Arranging Joint Venture Partner for Real Estate
When two or more people/companies/entities come together to execute or initiate a real estate project, it is called a joint venture. Joint ventures are done in order to obtain the skills or resource from another person who possesses them and vice versa.
KEY BENEFITS
Increased Capital Base
Development Expertise
Access to new marketing channels
Shared risks and gains
OUR PROCESS
The procedure and steps involved in this process are as follows:
Project Appraisal
Project Proposal
Legal Due Diligence
The signing of Agreements-
Common clauses found in a Joint venture agreement:
The capital obligations of each party
The partnership management structure
The rights and responsibilities of each party
Exit rights and transfer rights with respect to the sale or transfer of membership interests in the JV
The downside protection for the land value contributed by the landowner, and profit-sharing mechanism.
Project commencement
Project Completion
Required Documents
Incorporated JV entity
Company
- JVA / shareholders’ agreement
- MoA and AoA of the JV entity
- Other agreements such as trademark licenses and technology transfers.
LLP
- Limited Liability Partnership Agreement
- Other agreements such as trademark licenses and technology transfers.
Unincorporated JV entity
LLP
- Limited Liability Partnership Agreement
- Other agreements such as trademark licenses and technology transfers.
Partnership
- Partnership Agreement
- Other agreements such as trademark licenses and technology transfers
Cooperation/Strategic Alliance/Consortium
- Cooperation Agreement
- Other agreements such as trademark licenses and technology transfers.