When buying commercial real estate, it is important to ensure that it is in the correct zone. There are typically residential zones, commercial zones, industrial zones and sometimes smaller subzones within these areas.
But what do you do if you find a property that you believe will work well for your business, but it is in a residential area? Is it still possible to open a commercial location after purchasing that real estate?
You may need to get a variance
This can be done in some cases, but you have to apply for a variance. This allows you to remove the zoning restrictions. If the variance is granted, you may be able to start a small business out of a residential home.
It is important to note that you should get the variance in advance. There is no guarantee that it will be granted, even if other properties in the area have been given a variance. Every case is examined on its own merits.
Likewise, getting a variance does not change the zone at all. It just means that you are allowed to break the regulations in this specific instance. The property is still in a residential zone, and other nearby property owners are bound by those restrictions, even if the variation lifts them for you.
A complex process
This can be a complicated process, and it is important to get the details right when buying property for commercial purposes. You do not want to make an investment in property that will not be useful, so you need to know exactly what legal steps to take and what options you have.
