Citify
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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.

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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.

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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.

We welcome landowners who would like to engage in such a partnership with us. Get in touch with us to find out more about how we can maximise the value of your land and bring a profitable project to life.

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.

1. Citify will carry out the joint venture property development

We will outline exactly what we will be doing for the project. We typically enter a phase of Due Diligence and put together all the details prior to lodging a planning approval.

2. Costs shouldered by the developer

Typically we pay for all development-related costs until the project has successfully commenced as a viable endeavour, in which case we recover those expended costs at project commencement.

3. In-depth due diligence

We spend a lot of effort up front during Due Diligence and planning phase to adequately de-risk the project. This involves multiple financial feasibilities, planning studies, market research and end-user purchaser research.

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.

Would you like to find out more about how you can do a joint venture property development with us? Send us a message including your property address for more information.

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