Best SIPP for possible future commercial property purchase?

dang

Hi,

Is there anywhere I can find out what the best SIPP would be for a possible future commercial property purchase?

The SIPP would be buying the property which I currently hold in my name. I would be funding the SIPP with payments directly from my Ltd company until such a time there where sufficient funds to make the purchase.

Thank you.

xylophone

If you type investment sense commercial property sipp into Google it should bring up a list - the direct link doesn't work from this site.

Spreadsheetman

I think most providers require an IFA to be involved in the property management on an on-going basis rather than DIY SIPPs.

I have commercial property in a SIPP (which my company occupies) and the SIPP holds the property in a trust via their management company - it is an almighty pain in the a*se trying to get anything done as it all needs to be shown as hands-off/commercial due to the conflict of interests and the possibility of manipulating rent/charges to benefit the landlord. It may be easier if you aren't both landlord and tenant.

I'd say get professional advice and don't expect it to be an easy or cheap thing to set up or run.

dang

Thanks guys I had hoped it would be an easy way to get some money out of the company...it seems there are no easy ways to do that anymore

Alexland

AJ Bell offer self management of commercial property leased back to your own business at a commercial rent within their Full SIPP called AJ Bell Platinum:

http://www.ajbellplatinum.co.uk/aj-bell-platinum-sipp

I don't know if this is 'The Best' option but I would certainly trust them to be competent and reasonably competitive on fees.

Spreadsheetman

dang wrote: »

Thanks guys I had hoped it would be an easy way to get some money out of the company...it seems there are no easy ways to do that anymore

I wouldn't necessarily give up on it - it can work if you are determined enough to push it through. It's not easy, but it's a good way to get money into your sipp if you have exhausted the simpler alternatives.

It all needs to be on a commercial basis - a proper commercial lease, rent set to a market rate following a proper commercial valuation / survey etc. You also need to look into MEES (energy efficiency) - there are some very draconian measures that will prevent granting (April 2018) or even continuing an existing lease (April 2023) unless you comply or can get an exemption.