Opportunity

Businesses sold with real estate

By Jodi Bernard, PEI REALTOR®, CENTURY 21 Northumberland Realty. Last reviewed October 2026.

A business sold with its building is two purchases in one. Value each part on its own before you agree to the total.

Who this suits

Owner-operators who want to run the business and own the building it sits in, and investors who plan to lease the building back to an operator.

What you are buying

An asset purchase buys the land, building, equipment, and goodwill. A share purchase buys the company, including its history and liabilities. Some sales include only a lease, not the real estate. Get a written list of what is included.

PEI due diligence

Ask whether each licence transfers or must be applied for in your name. Check zoning for the use, the environmental history of the site, and the building’s condition. In an asset sale, ask an accountant about the GST/HST election for the business assets.

Questions to ask

Ask these before you look at the sales figures.

What would the building rent for to another tenant?
What profit is left after paying that rent?
Which licences and contracts transfer?
Is it an asset sale or a share sale?

Run the cap rate Estimate a mortgage

Related guides

Buying a business with its building
A restaurant, shop, or motel sold with its building is two purchases in one. Value the business and the real estate separately, and read exactly what is changing hands.
Commercial lease basics
When you buy a leased building, you buy its leases. The income is only as good as the paper behind it and the tenant who signed it.
Understanding PEI commercial transfer costs
Budget the cash to close separately from the down payment. On a PEI commercial purchase that usually includes transfer tax, GST/HST questions, legal fees, reports, and lender costs.

This is educational, not legal, tax, or lending advice. Ask Jodi Bernard about a specific property.