Air rights permit an individual to build vertically above an existing structure. The right to perform this type of construction is dependent upon the air rights legalities that have been imposed within a specific region. A contractor may want to pursue ownership of vertical space, which will allow them to expand their construction profile.
A Basic Overview
Ground ownership of land relates to the right to build upon and expand a building that is located at ground level. The acquisition of property within a specific region will dictate how tall a structure can be. In many cases, property owners will construct buildings that are not at the highest height allowed within the jurisdiction. The additional space that remains could potentially be used for an expansion project.
A condominium building owner, for instance, may have chosen to construct a building that is a certain number of stories in height. They may have the right to expand their building upwards, but not have the funding to do so. If they choose to sell the air space above the building, they can increase their profit margin.
The customer who obtains the air rights can then choose how they would like to utilize the space. Air rights are taxed separately from other types of taxation processes that relate to the purchase of the commercial property. The air rights tax division outlines how much a property owner will owe in taxes, once they have obtained air rights.
Considerations And Special Circumstances
Each jurisdiction located nationwide will have its own air rights regulations. Information about these regulations can be obtained through an air rights tax division. The acquisition of air rights can be complicated. This may prompt a contractor to seek legal guidance, prior to investing in air space. First, the person who is interested in obtaining the property that is above an existing building should consider how they will develop the space.
They should look into whether or not their business plan can be supported by the funding that they have at their disposal. They should also research the taxation laws within the region. These steps can help someone determine if a property investment will be solid. Some regions allow the transfer of air rights. A museum or another landmark building may have additional air space that can be used for building purposes. A potential property owner can invest in this space, allowing them to increase their real estate profile.
When you want something built, who do you turn to? Okay, maybe you answered that question with a particular person's name, and that's an acceptable answer. But the answer we were really looking for was "construction contractors." This profession is full of people who can build this and that, and who can customize the things they build to meet your unique needs. Working with a construction team is like working with a bunch of people who just want to make you happy. We love that aspect of the industry, and it's something we plan on focusing on more as we write this blog.