You should be aware that when a benefit crystallisation event occurs we will require a valuation of the property from a qualified valuer. The cost of the valuation will be met by the SIPP.

When drawing from a SIPP, provided there is adequate liquidity to meet any lump sum or income payments, it is not a requirement to dispose of any commercial property that may already be an asset of the SIPP.

Indeed, a crystallised SIPP can acquire new commercial property and can borrow towards the acquisition in the same way as an uncrystallised SIPP.

Please bear in mind that property can be an illiquid asset. When planning to sell to convert the asset to cash in order to purchase an annuity, or indeed for any other reason, it is important to plan ahead and be prepared for a delay.

Upon death of the investor we may need to liquidate the property asset, though in some cases it may be possible to transfer the property in specie to the nominated beneficiary. Please contact us should you require further information on this point.