An ALTA survey does more than mark property lines. For a commercial closing, it can turn up problems no one saw coming. Buyers, lenders, and title companies all lean on this survey to spot risks before money changes hands.
Louisiana adds its own twist. The state runs on civil law, not common law. Old land grants still shape boundaries in some parishes. Coastal ground shifts under buildings over time. All of this can show up in an ALTA survey, and all of it matters before a deal closes.
Here’s what the survey tends to reveal, and why it matters to the people sitting at the closing table.
Servitude Conflicts Unique to Louisiana’s Civil Law System
Louisiana is the only state that runs on civil law instead of common law. Most of the country calls a right to cross or use someone else’s land an “easement.” Louisiana calls it a “servitude.” The word is different, and so are some of the rules behind it.
A title search can miss how a servitude actually plays out on the ground. Maybe a drainage servitude runs a few feet off from where the pipe sits. Maybe a right of passage crosses a spot no one ever recorded properly. The survey walks the land and marks what is really there. Then that gets compared to what is written down in the title work.
When the two don’t match, the title company has to look closer. Buyers want to know this early. So do lenders. A servitude conflict found after closing costs far more time and money than one caught before the sale goes through.
Boundary Gaps Traced to Old Arpent and Colonial Land Descriptions
South Louisiana still carries land descriptions from French and Spanish colonial days. These are called arpent surveys. Instead of square blocks, land was split into long, narrow strips running back from a river or bayou. The idea was to give every landowner a bit of waterfront access.
These old descriptions can be loose by modern standards. Distances were paced off by hand, not measured with lasers or GPS. Over the years, this has left gaps between properties in some spots, and overlaps where two deeds claim the same strip of ground in others.
A field survey catches this kind of thing. The surveyor walks the actual boundary and checks it against the old plat and the current deed. If there’s a gap or overlap, everyone finds out before closing, not after the new owner starts building on land that isn’t fully theirs.
Elevation and Subsidence Data That Can Alter Flood Insurance Terms
Parts of coastal Louisiana sink a little more each year. This isn’t rare or dramatic, it’s just part of owning property near the Gulf. Over time, the elevation on a piece of land can change more than people expect, even without any visible sign of it.
An ALTA survey records the elevation and grading of a site as it stands right now. That number gets compared to flood zone maps and, in some cases, an elevation certificate. If the ground sits lower than the last recorded reading, flood insurance costs can jump. If it sits higher, the property might qualify for a better rate than expected.
Lenders care about this because flood insurance affects the loan terms. A buyer who skips this step might sign a deal, then get hit with a flood insurance bill much higher than budgeted a few months later.
Parish Zoning and Setback Conflicts That Can Stall a Deal
Louisiana has no single statewide zoning code. Each parish sets its own rules. A setback that’s fine in one parish might break the rules in the next one over.
An ALTA survey plots every building, fence, and paved area on the site. Then it compares those locations to the setback lines the parish requires. If a loading dock sits too close to the property line, or a building edge creeps past what zoning allows, the survey will show it plainly.
This kind of problem can freeze a deal fast. The title company may add an exception. The buyer’s lawyer may ask the seller to fix it before closing, or the lender may hold off on funding until it’s cleared up. Catching it during the survey stage gives everyone room to work it out ahead of the closing date, instead of scrambling at the table.
Party Wall and Shared Foundation Issues in Historic Commercial Districts
Older commercial blocks in places like the French Quarter or downtown Baton Rouge were often built wall to wall. Two buildings might share one wall, one foundation, or even part of a roof line.
Louisiana’s Civil Code has specific rules for these shared, or “common,” walls. An ALTA survey shows exactly where a wall sits, and whether it crosses the line between two properties. This matters a lot for anyone planning to renovate, add on, or tear down and rebuild down the road.
A shared wall found late in the process can slow a closing to a crawl. A shared wall found early gives the buyer’s attorney time to sort out who owns what, and what rights come attached to it.
FAQ
Can an ALTA survey delay a commercial closing?
Yes. If the survey turns up a servitude conflict, a boundary gap, or a zoning violation, the title company or lender may want it cleared up first.
Does an ALTA survey replace the need for a title commitment?
No. The title commitment lists the recorded rights tied to a property. The survey shows how those rights actually look on the ground. Closings need both.
What happens if the survey shows a servitude that wasn’t in the title commitment?
The title company usually issues a revised commitment or adds an exception. The buyer’s attorney will look at whether it changes what the buyer can do with the property.
Who reviews the ALTA survey before a commercial closing?
Usually the buyer’s attorney, the lender, and the title company all take a look. Each one is watching for something different.
Are ALTA surveys required by law for every commercial closing?
No. There’s no state law requiring it. Most lenders ask for one anyway before they’ll fund a commercial loan.
