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Free Guide to Hiring a Real Estate Lawyer
Commercial real estate law covers the legal rules and practices that govern buying, selling, leasing, developing, financing, operating, and disposing of property used for business purposes. In Denver, the field is shaped by a combination of federal law, Colorado state law, and local ordinances and regulations enforced by the City and County of Denver. Common commercial property types include office buildings, retail centers, industrial and warehouse space, mixed-use developments, hospitality properties, and multiunit residential projects held as commercial investments.
Because Denver has experienced significant growth, redevelopment, and neighborhood change, commercial real estate matters often involve zoning and land use approvals, development agreements, environmental reviews, historic preservation, and complex leasing and financing arrangements. Legal issues can range from contract drafting and negotiation to litigation and regulatory compliance.
Commercial real estate transactions and disputes generally involve large amounts of money and complex legal and technical issues. A lawyer can help protect your interests, identify and manage risks, and move the transaction or project forward efficiently. Typical situations where you may need a lawyer include negotiating or drafting leases, buying or selling property, securing or modifying construction and acquisition financing, handling title and survey issues, performing environmental due diligence, navigating zoning and permitting processes, and resolving disputes between landlords, tenants, partners, lenders, or contractors.
Lawyers also provide value when structuring ownership or investment vehicles, preparing or reviewing purchase and sale agreements, negotiating easements and access rights, dealing with eminent domain claims, and representing clients in regulatory hearings or litigation. For first-time developers or investors, an attorney can explain local practice, required filings, timelines, and cost exposure so you can make informed decisions.
Several local legal topics are particularly important in Denver commercial real estate:
Zoning and Land Use - Denver has a zoning code that governs allowable uses, building height and bulk, parking requirements, setbacks, and design standards. Planned unit developments, rezone requests, variances, and conditional use permits require engagement with the Denver Community Planning and Development process and sometimes public hearings before planning boards or the city council.
Building, Safety and Fire Codes - Building permits, inspections, certificates of occupancy, and compliance with building and fire codes are handled under Denver local rules and statewide building codes. Projects must meet code requirements and obtain necessary permits before construction or occupancy.
Historic Preservation - Properties in designated historic districts or with landmark status face additional review and restrictions. Alterations or demolitions may require approval from the city historic preservation office.
Environmental Regulations - Environmental due diligence is routine for commercial transactions. Phase I environmental site assessments, and if needed Phase II investigations, address potential contamination issues. Environmental liabilities can arise under federal and state laws as well as local ordinances, and remediation obligations can be significant.
Title, Recording and Property Taxes - Title issues like liens, easements, covenants, and encumbrances are governed by state law and local recording practices at the Denver Clerk and Recorder. Property valuation and tax assessment are handled by the Denver Assessor and the Colorado Department of Revenue - Property Tax Division.
Licensing and Permits - Certain commercial activities require business licenses, liquor licenses, health permits, or specific use permits. Compliance with local licensing rules is essential before opening or operating a commercial enterprise.
Affordable Housing and Inclusionary Policies - Denver has policies and programs related to affordable housing and community benefits that can affect development projects, particularly for rezonings or projects receiving public incentives.
Public Improvements and Impact Fees - Developers frequently negotiate public improvements, fees, or infrastructure requirements with the city. Development agreements and dedications can impose costs and ongoing obligations.
Look for attorneys with specific experience in commercial real estate transactions and matters in Denver and Colorado. Check credentials, client references, published materials, and past transaction experience. Consider whether you need additional expertise such as land use, environmental law, construction law, tax, or financing. Ask for an initial consultation to assess fit, communication style, and fee structure.
Fees vary by complexity and lawyer experience. Common arrangements include hourly billing, task-based flat fees, and retainer agreements. Large transactions and complex deals often use hourly billing with an upfront retainer. For predictable tasks like drafting a standard lease, a flat fee may be possible. Always get a written engagement letter that describes the fee structure and billing practices.
Commercial real estate law deals with property used for business and typically involves more complex contracts, longer leases, negotiation of operational terms, commercial lending, and regulatory approvals. Commercial parties are usually considered sophisticated and have greater freedom to negotiate custom contract terms. Residential law often has more consumer protections and standard forms for smaller transactions.
Key lease points include rent and escalation clauses, lease term and renewal options, tenant improvement allowances, maintenance and repair responsibilities, insurance requirements, indemnities, assignment and subletting rules, default and remedy provisions, and tenant use restrictions. A lawyer can negotiate protections for common issues like early termination, security deposits, and exclusive use clauses.
Zoning dictates allowable uses, density, building height, parking, and design standards. If your intended project does not conform to the current zoning, you may need a rezoning, variance, or special use permit. That process can involve public hearings and conditions imposed by the city. A land use lawyer or planner can assess feasibility and advise on the approval pathway and likely costs and timelines.
Common environmental concerns include soil and groundwater contamination from prior uses, asbestos, lead-based paint in older structures, underground storage tanks, and vapor intrusion risks. A Phase I environmental site assessment is standard. If the Phase I identifies potential issues, a Phase II investigation may be required. Environmental liabilities can be allocated by contract, but some statutory liabilities may be nontransferable.
Title insurance protects the buyer and lender against defects in title that were not discovered in the title search, such as hidden liens, clerical errors, or forged documents. For most commercial acquisitions financed by lenders, lender title insurance is required, and buyers often purchase owner title insurance to protect their investment. A lawyer will review title commitments and exceptions and coordinate curative steps for issues like liens or easements.
Eminent domain is the government power to acquire private property for public use with just compensation. If Denver condemns property or takes an interest in property, an owner has the right to notice, an appraisal process, and to seek fair compensation in negotiation or litigation. A lawyer experienced in eminent domain can protect your valuation rights and pursue higher compensation when appropriate.
Timelines vary greatly. A straightforward lease may take a few weeks to a few months depending on negotiation. A negotiated sale with financing, environmental review, and due diligence commonly takes 30 to 90 days or longer. Complex development or rezoning projects can take many months to years. Start early, assemble key advisors, and build contingency time into your plans.
Gather property documents such as the deed, title commitment, surveys, existing leases, rent rolls, financial statements, environmental reports, property tax records, current permits, construction contracts, and any correspondence with the city. For purchases, provide your proposed business entity documents and proof of funds. For leases, provide a summary of desired lease terms. Having organized information speeds up counsel review and reduces initial legal costs.
City and local agencies can provide authoritative information on zoning, permitting, and building codes. The City and County of Denver Community Planning and Development department administers zoning and land use reviews. The Denver Clerk and Recorder handles deeds and recording. The Denver Assessor and the Colorado Department of Revenue administer property tax matters. The Colorado Division of Real Estate and the Colorado Secretary of State are relevant for licenses and business filings.
For legal assistance and referrals, consider the Colorado Bar Association and the Denver Bar Association Lawyer Referral Services. Nonprofit legal aid organizations and volunteer lawyer programs can help individuals and small businesses with limited resources. Title companies, surveyors, and environmental consultants are commonly engaged as part of due diligence.
If you need legal assistance, start by organizing your documents and clarifying your objective - for example, to buy a property, negotiate a lease, obtain a permit, or resolve a dispute. Prepare a brief summary of the facts, the property address, and any critical deadlines. Contact several commercial real estate attorneys to compare experience, approach, and fees. Ask about their experience with Denver zoning, permitting, environmental matters, and transactions similar to yours.
During initial consultations, inquire about likely risks and steps, estimated timelines, and a preliminary budget for legal fees and related costs. Once you hire counsel, sign a written engagement letter, provide requested documents promptly, and keep open communication with your lawyer and other advisors. Early legal involvement reduces surprise costs and can increase the likelihood of a successful outcome.
Even if you are at an early stage, a short paid consultation can save time and money by identifying fatal issues or efficient pathways forward. For complex projects, assemble a team that includes a lawyer, broker, surveyor, title company, lender, and environmental and construction professionals to coordinate due diligence and approvals.
