Key stages - commercial property purchase

There are a number of stages involved in a commercial property purchase for both vendors and purchasers, below is a brief and indicative guide about what is involved at each stage on behalf of the parties. The outline below is for a typical purchase but not all transactions follow this set approach. If you need advice in relation to a commercial property transaction our solicitors have years of experience acting for vendors and buyers, call us on 0203 816 9303 for a free, no obligation initial chat with one of our legal advisors.

loading staff

Stage one - Heads of terms

Vendor

  • Appoint professional advisors (agents, valuers, solicitors)
  • Analyse property details and assess how to address any issues
  • Consider restrictions/limitations to sale. For example, third party consent, banking issues
  • Purchase Energy Performance Certificate (EPC)

Purchaser

  • Appoint professional advisors
  • Assess funding options

Stage 2 - Pre-contract

Vendor

  • Carry out searches - optional. Having the searches in place will allow greater control when working out the time limits for exchanging contracts. Searches typically take 3- 8 weeks depending on the location and nature of the property
  • Make available the pre-contract/storage legal pack, including: reply to enquiries, prepare title documents, draft contract, EPC and other related documents to the property being sold
  • Obtain title deeds from mortgage holder and indicative redemption statement.
  • Negotiation of contract

Purchaser

  • Investigate title and reply to enquiries
  • Conduct surveys
  • Preparation of reports
  • Negotiation of contract
  • Carry out searches if vendor has not supplied them
  • Reporting to mortgagee on investigation

Stage 3 - Exchange of contracts

Vendor

  • Committed to the sale

Purchaser

  • Deposit paid and committed to purchase
  • Arrange insurance if appropriate

Stage 4 - Pre-completion

Vendor

  • Completion statement prepared including mortgage redemption figures
  • Prepare replies to requisition on title
  • Signing of completion documents

Purchaser

  • Carry out pre-completion priority searches
  • Transfer of completion monies
  • Carry out land registry searches
  • Completion statement prepared
  • Request mortgage advance and ensure balance of purchase price is deposited with purchaser's solicitor

Stage 5 - completion

Vendor

  • Mortgage discharged
  • Send completion documents to the purchaser
  • Balance of purchase money sent to the vendor

Purchaser

  • Completion monies paid to vendor's solicitor
  • Buyer now has responsibility
  • Ensure insurance is in place

Stage 6 - Post-completion

Purchaser

  • Stamp Duty Land Tax
  • Land Registry application
  • Deeds
9.2 out of 10
Trustpilot logo5-stars on trustpilot Based on count 446

We're Great

It is our business to deliver legal services that work for our clients, and you can trust our specialists to take care of things on your behalf.

Our Trustpilot reviews

We cannot speak highly enough of this company, we would not hesitate to use them again in the future, which seems likely, and would recommend Stephensons to anyone seeking a top rate service.
View from a commercial property client

Appeal Court finds business rates have been incorrectly charged on ATMs since 2010

Supermarket, shop and petrol station owners who have previously been charged business rates for having an ATM located on their premises may be eligible for refunds. In 2013 it was decided that external facing ATMs should be treated as separate...

Read more

Twitter commercial

Lancashire Police launch Christmas drink-drive campaign

Lancashire Constabulary has launched a new campaign targeting drink and drug drivers this Christmas. The campaign, launched on December 1 st , will see Lancashire Police implement high profile enforcement activity on the regions roads throughout...

Read more

Commercial property reorder

  • David Baybut
  • Kate Bullen
  • Jonathan Chadwick
  • ​Chris Graves
  • Louise Hebborn
  • Julie Ball
  • Paul Davies
  • Jonathon Waterhouse
  • Christopher Carney
  • Jessica Charnock
  • Gary Jackson
  • Gillian Cooke
  • Laurence Searle

We're always here for you

As an award-winning top 150 law firm, with over 450 staff based in offices across the country, you're never far from the advice you need.

Find your nearest Stephensons office and arrange a meeting

As an award-winning top 150 law firm, with over 450 staff based in offices across the country, you're never far from the advice you need.