Document background
The Letter Of Intent For Purchase Of Commercial Property is a crucial preliminary document used in Nigerian commercial real estate transactions to establish the initial understanding between parties before proceeding with a formal purchase agreement. This document is typically employed when serious interest has been expressed in a commercial property but before committing to extensive legal documentation and due diligence costs. It outlines key terms including property details, proposed purchase price, timeline, and any specific conditions while complying with Nigerian property law requirements. While mostly non-binding, it often includes binding provisions for confidentiality and exclusivity periods. The document serves as a roadmap for the transaction and is particularly important in Nigeria's complex land administration system, where both federal and state laws govern property transactions.
