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Development Agreement Between Landowner And Developer

Development Agreement Between Landowner And Developer Template for India

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Development Agreement Between Landowner And Developer

"I need a Development Agreement Between Landowner And Developer for a mixed-use commercial and residential project in Mumbai, with construction expected to begin in March 2025, including specific provisions for environmental compliance and a 60-40 revenue sharing arrangement."

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Document background
The Development Agreement Between Landowner And Developer is a crucial document in Indian real estate development projects, typically used when a property owner wishes to develop their land but lacks the expertise or resources to do so independently. This agreement is particularly relevant in the context of Indian property law and must comply with the Real Estate (Regulation and Development) Act, 2016, along with state-specific regulations. The document comprehensively covers all aspects of the development project, including property rights transfer, development specifications, financial arrangements, regulatory compliance, and risk allocation. It serves as the foundational document that governs the relationship between the landowner and developer throughout the project lifecycle, from initial planning to completion. The agreement must be properly stamped and registered under Indian law to be legally enforceable.
Suggested Sections

1. Parties: Identification and details of the Landowner and Developer, including their registered addresses and authorized representatives

2. Background: Context of the agreement, including property details, development intention, and brief background of both parties

3. Definitions: Definitions of key terms used throughout the agreement

4. Grant of Development Rights: Specific rights granted to the Developer to develop the property, including scope and limitations

5. Consideration and Revenue Sharing: Financial terms, including development costs, profit sharing arrangements, and payment schedules

6. Representations and Warranties: Statements of fact and assurances by both parties regarding their capacity, authority, and property status

7. Developer's Obligations: Detailed responsibilities of the Developer including construction, approvals, and quality standards

8. Landowner's Obligations: Responsibilities of the Landowner including cooperation in approvals and maintaining clear title

9. Project Timeline: Development milestones, completion dates, and extension provisions

10. Approvals and Compliance: Requirements for obtaining necessary permits, licenses, and regulatory approvals

11. Title and Ownership: Clarification of property ownership rights during and after development

12. Default and Remedies: Consequences of breach and available remedies to parties

13. Termination: Circumstances and process for agreement termination

14. Dispute Resolution: Mechanism for resolving disputes including arbitration provisions

15. Governing Law: Applicable law and jurisdiction

16. Notices: Process and addresses for formal communications between parties

17. Miscellaneous: Standard boilerplate provisions including force majeure, amendments, and severability

Optional Sections

1. Environmental Compliance: Specific environmental obligations and compliance requirements, used when the project requires environmental clearances

2. Rehabilitation and Resettlement: Provisions for existing occupants' rehabilitation, used when the property has current occupants

3. Marketing and Branding: Rights and obligations regarding project marketing, used when Developer has marketing rights

4. Escrow Arrangements: Details of escrow account management, used for complex financial arrangements

5. Third Party Rights: Provisions regarding rights of third parties, used when other stakeholders are involved

6. Intellectual Property: IP rights in development plans and marketing materials, used for branded developments

7. Insurance: Specific insurance requirements, used for high-value or high-risk developments

8. Force Majeure: Detailed force majeure provisions, used when specific risk allocation is required

9. Assignment and Transfer: Rights to assign or transfer obligations, used when transfer rights are contemplated

Suggested Schedules

1. Property Description: Detailed description of the property including boundaries, survey numbers, and title documents

2. Development Plans: Architectural plans, layouts, and specifications for the proposed development

3. Construction Timeline: Detailed construction schedule with milestones and completion dates

4. Revenue Sharing Structure: Detailed calculations and mechanisms for sharing revenue or profits

5. Required Approvals: List of all required regulatory approvals and permits

6. Title Documents: Copies of property ownership documents and title clearance certificates

7. Financial Terms: Detailed financial arrangements including payment schedules and calculations

8. Technical Specifications: Detailed construction and quality specifications

9. Existing Encumbrances: List of existing liens, encumbrances, or restrictions on the property

10. Power of Attorney: Format of power of attorney to be executed in favor of Developer

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Linkedin in social icon imageX social icon image
alex.den.21@genieai.co
Relevant legal definitions
Agreement
Approvals
Architect
Built-up Area
Carpet Area
Commencement Date
Completion Certificate
Completion Date
Construction Schedule
Development Rights
Development Period
Development Plans
Development Premium
Effective Date
Encumbrances
Environmental Clearances
Floor Area Ratio (FAR)
Floor Space Index (FSI)
Force Majeure Event
Good Industry Practice
Governmental Authority
Land
Landowner's Share
Material Adverse Effect
Municipal Authority
Occupancy Certificate
Party/Parties
Project
Project Facilities
Project Plans
Property
RERA
Revenue Share
Sanctioned Plans
Specifications
Super Built-up Area
Technical Consultant
Title Documents
Transfer of Development Rights (TDR)
Works
Clauses
Property Rights
Development Rights
Financial Terms
Revenue Sharing
Construction Obligations
Timeline and Milestones
Representations and Warranties
Covenants
Regulatory Compliance
Environmental Compliance
Title and Ownership
Insurance
Indemnification
Force Majeure
Termination
Default and Remedies
Dispute Resolution
Confidentiality
Assignment
Notices
Governing Law
Severability
Amendments
Entire Agreement
Authority and Capacity
Risk Allocation
Quality Standards
Project Management
Third Party Rights
Intellectual Property
Marketing Rights
Escrow Arrangements
Cost Allocation
Taxation
Registration and Stamp Duty
Relevant Industries

Real Estate Development

Construction

Property Management

Urban Planning

Infrastructure Development

Commercial Property

Residential Property

Mixed-use Development

Architecture and Design

Environmental Services

Relevant Teams

Legal

Real Estate

Property Development

Construction

Project Management

Compliance

Finance

Environmental

Design and Architecture

Risk Management

Relevant Roles

Real Estate Developer

Property Owner

Real Estate Lawyer

Legal Counsel

Project Manager

Development Director

Construction Manager

Architect

Urban Planner

Property Surveyor

Real Estate Consultant

Compliance Officer

Finance Director

Investment Manager

Environmental Consultant

Industries
Real Estate (Regulation and Development) Act, 2016 (RERA): Primary legislation governing real estate development in India, ensuring transparency and protecting interests of all parties. Mandatory registration requirements for projects and compliance with prescribed rules.
Transfer of Property Act, 1882: Governs transfer of property rights and interests, including development rights. Defines legal requirements for property transfers and agreements relating to immovable property.
Indian Contract Act, 1872: Fundamental law governing contract formation and enforcement in India. Ensures legal validity of the development agreement and defines essential contract elements.
Registration Act, 1908: Mandates registration of certain property documents. Development agreements typically require registration under this Act.
Indian Stamp Act, 1899: Determines stamp duty payable on property documents and agreements. Development agreements must be properly stamped to be legally admissible.
Environmental Protection Act, 1986: Establishes environmental compliance requirements for development projects, including necessary clearances and permissions.
Local Municipal Laws and Building Bye-laws: Municipality-specific regulations governing construction permits, building height, setbacks, FAR/FSI restrictions, and other development parameters.
Income Tax Act, 1961: Governs taxation aspects of property development, including capital gains and revenue sharing arrangements between parties.
Land Acquisition Act, 2013: Relevant if any part of the development involves land acquisition or rehabilitation considerations.
Specific State Real Estate Laws: State-specific real estate regulations that may impose additional requirements or restrictions on development agreements.
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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