Property joint venture agreement to purchase and develop

This document to be utilised in acquiring property in a joint venture situation, developing the property and then taking the property through to a particular stage in development/completion. The owner of the property is one of the joint venturers and participates in the joint venture.

Sample

"A. By a Contract of Sale dated ?A40? ("the Contract of Sale") and made between the Vendor of the one part and the Manager as Purchaser of the other part, the Vendor agreed to sell and the Purchaser agreed to purchase the Property for the consideration and upon and subject to the terms and conditions contained in the Contract of Sale.

B. The Manager agreed to purchase the Property, pursuant to the provisions of the Contract of Sale, at the request and on behalf of the Jointventurers as agent, nominee and bare trustee for the Jointventurers in proportion to the Participating Interests, in order to facilitate the establishment and conduct of the Project.

C. The Jointventurers have agreed to participate in the Project for the acquisition of the Property and for the further purpose of developing the Property and holding the Property and the buildings to be constructed for the purpose of deriving income by letting and sale.

D. The Jointventurers have agreed to obtain a Plan of Subdivision of the Property.

E. The Jointventurers have further agreed that their relationship as constituted by this Agreement, is to be governed by these terms and conditions.

F. The Jointventurers may increase or decrease in number from time to time and the Jointventurers to this Agreement will be the most current Jointventurers set out, described and with date of acquisition of Participating Interests noted in Schedule 1 from time to time.

2. CREATION OF PROJECT

2.1 This Agreement takes effect as at and from the Commencement Date and continues in full force and effect to govern the relationship of the parties unless terminated.

2.2 As at the Commencement Date, the Jointventurers will participate in the Project for the purposes of facilitating the acquisition of the Property, and the performance of the Project upon and subject to the terms and conditions of this Agreement.

2.3 The purchase price of the Property will be paid by the Manager and contributed by Jointventurers in proportion to their Participating Interest and upon payment of each Jointventurer of its contribution towards the purchase price of the Property such Jointventurer will be deemed to have earned its Participating Interest.

2.4 The legal ownership of the Property and the assets of the Project will be vested in the Manager as agent, nominee and bare trustee for the Jointventurers upon and subject to this Agreement.

2.5 The Jointventurers will beneficially own the Property as tenants in common in proportion to their respective Participating Interest.

OR

2.5 The Parties agree that their Participating Interest entitlement and Participating Interest liability under the Subdivision will be shared and borne as the case may be in the same proportions as their Participating Interest. "