Before buying offices, retail space, industrial facilities, or warehouses in Russia, one should get to know a number of peculiarities connected with this process. Making a sales contract, a buyer always strives to be ensured that a transaction will be closed in strict accordance with a current legislation. So, what do you need exactly to be aware of before thinking about the purchasing of a real estate for commercial purposes in Russia?
The entire buying process can be divided into three stages:
- suitable premises selection;
- documents preparation;
- correct transaction closure.
Buying Commercial Real Estate in Russia: the Right Choice
In order to make a good choice, one should define the purchasing purpose in advance. If we speak about a non-residential premise for doing business in Russia, it must be fully adapted to its features. The types of commercial properties are described in detail in the article “Special Features of the Russian Commercial Real Estate Market”. However, if one needs a real estate for investment, then a bit different criteria must be taken into account.
Still, how to make the right choice? Every purchaser faces this quite serious and responsible issue. It is of crucial importance to choose the one really appropriate from a variety of offers. Quite reasonably, the majority of purchasers apply to experienced professionals for assistance. Besides, it’s a well-known fact that this market sphere hides a lot of risks such as faults concealing and merits exaggerating.
Only a true professional in this market segment will be able to provide assistance and reduce or eliminate the potential purchasing risks. Our company offers you to feel the benefits of working with well-qualified experts, who will assist you in a transaction support, from the selection of the building and finishing with the correct sales contract registration. The list of services provided by our specialists is as follows:
- selection of non-residential premises;
- performing of a transaction due diligence;
- drawing up a contract;
- state registration of purchased premises.
Due Diligence – Legal Verification of a Transaction
Before you buy a commercial real estate in Russia, be sure to find out whether premises are in the mortgage or leased. The sale of mortgaged premises may be performed only with a pledgee’s consent. In case the premises are leased, it is necessary to discuss the lease relations transfer with a seller. Terms of the lease are not affected by a change of ownership.
Drawing Up a Sale Contract for Commercial Premises
A properly executed sale contract is a transaction validity guarantee. It is important to pay attention to the crucial terms of the agreement which should be stated within the contract clauses:
- information about the real estate property and its description (identification data);
- payment procedure and the final payment term;
- the price in rubles or other currencies.
If one purchases a detached building on a land plot, it is necessary to find out which land rights its owner possesses. With changing of a building ownership, the land rights are being transferred from the former owner to the new one in full. If the land is leased, then it can not be used as a pledge. Moreover, it is useful to get to know a category the land belongs to – some categories have limits for industrial facilities construction. That is one more reason to apply to experts for an advice in commercial premises purchasing.
The sale contract for commercial premises should be drawn up in a paper form and signed by the parties. An acceptance report attached to the contract should fix the act of premises transferring from one owner to another. The documentary certificate of the sales is being recorded in the territorial division of Rosreestr – the Federal Service for State Registration, Cadastre and Cartography. The registrations of the contract and the ownership rights occur at the same time. The transfer of ownership is considered to be accomplished from the moment of registration.