Selling a commercial property, whilst certainly bearing similarities to the residential sales process, can be tricky. With commercial property investment becoming more popular, now is a fantastic time to offload any commercial assets, which is why today we’re running you through our simple guide on how to sell a commercial property.
The Legal Bits
Firstly – and perhaps most importantly – it is crucial that you gather all of the relevant documentation and certificates before you proceed with listing your commercial property for sale. Your commercial agent will request these files prior to putting your property on the market, so it’s important that you have these readily available before you start the process. Although the legal requirements will depend upon the type of commercial property you are listing, you should:
- Know your commercial planning use class
- Have an in-date Energy Performance Certificate
- Know your Business Rate details to pass onto any prospective purchasers
- Have any relevant Health and Safety certificates, such as an asbestos survey and fire risk assessment
- Prepare for Commercial Property Standard Enquiries
Optimise your space
Before you find an agent to get your property listed, we recommend enhancing your commercial unit to optimise its appeal on the market. To start, consider existing commercial trends and see if you can implement these into your property. For example, hybrid working is becoming increasingly popular in post-pandemic Britain, so if it’s an office unit you’re looking to sell, consider making it more appealing for those “work from the office” days, with open communal areas that home offices lack. If you are hoping to add a splash of colour or a few decorative pieces to your commercial property, this may actually be less appealing to purchasers. Instead, think about a ‘blank canvas’ approach so that your incoming tenants can add their own personal flourishes to the space and implement their own branding. This will allow any interested viewers to envision how they can adapt their workplace to reflect their company identity. Lastly, ask your selling agent about any valuable additions or renovations that could increase the market value of your property – they will be able to tell you what features will be worth investing in, and what additions are popular with commercial property purchasers in your area.
Find an agent
Now you’ve considered the best use of your space, and you have all of the relevant documentation to list your property for sale, it’s time to find the best commercial agent to get you on the market. Finding a good agent goes beyond merely choosing the company with the best fees, or the nearest offices – you should search for a commercial agent that has experience, knowledge and connections to get you sold for the best price, and within the best timeframe.
Try to search for a commercial agent with good local presence, as they will likely already have existing clients in their contact lists that are looking for commercial spaces. Commercial agencies with a local presence will be able to pinpoint precisely why your property is special – their understanding of the local area and market will allow them to create a listing that exhibits everything good about your property’s location, nearby commuter routes, facilities and amenities. What’s more, a local agent may be able to streamline the sales process for you by getting in touch with purchasers already on their database that are searching for properties akin to yours. Be sure to ask your commercial sales agent about the local market, and any existing clients that may be interested in your commercial property, during your valuation.
After you’re on the market
Now your commercial unit is on the market, what else is there to do?
Firstly, instruct a solicitor to act on your behalf throughout the sales process. Although this isn’t legally necessary, instructing a solicitor is good business practice and will ensure that the sale of your commercial property runs as smoothly as possible. Not all solicitors will be able to offer commercial services – ask your estate agent for a personalised recommendation.
Next, consider the ongoing costs affiliated with the sale of your property – this includes capital gains tax, solicitors fees, estate agent fees, mortgage arrangement and redemption fees, and any cost to remove items within your commercial unit that your purchaser does not wish to keep. It is vital that these costs are accounted for, as they can accumulate rapidly!
Lastly, accept your offer, exchange and complete!
Do you have a commercial property to sell?
Selling a commercial property can be a daunting prospect for first-time sellers, and a complex landscape to navigate for even the most experienced vendors. Let Centrick help you get sold, fast, and for the best possible price. Use our form below to get in touch with our expert Commercial Team:
