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Real Property Exchange Agreement

Real Property Exchange Agreement Template for England and Wales

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Key Requirements PROMPT example:

Real Property Exchange Agreement

"I need a Real Property Exchange Agreement to facilitate the exchange of my commercial warehouse in Manchester for a retail property in Leeds, with an equalisation payment of £250,000 to account for the difference in property values, targeting completion by March 2025."

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Document background
A Real Property Exchange Agreement is utilized when two parties wish to exchange ownership of real properties rather than conducting separate sale and purchase transactions. This document is essential under English and Welsh law when parties prefer to trade properties instead of engaging in monetary transactions. The agreement includes detailed property descriptions, title warranties, completion obligations, and any equalisation payments required. It ensures compliance with the Law of Property Act 1925 and Land Registration Act 2002, while addressing tax implications under the Stamp Duty Land Tax Act 2003.
Suggested Sections

1. Parties: Details of the parties exchanging properties, including full legal names and addresses

2. Background: Context of the exchange and brief description of the properties involved

3. Definitions: Key terms used throughout the agreement

4. Properties Description: Detailed description of both properties being exchanged

5. Exchange Terms: Core terms of the exchange including completion date and conditions precedent

6. Title Warranties: Warranties regarding ownership and title to the properties

7. Completion Obligations: Actions required by each party upon completion

Optional Sections

1. Equalisation Payment: Terms for any monetary payment to equalise different property values - used when properties have different values

2. Tenant Provisions: Provisions relating to existing tenancies - used when properties have existing tenants

3. Environmental Provisions: Specific environmental warranties and indemnities - used when environmental risks are identified

Suggested Schedules

1. Schedule 1 - Property Plans: Official plans showing boundaries of both properties

2. Schedule 2 - Title Documents: Copies of title registers and plans

3. Schedule 3 - Existing Tenancies: Details of any existing lease agreements

4. Schedule 4 - Property Information Forms: Standard property information forms completed by each party

5. Schedule 5 - Environmental Reports: Any relevant environmental surveys or reports

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok³ÉÈË°æ | 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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Industries

Law of Property Act 1925: Fundamental legislation governing real property transactions, including requirements for legal estates and interests in land, and formalities for property transfers

Land Registration Act 2002: Key legislation covering requirements for registration of title, priority rules, and electronic conveyancing provisions

Stamp Duty Land Tax Act 2003: Legislation governing tax implications of property exchanges, including reporting requirements and relief provisions

Law of Property (Miscellaneous Provisions) Act 1989: Act containing Section 2 requirements for contracts to be in writing and formal requirements for property contracts

Trustee Act 2000: Legislation relevant when trustees are involved in property exchanges

Land Charges Act 1972: Act governing registration of charges and other interests in land

Landlord and Tenant Act 1954: Relevant legislation when commercial properties with tenancies are involved in the exchange

Environmental Protection Act 1990: Legislation covering environmental considerations and liabilities in property transactions

Money Laundering Regulations 2017: Regulatory requirements for property transactions to prevent money laundering

HM Land Registry Requirements: Official requirements and practices for registering property transactions and changes in land ownership

Local Planning Regulations: Local authority requirements affecting property use and development

Building Regulations: Standards and requirements for building works and property modifications

Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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