If you`re a property owner or developer looking to sell or promote land for development, you may need to consider using a land promotion agreement. This is a contract between the landowner and a development company, whereby the developer agrees to promote the land for development and share any profits from the sale with the landowner.
An example of a land promotion agreement may include the following terms:
1. Identification of the Land: The agreement should clearly identify the land that is being promoted for development, including any boundaries, access routes, and planning permissions.
2. Promotion of the Land: The developer agrees to promote the land for sale or development, using their expertise and resources to market the land and attract potential buyers or developers.
3. Costs and Fees: The agreement should specify who will pay for any costs associated with promoting the land, such as advertising or legal fees. The agreement should also specify any fees that the developer will receive for their services.
4. Minimum Sale Price: The landowner may have a minimum sale price that they are willing to accept for the land. The agreement should specify this amount and ensure that the developer does not sell the land for less than this price.
5. Profit Sharing: If the land is sold for more than the minimum sale price, the developer will share any profits with the landowner according to an agreed-upon percentage. This percentage should be clearly stated in the agreement.
6. Termination: The agreement should specify the circumstances under which the agreement may be terminated, such as if the landowner finds a buyer on their own or if the developer breaches any terms of the agreement.
7. Governing Law: The agreement should specify which laws will govern the agreement, in case of any disputes.
Overall, a land promotion agreement can be a useful tool for property owners looking to sell or promote their land for development. By working with a developer, the landowner can benefit from their expertise and resources, while also sharing in any profits from the sale of the land. It`s important to have a well-written agreement in place to protect the interests of both parties and ensure a successful outcome.