Real Estate Management Agreement and Option to Purchase and Own
Real Estate Management Agreement and Option to Purchase and Own
This Real Estate Management Agreement and Option to Purchase and Own ("Agreement") is entered into as of [Date] ("Effective Date"), by and between:
[Your Company Name]
[Your Company Address]
[Your Company Email]
Hereinafter referred to as the "Owner",
and
[Your Partner Company Name]
[Your Partner Company Address]
[Your Partner Company Email]
Hereinafter referred to as the "Manager".
I. Background
A. The Owner is the legal owner of the real estate property located at [Property Address] ("Property").
B. The Manager is duly qualified and experienced in the management of real estate properties.
C. The Owner desires to engage the Manager for the management of the Property, and the Manager is willing to undertake such management subject to the terms and conditions set forth herein.
II. Scope of Services
A. The Manager shall provide the following services in relation to the Property:
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Property Maintenance: The Manager shall oversee the maintenance, repair, and upkeep of the Property to ensure its optimal condition.
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Tenant Management: The Manager shall handle all matters related to tenant occupancy, including leasing, rent collection, and addressing tenant concerns.
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Financial Management: The Manager shall manage all financial aspects of the Property, including budgeting, accounting, and financial reporting to the Owner.
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Compliance: The Manager shall ensure that the Property complies with all relevant laws, regulations, and ordinances.
B. The Manager shall perform the services with the degree of care, skill, and diligence normally exercised by professionals in the real estate management industry.
III. Term
This Agreement shall commence on the Effective Date and shall continue for a period of [Term Length], unless earlier terminated in accordance with the provisions herein.
IV. Option to Purchase and Own
A. In addition to the management services, the Owner hereby grants the Manager an exclusive option to purchase the Property within [Option Period] from the Effective Date ("Option Period").
B. The purchase price for the Property shall be [Purchase Price]. The Manager shall exercise the option by providing written notice to the Owner and tendering the purchase price in full within the Option Period.
C. If the Manager exercises the option, the parties shall execute a separate purchase agreement to effectuate the sale of the Property.
V. Compensation
A. In consideration for the services rendered under this Agreement, the Owner shall pay the Manager a management fee of [Management Fee], payable [Payment Terms].
B. The Owner shall reimburse the Manager for all reasonable and necessary expenses incurred in the performance of its duties under this Agreement.
VI. Termination
A. Either party may terminate this Agreement upon [Termination Notice Period] written notice to the other party in the event of a material breach of any provision herein.
B. Upon termination, the Manager shall promptly return all Property-related documents and assets to the Owner.
VII. Governing Law
This Agreement shall be governed by and construed in accordance with the laws of the state of [State], without regard to its conflict of laws principles.
IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the Effective Date.
Owner:
[Your Name]
[Your Title]
[Your Company Name]
Manager:
[Manager's Name]
[Manager's Title]
[Your Partner Company Name]
