The Commercial Conveyancing Process

Whether you are buying or selling an office, industrial unit or hotel, our simple guide to commercial conveyancing will help you get started.

What is commercial conveyancing?

Commercial conveyancing is similar to residential conveyancing – it is the process of transferring the title of a property from one person or company to another.

Seeking the assistance of a specialist real estate commercial solicitor is advised as the law surrounding buying and selling commercial real estate can be very complicated. Drafting related documents, including any lease agreements, or applying for necessary planning permissions can take time.

Ensuring a business property is conveyed properly is one of the most important elements of the purchase process. Errors in the transfer of title can be very expensive to correct so it’s worth doing it right first time.

The buyers’ commercial conveyancing process

Stage 1 – If you are the buyer and have found a potential commercial premise, the next step is for your solicitor to investigate the title to the property and commission any appropriate pre-contract searches.

Once these have been received, the solicitor will then approve the draft contract supplied by the seller’s solicitor and raise any additional enquiries necessary from the search results and answers to standard commercial property enquiry forms known as ‘CPSE Enquiries’.

Other matters including Stamp Duty Land Tax will be addressed at this stage.

Stage 2 – Once you are satisfied with the replies to enquiries and search results and both sides have agreed on the draft contract, the parties will exchange contracts and you will pay any agreed deposit.

At this point, the transaction becomes legally binding for each party.

Stage 3 – Your solicitor will raise the necessary pre-completion searches and prepare the Transfer Deed for the Seller’s solicitor’s approval, at this point will be asked to prepare the balance of the purchase monies ready for completion.

Stage 4 – This stage is known as completion. Here you will forward the balance of the purchase price to the seller and your solicitor, and the solicitor of the seller will complete the transaction.

Stage 5 – Your solicitor will pay any Stamp Duty Land Tax that needs to be paid and, if necessary, register the transaction with the Land Registry.

The sellers’ commercial conveyancing process

Stage 1 – When selling commercial premises your solicitor will have several responsibilities at the outset of the transaction. After investigation of the legal title to your property, your solicitor will prepare the Contract for Sale and ask you to complete one or more CPSE enquiry forms depending on the type of transaction in hand. Details of fixtures and fittings may also be required.

Stage 2 – Once the buyer is satisfied with the replies to the enquiries and search results and both parties have agreed on the draft, you will both exchange contracts and the buyer will pay you the agreed deposit.

At this point that the transaction becomes legally binding for each party.

Stage 3 – Once your solicitor has approved the Transfer Deed received from the buyer’s solicitor and given the necessary undertakings to discharge any mortgage to the property, you will be in a position to complete the transaction.

Stage 4 – This stage is known as completion. Here the Buyer will forward the balance of the purchase price to you and the solicitors for the buyer and your solicitor will complete the transaction.

Stage 5 – Final completion matters will include the settlement of any charges on the property and the transfer of any remaining funds to you.

How Knightsbridge Solicitors can help

You can rely on Knightsbridge Solicitors to support you with any legal aspects related to commercial property. Our experienced team of commercial property solicitors are ready to help you.

No client is too big or too small, our team handle cases for clients of all shapes and sizes, from large corporations or residential developers to commercial landlords, or business owners looking for the first premises for their new start-up.