Explain what particular matters you would include in a contract for the sale of a residential freehold property in the course of construction on a new housing estate. You may assume that the estate is being developed by a well-known and reputable builder. You should confine your answer to matters relevant only to new properties and make reference to matters which both parties would wish to see dealt with in the contract.
ABBEY & RICHARDS SOLICITORS
To: Trainee Solicitor
From: Property Partner
Re Character Homes Ltd
Several years ago we acted on the acquisition of a greenfield site by Character Homes Ltd, a major player in the U.K. building industry. The acquisition was financed by Modern Finance Ltd who took a first fixed charge on the site together with a floating charge over the company's assets. Character Homes Ltd has recently begun developing the site and is in the course of constructing 30 freehold detached houses. It has instructed us to act on the sale of the individual plots.
Please prepare a memo listing and explaining the items we should send to each buyer's solicitors.