Sharing agreement with a builder and partition deed
5 months ago
We had an unpartitioned property of 3 owners. We entered into a 50:50 Joint Development agreement with a builder for re - development of our property. Since there are 3 landowners, each landowner is entitled to get 1/3rd share. Consequently, each landowner will get 1 newly built apartment.
The construction is almost complete. The following are my questions:
i) How will the builder handover the possession to us(the landowners)? Will the builder make a separate sharing agreement with us ?
ii) What are the documents the builder will hand over to us at the time of possession apart from the sharing agreement paper?
iii) Will each landowner get his share of flats individually in his name? Or will the landowners still need to make a partition deed to register their newly built flats in their individual's name?
iv) If a landowner wants to sell his flat after possession, will he need the consent of other landowners or builder?
A.Dear Client,
When in JDA Landwoners allocation and Developers allocation is specified, after construction of building, Builder/Developer shall hand over the landowners allotcation after obtaining CC and OC from the Authority who approved the Building plan. If the JDA was duly Stamp Duty paid and Registered, then the JDA is the final document for Title-Ownership of the Share of Flats mentioned in the JDA. In general, a registered joint development agreement is not considered as Transfer of property u/s 53 of Transfer of Property Act and as such both the builder and land owner need to execute the sale deed for each and every flat that is being sold to outsiders. So, technically what happens is after a registered development agreement, a builder and land owner will execute a supplementary agreement outlining all of the flats that are allocated to the builder and land owner. Based on the registered supplementary agreement, the land owners get their title to the flats And the builder needs to pay the stamp duty for the flats allocated to the builder(so technically the land owner does not pay any stamp duty or registration charges for their share of flats). Copy of Registered JDA , suplementary sharing agreement , CC, OC are required for sell of the flats belong to landowners which are alos required to get the flats mutated in the landowners name with land revenue and municipal authority, property identification number as well as assessment of property tax etc.
When in JDA Landwoners allocation and Developers allocation is specified, after construction of building, Builder/Developer shall hand over the landowners allotcation after obtaining CC and OC from the Authority who approved the Building plan. If the JDA was duly Stamp Duty paid and Registered, then the JDA is the final document for Title-Ownership of the Share of Flats mentioned in the JDA. In general, a registered joint development agreement is not considered as Transfer of property u/s 53 of Transfer of Property Act and as such both the builder and land owner need to execute the sale deed for each and every flat that is being sold to outsiders. So, technically what happens is after a registered development agreement, a builder and land owner will execute a supplementary agreement outlining all of the flats that are allocated to the builder and land owner. Based on the registered supplementary agreement, the land owners get their title to the flats And the builder needs to pay the stamp duty for the flats allocated to the builder(so technically the land owner does not pay any stamp duty or registration charges for their share of flats). Copy of Registered JDA , suplementary sharing agreement , CC, OC are required for sell of the flats belong to landowners which are alos required to get the flats mutated in the landowners name with land revenue and municipal authority, property identification number as well as assessment of property tax etc.
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A.Dear Client,
i) The builder may follow the terms outlined in the Joint Development Agreement (JDA). Typically, possession is handed over after completion of the construction and obtaining the necessary approvals. The builder may need to provide a completion certificate and occupancy certificate. The specifics of how possession is handed over should be detailed in the JDA.
ii) Apart from the sharing agreement, the builder will hand over documents such as the possession certificate, which validates the landowners' rightful possession of the property and marks the official transfer of property rights
iii) Whether each landowner will get an individual flat in their name will depend on the terms of the JDA. The agreement should specify the process for the distribution of the constructed units. It's possible that a partition deed or a similar legal document might be required to officially transfer ownership of the individual units to each landowner.
iv) The ability to sell a flat may also be governed by the terms of the JDA. In many cases, the consent of other landowners or the builder may be required before selling the property. Additionally, there could be legal procedures and documentation involved in the sale of the property.
i) The builder may follow the terms outlined in the Joint Development Agreement (JDA). Typically, possession is handed over after completion of the construction and obtaining the necessary approvals. The builder may need to provide a completion certificate and occupancy certificate. The specifics of how possession is handed over should be detailed in the JDA.
ii) Apart from the sharing agreement, the builder will hand over documents such as the possession certificate, which validates the landowners' rightful possession of the property and marks the official transfer of property rights
iii) Whether each landowner will get an individual flat in their name will depend on the terms of the JDA. The agreement should specify the process for the distribution of the constructed units. It's possible that a partition deed or a similar legal document might be required to officially transfer ownership of the individual units to each landowner.
iv) The ability to sell a flat may also be governed by the terms of the JDA. In many cases, the consent of other landowners or the builder may be required before selling the property. Additionally, there could be legal procedures and documentation involved in the sale of the property.
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