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An overage payment creates an obligation on a buyer to pay a future sum of money in addition to the agreed purchase price should a specifically defined trigger event happen.

For example, where the buyer does not have funds to cover the entire purchase price up front, or where it is likely that the property will increase in value such as if it is granted planning permission.

Overage can be complex to administer, so it’s important to have it drafted and reviewed by experienced commercial property experts. Speak to a member of our team today to see how we can help.