Selling a commercial property can be a time-consuming exercise, but it doesn’t have to be!
Below is a non-exhaustive list of items that a Buyer commonly requests from a Seller, via their solicitors, as part of the due diligence for the Property. If a Seller is able to collate such items in good time it is likely to make for a much smoother transaction:
• Copies of any leases (and ancillary documents such as rent deposit deeds, licence to alter).
• Last 3 rent demands and confirmation of payment.
• Details of any rent reviews undertaken.
• Asbestos surveys or reports and the most recent asbestos management plan.
• Fire Risk Assessment.
• Health and Safety File.
• Energy Performance Certificate.
• Electrical Test Certificate, Gas Test Certificate, Air conditioning servicing certificate, legionella certificate and any other test certificates available.
• Copies of planning permissions and building regulations relating to the Property.
• Any environmental reports or surveys.
• Copies of any insurance policies (including buildings insurance).
• Details of any service charges levied in the last 3 years (comprising copies of estimated/actual budgets and current years estimate).
• Copies of latest utility invoices and business rates bill.
• Details of any disputes and/or notices given or received in respect of the property from anyone (whether neighbours or local authority).
• Details of capital allowances claimed (your accountant is likely to be able to assist with this).
• A copy of the VAT election notice if you charge VAT on the property (your accountant is likely to be able to assist with this).
If you’re considering selling or buying a commercial property and would like some guidance, please don’t hesitate to contact our Commercial Property team.