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Hotel Purchase And Sale Agreement Template for New Zealand

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Key Requirements PROMPT example:

Hotel Purchase And Sale Agreement

"I need a Hotel Purchase and Sale Agreement for a luxury beachfront hotel in Auckland, New Zealand, with specific provisions for transferring existing staff and maintaining current franchise arrangements with an international hotel chain, with completion planned for March 2025."

Document background
The Hotel Purchase and Sale Agreement is a specialized commercial contract used in New Zealand for transactions involving hotel properties. It is designed to address the unique aspects of hotel acquisitions, including the transfer of real estate, operational assets, employees, licenses, and ongoing business operations. This document is essential when purchasing or selling a hotel property in New Zealand, as it must comply with specific local regulations including the Property Law Act 2007, Land Transfer Act 2017, and various hospitality-related regulations. The agreement typically includes provisions for due diligence, property transfer, operational continuity, employee transitions, and regulatory compliance specific to the New Zealand hotel industry. It may also address additional requirements when overseas investors are involved, subject to the Overseas Investment Act 2005.
Suggested Sections

1. Parties: Identification of the seller and purchaser, including full legal names and addresses

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

3. Definitions: Definitions of key terms used throughout the agreement

4. Sale and Purchase: Core transaction terms including the assets being sold and purchase price

5. Due Diligence: Terms and conditions for the buyer's investigation period, including access rights and documentation requirements

6. Deposit: Details of the deposit amount, payment terms, and conditions for holding and release

7. Pre-Closing Covenants: Seller's obligations regarding operation of the hotel business between signing and closing

8. Conditions Precedent: Conditions that must be satisfied before closing, including regulatory approvals and third-party consents

9. Representations and Warranties: Seller's and buyer's representations regarding authority, property condition, business operations, and compliance

10. Closing: Closing process, deliverables, and timing requirements

11. Post-Closing Adjustments: Process for adjusting the purchase price based on working capital, bookings, and other operational matters

12. Employee Matters: Treatment of hotel employees, including transfer arrangements and associated liabilities

13. Indemnification: Terms for indemnification obligations between parties

14. Dispute Resolution: Process for resolving disputes, including jurisdiction and governing law

15. General Provisions: Standard contract provisions including notices, amendments, and assignment

Optional Sections

1. Overseas Investment Approval: Required when the purchaser is an overseas person requiring OIO approval

2. Franchise Agreement: Included when the hotel operates under a franchise and requires assignment or new franchise agreement

3. Management Agreement: Required when there is an existing or new hotel management agreement to be addressed

4. Environmental Matters: Detailed section when environmental issues are identified in due diligence

5. Intellectual Property: Detailed provisions when hotel-specific IP rights are being transferred

6. Earn-out Provisions: Included when part of the purchase price is contingent on future performance

7. Tax Structure: Specific provisions for complex tax arrangements or cross-border transactions

8. Development Rights: Included when the property has unused development potential or ongoing development plans

Suggested Schedules

1. Property Description: Detailed legal description of the land and buildings

2. Included FF&E: Inventory of furniture, fixtures, and equipment included in the sale

3. Excluded Assets: List of assets specifically excluded from the sale

4. Contracts: Schedule of operational contracts and agreements to be assigned

5. Employees: List of employees, positions, and key employment terms

6. Permits and Licenses: Schedule of operational permits and licenses

7. Purchase Price Allocation: Breakdown of purchase price allocation for tax purposes

8. Outstanding Reservations: List of forward bookings and deposits

9. Form of Transfer Documents: Templates for transfer instruments and other closing documents

10. Due Diligence Documents: List of documents provided during due diligence

11. Environmental Reports: Summary of environmental assessments and reports

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok³ÉÈ˰æ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions





















































Clauses


















































Relevant Industries

Hospitality

Real Estate

Tourism

Property Development

Hotel Management

Food and Beverage

Commercial Property

Investment

Asset Management

Relevant Teams

Legal

Real Estate

Operations

Finance

Acquisitions

Development

Compliance

Asset Management

Investment

Property Management

Due Diligence

Relevant Roles

CEO

Managing Director

Hotel Owner

Real Estate Director

Head of Acquisitions

Property Developer

Hotel General Manager

Legal Counsel

Investment Manager

Asset Manager

Operations Director

Chief Financial Officer

Development Director

Compliance Officer

Property Manager

Industries












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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