Commercial Property Purchase in Barcelona: Agency's Standards

Purchasing Commercial Property in Barcelona: Standards for Buying and Transferring Businesses

Buying commercial real estate in Barcelona—one of the most dynamic markets in Europe—requires a clear action plan and adherence to professional standards. This is especially important when purchasing properties intended for rental income, such as warehouses, hotels, restaurants, or office spaces. Below is an outline of the standard process followed by GG Real Estate when working with clients, including key procedures for traspaso transactions, where lease rights are transferred along with business licenses and equipment.

1. Clear and Detailed Client Request

The process begins with receiving a specific and detailed inquiry from the client. The request should include:

• Type of property (e.g. hotel, restaurant, office, retail space, etc.)
• Preferred areas within Barcelona and its province
• Budget for purchase or traspaso
• Desired return on investment or intended use (investment, personal use, rental, launching a new business, etc.)
• Preferences regarding size, surrounding infrastructure, licenses, tenant status, and more

2. Signing a Property Search Mandate

Before active search begins, GG Real Estate signs a property search mandate (encargo de compra) with the client. This document:

• Defines the terms of collaboration
• Outlines agency fees:
• 3–5% of the purchase price for direct acquisitions
• 10% of the traspaso value (transfer of lease and equipment)
• Legal services are charged separately (approx. 1% of property value)

3. Initial Property Information

GG Real Estate provides clients with preliminary property dossiers, including:

• Property description
• Floor plans
• Photos and location
• Financial indicators
• Lease terms (if tenanted or for traspaso)
• Estimated return on investment

4. Signing a Letter of Intent (LOI)

If the client is interested, they sign a Letter of Intent (LOI), which includes:

• Declaration of interest in a specific property
• Proposed purchase or traspaso price
• Timeline and conditions for closing the deal
• Legal structure of the acquisition

5. Offer Acceptance and Property Reservation

Once terms are agreed upon, the seller signs the offer acceptance, granting the client an exclusive reservation period—usually 30 days—for property due diligence. During this time, the property is placed "on hold."

6. Due Diligence

The client hires a legal advisor to perform Due Diligence, which typically includes:

• Title verification and ownership rights
• Confirmation of no debts or encumbrances
• Review of lease agreements (for tenanted properties)
• Verification of licenses (especially for hotels or restaurants)

7. Signing the Reservation Agreement (Arras)

After successful due diligence, both parties sign the reservation agreement (Contrato de Arras):

• Final deal terms are confirmed
• A deposit is paid (usually 10%)
• The agency receives the first part of its fee

8. Closing the Deal

In the final phase:

• All documentation is prepared for notarization
• Final payment is completed
• The agency receives the remaining commission

9. Legal Support

Legal assistance is essential, especially for international clients. The lawyer:

• Oversees the transaction
• Prepares and files all required documents
• Ensures tax compliance and proper registration in the Land Registry

10. Additional Requirements for Hotel and Large-Scale Transactions

Special attention is required for hotels and large-scale assets. The agency may request:

• A brief financial statement confirming the source and legality of funds
• A plan for transferring funds to Spain
• Business background information (for acquisitions involving business operation)

These steps are in line with EU anti-money laundering (AML) laws and corporate ethics standards.

Conclusion

Purchasing commercial real estate or a business in Barcelona is a structured process based on professionalism and clear procedures. Following these steps ensures transaction security and transparency for all parties involved. Working with a licensed agency and experienced legal team is key to a successful investment in one of Europe’s most attractive markets.

Contact us today to learn more about commercial real estate opportunities and property management services in Barcelona and across Catalonia.