The Commercial Real Estate Sales Agreement is a vital legal instrument used in Hong Kong for transferring ownership of commercial properties between parties. It is essential for any transaction involving the sale of office buildings, retail spaces, industrial properties, or other commercial real estate assets. The document must comply with Hong Kong's legal framework, particularly the Conveyancing and Property Ordinance (Cap. 219) and related regulations. It typically includes comprehensive details about the property, purchase price, payment structure, warranties, and completion requirements. This agreement is crucial for protecting both parties' interests, ensuring proper due diligence, and facilitating smooth property transfer in Hong Kong's dynamic commercial real estate market.
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1. Parties: Identification of the seller and purchaser with full legal names and registration details
2. Background: Context of the transaction and brief description of the property
3. Definitions: Definitions of key terms used throughout the agreement
4. Property Details: Comprehensive description of the property including lot number, address, and registered particulars
5. Purchase Price: Statement of the purchase price and payment terms including deposits and completion payment
6. Conditions Precedent: Conditions that must be satisfied before completion can occur
7. Due Diligence: Seller's obligations to provide documentation and purchaser's right to investigate the property
8. Completion: Details of the completion process, timing, and requirements
9. Seller's Warranties: Warranties regarding property title, condition, and legal compliance
10. Purchaser's Warranties: Warranties regarding capacity to purchase and funding arrangements
11. Title and Transfer: Provisions regarding clean title transfer and registration requirements
12. Risk and Insurance: Allocation of risk and insurance responsibilities before and after completion
13. Default and Termination: Consequences of default and termination rights
14. Notices: Process for giving formal notices under the agreement
15. Governing Law and Jurisdiction: Confirmation of Hong Kong law and jurisdiction
16. Execution: Signature blocks and execution formalities
1. Tenant Provisions: Required if the property is sold subject to existing tenancies
2. Planning Permissions: Needed if the property requires specific planning permissions or has development potential
3. Environmental Matters: Required if there are environmental concerns or compliance requirements
4. Property Management: Needed for properties in multi-unit buildings with management structures
5. Tax Structure: Required if special tax considerations apply to the transaction
6. Intellectual Property: Needed if the sale includes trading names or other IP associated with the property
7. Employee Matters: Required if the sale includes transfer of property-related employees
8. Conditions Subsequent: Needed if certain conditions must be fulfilled after completion
1. Property Schedule: Detailed property description, including boundaries and plans
2. Title Documents: List of title documents and encumbrances
3. Existing Tenancies: Details of any existing lease agreements and tenants
4. Inventory: List of fixtures, fittings, and equipment included in the sale
5. Property Management Agreements: Details of ongoing management contracts and services
6. Environmental Reports: Summary of environmental assessments and compliance reports
7. Planning Permissions: Copies of relevant planning permissions and restrictions
8. Building Inspection Report: Technical survey and condition assessment
9. Completion Requirements: Detailed checklist of completion deliverables and requirements
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