We own and occupy an 8,000 sqft stand-alone building in Fort Worth, Texas which was funded by SBA loan program.
Unfortunately, the business that we operate does not create a good profit compare to our projection and we know that we have to do something before the bank seize the property.
My husband and I are thinking about dividing the building into 6 business-condo spaces and resell the units.
Q1: Does anybody know about the legal process to construct a business condo deal?
Q2: Is it feasible to replat the property in to 2 pieces and fire-sell the half that has a building to pay-off to the bank?
Q3: Worse case scenario, if the bank seized our property, how long is the redemption period that we would have under texas law?
All questions can be answered by a local, preferrably referred, RE attorney in your area. And to be frank, they NEED to be answered by an attorney, not anyone on a public forum.
Raj is right, you need to talk with an attorney. You may not have enough time to sub-divide. You need to talk with the municipality where you are located to see if is even permissible in the area you are thinking about sub-dividing. You may want to look for an investor
if the up side of this deal looks good to give you more time.You may have to go through a zoning board and then have a servyor(sp) plat the property and that takes time and money. There is always a way to solve a problem. Think outside the box to come up with an idea.
If you can pre-sell the condos would also give you some extra time with the bank if you can show them a couple of potential buyer if you condo this off.