![]() ![]() Profits shared may be in form of cash or units such as houses or apartments. Project Completion - Once construction is complete, the landowner and the developer share profits in accordance to the terms of the JVA.The developer oversees the project through to completion, Project Commencement - The developer then begins execution of the project through procuring of the project team including the architect, project manager, the engineers and other consultants.Transfer of Land to the SPV - Once the company is formed, the landowner is required to avail the title deed and other relevant documents required for the transfer of the land ownership in favor of the SPV,.The company is then registered as a private Limited Liability Company (LLC) or as a private Limited Liability Partnership (LLP) by the registrar of companies, Formation of a Special Purpose Vehicle (SPV) - Upon signing of a JVA, a special purpose company is formed with the aim of fulfilling the objectives of the JVA.The downside protection for the land value contributed by the landowner, andīoth parties sign the Agreement once they agree to the terms and conditions laid out.Exit rights and transfer rights with respect to the sale or transfer of membership interests in the JV,.The rights and responsibilities of each party,.The following are some of the common clauses found in a JVA: Of the many challenges inherent to a JV, an agreement outlines all possible scenarios that might be a source of conflict and forges a path forward in the event that anything does not go according to plan. Signing of Agreements - Once due diligence is complete and is satisfactory the developer drafts a Joint Venture Agreement (JVA) and sends to the landowner’s advocate.A surveyor will then be engaged to verify the beacons on the ground and confirm acreage on the title compares with the one on ground, ![]() The advocate will conduct a search to establish the authenticity of the title deed, true ownership and that the land is free of any encumbrances.
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