In some ways, buying commercial real estate is very similar to buying residential property. There is a public listing and a bidding process. The prospective buyer may need to arrange for financing. The seller has to disclose property issues.
Everyone generally has to sit down together to sign documents at a scheduled closing. There are some key differences in the process. Entrepreneurs and executives looking to acquire commercial property often have many questions about the process ahead. For example, they may wonder whether they have to take hours out of their busy schedule to attend a closing and sign numerous documents.
Is a buyer’s presence mandatory at a commercial closing?
Buyers can outsource the signing process
Most of the time, the easiest closings involve everyone sitting down together. However, business leaders often have many obligations beyond a pending real estate transaction to address. As such, they may want to skip the closing if doing so is possible.
There are a few options available to buyers who cannot be physically present or prefer not to be. They have the option of signing power of attorney documents that authorize another person to sign documents on their behalf at the closing.
Provided that they review everything in advance, their lawyer could potentially navigate the closing for them. This process may also require power of attorney or special written consent from the client. It is also sometimes possible to negotiate a remote closing where the buyer signs separately while in the presence of a mobile notary.
Each option offers benefits and drawbacks. Those hoping to streamline a commercial real estate closing may want to discuss their preferences with an attorney. A lawyer’s support can help minimize the inconvenience involved in acquiring commercial real estate, possibly by paving the way for a buyer to have someone else attend the final signing.