Option to Purchase Property - Form 11.6 - Sample provision for tenant purchase option

Sep 16, 2026

Option to Purchase Property (Form 11.6) is a sample agreement granting a tenant/buyer an option to purchase the leased real property from the seller. The document defines the option grant, the consideration for the option and its treatment if exercised or not exercised, the option term and notice requirements, and the purchase price payable in cash. It also sets out key purchase terms, seller representations and warranties, cooperation and closing provisions, survival of representations, modification and assignment limits, successors, governing law, and entire agreement wording.

LanguageEnglish

CategoryForms

FormatPDF

Pages5

Reading Time2 min

AccessFree to download

Option to Purchase Property

Recitals and Grant of Option

Consideration, Term, and Exercise

Purchase Price and Applicable Terms

Seller Representations and Warranties

Cooperation, Closing, and Sale Terms

Survival, Modification, Assignment, and Other Clauses

Form: Option to Purchase Description: A sample provision giving the tenant the option to buy the property being leased Form 11.6 Copyright © LegalDocs Online, Inc. All Rights Reserved. OPTION TO PURCHASE PROPERTY THIS AGREEMENT is among (“Seller”) and (the“Buyer”) . R E C I T A L S This Agreement is entered into upon the basis of the following facts and intentions ofthe parties: A. Seller owns that certain real property described in Exhibit A hereto (the“Property”) . B. Buyer desires to obtain an option to purchase the Property from Seller and Seller is willing to grant such an option to Buyer. NOW, THEREFORE, for good and valuable consideration, the receipt and adequacy of which are hereby acknowledged, the parties hereby agree as follows: 1. Option. As of the date hereof, the Seller grants to Buyer an option (the“Option”) to purchase the Property from Seller upon all of the terms, covenants and conditions hereinafter set forth. This option may be recorded at the election of Buyer. 2. Consideration for the Option. As consideration for the Option, Buyershall pay to Seller the sum of $ on the date hereof. In the event this option is exercised, all consideration paid for the Option shall be applied against and be deemed to be a payment upon the purchase price. In the event that Buyer does not exercise the Option, the consideration paid to Buyer for the Option may be retained by Seller without deduction or offset. 3. Term and Exercise. Buyer may exercise the Option at any time up to and until , , by giving Seller written notice of his intention to exercise the Option. 4. Purchase Price. The purchase price (“Purchase Price”) which Buyer agrees to pay upon exercise of the Option is Dollars ($ ) per share, payable in cash. 5. Terms. The other terms applicable to the purchase are as follows:[describe condition of property; title insurance to be obtained; treatment of deeds of trust and encumbrances; who pays closing costs, etc.] 6. Representations and Warranties of Seller. The Seller represents and warrants to the Buyer that: (a) The Seller has full power and authority to execute and deliver this Agreement, and this Agreement is a valid and binding agreement enforceable against the Seller in accordance with its terms; Form 11.6 Copyright © LegalDocs Online, Inc. All Rights Reserved. (b) Neither the execution of this Agreement nor the sale of the Property will constitute a violation of, or conflict with, or default under, any contract, commitment, agreement, understanding or arrangement to which the Seller is a party or by which Seller is bound or ofany law, decree, or judgment; (c) Now and up to the time of exercise of the Option, the Seller will have valid title to the Property, free and clear of all claims, liens, charges, encumbrances deeds of trust and security interests other than ; (d) [Other representations and warranties as appropriate] . 7. Cooperation. Each party shall, upon request of the other party, promptly execute and deliver all additional documents reasonably deemed by the requesting party to be necessary, appropriate or desirable to complete and evidence the sale, assignment and transfer of the Shares pursuant to this Agreement. 8. Purchase and Sale. If Buyer exercises the Option, at a closing (the“Closing”), the Seller shall sell, transfer and deliver the Property, represented by appropriate [warranty deed][ quitclaim deed] . 9. Survival. All representations, warranties and agreements made by the Seller and by the Buyer in this Agreement shall survive the execution of this Agreement and any Closing and any investigation at any time made by or on behalf of any party hereto. 10. Modification; Assignment. This Agreement may not be modified, amended, altered or supplemented except upon the execution and delivery of a written agreement executed by the parties hereto. Buyer may assign his rights under this Agreement with the consent of Seller.

FAQs

What does this agreement provide?

It grants the buyer an option to purchase the described real property from the seller on the terms set forth in the agreement.

How is the option consideration handled?

The buyer pays a stated consideration for the option. If the option is exercised, it is applied against the purchase price; if not exercised, the seller may retain it without deduction or offset.

When can the buyer exercise the option and what notice is required?

The buyer may exercise the option any time up to the specified deadline by giving the seller written notice of the intent to exercise.

Sep 16, 2026

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