Commercial Property

Acquiring suitable premises, on the right terms and at the right price is essential at some time or another for almost every business. The decisions made at this time will affect the profitability and even the viability of your business, and because of this it is essential that you get good legal advice against the background of a practical approach to what you and your business are trying to achieve. We can provide this.

Acquiring or disposing of commercial property will involve one or more of the following:

• transferfreehold premises
• leasehold commercial property
• lending arrangements
• licensing
• stamp duty and taxation
• business acquisitions and sales
• construction
• planning

Freehold premises

Whether dealing with a commercial development, office, factory, warehouse or shop you need to be sure that you will acquire a good title to the property, and that you are aware of any restrictions and rights of others over your property; dealing with this is at the heart of freehold property transactions.

If you are buying part of a larger property there could be further complications caused by rights over retained land. It is vital that detailed enquiries are made of the seller to clarify what is being acquired and what rights are to be granted, before you commit yourself to signing a contract to purchase. If selling, you will have to deal with the queries being raised by the buyer.

Whether buying or selling, there are almost always financing and security issues, such as mortgages and charges, to be dealt with. All these issues relating to freehold commercial property are dealt with by us from the negotiation stage, including liaising with other property professionals, through to formal completion and then dealing with stamp duty and registration at the Land Registry.

You need the peace of mind of knowing that this important work is being dealt with by people who have the knowledge and experience to look after your interests. This is not routine work and what we do needs tailoring to your requirements.

Leasehold commercial property

Not everyone wants to, or can, buy commercial property and very large numbers of businesses operate from leasehold premises. In all these cases the relationship between the landlord and tenant needs to be carefully defined and documented; this is usually done in the form of a formal lease. Many areas need to be clarified: the term, rent, rent review periods, mutual covenants including repair, user restrictions and renewal and termination. All or some of these may need to be negotiated and documented.

With the introduction of Stamp Duty Land Tax in late 2003 substantial changes to the amounts payable by tenants has been introduced. This is a major consideration where good advice may be vital.

There is often a mistaken belief that commercial leases are 'standard' documents which have to be dealt with on a 'take it or leave it' basis; this is not so. We act for both landlords and tenants dealing with everything from small commercial premises to acting for the landlords of a major trading estate.

You will benefit from the confidence that our experience of commercial landlord and tenant work brings to your property requirements.

Lending and Security arrangements

Few businesses have sufficient cash to acquire premises outright and almost all deals require funding.  As part of our role we have to deal with those who are providing that funding to you. They may be banks, other financial institutions, venture capitalists, or family funders but all are likely to involve intricate documentation which will impose obligations and restrictions on you and/or your business. Again these are not necessarily 'standard' documents and we are used to negotiating with lenders over terms, security being demanded, and other issues. It is our job to look after your interests and to explain to you the consequences of what you are doing.  We are on the panels of a number of the High Street Banks and understand what they will require and how to deal with them.

Licensing

Licensing procedures underwent a major overhaul in 2005 and licensed activities including the sale of alcohol and late night entertainment are now governed by the local authorites and not the courts. Due to the leisure and conference trade in Harrogate we have particular experience of dealing with licensed activites.

Taxation

Property has always been an attractive hunting ground for governments to look for revenue; because of this there are a range of taxes affecting property deals. In particular Stamp Duty Land Tax was introduced to replace Stamp Duty in 2003 and the amounts involved have risen sharply, particularly with leaseholds. The amount of tax payable will vary considerably depending on how a lease is structured. This is an area requiring advice. Consideration may also have to be given to Capital Gains and other taxes. Again we are used to dealing with these as part of commercial property deals.

Business acquisitions and sales

We do not deal with commercial property transactions in isolation as they are often part of a wider deal involving the buying and selling of businesses whether involving cash, assets or shares. Again these can involve the same financing, security and taxation issues which need to be worked in with the property aspect of things. Our commercial property unit works closely with other parts of our commercial team to deal with these issues.

If you would like further information, please contact Jo Thirsk, Janice Dale, Ian Shuttleworth, Madeline Emptage or Shamim Hussain