How commercial deals differ from residential sales
Commercial property transactions, whether for offices, retail premises, warehousing or vacant land, typically involve higher transaction values, VAT considerations, existing tenants and more detailed due diligence than a residential sale. The agreement of sale is usually more comprehensive, addressing zoning, existing leases, fitness for purpose and any special conditions relevant to the buyer's intended use.
VAT or transfer duty?
Whether a transaction attracts VAT or transfer duty depends on whether the seller is a VAT vendor selling in the course of their enterprise. Getting this wrong can be costly, so this is confirmed early and addressed clearly in the sale agreement.
Due diligence considerations
- Zoning certificate and confirmation of permitted land use
- Existing lease agreements and tenant obligations that transfer with the property
- Outstanding rates, levies and any municipal compliance requirements
- Title deed conditions, servitudes and restrictive conditions of title
- Company or trust resolutions authorising the transaction, where the buyer or seller is a legal entity
Our role
We assist with reviewing or drafting the sale agreement, coordinating the conveyancing process, liaising with the seller's or buyer's finance providers, and managing the Deeds Office registration through to completion, keeping both business timelines and legal accuracy in view.
AJ van Tonder Inc Attorneys