Do you own a property that’s old or undeveloped? You have been thinking about property development but are waiting for resources? Delay no more, help is at hand.
V.R. Modern Promoters constantly looks for govt. approved land in Chennai that is at least 3000 sq. ft. to develop with our its investment. The land owner shares the profit of the new property either as a flat or as cash or cheque.
If you’re interested in a mutually profitable proposition, please contact Sridhar Rajan at 9444954285 or 9500045440.
Keep reading to know more about how joint ventures work.
I. We (the Builder) visit to examine Landowner’s property
On examination of the property, we’ll give you an offer for development of your property. This offer consists of the percentage of the built up area which will be offered to you.
The percentage of area offered to you is arrived at after taking into account various factors, namely: cost of construction, escalation in cost of construction, cost of obtaining approvals for the building, marketing & administrative expenses and most importantly the market value of real-estate in that area.
II. We do legal verification of the land
If you find the offer attractive, you can indicate your acceptance and hand over a copy of the title documents to enable the builder to get the same verified by their advocate.
III. We make an offer
If the builder’s advocate approves the title, a draft copy of the Joint Venture Agreement laying down the terms and conditions of the development is given to the landowner who can go through the same by themselves or get it approved by their advocate.
IV. Landowner and builder sign the agreement
If the draft of the Joint Venture agreement is approved, the same is prepared on a stamp paper. This agreement is signed by both us (the Builder) and landowner.
V. Landowner provides Power of Attorney
Along with the Joint Development Agreement, the landowner also give a Power of Attorney to us (the builder) to apply for the various approvals required for the construction and also to sell the portion of the area coming to the Builder’s share.
All the procedures & formalities & costs for approvals are taken care by the Builder and the landowner need not worry about anything.
VI. Government Approvals
We proceed to prepare the plan as per market demand and feasibility of the various desired features. Once the plan is ready, the same is submitted for approval by the government authorities.
VII. Possession of the land
After the plans are submitted, the builder takes possession of the land from the owner.
After taking possession of the land, the Builder proceeds to demolish the old building and make the site ready for commencement of work on approval of plan.
On receipt of the approval the Builder commences the construction and marketing of the project. The Builder forms the right team that can deliver the project as envisioned. The marketing personnel reach out to prospective buyers and keep them interested in the project throughout its development phase.
IX. Selling the Builder’s Share
As and when the apartments coming to the builders share are sold, the proceeds are received by the Builder in stages and the building will register the apartments in favour of the buyers.
X. Selling Landowner’s Share
Out of the apartments coming to the Landowner’s share, they may like to retain some apartments and sell the balance. The Landowner can decide to sell his apartments initially or sell the same when the building is 50% over or when it is nearing completion or after completion. Based on the requirement the Builder will sell the Landowner’s apartments and pass on the proceeds to the Landowner as and when the same is received from the buyers. When the Landowner’s flats are sold, and a certain percentage of payment received, the Landowner will have to register these apartments in favour of the buyers.
XI. Possession of built-up area to landowner
On completion of the project, the apartments being retained by the Landowner are handed over to them.