Study with Humber College : PREX-1060A Exam Torrent as your best preparation materials

An agreement of purchase and sale for an industrial building is accepted conditional on financing with the expiry date of May 14. On May 11, the bank informs the buyer the mortgage cannot be approved until May
17. The salesperson for the buyer then prepares an amendment to the agreement of purchase and sale for the extension of the condition. Which of the following is NOT correct?

• A. To play it safe, the salesperson should amend the condition with May 18 as the expiry date.
• B. The buyer can still waive the condition before the expiry date if the seller refuses to sign the amendment, provided there is a waiver provision in the condition.
• C. The salesperson should prepare the amendment with midnight, May 17 as the irrevocable time.
• D. The buyer can use the same amendment to ask for a change of the closing date.

A buyer looking for an industrial property tells the salesperson that on-site trailer storage space is an important feature. What is a reason on-site trailer storage might be important for the buyer's industrial business?

• A. Outgoing trucks could have difficulty if there is a lack of on-site trailer storage.
• B. Businesses need to transport materials to and from the site.
• C. Incoming trucks could have difficulty if there is a lack of on-site trailer storage.
• D. Some trucks may need to park on the property overnight.

In regard to Environmental Site Assessments (ESAs), which of the following is NOT accurate?

• A. An ESA is intended to determine if a property has been contaminated or is facing any environmental threats.
• B. ESAs are regulated under the Canadian Environmental Protection Act.
• C. Local building departments use ESAs as the basis for changes to municipal zoning bylaws.
• D. Every new commercial property must undergo an ESA prior to construction.

Both the landlord and the tenant have responsibilities in the management of their relationship as per the commercial lease agreement. Which of the following is NOT an accurate statement regarding the roles and responsibilities of landlords and tenants as per the Commercial Agreement to Lease?

• A. Not all commercial leases require the landlord to perform repairs and maintenance.
• B. All commercial leases require that tenants keep everything in and about the property, including all points of entry and exit, in good repair at all times.
• C. Tenants are obligated to ensure they have adequate tenant insurance for their property.
• D. The landlord must address their tenants' issues in a timely manner in general but more so when the issue can result in serious and costly consequences.

A salesperson discusses with a buyer the potential advantages of purchasing brownfields for redevelopment.
What is NOT an advantage for the buyer of a brownfield property?

• A. Brownfield properties typically have the advantage of existing infrastructure such as roads, utilities, water/sewer servicing, schools, and transit facilities.
• B. An owner who rehabilitates a brownfield property can receive tax incentives.
• C. The contaminants in brownfields contain precious metals that can be sold to earn additional income.
• D. Brownfield properties can often be purchased at well below their potential market value.