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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."
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
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
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
Hospitality
Real Estate
Tourism
Property Development
Hotel Management
Food and Beverage
Commercial Property
Investment
Asset Management
Legal
Real Estate
Operations
Finance
Acquisitions
Development
Compliance
Asset Management
Investment
Property Management
Due Diligence
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
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