For Joint Venture Property Developments, Partner with Citify
There are several advantages of joint venture property developments. We are ready to partner with you when you have a freehold property (land with no mortgage) or suitably located property with development potential.
How it works
Once you engage with us, we establish a profit share agreement, wherein we build or develop the property and share the profits. The calculation will be based on the price of the land and the cost of the development. Two or more parties can enter into an agreement.
Why it makes sense
Joint venture property developments are attractive for clients and land owners because they can gain access to the upside development potential their land may have even if they don't know how to develop it.
Joint venture property developments | our responsibilities as the developer
When we enter a partnership with you for joint venture property developments, we will have set obligations during the project. In this section, we will outline some possible responsibilities at the start of a project on our end.
Profit-sharing in joint venture property developments
All joint venture property developments with Citify will be tailored to suit the specific needs of all parties. For this reason, there is no one way of splitting the development fee and the profits.
These are some ways that parties involved in joint venture property developments can handle the development fee and profit-sharing.
Joint venture structuring options
1. Percentage split
Every party will get an appointed percentage of the earnings from the development.
2. Divide the lots
The parties can agree to split the development lots. Then they have the choice to deal with them in the future in the way they prefer.
3. Fee to landowner
The landowner will be paid a fixed amount for letting the property development take place on their land.
4. Fee to developer
The developer will receive a set amount of money for the services they provide known as a development management fee. A performance bonus will be given when they hit specific return percentages and the landowner collects the rest of the proceeds.
Agreements in such a partnership are not limited to any state in Australia. We are partnered with lawyers who assist in this regard.