Joint venture in Lagos Nigeria

Discussion in 'Africa Property' started by turawafetty, May 11, 2017.

  1. turawafetty

    turawafetty New Member

    It is a practice where a land owner provides his land as equity and a
    developer/investor provides capital and both parties coming together as joint
    partners to setup an estate. It is by far the best Real Estate practice that has puthuge money into the pocket of Land owners and Developers as well. A real estateJoint venture is the marriage between the Land owner and a Real EstateDeveloper/Investor coming in agreement to setup an estate development in adeveloped and under developed city.

    The investor agrees to finance the construction of an agreed project, usually unitsof houses which include Duplexes, Terraces, Block of Flats, Bungalows etc, ratherthan pay the owner outright for the value of the land. Upon completion of the project, the investor pays the Land owner from the sales revenues and keeps the
    remaining as profit as agreed in the Joint venture agreement.

    TWO KINDS OF JOINT VENTURE

    1.SITE AND SERVICE: This practice is when Land is provided by the owner and
    the developer setup infrastructures (Drainage, Electricity, Water, Perimeter
    Fencing, Estate Layouts, Mapping and paving of the roads, etc) on the land
    making it ready for sale with no building. This practice is not capital intensive andbrings little profit to both land owner and developer.

    2.BUILD AND SHARE: This is the money making machine in the Real Estate
    Industry here in Lekki, Lagos Nigeria. The land owner and developer goes into aJoint Venture agreement and the developer moves to site and start building onthe land. The sharing ratio is agreed between both parties before projects begin.

    NOTE: Sometimes the land owner might request for a PREMIUM (which is an
    upfront payment made by the developer to guarantee his commitment in the JV
    deal) before commencement of the project. This premium is not FREE; it will bededucted from the total profit made from the sales of the property before sharingthe profit.
    Contact us for Latest update on the available Joint Ventures properties withinIkoyi, Banana Island, Victoria Island, Lekki, Oniru, Ikate, Chevron axis, Ajah, Ibeju Lekki, Lekki Free Trade Zone axis and Epe respectively..

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  2. Johnfishers14

    Johnfishers14 New Member

    Hi, Can someone kindly send me templates for build and share joint ventures, in Nigeria,
    Many thanks,
    John
    (moderated)
     
    Last edited by a moderator: Feb 19, 2019
  3. This set alarm bells ringing for me:-

    "Sometimes the land owner might request for a PREMIUM"

    Talk of premiums before any contact :)
     
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