The Hotel Purchase Agreement is essential for any transaction involving the sale of a hotel property in the United States. This document is more complex than standard real estate purchase agreements as it must address not only the transfer of real property but also operational aspects unique to hotels, including permits, licenses, employee matters, and existing contracts. The agreement typically includes provisions for due diligence, allowing the buyer to investigate all aspects of the property and business operations. It must comply with federal regulations such as the ADA and state-specific real estate laws, while also addressing industry-specific requirements like franchise agreements and management contracts.
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1. Parties: Identification of buyer and seller, including legal entities and addresses
2. Background/Recitals: Context of the transaction and property description
3. Definitions: Key terms used throughout the agreement
4. Purchase Price and Payment Terms: Price, payment structure, deposits, and adjustments
5. Property Description: Detailed description of real estate and included assets
6. Due Diligence: Investigation period, access rights, and documentation requirements
7. Representations and Warranties: Statements of fact by both parties regarding the property and transaction
8. Closing Conditions: Requirements that must be met before closing
9. Closing Procedures: Process and requirements for completing the transaction
1. Employee Matters: Terms regarding existing hotel employees and their transfer with the property
2. Management Agreements: Terms regarding existing management contracts and their handling in the transaction
3. Franchise Agreements: Terms regarding existing franchise relationships and their transfer or termination
4. Environmental Matters: Specific environmental concerns, responsibilities, and remediation requirements
1. Property Inventory Schedule: Detailed list of FF&E, supplies, and other personal property included in the sale
2. Contracts Schedule: List of all existing contracts and agreements affecting the property
3. Title Exceptions Schedule: List of permitted exceptions to title and encumbrances
4. Environmental Reports Schedule: Environmental assessment results and reports
5. Operating Statements Schedule: Historical financial performance data and operating statements
6. Permits and Licenses Schedule: List of all operational permits and licenses
7. Property Plans Schedule: Building plans, surveys, and site maps
Relevant legal definitions
Agreement
Adjusted Purchase Price
Applicable Laws
Appraisal
Assignment and Assumption Agreement
Bill of Sale
Business Day
Closing
Closing Date
Closing Documents
Closing Statement
Confidential Information
Contracts
Deed
Deposit
Due Diligence Materials
Due Diligence Period
Effective Date
Employees
Environmental Laws
Environmental Reports
Escrow Agent
Escrow Agreement
Excluded Assets
Existing Franchise Agreement
Existing Management Agreement
FF&E
Final Closing Statement
Force Majeure
Governmental Authority
Guest Ledger
Hazardous Materials
Hotel
Hotel Contracts
Improvements
Intangible Property
Inventories
Land
Leases
Liabilities
Licenses and Permits
Operating Equipment
Permitted Exceptions
Personal Property
Property
Purchase Price
Real Property
Seller's Knowledge
Survey
Title Commitment
Title Company
Title Insurance Policy
Title Objections
Transaction Documents
Transfer Taxes
Adjusted Purchase Price
Applicable Laws
Appraisal
Assignment and Assumption Agreement
Bill of Sale
Business Day
Closing
Closing Date
Closing Documents
Closing Statement
Confidential Information
Contracts
Deed
Deposit
Due Diligence Materials
Due Diligence Period
Effective Date
Employees
Environmental Laws
Environmental Reports
Escrow Agent
Escrow Agreement
Excluded Assets
Existing Franchise Agreement
Existing Management Agreement
FF&E
Final Closing Statement
Force Majeure
Governmental Authority
Guest Ledger
Hazardous Materials
Hotel
Hotel Contracts
Improvements
Intangible Property
Inventories
Land
Leases
Liabilities
Licenses and Permits
Operating Equipment
Permitted Exceptions
Personal Property
Property
Purchase Price
Real Property
Seller's Knowledge
Survey
Title Commitment
Title Company
Title Insurance Policy
Title Objections
Transaction Documents
Transfer Taxes
Clauses
Purchase Price
Property Transfer
Due Diligence
Title and Survey
Representations and Warranties
Covenants
Environmental Matters
Employee Matters
Management and Franchise
Closing Conditions
Closing Procedures
Prorations and Adjustments
Indemnification
Default and Remedies
Confidentiality
Assignment
Risk of Loss
Force Majeure
Insurance
Permits and Licenses
Operational Transition
Tax Matters
Broker Fees
Guest Bookings
Inventory and FF&E
Existing Contracts
Dispute Resolution
Notices
Governing Law
Survival
Severability
Entire Agreement
Further Assurances
Time of Essence
Counterparts
Property Transfer
Due Diligence
Title and Survey
Representations and Warranties
Covenants
Environmental Matters
Employee Matters
Management and Franchise
Closing Conditions
Closing Procedures
Prorations and Adjustments
Indemnification
Default and Remedies
Confidentiality
Assignment
Risk of Loss
Force Majeure
Insurance
Permits and Licenses
Operational Transition
Tax Matters
Broker Fees
Guest Bookings
Inventory and FF&E
Existing Contracts
Dispute Resolution
Notices
Governing Law
Survival
Severability
Entire Agreement
Further Assurances
Time of Essence
Counterparts
Relevant Industries
Relevant Teams
Relevant Roles
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