Commercial Property Sales and Purchases

A commercial property transaction should support your business or investment plans, not simply achieve a change of ownership. LegalSense NQ advises buyers and sellers on contracts, due diligence, ownership arrangements and settlement.

Whether you are purchasing premises for your own business or selling an investment with a tenant in place, we help you understand the legal issues that may affect the transaction and your obligations after completion.

Understanding the property and the deal

Before committing, it is useful to consider how the property will be used, how the purchase will be funded and which person or entity should own it. Our work can include:

• Reviewing and negotiating the sale contract and special conditions.
• Considering the proposed purchasing entity alongside advice from your accountant.
• Identifying legal due diligence enquiries relevant to the title and intended use.
• Reviewing leases, options and other occupancy arrangements affecting the property.
• Addressing disclosure requirements and the documents needed for the sale.
• Managing the legal transfer and settlement requirements.

Purchasing a tenanted property

An existing lease is an important part of the transaction. The rental figure alone does not explain the arrangement. Lease terms, renewal options, tenant obligations, security and any separate agreements should be considered as part of your review.

Provide all lease documents and variations, not just a summary from the marketing material. We can help identify questions to resolve before you become committed to the purchase.

Coordinating your advisers

Commercial transactions often require input from a lender, accountant, valuer or building professional as well as a lawyer. We focus on the legal work and coordinate with your advisers where appropriate. Tell us early about proposed GST treatment, financing conditions or ownership structures that need to be considered together.

Queensland's seller disclosure scheme can apply to commercial property as well as residential property. The requirements and any exemption should be checked for the particular sale.

Preparing for your appointment

Bring the contract or heads of agreement, title or property details, leases and variations, the proposed ownership structure and your target settlement date. Include any notices, existing disputes or concerns about the proposed use that you already know about.

Common questions

Should the property be purchased personally, through a company or through a trust?

There is no single answer for every purchaser. The legal structure needs to be considered with your accountant's tax advice, lending requirements and succession plans before the contract is finalised.

When should legal due diligence begin?

As early as possible. The opportunity to investigate or negotiate depends on the contract, so seek advice before signing and allow time for any specialist enquiries.

This page provides general information only. The advice and steps appropriate for you depend on your circumstances and the documents involved.