Selling a property bought with a limited recourse loan
Once a limited recourse borrowing arrangement has been repaid, the trustees of a Fund can decide that they would like to sell the property to a third party.
The property will be held by a holding trustee in a holding trust for the Fund, and the holding trustee will not have the power, or the right, to sell or transfer the property to a third party. However, transferring the property back to the fund trustees, so that they can sell the property to a third party, can be costly and time consuming. But we can assist!
With our Compliance Documents for the Sale of Property to a Third Party package, we can prepare the necessary documents so that the property does not need to be transferred to the fund trustees before being sold.
Alternatively, if the property has already been sold, these documents can be prepared to confirm the winding up of the trust for audit purposes.
Our documents package provides the necessary resolutions and formal direction for the holding trustee to enter into the contract of sale and sign all other associated documents required for the sale of the property.
Please contact Townsends Business & Corporate Lawyers on (02) 8296 6222 or email firstname.lastname@example.org for pricing and assistance with ordering this handy documents package.