A streamlining process was introduced by TMCP in September 2021 with the key aims of reducing the time spent on property transactions and equipping Managing Trustees. This streamlining process is now in use for sales, leases and purchases where one of the firms on the Methodist Panel of solicitors (Panel Firm) has been instructed by Managing Trustees (MTs).
This includes sales and purchases of Manses and most church buildings and leases of non-residential properties such as church premises and shops.. Where a sale transaction is more complex but a panel solicitor is instructed e.g. sales of part and conditional contracts, the streamlining process will be followed as closely as possible – a hybrid process - and this will be reflected in TMCP’s response times.
Key features of the Streamlining Process
- Identify issues early
- Managing Trustees are encouraged to contact TMCP early for guidance. Please contact us before starting to negotiate any terms with the other parties to the transaction so that we can provide guidance and arrange an initial meeting with you. TMCP have found that this approach when used in the streamlining for sales has reduced unexpected issues later in the matter and has resulted in reducing transaction times. We expect the same pattern to emerge with streamlining for purchases and lease
Managing Trustees should contact TMCP once the decision to sell or lease has been made in conjunction with the Circuit and District after they have been given permission to close the building and discontinue worship (in the case of sales or leases of whole). The Managing Trustees should have also spoken to their District Property Secretary (DPS), the Property Support Team and/or Evangelism and Growth (as appropriate) about their plans for the buildings and how this relates to the Circuit and District growth plans and after considering whether there are alternative uses of the premises for mission.
Please contact TMCP before:
- Obtaining a Designated Adviser’s Report (DAR)
- Entering into any negotiations or agreeing terms including agreeing Heads of Terms (HoTs) with prospective tenants (TMCP will provide template HoTs and discuss these with you as part of the Streamlining Process)
- Marketing the property (in the case of sales and leases)
- Instructing the Panel Firm
Please contact us as soon as possible after finding a property or, if this is the first time you have followed the Streamlining Process for purchases, when you start to look for a property and we can provide initial guidance to help you.
- Check-Ins
The Streamlining Process includes “check-ins" which are conversations between the Managing Trustees and the TMCP contact dealing with your transaction. Sometimes these meetings include others who may be able to offer particular support to you as part of your transaction, such as our colleagues in the Property Support team and/or your DPS.
These “check-ins” aim to help Managing Trustees to identify and deal with any issues at a much earlier stage and then to provide all the information the designated adviser/surveyor and Panel Firm need to advise Managing Trustees on a transaction.
- On a sale transaction the Check-In takes place at Stage 1 (see the Sales Streamlining table) before a designated adviser is instructed. There is an option for a second Check-In if you feel this would be helpful at Stage 3 once a buyer is found, but before the Panel Firm is instructed to start the conveyancing process (Stage 4).
- On a purchase transaction we are happy to have an initial chat if you contact us before finding a property but the main Check-In takes place at Stage 2 (“Offer Accepted”) before a surveyor is instructed (at Stage 3) and at the same time or before the Panel Firm is instructed to start the conveyancing process.
- On a lease transaction, the Check-In meeting takes place once the Managing Trustees have made the decision to enter into a new lease but before Heads of Terms are negotiated. TMCP will go through the template Heads of Terms with the Managing Trustees at the Check-In meeting.
- Reliance on Panel Firms
The Streamlining Process relies on the expertise of the Panel Firms reducing the need for TMCP to be involved at the time critical stages of a transaction once a buyer/tenant/property has been found. This part of the Streamlining Process relies on:
- The Panel Firms’ experience and training in acting for Methodist Managing Trustees;
- The Template documents that have already been drafted and pre-approved by TMCP;
- Exception/Confirmation statement designed to streamline reporting between the Panel Firms and TMCP.
How does the Streamlining Process work for sales, purchases and leases?
TMCP has broken each transaction into key stages and have identified who needs to know what and at which stage, in order to make a transaction run as smoothly as possible.
The key stages of each streamlining transaction are set out in this section.
Sales Streamlining
| Stage 1 | Pre-marketing | The initial information gathering stage including a “Check-In” meeting with TMCP - before the designated adviser prepares their Designated Adviser’s Report (DAR) – and obtaining the DAR. |
| Stage 2 | Marketing | This is when Managing Trustees market the property in accordance with the advice of their designated adviser in the DAR approved by TMCP at Stage 1. |
| Stage 3 | Offer Accepted | This is when a buyer has been found and the best price and adequate marketing certificate is provided by your designated adviser. On receipt we update your Panel Firm on the status of the charity law and Methodist law and policy requirements and give you the option of having a Check-In Two . |
| Stage 4 | Conveyancing | The time critical conveyancing process when TMCP will rely on the expertise of your chosen Panel Firm. |
| Stage 5 | Exchange of contracts | This is the point at which the parties become contractually bound to the sale and can only happen when all of the charity law and Methodist law and policy requirements have been met. |
| Stage 6 | Completion | The property is legally transferred to the buyer and the net sale proceeds are placed in the appropriate Model Trust fund after payment of the Connexional Priority Fund levy. |
Purchases Streamlining
| Stage 1 | Finding a property | In preparation for when you find your property, TMCP offer an optional initial telephone call to discuss the process and provide initial guidance. |
| Stage 2 | Offer Accepted/Check-in meeting | Project is created on the Consents website. MTs submit completed Purchase Check-in Questionnaire. A Check-in meeting is held to discuss process. |
| Stage 3 | Instruct surveyor & solicitor (MTs) | Panel Firm to be instructed. Purchase survey is obtained and provided to TMCP for review. MTs confirm purchase meets CPD requirements. |
| Stage 4 | Conveyancing (Panel Firm) | The time critical conveyancing process when TMCP will rely on the expertise of your chosen Panel Firm. |
| Stage 5 | Preparation Exchange | Panel Firm submits agreed Purchase Pack to TMCP. MTs advise TMCP when final consent has been given, sign contract and agree completion date. MTs raise a payment request on the Consents website. |
| Stage 6 | Exchange of contracts | TMCP confirm requirements satisfied. MTs confirm their instructions to exchange and agree completion date. Panel Firm exchanges. MTs contractually bound to purchase. MTs and TMCP sign/seal transfer and any other deeds required. MTs ensure balance due is with Panel Firm in time for completion date. |
| Stage 7 | Completion | The purchase completes, keys handed to MTs and property legally transferred to TMCP to hold for you on the Model Trusts. The property can be prepared for incoming Minister. Panel Firm registers property at Land Registry. |
Leases Streamlining
| Stage 1 | Decision to enter into the lease | Initial information gathering stage including a “Check-In” meeting with TMCP before Heads of Terms (“HoTs”) are negotiated. |
| Stage 2 | Negotiation of Heads of Terms (HoTs) | MTs prepare HoTs and instruct a surveyor to prepare the DAR/competent advice confirming the HoTs. |
| Stage 3 | Approved HoT’s | MTs submit agreed HoTs, Lease Statement (prepared by TMCP), DAR/competent advice and ID questionnaire to chosen Panel Firm. |
| Stage 4 | Legal | Time critical conveyancing process when TMCP will rely on the expertise of the chosen Panel Firm. |
| Stage 5 | Pre-completion | This is when the parties are ready to enter into the lease and the final preparations are made and legal and charity law and Methodist law and policy requirements signed off so that everything is in place to complete. MTs to confirm when final consent is in place, arrange for documents to be signed and confirm their instructions to complete the lease. |
| Stage 6 | Completion | The Panel Firm will legally complete the Lease/the Lease will take effect. MTs to diarise important dates in the lease and ongoing requirements e.g. inspection. |
Streamlining Process resources
Resources have been developed to assist Managing Trustees in following the Streamlining Processes for Sales, Purchases and Leases (Streamlining Toolkits). TMCP will provide links to and prompt use of the appropriate resources as Managing Trustees work their way through the Streamlining Process. The resources in the Streamlining Toolkits are available using the resources tab from this page and are listed below for ease of reference:
- Sales Streamlined Flow Chart – An at a glance guide to the stages of the Sale Streamlining Process
- Sales Check-In Questionnaire - To complete and submit to TMCP before your initial Check-In
- Template DAR
- Template DAR Instruction Letter
- Streamlining Sales Focus Note – Read the general sales guidance together with this Focus Note to understand where the usual sales requirements fit into the Streamlining Process.
- Purchase Streamlined Flow Chart - An at a glance guide to the stages of the Purchase Streamlining Process
- Purchase Check-In Questionnaire - To complete and submit to TMCP before your initial purchase Check-In
- Guidance on advice to be included in the valuation report (also refer to any specific guidance in the letter sent to you following the Check-In). The survey itself or an accompanying letter of advice (together the purchase survey) must address the points set out in section B2.2 of the Purchase Guidance for Managing Trustees on the TMCP website.
- Lease Streamlined Flow Chart - An at a glance guide to the stages of the Lease Streamlining Process
- Lease Check-In Questionnaire – To complete and submit to TMCP before your initial Check-In
- Streamlining Lease Heads of Terms – Template HoTs setting out the terms on which Methodist property can be let. A copy will be provided to you by TMCP.
- Template DAR – Template report for leases over 7 years
- Template Surveyor Instruction Letter (Lease SL) – Template letter clarifying the advice you need from your surveyor/designated adviser – a bespoke copy will be provided following your Check-In outlining any additional points you need advice on
- Identity Questionnaire – to submit to your chosen Panel Firm on 1st instruction
The Panel Firms already have access to the pre-approved sales, purchase and lease template documents. These are not available on TMCP's website.
Where can we find more guidance on sales, purchases and leases?
The guidance on this Streamlining Page focuses on the Streamlining Process and steps that have been put in place to streamline transactions. For general sales, purchase and lease guidance please refer to these pages on our website and access the documents from the resources tab. The checklists are often a good place to start before moving onto the more detailed guidance notes:
Where to find more help on the Streamlining Process
We will provide guidance on the process and invite you to a Check-In meeting at the start of any Sale, Purchase or Lease transaction. We will go through the Streamlining Process with you then.
For general information on the Streamlining Process for sales, we arranged training sessions in 2021 and include links below. We will add links to training videos for the Purchase and Lease Streamlining Process when these are available. A recording of the Streamlining Process training and accompanying slides are available here:
- Video – Sales Streamlining Process Training for Managing Trustees
- Slides – Sales Streamlining Process Training for Managing Trustees
If you would like one of the TMCP Legal team to go through the main points of any of the Streamlining processes with you, please contact TMCP Legal.
Please feel free to contact TMCP Legal if you would like any further guidance on the Streamlining Process.
Version 2.0