Offer To Purchase (Real Estate) Template for Indonesia

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Key Requirements PROMPT example:

Offer To Purchase (Real Estate)

"I need an Offer to Purchase (Real Estate) document for a foreign corporate buyer looking to acquire a commercial property in Jakarta's business district, with specific provisions for obtaining necessary permits and a due diligence period extending until March 2025."

Document background
The Offer To Purchase (Real Estate) document serves as the initial formal step in property acquisition transactions within Indonesia's legal framework. It is used when a potential buyer wishes to formalize their interest in purchasing real estate property, whether residential, commercial, or industrial. The document must comply with Indonesian property laws, including the Basic Agrarian Law and civil code requirements, and includes crucial details such as property description, purchase price, payment terms, and conditions precedent. This document is particularly important as it forms the basis for subsequent negotiations and, if accepted, leads to the final sale and purchase agreement. Special considerations are incorporated when foreign buyers are involved, as Indonesian law places specific restrictions on foreign property ownership.
Suggested Sections

1. Parties: Identification of the potential buyer (offeror) and seller (property owner), including full legal names, addresses, and identification numbers

2. Background: Brief context of the offer, including property interest and general intent of the transaction

3. Definitions: Key terms used throughout the document, including 'Property', 'Purchase Price', 'Deposit', 'Closing Date', etc.

4. Property Details: Complete legal description of the property, including certificate number, address, boundaries, and land area

5. Purchase Price: The offered purchase amount, currency, payment terms, and deposit details

6. Payment Terms: Structure of payments, including deposit, down payment, and balance payment schedule

7. Due Diligence Period: Timeframe and conditions for property inspection, title search, and other investigations

8. Conditions Precedent: Conditions that must be satisfied before the transaction becomes binding

9. Closing Process: Details of the closing procedure, including documentation requirements and timeline

10. Representations and Warranties: Statements of fact by both parties regarding their capacity to enter the agreement and property condition

11. Default and Remedies: Consequences of breach by either party and available remedies

12. Execution: Signature blocks and execution requirements

Optional Sections

1. Financing Contingency: To be included if the offer is contingent on the buyer obtaining financing

2. Property Management: Include if the property is currently tenanted or if there are existing management arrangements

3. Foreign Ownership Provisions: Required if the buyer is not an Indonesian citizen, detailing compliance with foreign ownership restrictions

4. Broker/Agent Provisions: Include if real estate agents are involved in the transaction

5. Building Inspection Contingency: Optional clause allowing for professional building inspection and potential price negotiation

6. Existing Tenancies: Include if the property has current tenants and how their leases will be handled

7. Furniture and Fixtures: Required if the offer includes any movable property or fixtures

Suggested Schedules

1. Schedule A - Property Details: Detailed property description, including land certificate details, boundaries, and area calculations

2. Schedule B - Payment Schedule: Detailed breakdown of payment terms, amounts, and due dates

3. Schedule C - Due Diligence Checklist: List of required documents and inspections to be completed during due diligence

4. Schedule D - Property Inventory: If applicable, list of furniture, fixtures, and equipment included in the sale

5. Appendix 1 - Property Title Documents: Copies of relevant land certificates and ownership documents

6. Appendix 2 - Property Photos: Recent photographs of the property and its boundaries

7. Appendix 3 - Building Permits: Copies of relevant building permits and certificates

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions
Clauses
Relevant Industries

Real Estate

Property Development

Construction

Banking and Finance

Legal Services

Property Management

Hotel and Hospitality

Retail

Commercial Property

Residential Property

Industrial Property

Agriculture (for land acquisition)

Relevant Teams

Legal

Real Estate

Property Management

Finance

Investment

Business Development

Compliance

Operations

Facilities

Asset Management

Corporate Development

Risk Management

Relevant Roles

Real Estate Agent

Property Developer

Legal Counsel

Property Manager

Investment Manager

Business Development Manager

Chief Financial Officer

Acquisitions Manager

Real Estate Investment Director

Property Portfolio Manager

Facilities Manager

Corporate Real Estate Manager

Asset Manager

Development Director

Compliance Officer

Industries
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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