Document background
The Option and Purchase Agreement serves as a crucial instrument in Nigerian property transactions, providing a structured framework for property acquisition negotiations. It is particularly useful when parties need time to arrange financing, conduct due diligence, or secure necessary approvals before committing to a full purchase. This document type must comply with Nigerian property laws, particularly the Land Use Act, and typically includes detailed provisions about property rights, option periods, purchase terms, and completion requirements. It's commonly used in commercial real estate transactions, development projects, and strategic property acquisitions where buyers need to secure their interest in a property while maintaining flexibility. The agreement protects both parties by clearly defining their rights and obligations throughout the option period and subsequent purchase process.
