Home > Legal > Questions & Answers > Real Estate > I am thinking of buying this commercial property. My concern is that there is a billboard on the property. What are my rights?
I am thinking of buying this commercial property. My concern is that there is a billboard on the property. What are my rights?
If the billboard is owned by someone other than whoever owns the property, it would be disclosed on the preliminary title report. Have you had your broker run a title report on the property?
Disclaimer: Please note that this answer does not constitute legal advice, and should not be relied on, since each state has different laws, each situation is fact specific, and it is impossible to evaluate a legal problem without a comprehensive consultation and review of all the facts and documents at issue. This answer does not create an attorney-client relationship.
Billboards are usually subject to long-term leases in favor of companies that specialize in outdoor advertising. If you buy the property, you would have to honor the lease and you would not be able to demolish the billboard until the lease expired or you negotiated an early termination of the lease. A title report would be helpful only if a memorandum of lease has been recorded; this document contains key terms of the lease (most importantly, when the lease ends and whether the billboard company has any right to extend the lease term or purchase the property). Also, billboard operators also have easements over the property that allow them access to maintain the sign and change the ads, as well as electrical connections for lighting.
Disclaimer: This response is for educational purposes and is not to be relied upon as legal advice. No attorney-client relationship is intended or created by this response.
