Due diligence for real estate acquisitions in Northern Virginia typically includes the following, at a minimum:
- Title and Survey Review. Review title commitment, survey and B-2 exceptions, and obtain pro-forma and endorsements. Obtain estoppel certificates from declarants or associations under recorded CC&Rs, and from tenants under leases, as applicable.
- Zoning and Proffers. Review zoning to confirm ability to develop and/or use property for its intended purpose. Secure zoning confirmation letter. Review and allocate any density rights among landowners controlled by a common rezoning. Review proffers to identify any on-site and off-site obligations encumbering property.
- Easements. Confirm on-site and off-site easements for access, utilities, storm water drainage, signage, parking, temporary construction and grading.
- Utilities. Confirm existing or contemplated utilities have adequate capacity to support intended use.
- Environmental. Perform Phase I and potentially a Phase II.
- Geotechnical Work. Perform soil studies.
Items a) to c) above are typically handled by the buyer’s counsel at the buyer’s expense, while items d) to f) are typically handled by the buyer’s engineers at the buyer’s expense.