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If she's buying it as a live/work space, and has a BTL AIP, its a bit suspect, as its potentially mortgage fraud...
As you say, if it completes, then its not really @rogan's problem, however BTL rental and property valuation figures might affect things going forwards (the mortgage amount and deposit required), as well as if the lender/solicitor does any additional checks.
She's got an AIP. She wants to buy it. You want to sell it.
Who cares what she wants to do with it??