How to protect a purchase from an unreliable vendor?Make Text Bigger
Firstly, a big thank you to Neil Patterson, for some timely advice on this deal earlier. This is a commercial 3 story building. We plan to keep the ground floor as a carpet shop and get Planning Permission to revert the upper levels to residential.
The trouble is, the vendor pulled out on Friday, having done a deal with someone else, behind my back. Well, my phone has just rung and the vendor now wants me to buy it again.
This will not be straight forward (but it is a good deal), as planning permission will be required in order for me to get any commercial/development funding, and it currently takes 4 months to obtain in this area (all being well). Also, any Planning Permission we obtain BEFORE completion will benefit the vendor who could again let me down and sell it with planning, onto someone else, for a higher price.
I need to protect this deal for a minimum of 9 months, in order to be able to turn the project around and sell one unit to pay off the bridging.
Would an RX1 and an Option agreement be of any use or are there better ways to deal with my security?
Good advice from the experienced members of this excellent forum, will be much appreciated
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