Real Estate Contracts

Real Estate Contracts  Commercial  Residential

Under Maryland law, an oral agreement to buy or sell land is NOT binding!   Instead, all real estate  contracts must be in writing and signed by the party to be charged. 

Many real estate agents have a standard real estate contract for residential deals.  These "form" contracts tend to be written in a mostly "middle of the road" way to address concerns of both buyers and sellers.  However, Addenda may be necessary or the parties may chose to operate without a real estate agent in some cases.  

Commercial contracts, on the other hand, tend to be more customized with many negotiated terms.  Because commercial deals often involve larger dollar amounts, more sophisticated parties and more moving parts, it is not uncommon to see lengthy purchase agreements heavily negotiated.  At the end of the day, every real estate contract should address similar core terms, the most basic of which involve price, deposit amount and handling, due diligence and settlement timing, contingencies, warranties, default terms, settlement costs and risk of loss.      

Arden Law Firm LLC prepares and reviews both residential and commercial contracts.  While the firm may bill hourly for complex deals, the firm often drafts contracts on a flat fee (in some cases %) basis.  Email or call the firm at 410-216-7000 for more information.      

Letters of Intent

Business purchases (of land or assets) and commercial leases typically start off with a Letter of Intent.  The Letter of Intent outlines the core terms under which the parties will proceed to a more detailed Purchase Agreement or Lease.   Because commercial contracts can get extremely detailed and sometimes involve lengthy negotiations, the parties tend to negotiate the major terms (e.g., price, time to settlement) at the outset and place those in a preliminary LOI or Letter of Intent.  Depending on the structure, the LOI may be binding or non-binding.      

Arden Law Firm helps prepare and/or review LOIs for transactions involving Maryland businesses or Maryland property. 

Leases  Commercial  Residential

Residential leases must comply with a number of Maryland laws designed to protect tenants.  An attorney can help property owners or landlords draft a "boilerplate" lease to address common legal issues and/or review the owner's lease to make sure it contains necessary provisions. 

Commercial leases can be complex!   The most common types of leases in Maryland are NNN (triple net) leases, modified gross leases and gross leases.   Generally speaking, NNN leases pass all of the owner's operational costs onto the tenant.  Modified gross leases may pass some of the costs to the tenant while the Landlord/Owner bears some of the cost itself.  Gross leases tend to include all costs in the square footage price, so that it is a "on the shelf and out the door" pricing.   Commercial leases can get very lengthy and unfortunately often bogged down in legalease.  

Contact Arden Law Firm at 410-216-7000 for a no cost initial phone call of up to 10 minutes with your questions on Maryland real estate contracts, leases or letters of intent.  The firm often reviews real estate documents for a flat fee, with exact fees dependent on the nature and length of the document. 

© ArdenLawFirm 2014-2018  Managing Attorney Cedulie Laumann, Esq.