A business is bought without the overlay position for the premises being checked
Buyers focus on takings, equipment and the lease, and the hazard position is treated as background rather than as a commercial term. Vendors rarely volunteer it.
The City of Moreton Bay planning scheme applies coastal hazard overlays identifying areas impacted by storm tide and erosion, alongside a flood hazard overlay for riverine and creek flooding. The overlay affects a property identified in the mapping where development is proposed, and it influences insurance cost and availability, lender appetite, and requirements attaching to alterations or rebuilding.
We obtain searches and check the overlay position for the specific premises during due diligence, then explain what it means for insurance, lending, alterations and future development. We do not advise on the hazard status of a particular property without the mapping.
