1---2name: commercial-real-estate-loi3description: >-4 Drafts a U.S. commercial real estate purchase letter of intent (LOI) framing5 core deal terms as non-binding while isolating binding provisions6 (confidentiality, exclusivity). Triggers on LOI/term-sheet requests for7 commercial property acquisition, PSA pre-wire, exclusivity, or due-diligence8 entry.9---1011# Commercial Real Estate Purchase LOI1213Proposes deal terms and a negotiation framework for commercial property acquisition while limiting binding effect to specified provisions only.1415## Gather Before Drafting16171. **Parties** — legal names, entity types, authority, notice addresses.182. **Property** — street address, county/state, APN(s), included/excluded assets.193. **Economics** — price, consideration type, deposit amount and timing, financing posture.204. **Timeline** — due-diligence period, PSA target, closing target.215. **Binding scope** — confidentiality terms, exclusivity window, expense allocation, governing law.2223## Document Structure2425### Header & Intro2627- Date, seller name/address, subject line: "Letter of Intent – [Property Address/Name]".28- Identify buyer, seller, property, and intended transaction.29- State non-binding nature except specified sections.3031### Core Terms3233| Term | Instruction | Placeholder |34|---|---|---|35| Buyer | Full legal name; allow assignment to affiliate/SPE if intended | `[Buyer Legal Name]` |36| Seller | Full legal name; confirm record title holder(s) | `[Seller Legal Name]` |37| Property | Address, county, state, APN(s), improvements, fixtures | `[Property Description]` |38| Purchase Price | Fixed or adjustable; state adjustment method | `[Price]` |39| Consideration | Cash, debt assumption, seller financing, or mix | `[Consideration]` |40| Earnest Money | Amount, timing after PSA, escrow holder, refundability triggers | `[Deposit Terms]` |41| Due Diligence | Days from PSA; scope; buyer discretion; termination right | `[DD Period/Scope]` |42| Financing | Contingent or cash; proof of funds/commitment | `[Financing Terms]` |43| Closing | Target date or days after contingencies; extensions | `[Closing Date]` |44| Closing Costs | Allocation of title, escrow, taxes, surveys, fees | `[Cost Allocation]` |4546### Due-Diligence Scope Checklist4748- Physical inspections and access rules49- Environmental review and reports50- Title commitment, exceptions, survey51- Leases, rent roll, tenant files, estoppels52- Operating statements and expense history53- Zoning, permitted use, compliance records54- Service contracts and vendor agreements5556### Binding Provisions Block5758Create a discrete section titled "Binding Provisions" expressly stating these terms bind while all others do not.5960| Item | Required Elements |61|---|---|62| Confidentiality | Scope, permitted disclosures, duration, exclusions, remedies |63| Exclusivity | Start, duration, prohibited activities, breach consequences |64| Expenses | Each side bears own costs (or seller reimburses on breach) |65| Governing Law | State law and venue for binding provisions only |6667### Acceptance Block6869- Acceptance deadline (date/time, delivery method).70- Buyer signature block (name/title/date).71- Seller block labeled "Agreed and Accepted" (name/title/date).7273### Optional Clauses (include only if provided)7475| Clause | When |76|---|---|77| Tenant Estoppels / SNDA | Multi-tenant or credit-sensitive deals |78| PSA Milestones | Staged diligence or deposit increases |79| Risk Allocation | Casualty/condemnation between LOI and closing |80| Broker Commission | Broker involved or allocation disputes anticipated |8182## Pitfalls & Checks8384- Restate non-binding status both in the intro and immediately before signature blocks.85- Isolate binding sections; add a severability sentence for those sections only.86- Avoid "agreement to agree" language unless expressly intended.87- Do not include good-faith negotiation obligations unless the client accepts that exposure.88- Use specific dates and dollar amounts; bracket unknowns with `[placeholder]`.89- Verify compliance with local transfer-tax and escrow customs.90- If seller is not the record owner, require evidence of authority to sell.9192---