renovating your commercial space so that title clouds don’t develop, work with a team of industry professionals who know how to navigate the system. For more information, or for help with a different aspect of commercial property acquisition, reach out to the team at Commercial Partners today at (612) 337-2470.