KEY FACTS OF REAL ESTATE ACQUISITIONS UNDER SPANISH LAW -

I. Procedure of a real estate transaction -

1. Formal procedure of a real estate transaction in Spain starting from the signing of the purchase agreement (including the closing) until formal ownership vests in the purchaser -

Before any formal transfer begins, it is highly advisable to take some initial checks relating the property’s current legal, tax/economic and town-planning situation: Legal information is normally obtained from the Land Registry (by requesting excerpts relating current liens and charges; Tax/Economic information may be obtained from the Town Hall and from the “ownership association” (“comunidad de propietarios”), if any, as under Spanish Law, who acquires a property is liable for the amounts owed to the ownership association and the payment of local property tax; and Town Planning information, may be obtained by requesting from the Seller or the Town Hall the Activity License/First Occupation License (“Licencia de Actividad/Licencia de Primera Ocupación”) for commercial/housing purposes or in the event of land, Town Planning information (“cedula urbanística”).