a Care Home Business

DUE DILIGENCE

While the documents dealing with the specific transaction are important, these will be negotiated in line with the due diligence exercise This process like other aspects takes time and costs money Where possible obtain an indication as to costs up front

Existing and potential future liabilities need to be considered whether in terms of property repairs tax considerations disputes etc

If development of the property is required (e g to extend the property) you must obtain advice from a planning perspective and your solicitor needs to advice on any title issues that may affect any intended development and/or the required use of the property (e g and covenants or restrictions affecting the property)

If the property interest you are taking or inheriting is leasehold, your solicitor will need to advise on any consents that may be required (in terms of the transaction (so that the lease may be transferred to you or the lease contains “change of control” restrictions) or your future plans (e g consent to carry out alterations) and any obligations and/or restrictions in the lease that may affect your plans Is the length of the lease sufficient? Do you have rights to renew the lease at the end of the term? Are you inheriting costly repair obligations?