Insights & Articles

In New Zealand property transactions, building reports play a crucial role in the due diligence process, giving buyers a clearer understanding of a property's true condition before committing to a purchase, helping to uncover hidden issues, informing negotiations, and providing peace of mind. However, if misunderstood or misused, they can also complicate a deal.

Ever wondered what the term “cross lease” really means—and whether converting to freehold is worth it? Whether you’re looking to buy, sell, make changes to your property, or convert your cross lease title to freehold, it’s important to understand what this form of property ownership really means — and what your options are.

Providing a guarantee for someone else’s financial commitments can expose you to serious legal and financial risks. Before agreeing, ensure you understand the potential consequences - especially if you won’t directly benefit or lack full visibility and control over the obligation.

If you work in the commercial property sector - involving retail shops, office buildings, industrial facilities, or hospitality venues - you’ll want to know about the latest updates to the ADLS Deed of Lease ('DOL'). Released on 27 November 2024, the Seventh Edition introduces significant changes to reflect the evolving commercial landscape of the past decade.

This article explores the legal principles surrounding land covenants, focusing on a case where a developer sought to modify a land covenant that restricted the number of dwellings on their property. The Court ultimately agreed to modify the covenant, determining that no substantial injury would result to neighboring property owners and the change reflected modern development demands.

When entering relationships with new suppliers, it’s essential to carefully review the terms of trade, especially if they include a General Security Agreement (GSA). While a GSA can offer credit benefits, it also carries significant risks, potentially leading to receivership if payment issues arise. Understanding these terms is crucial to protecting your business.

The recent fall in property values across New Zealand has led to numerous purchasers being unable to obtain finance and complete settlement. This leaves both vendor and purchaser in an awful position, with lawyers scrambling to minimise the losses suffered on each side.

If the purchaser discovers a defect with the property or breach of the sale and purchase agreement by the vendor just days before settlement is due, what can the purchaser and vendor do in that situation? Can the vendor force settlement? Should the purchaser be allowed to claim a reduction in the purchase price? The claim for compensation provisions were designed to achieve both objectives, requiring settlement to occur subject to some adjustment of the purchase price payable on settlement.

Real estate agents or salespersons seeking to challenge a Complaints Assessments Committee's finding of unsatisfactory conduct need now to be aware of a shortened appeal period.