Partnership Opportunities for Land Owners

If you own an undeveloped piece of land, you may have sometimes wondered, “Where can I sell or rent out my lot?” After all, not everyone has the time or resources to transform their land into high-value property all by themselves.

A quick way might be selling your lot to the highest bidder you meet. But this can be a less-than-ideal solution especially if you’ll look into its earning potential in the future or if you’ll consider the sentimental value of the property you’ve inherited or bought with your hard-earned savings!

Thankfully, DVG Construction presents a way for you to profit from your unused lot without having to sell it or spend too much on development: land partnership. Here’s everything you need to know about land partnership with DVG Construction.

Partnership


Sign Partnership

Sign the Partnership Agreement with DVG Construction and get a percentage share from sales of the developed project.


We design and build

After signing the partnership agreement, we proceed with design and build. We take care of financing the construction process to the final stages.


We Sell

We find the buyer and sell the property. You get your share from sales. 

How Does the Money Work?

Ah yes, the money. It could be said that clearly articulating the financial model of the partnership might be the most important part of the agreement. And without that, the partnership might need to be postponed until such considerations are ironed out.

This means answering questions such as:

  • What’s the initial capital contribution of each member?
  • What is the rate of return for each member? (And in what form?)
  • How will (and often) profits be distributed?
  • How are financial decisions made?
  • What is the risk profile of the partnership?
  • Is there an exit strategy?
  • What distinguishes deals within the partnership and without the partnership? 

Partnership goals

Many partnerships are created with the belief that everybody in the partnership has the same goals of simply making deals and generating cash. But each person has a unique set of objectives — passive income, retirement, family obligations — and being clear about how each member of the partnership will benefit (and contribute) financially to the partnership is crucial.

How Will Partners Be Protected?

There are many benefits that come with entering into a real estate business partnership: increased capital, expertise and connections, for starters.

Protection systems put in place. This means paying particular attention to areas such as:

Liability protection
Tax allocation
Ease of formation

It goes without saying, but we’ll mention it anyway, that it’s important to consult a tax/financial professional before putting these asset protection systems in place.

Though developing something as detailed and metric-centered as a real estate partnership plan can be daunting, it’s important to remember the document is not the goal. The clarity and peace of mind that comes when the document is finished is the goal.

At DVG Construction we establish clear roles and responsibilities — along with legal protections and profit disbursements — thus removing bottlenecks.

CONNECT WITH US

Mailing Address

2877 Chemin de Chambly #50, Longueuil, QC J4L 1M8, Canada

Email Address

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Phone Number

+1 (438) 300 1255

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