Common use of FIRST RIGHT TO PURCHASE Clause in Contracts

FIRST RIGHT TO PURCHASE. (a) If at any time the Lessor intends to sell the Property, then the Lessor must grant DHA a first right to purchase the Property on the terms set out in this clause 13.1. (b) The Lessor must give DHA written notice of its intention to sell the Property (“Sale Notice”). (c) The Sales Notice must: (i) include the terms and conditions for the sale of the Property; and (ii) provide DHA with 30 days to give the Lessor written notice that it will purchase the Property (“the Sales Notice Period”). (d) In the event that the Lessor provides DHA with written evidence of financial hardship, DHA may, in its absolute discretion, agree in writing to reduce the Sales Notice Period. (e) During the Sales Notice Period, the Lessor and DHA, acting reasonably, must agree in writing on the purchase price for the Property (“Purchase Price”). (f) In the event that the Lessor and DHA cannot agree to a Purchase Price within 14 days of the date DHA receives the Sales Notice, then the Purchase Price is to be determined by an independent market valuation prepared by a qualified valuer with no less than 5 years’ experience (“Market Valuation”). (g) The Lessor is responsible for the costs of the Market Valuation. (h) In the event that the Market Valuation is not obtained prior to the expiration of the Sales Notice Period, the Lessor and DHA agree that the Sales Notice Period will be extended to the date that is 7 days following the date of the Market Valuation. (i) If DHA gives the Lessor written notice that it will purchase the Property during the Sales Notice Period, then at that time the Lessor must issue a contract for the sale of the Property to DHA (“the Contract”). (j) The Contract must include: (i) the Purchase Price as determined in accordance with clause 13.1(e) or clause 13.1(f); (ii) DHA’s standard special conditions which are to be provided by DHA to the Lessor at the time written notice is given to the Lessor under clause 13.1(i); and (iii) any other the agreed special conditions.