Hotel Purchase Letter Of Intent
Hotel Purchase Letter Of Intent
[Month Day, Year]
[Your Client Name]
[Your Client Address]
[Your Client Number]
[Your Client Representative]
Dear [Your Client Representative],
Subject: Letter of Intent for the Purchase of [Prospective Hotel Name/Property]
We are pleased to express [Your Company Name]'s formal interest in acquiring the land associated with [Prospective Hotel Name] located at [Hotel Address]. This letter of intent outlines our intention to purchase this property as part of our strategic business expansion plans, including the potential development of a boutique hotel venture.
1. Property Description and Due Diligence:
[Prospective Hotel Name] encompasses all land, physical assets, and fixtures currently associated with it. [Your Company Name] will conduct a comprehensive review of all relevant property documentation, including title deeds, building plans, current leases, and operational financial statements as part of our due diligence.
2. Purchase Price:
Based on our preliminary assessments, [Your Company Name] proposes a purchase price of $15 million, subject to adjustments based on the findings from our due diligence process.
3. Terms of Payment:
The proposed terms of payment include:
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An initial deposit of $1.5 million upon execution of a definitive Purchase Agreement.
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The balance of $13.5 million will be paid in full at the closing of the transaction.
4. Contingencies:
This offer is contingent upon:
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Successful completion of a thorough due diligence within 60 days from the date of signing the Purchase Agreement.
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Approval of the transaction by [Your Company Name]'s Board of Directors.
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Securing all necessary governmental and environmental approvals.
5. Confidentiality:
Both parties agree to maintain the confidentiality of the negotiation process and all related information unless disclosure is legally mandated.
6. Exclusivity:
[Your Client Name] agrees to grant [Your Company Name] an exclusivity period of 45 days during which you will not engage in negotiations or discussions with any other potential buyers.
7. Binding Effect:
This Letter of Intent is not legally binding, except for the terms concerning exclusivity and confidentiality. It serves as a preliminary expression of the general intentions of both parties.
We are excited about the potential for [Prospective Hotel Name] to enhance [Your Company Name]'s portfolio and support our strategic expansion into new and innovative areas of the hospitality industry. We look forward to your positive response and to moving forward collaboratively to complete this transaction.
Please sign and return a copy of this letter to signify your agreement to proceed on these terms.
Sincerely,
[Your Name]
[Your Job Title]
[Your Company Name]
[Date]
Accepted and Agreed:
[Your Client Representative]
[Job Title]
[Date]
[Your Client Name]
[Date]
