Acquisition of a multi-let commercial property (buyer)—preliminary matters
Acquisition of a multi-let commercial property (buyer)—preliminary matters

The following Property guidance note provides comprehensive and up to date legal information covering:

  • Acquisition of a multi-let commercial property (buyer)—preliminary matters
  • Who is the buyer?
  • Who is the seller’s solicitor?
  • Taking instructions and reviewing the heads of terms
  • Preliminary advice—valuation and survey
  • Team briefing

This Practice Note is for use on the acquisition of a multi-let commercial property. It is not exhaustive and you must always consider whether there are any other issues that need to be addressed. It is assumed that:

  1. the property is being acquired for investment purposes only

  2. the seller is solvent

  3. the property is not subject to any residential tenancies, and

  4. if the buyer is acquiring the property with finance, the lender is separately represented

Warning: If a property is sold subject to two or more residential tenancies, check if the Landlord and Tenant Act 1987 (LTA 1987) confers on the tenants a statutory right of first refusal. If so, the buyer must ensure that the correct statutory procedures are followed. See Practice Notes: Landlord and Tenant Act 1987—tenants' right of first refusal, LTA 1987—premises, LTA 1987—who is a qualifying tenant?, LTA 1987—what is a flat? and LTA 1987—pitfalls and practical tips.

Who is the buyer?

Verify the buyer’s identity as soon as possible:

  1. as required by the Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Regulations 2017—for more information see: Law Society – anti-money laundering guidance (September 2017)

  2. to ensure that neither you nor your firm has any conflict of interest which would prevent you from acting for the buyer—see Practice Note: Conveyancing client conflicts—when