Contractual Language

Copies of Leases

This offer is also contingent on the following items...The Seller shall provide the Buyer with complete and accurate copies of all written leases, amendments, addenda, extensions, and guarantees affecting the Property within three (3) days of acceptance of this Agreement. The Buyer shall have three (3) days after receipt of these documents to review and approve the leases.

Representation of leases and rents:

The Seller represents and warrants that, as of the date of closing, all rents are current unless otherwise disclosed in writing. The Seller further represents that no tenant is in default under their lease, no tenant has provided notice of termination or intent to vacate the property, and no rent concessions, credits, or agreements exist with any tenant outside of the written lease agreements.

After accepting this Agreement, the Seller shall not enter into any new leases, renewals, lease extensions, rent reductions, or modifications without the Buyer's prior written consent.

Assignment of leases

Seller shall execute an Assignment of Leases and Rents transferring all landlord rights under the leases to the Buyer.

Transfer of Security deposits, prepaids / pro-rated rents

The Seller shall transfer to the Buyer all security deposits and prepaid rents held for tenants. These amounts shall be credited to the Buyer on the closing statement, along with documentation showing deposit amounts for each tenant.

The Seller shall continue to collect rents in the ordinary course of business prior to closing. The Seller agrees to promptly notify the Buyer if any tenant becomes delinquent in rent, defaults under their lease, or provides notice of termination after the date of this Agreement. Any unpaid rent due as of the date of closing shall be credited to the Buyer on the closing statement unless both parties agree otherwise in writing.

Assignment of Title

Buyer shall have the option to take title in an entity designated by Buyer instead of Buyer's personal name, provided the entity is established and identified no later than fifteen (15) days prior to closing.

City Inspections:

• Seller to provide copy of most recent City Inspections and dates performed

Verification of expenses:

Seller to provide copy of maintenance costs and records, including utility costs

• Seller to transfer amount of all deposits to buyer at closing

Utilize below language on an “Addendum to Purchase Contract” to change buyer from personal name to LLC, partnership, etc. 

The undersigned <buyer name> hereby assigns all of his rights as purchaser under the contract dated x/xx/xxxx for property described as  <insert address>, <city>,  <state>, <zip>  to <insert LLC or company name>.  Further, the undersigned seller consents to the assignment and the undersigned on behalf of <insert LLC or company name> accepts the assignment.  In all respects, <insert LLC or company name> is now substituted for <insert buyers personal name> as purchaser in the contract referred to herein and <insert buyers personal name> is released from any obligations thereon.