If you are considering buying or selling at auction then our Commercial Property team have extensive experience of acting for clients buying and selling commercial properties at auction.  Auction transactions are a quick way of buying/selling a property and require thorough preparation.

Prior to the auction date there is usually 3-4 weeks to research the property which will involve thorough investigation of the legal pack that is available from the seller’s solicitors and/or agents and will include the following:-

  • Special Conditions of Sale
  • Title Deeds or Official Copy of Register of Title
  • Leases
  • Searches
  • Replies to Pre-Contract Enquiries

Practical Considerations for Buying at a Commercial Property Auction

  • Carefully check the general and special conditions of the auction Contract
  • Check the searches
  • Arrange an inspection or preferably a survey of the property prior to auction
  • Check if VAT is payable on the purchase price of the Commercial Property
  • Ensure 10% deposit is available in cleared funds to be paid at the auction
  • Any further searches required?
  • Any further enquiries to be raised?
  • Funds should be available to complete
  • Is the property subject to a Lease and are the terms of the Lease satisfactory to you?

It is advisable that the legal pack is reviewed by a Solicitor in advance of the auction date to alert you to any potential issues with the property.

After the auction date, the balance of 90% of the purchase price will be payable on completion, usually within 28 days.

Selling a Commercial Property at Auction
The Commercial Property team can advise you if you are selling a commercial property at auction.  We will prepare the legal pack and circulate to official prospective purchasers prior to the auction date.