Hotel Purchase And Sale Agreement

Hotel Purchase And Sale Agreement Template for England and Wales

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Key Requirements PROMPT example:

"Need a Hotel Purchase And Sale Agreement for the acquisition of a 120-room luxury hotel in central London, including transfer of all staff and existing guest bookings, with completion planned for March 2025."

Document background

The Hotel Purchase And Sale Agreement is a specialized commercial contract used when transferring ownership of hotel properties in England and Wales. It encompasses both the real estate transaction and the operational business transfer, addressing unique aspects of hotel operations such as guest bookings, licenses, employee transfers, and brand relationships. This agreement is particularly important as it must comply with various regulatory requirements including the Hotel Proprietors Act 1956, TUPE regulations, and licensing laws while protecting both parties' interests in a complex asset transfer.

Suggested Sections

1. Parties: Identification of seller and purchaser, including registered addresses and company details

2. Background: Context of the transaction, brief description of the hotel property and purpose of the agreement

3. Definitions: Defined terms used throughout the agreement including Property, Business, Completion Date, Purchase Price

4. Sale and Purchase: Core terms of the transaction including assets being sold, purchase price, deposit arrangements and payment terms

5. Conditions Precedent: Any conditions that must be satisfied before completion can occur, including regulatory approvals

6. Title and Due Diligence: Seller's warranties regarding property title, buyer's due diligence rights and title investigation provisions

7. Employee Provisions: TUPE arrangements, employee consultation requirements, and staff transfer provisions

8. Completion: Timing and mechanics of completion, including deliverables and payment procedures

9. Post-Completion Obligations: Obligations of both parties after completion, including handover of operations

10. Warranties and Indemnities: Seller's warranties about the property, business and standard indemnities

Optional Sections

1. Environmental Matters: Specific provisions dealing with environmental issues, including warranties and indemnities - used when environmental concerns are identified

2. Tax Covenant: Detailed tax arrangements and VAT provisions - used for complex tax structures or VAT-elected properties

3. Brand License: Provisions regarding the transfer or termination of brand licensing - used for branded hotels only

4. Intellectual Property: Transfer of hotel-specific IP rights - used when significant IP assets exist

5. Future Bookings: Handling of advance reservations and deposits - used when significant advance bookings exist

Suggested Schedules

1. Property Description: Detailed description of the property including plans, boundaries and included fixtures

2. Inventory: Comprehensive list of furniture, fixtures and equipment included in the sale

3. Employee Information: Details of all transferring employees including terms of employment and benefits

4. Operational Contracts: List of all contracts being transferred including supplier agreements and service contracts

5. Title Documents: Copies of title documents, leases, and other property-related agreements

6. Completion Requirements: Detailed checklist of completion deliverables and requirements

7. Outstanding Bookings: Schedule of advance bookings and deposits held

8. Licenses and Permits: List of all operational licenses and permits being transferred

Authors

Alex Denne

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

alex.den.21@genieai.co

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Authors

Alex Denne

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