Free Legal Format Download – Development Agreement for Construction of Additional Floors on Existing Structure Owned by a Society

Development Agreement for Construction of Additional Floors on Existing Structure Owned by a Society

ARTICLES OF AGREEMENT made at _________ this ________ day of ___________ 200____ BETWEEN (1) ________________________
(2) __________________________ (3) ________________________
(4) __________________________ (5) ________________________
(6) __________________________ (7) ________________________
(8) ___________________________ (9) ________________________
(10) ___________________________ (11) __________________________
(12) ___________________________ (13) __________________________
(14)_______________________________ (15) _____________________________  (16) _____________________________ (17)____________________________ (18) _____________________________ (19) ___________________________ (20) ______________________________ (21)____________________________ (22) ____________________________ (23) and ________________________ (24), all of _________, Indian Inhabitants, hereinafter called “THE MEMBERS” (Which expression shall unless it be repugnant to the context or meaning thereof be deemed to mean and include their respective heirs, executors and administrators) of the FIRST PART;
P Q R CO-OPERATIVE HOUSING SOCIETY LIMITED, a Co-operative Housing Society, registered under the Maharashtra Co-operative Societies Act, 1960 under Registration No. ___________ having its office at ____________________________________________, hereinafter called “THE SOCIETY” (which expression shall unless it be repugnant to the context or meaning thereof be deemed to mean and include its successors and assigns) of the Second Part; AND A B C, of ________, an Indian Inhabitant, having his address at ________________________ ______________________________________________, hereinafter called “THE DEVELOPER” (which expression shall unless it be repugnant to the context or meaning thereof be deemed to mean and include his heirs, executors, administrators and assigns) of the Third Part;

W H E R E A S:—

(a)  The Society is absolutely seized and possessed of or otherwise well and sufficiently entitled to the Plot of land bearing No. _________ of TPS IV, Santacruz (West), and more particularly described in the Schedule hereunder written. On the said plot of land a building is constructed consisting of ground plus three upper floors comprising of 24 (twenty four) flats all of which are held by the existing members of the Society (hereinafter collectively referred as “the said property”).

(b)  The Society has paid up capital of Rs. _________ consisting of _______ shares. The Society has issued so far ________shares to its existing members. The Members are the only members and shareholders of the Society and each of them is in use and occupation of their respective Flats allotted to them by the Society. The detailed particulars of the shares and the flats held and occupied by the members are described in Annexure ‘A’ hereto.

(c)  There exists unutilized F.S.I. on the said property of staircase area and of proposed road set back area and which F.S.I. can be utilized for putting up additional construction on the said property by paying premium for staircase F.S.I. and by handing over the said set back area to the Municipal Corporation of Greater Mumbai. Apart from the aforesaid, Transferable Development Rights (T.D.R.) can also be consumed on the said property with the unused F.S.I. by putting up construction on the existing building as per the prevailing rules and regulations of the Municipal Corporation of Greater Mumbai. Considering the available F.S.I. and use of T.D.R, there is possibility of putting up further construction of approximately 10,000 sq.ft. of built up area on the existing building on the said property. The consumption of aforesaid F.S.I. and T.D.R. is hereinafter collectively referred as
“the said development”
.

(d)  The Society at its General Body Meeting held on 19th April 2002 has passed an unanimous resolution whereby it has resolved to distribute the said total balance unused F.S.I. including the right to consume the T.D.R. on the said property and all the benefits available on the said property between the existing members in proportion to the area of flats occupied by each of them respectively. Thus each member is entitled to share all the said benefits available on the said property in proportion to their respective areas of the existing Flats occupied by them and which is subject to increase or decrease as per the sanction of the Plan by the Municipal Corporation of Greater Mumbai for the said development.

(e)  The members have between themselves decided to carry out the said development by consuming the available F.S.I. and utilizing permitted T.D.R. by raising four additional floors or floors as may be permitted by the Municipal Corporation.

(f)   The Developer has approached the Members and the Society and has shown his readiness and willingness to carry out the said development by consuming the said unused F.S.I. and by himself acquiring the permitted T.D.R. and by putting construction of additional floors not exceeding four floors on the said building as may be permitted by the Corporation on the terms and conditions appearing hereinafter.

(g) The parties hereto are desirous of recording the terms and conditions mutually agreed by and between them.

NOW IT IS HEREBY AGREED AND RECORDED BY AND BETWEEN THE PARTIES HERETO AS UNDER:—

1.   The Society and the Members hereby declare and confirm inter alia as under:—

(a)  The Society is the absolute Owner of the property more particularly described in the Schedule hereunder written.

(b)  That each of the existing members of the Society have marketable title to their respective share in the said F.S.I. and that they are empowered to the use of the T.D.R. for the proposed construction as authorised by the Society’s Resolution dated ________________ and that their respective rights are free from any encumbrances and reasonable doubts.

(c) That at present on the said property the building (which is constructed in or about the year 1970) consisting of ground plus three upper floors comprising of 24 flats is standing and of which Building Completion Certificate has been issued by the Corporation.

(d) That the Society has paid up capital of Rs. ______ divided into _______ shares of Rs. _______ each which has been allotted to the members as per Annexure “A” attached hereto.

(e)  That the Members, either individually or collectively, have not created any third party rights, title or interest in respect of the said property or in respect of their respective share, right, title and interest in the said F.S.I. and the benefits available or to be availed of on the said property and that they are collectively and individually entitled to deal with the same as recorded herein without any restrictions or prohibition of any nature whatsoever.

(f)   That the terms and conditions mentioned in this Agreement are within the rules, regulations and bye-laws of the Society and the members are entitled to deal with their respective rights as aforesaid and as resolved by the Society.

2.   The Members, with the confirmation of the Society hereby permit the Developer and the Developer agrees to carry out the said development at his own costs, risk, expense and responsibility and on principal to principal basis by utilizing approx. _______ square feet of unused balance F.S.I. available on the said property in lieu of staircase area and set back area and by acquiring the Transfer of Development Rights (T.D.R.) to the extent of ________sq.ft. and to consume all such aggregate F.S.I. as permissible in law on the said property, aggregating in all to approximately 10,000 sq.ft. of Built Up area by putting up additional floors on the said property not exceeding four floors. The plan of the proposed development
of the said property by the Developer is annexed as Annexure ‘B’ hereto.

3.   It is further agreed as under:—

(a)  The Developer shall carry out the aforesaid development solely and entirely at his risk, costs, expense, efforts and responsibility.

(b) The Developer for the purpose of the said development will be entitled to appoint and engage Architects, contractors, and other servants and agents. The Developer is at liberty to appoint Architect of his choice for getting the plans sanctioned for the said development and for commencing and completing the construction work including obtaining Certificates of Commencement, Occupation and completion.

(c) The entire development cost in all manners including
(i) the cost of preparing plans, designs etc. and obtaining the necessary sanctions/approvals; (ii) the costs of acquiring T.D.R.; (iii) payment of all kinds of premium/Fines to Municipal Corporation and/or any Government Authorities for F.S.I. in lieu of staircase/common passage/lift well/balcony etc.; (iv) deposits and other charges payable to any of the authorities; (v) construction costs including cost of building materials, wages and salaries payable to the workmen and other persons employed for the purpose of carrying out the construction work;
(vi) fees and charges payable to Architects, Civil Contractors, R.C.C. Consultants, Super visitors, Engineers, Structural Engineers and contractors and all other persons engaged for the purpose; and (vii) all kinds of insurance premium (including premium payable for Employees, laborers, workers etc.) shall by borne and paid by the Developer alone. Neither the Members nor the Society will be required to contribute any amounts for the same or remain liable.

(d) The Developer at his cost and expense shall install two brand new lifts (Elevators) of OTIS make with minimum capacity for five persons (excluding the lift-man) in the said building. The said lifts shall be for the common use of all the members of the society including the new members to be admitted in respect of the additional flats to be constructed by the Developer in terms hereof. Till such time the Developer obtains Completion Certificate in respect of additional construction, the said lifts shall be maintained by the Developer at his cost and thereafter the same shall be maintained by the Society at its cost.

(e) It shall be the sole obligation of the Developer to prepare and submit at his costs, expense and effort the necessary applications and plans to all concerned authorities for obtaining the requisite sanctions. The members and the Society shall sign all the requisite applications, forms and plans in that regard as may be required by the Developer. The said sanctions are to be obtained by the Developer within a period of four months from the date hereof.

(f)   The Developer shall be entitled to proceed with the said development by constructing additional floors on the said property (not exceeding four floors) strictly in accordance with the plans approved by the Municipal Corporation and also in accordance with the rules and regulations of the Municipal Corporation.

(g) The Developer shall fully ensure that during the time of putting up additional construction and/or at any time after its’ completion, the strength of the existing building is in no way affected and/or damaged and/or disturbed in any manner. It shall be the sole obligation and responsibility of the Developer to rectify any damage to the existing structures at his own cost and expense.

(h) The Developer shall carry out the new and additional construction by using top class building material and strictly under the supervision of competent Structural Engineers, Architects and by employing experienced persons in that regard. The Developer shall use dual wall technique with extra pillars from the ground for the new and additional construction so as to give proper strength to the existing structure as also to the new construction.

(i)   The Developer shall not commence the construction until and unless all the requisite permissions are obtained by him from the local authorities.

(j)   The Developer shall not put anyone in possession of any flats which are to be constructed on the said property in terms hereof until and unless he shall first obtain Building Completion/Occupation Certificates for the additional structure and also till such time he shall have complied with all his other obligations hereunder towards the Members and the Society.

(k) The Society and the Members shall co-operate with the Developer and his agents and servants for carrying out the said construction. The Developer shall be entitled to store the building material at a designated place on the said property and to keep his own Watchmen for guarding the same. The said designated place shall during the period of construction, be maintained by the Developer at his cost and expense. The Developer shall carry out the construction activities between 9.00 a.m. to 6.00 p.m. only and shall not carry out any work whatever during any other time.

(l)   The Developer shall ensure that in no circumstances the existing/available facilities of water supply, electric supply and plumbing, drainage and sewage etc. are adversely affected or disconnected in any manner whatsoever.

(m) The Developer while carrying out the development right shall not at any time cause or permit any nuisance which shall cause unnecessary annoyance, inconvenience, suffering, hardship or disturbance to the Members/Society or to the occupants of neighboring properties.

(n) The Developer shall complete the entire development within a period of 30 months from the date here of or 24 months from the date of commencement of construction, whichever is earlier. The Members with the consent of the Society hereby grant license to the Developer to develop the said property by putting up additional construction in accordance with the terms and conditions hereof. If the Developer fails to complete the said Development within the prescribed time in that event the Developer shall be liable to pay to the Members the liquidated damages
of Rs. _____________ per each day for the delayed period.

(o)  The Developer and/or newly admitted members shall bear and pay all the outgoings, taxes, charges payable to the Society in respect of the additional flats to be constructed from the date of obtaining Occupation/Completion Certificate. Till such time the Occupation/Completion Certificate is obtained, the society shall not be entitled to make any claim for outgoings, taxes or charges. However, if any taxes, rates, cuss, etc. is demanded by the Municipal Corporation or any Local Authority arising on account of the new and additional construction, the same shall be born and paid by the Developer.

(p) The Society, without being obliged to do so, may provide water and electricity to the Developer as may be available for the purpose of the said construction after meeting the requirements of the residents of the building and the Developer shall reimburse the Society the charges thereof at such rates as may be levied by B.M.C. for its construction use. If the Society for any reason is unable to provide water and/or electricity to the Developer in that event the Developer shall make his own arrangement for the same.

(q) At no point of time the existing parking facilities/spaces of Vehicles provided to the existing flat occupants/members in the compound of the building shall be disturbed. Only if any additional parking spaces are available the same may be available to the new flat Purchasers/Occupants by the Society as per the rules, regulations and resolutions of the Society and on such terms as may be decided by the Society.

(r)   The Developer, at his cost, shall obtain comprehensive insurance policy covering the period from the commencement of the construction till its completion to the satisfaction of the Members and the Society and providing proper, complete and comprehensive cover to the existing structure as also to the residents, visitors and third parties including laborers employed by him and any accidents, incidents arising on account of the new and additional construction and which policy shall be assigned by the Developer in favour of the Society. Until and unless such insurance policy/coverage is obtained, the Developer shall not commence the construction work on the said property.

4.   In consideration of the Members permitting the Developer to develop the said property in terms of this Agreement, the Developer shall pay the monetary consideration of the aggregate amount of Rs. _______ to the Members and which amount shall be distributed by them between them in the proportion mentioned in Annexure ‘C’ hereto. The said consideration amount shall be paid by the Developer to the Members on or before the execution hereof.

5.   In consideration of the society granting its permission and consent to the Members for development of the said property through the Developer as recorded herein, the Developer shall comply with the following:—

(a) The Developer shall at his cost, expense and effort carry out the repairs and renovation to the said property including the existing building thereof as under:—

         (i)  replastering of entire building from inside as also outside (but excluding the interior walls of the Flats of the Members).

        (ii)  Re-painting of the entire building with _____ paint of Asian Paints from outside as also inside including the passages, staircase area, porch area, grills, garages, shutters, compound wall etc.

        (iii)  Re-plastering and re-painting of the existing garages from outside as also inside including the entire ceiling thereof.

       (iv)  The construction of an additional wall from outside (all four sides by using dual wall technique) to safe guard the entire existing building against external damage by way of erosion, due to rain or wind or otherwise.

        (v)  The installation of a big underground suction water tank together with a large capacity over-head water-tank on the top of the new construction so as to be sufficient for the requirement of the entire building including the additional new structure. This will be in addition to the existing direct municipal water supply line.

       (vi)  The entire old drainage system/line shall be replaced with new drainage of requisite width.

       (vii)  The additional new suitable water pumps to be installed keeping in view the additional new construction and the total requirement.

      (viii)  The front compound wall to be reconstructed after demolishing the present wall. The height of the present compound wall to be extended and the entire compound wall to be decorated from outside as also from inside. The two new gates of the present size and one small wicket gate to be provided. Also two collapsible gates to be provided near the stair-cases of the building.

       (ix)  The entrance lobby of both the sides should be made with good quality granite flooring.

        (x)  The complete water proofing of the old terrace as also of the new terrace and china-chips to be fixed in the entire terraces.

       (xi)  Common T. V. Antenna is to be provided in the building with the connection of maximum number of satellite channels.

       (xii)  The intercom connection in all the flats of the building having internal connection as also connection at the entrances of the building with the security guards.

(b) To construct and provide an office premises to the Society for the use of the Society as its office, as may be permitted by the Municipal Corporation.

(c) To provide one Flat of ______ sq.ft. of built up area on the 5th floor to the society on ownership basis at the concessional price of Rs. ________/- per sq.ft. of built up area with the right to allot the same to any of the existing members and/or their relatives as may be thought fit and proper by the Society.

6.   It is further agreed as under:—

(a)  The Developer shall be entitled to sell on his own account the newly constructed flats [except one Flat on 5th Floor mentioned in clause 5(c) above] to third parties on what is known as ownership basis and/or to retain the said Flats for himself. No obligation of any nature whatsoever shall be incurred by the Members and/or the society qua the prospective purchasers of the said Flats and it shall be the sole obligation of the Developer alone to comply with and carry out all his obligations and responsibilities towards such Flats Purchasers in his capacity as the ‘Promoter’ within the definition of the said word under the provisions of the Maharashtra Ownership Flats Act, 1963. The Members and the Society shall incur no obligation under the said Act.

(b) All the terraces of the old construction as also of the new construction shall be the exclusive property of the society for the use and benefit of all the members of the society and the developer shall not be entitled to deal with any of the rights in the said terraces.

(c)  The Developer shall neither hand over possession of the newly constructed flats to any party nor shall occupy them by himself until and unless he has complied with all his obligations as recorded in this Agreement.

(d)  The Society shall admit such flat Purchasers to whom the Flats shall have been sold with the approval of the society as members of the Society and as may be nominated and/or intimated by the Developer subject to such flat purchasers fulfilling the requisite requirements and agreeing to abide by all the rules and regulations of the Society. The said flat Purchasers will be required to submit all necessary applications, forms, undertakings etc. to the Society as may be required in law and shall also pay to the Society the requisite entrance fees, share money and their share in the accumulated Sinking Fund as may be reasonably demanded by the Society.

(e)  The ownership of the existing structure as also the additional construction shall vest in the Society alone. The new flat purchasers when admitted as members of the society will have right to use and occupy their respective flats as members of the society and to hold the same under the provisions of Maharashtra Co-operative Societies Act.

(f)   The Developer shall specifically draw the attention of such prospective flat purchasers to the various terms, conditions and provisions of this Agreement and the sale of the said flats to them shall be subject to the rights of the Members and the Society as recorded herein.

(g)  The Stamp Duty and registration charges in respect of Developer’s transactions for sale of newly constructed flats with the prospective purchasers shall be borne and paid either by the Developer and/or by the flat purchasers as they may mutually decide and the Society shall not be in any manner be liable for the same.

7.   The Developer shall in consideration hereof, be entitled to receive for himself the consideration receivable on account of sale by him of the Flats on the Fifth Floor, Sixth Floor and the Seventh Floor of the newly constructed building and after adjusting his cost and expense to retain profits thereof, if any, for himself. The Developer shall also save harmless, indemnify and keep indemnified and hereby indemnifies the Members and the Society against any claim, loss, costs, charges etc. that may be made by any person whatever against the Members and/or the Society on account of the Developer carrying out the said development and/or on account of any act of commission or omission by the Developer, and/or his servants and agents on account of the developer committing breach of any of the terms and conditions of this agreement and/or on account of non fulfilling any of his obligations/responsibilities or otherwise under the provisions hereof and he shall reimburse the Members and/or the Society for all such loses or claims.

8. The stamp duty, registration charges and all other incidental expenses on this instrument shall be borne and paid by the Developer alone.

IN WITNESS WHEREOF the parties hereto have hereunto set and subscribed their respective hands and seals the day and year first hereinabove written.

THE SCHEDULE OF THE PROPERTY ABOVE REFERRED TO:

(Give detailed description of the property)

SIGNED AND DELIVERED BY                         )

the within Named Members                           )

(1) ________________________                  )

(2) __________________________               )

(3) __________________________                                                                 )                                                                

(4) __________________________               )

(5) __________________________                                                                 )                                                                

(6) __________________________               )

(7) __________________________                                                                 )                                                                

(8) ___________________________             )

(9) ___________________________             )

(10) __________________________             )

(11) __________________________             )

(12) __________________________             )

(13) __________________________             )

(14) __________________________             )

(15) __________________________             )

(16) __________________________             )

(17) __________________________             )

(18) __________________________             )

(19) __________________________             )

(20) __________________________             )

(21) __________________________             )

(22) __________________________             )

(23)___________________________ and      )

(24) ___________________________,                                                                )                                                                

of the First Part in the presence of …………     )

THE COMMON SEAL of the within Named         )

PQR CO-OPERATIVE HOUSING SOCIETY          )

LIMITED, was here unto affixed pursuant to     )

the resolution of the Annual General Meeting   )

passed in that behalf, on the _________         )

day of ___________ 200_____ in the presence of                                                             )

(i) ___________________, Chairman and       )

(ii) ______________________, Secretary       )

and in the presence of …………                        )

SIGNED AND DELIVERED                              )

by the within Named A B C                           )

THE DEVELOPER, of the Third Part                  )

in the presence of ………….                          )

Witnesses:

1.

2.

If you wish to purchase all the Legal Drafts or any Category of Legal Drafts in Word Format, You Contact us at admin@getyourdrafts.com.

Also, You can check out our pricing at Contact Us Section.

If you need any more drafts that are not on our website, you can write to us at admin@getyourdrafts.com.

Hope this helps.

Leave a Comment

error: Please email at admin@getyourdrafts.com for word file, Thank You!