REDC UK LIMITED

TERMS OF USE FOR PROSPECTIVE BIDDERS

The online auctions will be conducted by REDC UK Limited – the auctioneer. This information for prospective buyers generally describes the auction of lots owned by the various selling entities – the sellers. The sellers of the lots listed have instructed the auctioneer to auction the lots in accordance with the information set out below.

This information is intended to assist you as a prospective buyer. Although reasonable efforts have been made to describe the auction process and the properties to be sold at auction, we strongly recommend that you appoint professional advisors including independent legal advisors and arrange for them to review and advise you on all aspects of your intended purchase.

1.  Registration to Bid

1.1  Registration is required in order to bid during the auction and there is no fee to register. In order to register for the auction, please go to www.zoopla.co.uk/auctions (Zoopla is REDC’s marketing partner and is not acting as auctioneer) and fill out the online registration form. In connection with such registration, you will be required to provide your credit card details in order for REDC UK to verify your identity. Online bidders will receive an electronic notice when they have been approved to bid. Please note that only the winning bidder will have a debit made to their credit card. All other credit card details will be cancelled at the close of the auction.

2. The Particulars

2.1 The details of each particular lot have been prepared using information supplied by the seller and their solicitors. Every effort has been made to ensure the accuracy of the details and to verify the information supplied, but we cannot be held liable for any mistakes or omissions and you are therefore responsible for checking the lot yourself before bidding to purchase it.. The lots are available for viewing by appointment only with the local estate agent. It is your responsibility to check that the particulars of the sale and all other information about a lot are accurate and complete before bidding.

2.2 Measurements and areas referred to on the website are approximate only. It is your responsibility to check the following matters in respect of each lot you are interested in before the auction:

• All measurements and area
• Whether any fixtures, fittings and contents referred to are owned by the seller
• The exact description of the location of the lot
• Details of any leases affecting the lot
• Any other matters that the lot might be subject to or have the benefit of
• The current occupiers at and/or trading (if applicable) from the lot
• The structural condition of the lot and any possible contamination or pollution of the lot

2.3  You are advised to check these matters by:

• Personally inspecting the lot.
• Arranging to have the lot professionally surveyed.
• Arranging for an environmental survey to be carried out in respect of the lot.
• Making enquiries with the seller and the seller's professional advisors.
• Making relevant searches and enquiries with all appropriate authorities

2.4 Special viewings may be made by contacting the estate agent selling each lot. We recommend that you do not bid on a lot unless you have inspected both externally and internally.

3. Reserves and Cash Purchase Only Lots

3.1  These are reserve auctions and as such all the lots will be offered for sale subject to a reserve price which will not be disclosed. The auctioneer may bid on behalf of the seller up to the reserve price but may not make a bid equal to or exceeding the reserve price.

3.2  Any lot that has been designated as “cash purchase only” is generally considered to be unmortgageable, although this is not an absolute assertion and there may be a lender willing to offer financing on such lot.

4.  Legal Documentation

4.1  A legal package consisting of all documentation held by the auctioneer is or will be made available as further documentation becomes available. All documentation, including the Home Information Pack (HIP) is the responsibility of the seller and has been provided by the seller’s legal representative. As REDC UK Limited was not party to any original lettings we are unable to confirm the accuracy of the information within any tenancy agreements. The documents will be placed on our website. Buyers are deemed to have made their own enquiries of the relevant local authority and to purchase with full knowledge of any matters that would be revealed by a search of the Local Authority and shall raise no requisition or obligation in respect thereof.

5. Structure, Condition, Contamination and Equipment

5.1 Whether or not you actually inspect the lot, you will be assumed to bid with full knowledge of the physical condition of the lot.

5.2  Neither the auctioneer nor the seller can guarantee:

• The structural condition of the lot.
• The state or condition of any fixtures, fittings or other items stated to be included on the sale of the lot.
• Whether or not the lot or any fixture, fittings or other equipment have been properly or adequately constructed or are suitable for their purpose.
• Whether or not there is any contamination or pollution affecting the lot or affecting any other property in the neighbourhood.
• Whether or not the lot complies with any relevant legislation relating to the environment, contamination, pollution or dangerous substances.

6. Withdrawn Lots

6.1  The auctioneers have the right to withdraw or remove lots from the auctions without giving reasons at any time.

6.2  Neither the auctioneers nor the seller will have any responsibility towards you in relation to any loss or wasted costs that you may incur in respect of lots withdrawn/removed.

7. Plans and Photographs

7.1  Any plans and photographs shown on the website are included in order to assist you in locating the lot in question. Similarly, any plans or photographs are merely to assist you in finding the lot, not for the purpose of indicating legal boundaries

8. Conditions of Sale

8.1  Each lot is sold subject to the Conditions of Sale. For lots located in England and Wales, a copy of the RICS Common Auction Conditions is posted on the website and is reproduced with the consent of RICS. In the case of Scottish lots, the Articles of Roup shall be posted on the website. Likewise, for lots located in Northern Ireland, please see the website for the Conditions of Sale. Any Extra Conditions of Sale, Special Conditions of Sale or any other Addendum shall be available for viewing on the website. Such documents will be posted as they become available so please check the website regularly for updates. Any Addendums will detail any corrections, amendments and/or additions to the particulars and Conditions of Sale for any of the lots. It will be assumed that you have read the Addendums before bidding.

8.2  If you are the successful buyer of any lot – meaning you have the highest bid and such highest bid meets or exceeds the seller’s reserve price - you will, from the moment of the conclusion of the online auction, become legally bound by the relevant Conditions of Sale in relation to that lot.

8.3 It will be assumed that you have read and considered the relevant Conditions of Sale and any other relevant documents for the lot(s) you are interested in and that you have shown them to your professional advisors and taken their professional advice before bidding.

8.4 Please note that some or all of the Conditions of Sale relating to certain lots might be obtainable separately from the seller's solicitors or the auctioneers.

9. Liability of Bidder

9.1 If you bid during the auction, you will be personally liable in respect of any accepted bid. This will be the case even if you bid as agent or other representative for another party.

9.2 If you bid as an agent or representative then you and the person or organisation on whose behalf you have bid will be jointly and severally liable under the contract of sale or in the case of Scottish lots, the minutes of enactment of the lot.

10. Procedures on Sale of the Lot

10.1  If, at the conclusion of the bidding for such lot, you are the highest bid and such highest bid has met or exceeded the seller’s reserve price, then a legally binding contract is immediately created. The terms of the contract will be those set out on the relevant Conditions of Sale referred to above, a copy of which will be sent to you via electronic mail immediately upon termination of auction.

10.2 You will be sent the necessary purchase contract documents to execute and return as well as paying the deposit (as described below). If you do not complete the documentation and/or pay the deposit, the seller may have a legal right of action against you for the breach of contract.

10.3 You will also need to provide certain personal information for general identification and compliance with Money Laundering Regulations.

10.4 You will be responsible for the insurance of the lot from the moment you have been confirmed as the winning bidder. Unless alternative arrangements are provided for in the Special Conditions of Sale, you will need to make the necessary insurance arrangements.

11. Buyers Premium

11.1 The purchase price for each lot shall be equal to the high bid plus a buyer’s premium. The buyer’s premium is equal to two percent (2%) of the high bid amount plus VAT. As such, if the high bid is equal to £100,000, then the purchase price shall be £102,350, which is the £100,000 high bid plus £2,000 (buyer’s premium of 2% of the high bid) plus £350 (VAT on the buyers premium).

12. Deposit

12.1 The deposit is the sum you must pay to the seller upon acceptance by the auctioneer of your bid as a guarantee that you will proceed to completion of the purchase. At completion, the sum becomes part payment of the purchase price.

12.2 The deposit is ten percent (10%) of the purchase price.

12.3 This deposit will be paid, in part by charging your credit card with an amount of Five Hundred Pounds (£500) as soon as the winning bid has been confirmed and the balance by way of a wire transfer into REDC’s trust account within 48 hours after the auction. Once the entire deposit has been collected, REDC will deduct its fee of 2% (plus VAT) in part from the charge on the card and in part from the wire deposit and, thereafter it shall remit the remaining balance to the vendor’s solicitors. The sale is required to be completed within 21 days from the completion of the online auction.

12.4 A deposit must be given with each separate lot that you purchase.

12.5 If you fail to wire the balance of the deposit within the 48 hour period, then the auctioneer or Seller can declare you to be in default. In such event, the auctioneer may charge (if we have not done so already) your credit card in the amount of Five Hundred Pounds (£500) in connection therewith and Seller may bring such legal action as may be necessary to recover the purchase price of the lot.

13. Purchasers Solicitors

13.1 Each successful bidder will be required to provide REDC UK Limited with details of their solicitors.

14. Provisional Bids

14.1 In certain instances, the highest bid will be less than the seller’s reserve price. If that occurs, they auctioneer may indicate that the bid is be taken provisionally.

14.2 Bids taken provisionally are offers that are submitted to the seller for their consideration. The seller may accept the offer, reject the offer, or make a counteroffer.

14.3 If an agreement is reached, the same completion process will take place as with the lots sold during the auction.

15. The Auctioneers

15.1 The auctioneers will not be under any financial liability in respect of any matters arising out of or connected with the auction or the lot particulars or the Conditions of Sale for any lot. Any recourse the buyer will make in this respect will be against the seller. The buyer will not make any claim against the auctioneers in respect of any loss, damage or claim either actually or allegedly suffered by or made against the buyer as a result of the buyer entering into any contract for the sale and purchase of the lot.

15.2 The auctioneers cannot guarantee:

• The photographs show the current condition of the lot.
• That any occupiers are trading or are actually in occupation of the relevant lot.
• The state of repair and condition of the lot.
• That any entities shown in any street trader plan are still trading or are still in actual occupation of the lot.

16.  Inspection and Vacant Possession

16.1  If you want to inspect the lot, please arrange this with the local estate agent prior to bidding.

16.2  Keys to lots that are offered for sale with vacant possession will normally be made available to you on completion of the sale.

16.3 Any access prior to completion of the sale is subject to seller’s sole approval. You may be responsible for paying the cost of accompanied viewing of the lot prior to completion.

17. Rents and Information relating to Tenants

17.1  Financial and other information given on the website for any lot relating to tenants or the occupiers of the lot is obtained from the Companies House (whose files are open to public inspection and verification) or from published reports and accounts of the tenant or tenant's holding company, unless otherwise stated.

17.2  Some of the information shown in the catalogue may be at least 2 years out of date depending on when returns were last filed at the Companies Registry or when the tenant's corporate accounts and report were last published. In addition, the circumstances of any tenants or occupiers of the lot might have changed since completion of the catalogue, for example as to ownership. There is no guarantee therefore that the information shown in the catalogue is accurate or up to date as at the end of the auction.

17.3  It is your responsibility to check whether or not the particulars are accurate in relation to such matters.

17.4  Estimates or suggestions given by the auctioneers as to current or future rental values affecting any lot or as to the current or future open market rental value of the whole or ant part of the lot must not be treated as valuations but as estimates. You must consult your own professional advisors to establish whether such estimates or suggestions are accurate.

18  Financing

18.1 REDC UK Limited is not authorised by the Financial Services Authority to give mortgage or investment advice.