Advice On Purchasing Pad In Shopping Center

[sail143]

A title search will not analyze covenants.

 

[techbiker]

A title search will not analyze covenants.

It will as long as they are of the public record. Most of the commercial ones I have seen are.

 

[Michael S]

Usually I see CC&Rs that are around 50 pages at the most. Some are as much as 100 pages but I've never come across any that are 250 pages. Some lawyer must have made a pretty penny drafting that for the developer. "Oh you definitely need another 50 pages - that will only cost another $15,000".

 

[techbiker]

Usually I see CC&Rs that are around 50 pages at the most. Some are as much as 100 pages but I've never come across any that are 250 pages. Some lawyer must have made a pretty penny drafting that for the developer. "Oh you definitely need another 50 pages - that will only cost another $15,000".

Ours was uniquely awful because the original complicated CCRs had been amended several times. There were also separate reciprocal agreements between our lot and several other individual out-lots. The anchor was never even built- instead the anchor area developed into a PUD (the CCRs weren't even amended properly to allow this). Before the owner of the anchor lot sold the bulk to the housing developer, they placed additional restrictions on our lot. Our feeling is several attorneys made a pretty penny over a couple decades.

Learning from this experience, we settled on a lot that was never part of a shopping center to avoid the covenant issue.

 

[normando]

Ours was uniquely awful because the original complicated CCRs had been amended several times. There were also separate reciprocal agreements between our lot and several other individual out-lots. The anchor was never even built- instead the anchor area developed into a PUD (the CCRs weren't even amended properly to allow this). Before the owner of the anchor lot sold the bulk to the housing developer, they placed additional restrictions on our lot. Our feeling is several attorneys made a pretty penny over a couple decades.

Learning from this experience, we settled on a lot that was never part of a shopping center to avoid the covenant issue.

Thanks everyone. Having read your responses, I won't make offer considering potential problems with a pad property. I will move on to a less complicated property.