Law specialisms : Property and real estate

Andrea Newman is an associate at Mills & Reeve LLP.

Have you ever driven past a field and thought that someone should build houses there or walked past an office block and wondered who was inside? If you have an interest in the use of land and buildings then real estate might be an enjoyable practice area for you to consider.

What does the work involve?

The work of a property lawyer is diverse and, although there are disputes specialists, it tends to be transaction driven. What's involved will depend on the client and their motivation for dealing in land. A pension fund might buy a multi let building as an investment for the regular income it provides (through rent) and the potential for increase in its value on a future sale if they manage the building well, e.g. by filling it with paying tenants that are committed to stay.

Corporate occupiers require premises from which to operate their businesses and, depending on their size and requirements, that might mean anything from high-profile office headquarters, a local shop, a warehouse as big as five football pitches, a high tech factory or a purpose-built leisure facility. It is common for businesses to take a lease of existing buildings, which can last for anything from a few months up to 20 years or more. Negotiating a lease involves agreeing the practicalities for the basis of occupancy, such as which party will be responsible for the upkeep of the premises, how that will be paid for and at whose cost.

Then there are the property developers, who range from listed companies to the local building firm. Developers buy sites in order to construct new buildings, which they will usually sell on. Yet this can be long-term work. It might take years of strategic planning for the client to acquire ownership of different areas of land from various sellers before a large scheme can get underway.

Developers often need their solicitor to negotiate complex contracts. Key issues can include funding for the build, steps to be taken before a sale is binding, e.g. obtaining planning consent, the timing of payments and transfer of land ownership and whether profits will be shared at the end of development. Another hot topic, in the current climate, is what will happen if a party experiences financial problems part way through construction.

What do trainees do?

As a trainee in any property department you can expect to prepare the contracts, licences and deeds to be used in more straightforward transactions. At some firms you may well have your own regular supervised caseload. There is not any one type of property lawyer, those of us who undertake this work are as diverse in character as the role itself.