Commercial property

Commercial property.

This is everything other than residential property. There are different factors at play. Are you or your company going to occupy the building or do you intend renting. You need to think carefullly depending on which category applies.


If you are an occupier you need to consider the planning permission for the premises. Does the planning permission allow you to operate your  business from a planning perspective. This is a vital preliminary factor. You need to instruct your architect to check the use and zoning.


If the property has been developed and within the VAT net you will liable to tax at 23%. This may be reclaimed by you if you are VAT registered and the buildng is used for your business.


If you do not occupy the building you will be renting. The rent will be subject to VAT if it is a VAT building. You will be watching for a tenant that will be able to pay the rent for the duration of the term. Rental terms may be whatever length the parties agree. Usually the term ranges from 1-3, 5 years and 10 years and upwards. In the past landlords looked for longer leases but that changed in the recession. 

Service charge/management company.

If the building is in an industrial estate or part of a multi storey you will be sharing services with other occupiers. You will manage/insure/repair and control the common area with the other owners. Usually the Service charge/management fee is passed on to any tenant.


Commercial rates and water rates apply to all commercial property. The charge is collected by the local authority. The rate is set in January every year and the Rates demand issues in February. It is payable in two instalments (moieties) one payable in first half of the year and the second after the 1st July. Rates apply to the occupier of the building in the first instance and in default the owner.

Stamp Duty

Stamp duty is charged at 6% of the purchase price (ex Vat). It is payable on the purchase deed and payable by the buyer.

We are here to help you with any commercial purchase or sale. or 01 628 1000

Occupier owner;

Here you need to factor if your business is growing  and if so how easy will it be to sell if you need to relocate to bigger premises. Commercial property is impacted by the economy and prices mirror the economic cycle. Key considerations in buying is the planning permission and permitted use. Commercial may be classed in various ranges of planning use determined by the zoning for the area. This is a preliminary check that you or your architect will make before you make any bids.