The key to a smooth transaction is preparation. Our experienced solicitors at AFG LAW can help you. With costs starting from £795 plus VAT please call us on 0161 359 3897 or drop us an email on commercialpropertyenquiries@afglaw.co.uk to discuss your matter in more detail.
8 points to consider when selling commercial property:
Do I have all the documentation I need?
Do you know where your title deeds are? If a property has been registered at the Land Registry its usually possible to download title documents without needing the paper title deeds. Be aware, though, that you may need other documents. Is there an occupier in the property? Do you have a copy of their lease?
What planning permission does the property have? Have any building works been carried out to the property. Locate a copy of the planning permission for the property if available. Collate all necessary documents as soon as possible to avoid delays in the transaction. You may want to locate:
- Planning permissions
- Building regulations consent
- Asbestos report
- Fire risk assessment
- EPC
- Health and safety file
- Electrical and gas safety certificates
Do I need consent for the sale?
Some leasehold properties are subject to a covenant preventing sale of the property without the consent of the landlord. If your property is leasehold, check your lease to find out whether or not Landlord’s consent is required. If it is required, check what their requirements are and apply for that consent as early as possible.
Is there a mortgage on the property?
Is the purchase price sufficient to pay off the mortgage? Locate your mortgage account number and / or your relationship manager’s details for your solicitor as early as possible.
Is the property VAT elected?
You should be aware of this before putting the property on the market for sale. If a property is VAT elected, VAT is payable on the purchase price. This could affect potential buyers and so will need to be communicated to prospective buyers at the earliest opportunity.
Are there any occupiers?
Is the property being sold with or without the occupier? Do I need to terminate a lease? If so, check whether this can be done and what notice must be given.
Do I have an Energy Performance Certificate or EPC?
What is the rating? A property should not be placed on the market for sale or sold without an EPC. Most EPC’s are valid for 10 years unless works have been done after the date of the EPC. If you do not have an EPC or works have been done since the last one then ensure you arrange for another EPC to be prepared as soon as possible. You should also check the rating. Properties cannot be let unless they have a rating of E or above. This means that most mortgage lenders on acquisitions stipulate that a property must have a rating of E or above. If the property does not have this rating investigate what works will be required to improve the energy rating of the property and if necessary arrange for these works to be done.
Do you have a time scale that must be adhered to?
If so, be honest and transparent. Communicate this to your buyer as early as possible.
Appoint a suitably qualified and experienced solicitor. Our solicitors at AFG LAW have over 20 years of expertise in this area. Please call us on 00161 359 3897 or drop us an email on commercialpropertyenquiries@afglaw.co.uk as we are keen to discuss your transaction with you.
