Commercial Property team advises on SIPP land purchase

Commercial Property Associate, Daniel Lander, recently acted for an individual (Mr A) on the purchase of land using a Self-Invested Personal Pension (SIPP) scheme.

Mr A wanted to purchase land at a site in Gloucestershire with the intention of building a warehouse and leasing it to his company, a family-run catering supplier.

As the purchase was made using a SIPP, our commercial property team were effectively acting for two clients: Mr A and the Self-Invested Personal Pension scheme, which has its own requirements that needed to be satisfied.

The land, which is subject to planning permission, was purchased for £150,000, however, the gross development value of the site will be far higher.

We also advised on the overage for this purchase, whereby the seller is entitled to a lump sum payment from Mr A should there be successful planning application for residential development.

Daniel also recently acted for the catering supplier on the lease of another warehouse in Bristol.

Further information

Putting a commercial property into a SIPP and leasing it back to the company running the business can be an extremely tax-efficient way for business owners to plan for their future.

If you have set up a SIPP and are looking to invest in commercial premises, call our specialist commercial property lawyers on 0117 325 2929 or fill out our online enquiry form.