Document background
A Letter of Intent For Property Sale is commonly used in Belgian real estate transactions as a preliminary step before entering into a binding sale agreement. It is particularly useful in complex property transactions where parties need to document their initial understanding while allowing for due diligence and further negotiations. The document typically precedes the mandatory involvement of a Belgian notary and the preparation of the final notarial deed. While most provisions are non-binding, certain elements like confidentiality and exclusivity periods can be made binding. The LOI helps structure negotiations, outline key commercial terms, and establish timelines for the transaction, while complying with Belgian property law requirements and local real estate practices. It's essential in both commercial and residential property transactions where parties need to establish clear parameters before proceeding with detailed due diligence and final documentation.
