The Land Purchase Proposal is a crucial initial document in New Zealand property transactions, used when a potential buyer wishes to formally express their interest in purchasing a property and outline their proposed terms. This document serves as a preliminary step before entering into a formal sale and purchase agreement, allowing parties to negotiate terms and conduct due diligence. The proposal must comply with New Zealand's property law framework, including the Property Law Act 2007, Land Transfer Act 2017, and relevant local authority requirements. It typically includes comprehensive property details, proposed purchase price, conditions, timeframes, and any special considerations specific to the property or transaction. The Land Purchase Proposal is particularly important for commercial transactions, development projects, or complex property purchases where detailed terms need to be negotiated before proceeding to a formal agreement.
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1. Parties: Details of the potential purchaser(s) and current property owner(s)
2. Background: Context of the proposal including brief property description and purpose of the proposed purchase
3. Definitions: Key terms used throughout the proposal document
4. Property Details: Comprehensive description of the property including legal description, title references, and physical address
5. Purchase Price: Proposed purchase price and payment terms
6. Due Diligence: Proposed timeframe and conditions for due diligence investigations
7. Conditions: Essential conditions that must be satisfied before proceeding with the purchase
8. Settlement: Proposed settlement date and process
9. Property Access: Terms for accessing the property during the due diligence period
10. Governing Law: Confirmation that the proposal is governed by New Zealand law
1. Finance Condition: Details of finance arrangements and conditions, included when purchase is subject to financing
2. Overseas Investment Office Approval: Required when the purchaser is an overseas person under the Overseas Investment Act
3. Resource Consent: Included when the proposed purchase requires resource consent for intended use
4. Building Inspection: Specific terms for building inspection when relevant to the property type
5. Existing Tenancies: Details of current tenancies and proposed handling, included for tenanted properties
6. GST Treatment: Required when either party is GST registered or the transaction has GST implications
7. Development Intentions: Included when the purchase is for development purposes
8. Cultural Significance: Required when the property has cultural or historical significance
1. Property Schedule: Detailed property description including boundaries, improvements, and included chattels
2. Title Documents: Copy of current title and relevant registered documents
3. LIM Report Summary: Key findings from the Land Information Memorandum if already obtained
4. Due Diligence Checklist: List of proposed investigations and requirements
5. Proposed Timeline: Schedule of key dates and deadlines
6. Property Plans: Relevant plans, drawings, or surveys of the property
7. Photographs: Recent photographs of the property and key features
8. Price Comparables: Recent sales data of comparable properties supporting the proposed purchase price
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