Just like any agreement, a development agreement is a legal written document or contract signed by a local government and an individual or organization who owns or controls a property within the jurisdiction of the governing entity. It details the obligations and duties of the parties involved stating the standards and conditions that will preside over the development of such property.
A development agreement covers a variety of agreements among developers, landowners, purchasers, tenants, and investors. Each agreement are tailored to the circumstances and the parties involved in a particular development. Take a look at the Agreement Template on this page and choose which one caters to all your needs, whether you are the property owner or the government entity.
Joint Development Agreement
Real Estate Development Agreement Template
Website Development Agreement Sample
Business Development Agreement Template
Enterprise Development Agreement Template
What Does a Development Agreement Do
- Carry out and implement the particular development in line with agreed plans, timetable and other specifications.
- Design provisions to ensure the quality of the development and the quantity of work done by the contractors.
- Draft a timetable for the development, including the number of days and possible adjustments in case natural circumstances hinder its completion.
- Provides inspection and monitoring rights of all he parties involved, such as the purchaser, tenant, investor, or even the government.
- Includes a method for calculating the profits incurred by the developer as well as the deductions and triggers for payment.
- Entitles the purchaser or tenant the right to terminate the agreement if the developer commits a serious breach and fails to meet the stipulated deadline.
For other businesses, other agreements also need to be drafted according to its specific purposes, such as the Marketing Agreement and Vendor Agreement which can also be found on this site. Check them out if they are what you need!
Hotel Development Agreement
New Product Development Agreement Template
Project Development Agreement Sample
Information Technology Development Agreement
Why are Agreements Important
- Assurance in expectations. A written contract like the development agreement establishes expectations from and to each party as well as the assurance of getting things or services exactly as they are supposed to. Once a party signs the contract, they are obliged to follow the rules indicated in each clause of the agreement.
- Protection. Like a Loan Agreement. When one or both parties are not able to keep its end of the deal, the agreement signed by them can be useful during legal disputes as a valid evidence for breach of the terms and conditions of the contract. It can serve as evidence to prove that you have agreed on something that the other party fails to provide.
- Confirmation. A general agreement form or document confirms the binding nature of the agreement. It minimizes errors as well as confusion and misunderstandings in fulfilling the obligations of each party. A written and signed agreement promotes a successful and profitable arrangement.
- Amendments. Agreements sometimes require changes because of market conditions, inability to secure financing or other circumstances that may affect the development process of a project. With a written agreement of which amendments are allowed, it is easier to provide flexibility and limitations.