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98% Development & Joint Venture
Financing for Land Owners:
We
provide all building materials free of charge and pay you
30% to 50% more on your land value! You
must own your land outright without any major mortgages on
it. Please do not ask us for a 100% acquisition loan to obtain
land.
Our Joint
Venture Proposal is ONLY VALID FOR LAND OWNERS!
In limited cases, 21st. Equity Homes Manufacturing
may also entertain joint ventures with strategic partners/land
owners who wish to benefit from the company's vision for bringing
its cutting edge building products into the market.
INSTANT BENEFITS FOR JOINT VENTURE PARTNERS ARE:
1) In today's tough market with banks and financiers NOT
funding or placing onerous deposit requirements on developers
21st Equity has a turnkey solution for landowners wishing
to develop or create value utilizing their undeveloped land
2) we joint venture with landowners who (if they wish)
are being appointed as Franchisees for a certain territory
3) the landowners contribution is land only and we take
the project forward
4) Landowners receive current FULL LAND VALUE from the
joint venture transaction AND they participate in developers
profit with 21st Equity
5) Real estate brokers benefit through introducing development
land to 21st Equity for Joint Venture development with landowners
as the real estate brokers now have options at their disposal
in these tough market conditions AND not only will they
earn the usual commissions for facilitating the land sale
they also earn commissions if they can display expertise
to be appointed to the 21st Equity list of approved off
plan real estate brokers.
ARE THERE ANY HIDDEN COSTS RELATING TO
A LAND OWNER JOINT VENTURE TRANSACTION SUCH AS PRE-DEVELOPMENT,
FEASIBILITY AND/OR ON-SITE ASSESSMENTS BY 21ST EQUITY OR OTHER
PROFESSIONALS OR CONSULTANTS?
This question has been asked often and it is therefore important that all
potential joint venture partners, landowner joint venture
partners and similar related interested parties should note
the following:
Understandably, where clients are requesting us to joint venture with them
to develop on client owned land or via similar structures
we would assess a transaction via an initial desktop assessment.
If deemed viable we would advise our clients and prospective
Joint venture Partners accordingly. However, where clients
wish us to travel to specific locations to assess sites and
viability's or where our input is required via visits to your
specific location or country, the cost of business class flights
and minimum 4* accommodation inclusive of meals and associated
hotel costs would be for the account of the joint venture
partner.
21st Equity would not
charge its usual consulting
fee of USD 300 per hour (USD 3,000 per day) as this is
our contribution to the project as the joint venture partner. Kindly
note that our consulting fees are not charged in respect of
the first preliminary visit (which is a maximum of 5 days
including flight time to and from your location). Thereafter,
50% of our normal consulting fee would apply ($1,500 per Day)
and be charged to the project should consulting be further
required (this fee has nothing to do with the construction
and/or building of your proposed project and would not be
charged after project commencement).
It should further be noted that 21st Equity undertakes the provision of
full top structure funding and development under its joint
venture agreements, which is our contribution to the project
and would therefore not carry costs relating to preliminary
feasibility's or project designs. It should also be stressed
that we do assess all projects on merit. For more information
regarding 21st Equity Consulting Services click
here.
21st
Equity Homes Manufacturing offers 98% financing for land owners
without any out of pocket expenses for the land owner and
joint venture partner. However, the land owner has to provide
a cash contribution of 2% of the project cost in U.S. dollars
or a minimum of $500,000 US Dollars dependent upon project
size, before
we commit our resources to his proposed projects.
WHAT IS THE DEFINITION OF A (REAL
ESTATE) JOINT VENTURE?
You are about to learn one of the most powerful tools we
know of for being successful in today's competitive business
atmosphere. We are of course talking about Joint Ventures,
or specifically, teaming up with another person, group of
persons, or business entity for the purpose of expanding your
business influence and creating a more powerful market presence.
Joint Ventures are in, and if you are not utilizing this
strategic weapon, chances are your competition is, or will
soon be, using this to their advantage.... possibly against
you!
A joint venture (often abbreviated JV) is an entity formed
between two or more parties to undertake economic activity
together. The parties agree to create a new entity by both
contributing equity, (THE LAND OWNER CONTRIBUTES HIS LAND
FREE AND CLEAR & 21ST EQUITY HOMES CONTRIBUTES THE ENTIRE
PROJECT FINANCING, THE BUILDING MATERIALS AND ITS EXPERTISE
TO BUILD THE PROJECT), and they then share in the revenues,
expenses, and control of the enterprise.
The venture can be for one specific project only, or a continuing
business relationship such as the Sony Ericsson joint venture.
This is in contrast to a strategic alliance, which involves
no equity stake by the participants, and is a much less rigid
arrangement. The phrase generally refers to the purpose of
the entity and not to a type of entity. Therefore, a joint
venture may be a corporation, limited liability company, partnership
or other legal structure, depending on a number of considerations
such as tax and developers liability.
A JOINT VENTURE OVERVIEW
A joint venture is a legal organization that takes the form
of a short term partnership in which the persons jointly undertake
a transaction for mutual profit. Generally each person contributes
assets and share risks. Like a partnership, joint ventures
can involve any type of business transaction and the persons
involved can be individuals, groups of individuals, companies,
or corporations. Joint ventures are also widely used by companies
to gain entrance into foreign markets.
Foreign companies form joint ventures with domestic companies
already present in markets the foreign companies would like
to enter. The foreign companies generally bring new technologies
and business practices into the joint venture, while the domestic
companies already have the relationships and requisite governmental
documents within the country along with being entrenched in
the domestic industry.
Reasons for forming a joint venture?
Internal reasons
- Build on company's strengths
- Spreading costs and risks
- Improving access to financial resources
- Economies of scale and advantages of size
- Access to new technologies and customers
- Access to innovative managerial practices
Competitive goals
- Influencing structural evolution of the industry
- Pre-empting competition
- Defensive response to blurring industry boundaries
- Creation of stronger competitive units
- Speed to market
- Improved agility
Strategic goals
- Synergy's
- Transfer of technology/skills
- Diversification
A joint venture is not to be taken
lightly
For a businessperson/landowner to embark on a joint venture
with 21st Equity Homes, he or she needs to be committed and
willing to work cooperatively with the other party involved.
A person involved in a joint venture can no longer make all
of the decisions for the business alone. For it to be truly
a joint venture, there has to be 100% commitment from both
sides. When determining whether or not to embark on a joint
venture, it is important to ensure both parties are a match
with the projected real estate project development. In a joint
venture, each party must compliment the other in business.
Sometimes, a misunderstanding or a lack of communication
can destroy a joint venture. Therefore, it is necessary for
both parties to be capable of communicating what they are
able to offer to the project and what their expectations are.
Since money is involved in a real estate joint venture, it
is necessary to have a strategic plan in place. In short,
both parties must be committed to focusing on the future of
the partnership, rather than just the immediate returns. Ultimately,
short term and long term successes are both important. In
order to achieve this success, honesty, integrity, and communication
within the joint venture are necessary.
To Summarize:
Assuming that you have fully understood the above definition
of a Real Estate Joint Venture and the benefits as well as
liabilities for both parties involved, it should be very clear
that 21st Equity Homes will provide 98% project financing
when signing the JV agreement. We provide all financing and
our building materials free of charge and the land owner provides
his land. Its that simple!
Are you ready for an exclusive Partnership
& Joint Venture Opportunity?
If you (or one of your clients) own development land anywhere
across the world (including building permissions) for development
of residential, mixed use and/or commercial project developments,
we provide 98% development loans and all building materials
free of charge based on the fact that you would sign a
Commercial Land Lease Agreement with us.
Furthermore, our professional team would
structure the transaction in a manner which would ultimately
result in the funding of your proposed project up to 98% with
only 2% project development costs on your end!
The benefits of our strategy, methodologies and broad proposal
can be outlined as follows:
- The Land Title
remains with yourself/your company
- We will NOT need
your land as collateral AND you retain full ownership of
your land
- We will NOT lend
against your land
- We establish a
Home Manufacturing Plant
at your location to provide low cost building materials
for above mentioned project - this plant would be erected
to support the development on the land
Here is how the transaction must be structured in order to achieve
mutual success:
The
above proposal and joint venture strategy will only work based
on the fact that the land owner would be willing to sign a
Joint
Venture & Commercial Land Lease Agreement
with 21st Equity Homes for 25 up to 99 years:
- We pay only $1.00
(One USD) per year for the lease = $99.00 for 99 years,
- We finance and
build the entire project out of our own resources
- We pay to the land
owner 30% to 50% of all projects profits
- We further pay
out of profits achieved, on an annual basis based on audited
financial statements (the services of either KPMG or PriceWaterhouseCoopers
would be retained) the full price of the land per sq. mt.
based on the realistic market value of today!
After 99 years all structures/buildings being
built on the land will be returned in full ownership to the
land owners against the symbolic payment of $1.00
Please discuss this proposal with your team
members and let us know WHEN you wish to proceed. Accordingly,
we will send you a Joint Venture Agreement and a Commercial
Land Lease Agreement, which reflects the above mentioned points.
With our prefabricated building materials you will save not
only precious time and labor costs in the construction process,
but in addition you will save more than 30% to 40% on construction
costs, when partnering with us.
As a Land Owner & Joint Venture
Partner your benefits include:
- 98% development funding
- All building materials delivered free of charge
- No interest to be paid
- No debt
- No payments
- No payback
Our worldwide development proposition
is simplicity itself
21st Equity offers land owners:
- Full price for your land (with planning permission,
verified by reputable local valuers)
- And participation in the development profit, generally
30% to 50% of profits
This generally results in the land owner receiving 200%
to 250% of full market land value
We are able to adjust our prices into any market worldwide
based on your requirements. Our expertise and specialization
is in luxury villas, apartment buildings and affordable, low
cost housing units. No matter where you are in the world,
we are listening!
What do we need to know regarding
your land?
- Do you own the land outright already for your planned
project?
- Have you obtained zoning and building permissions?
What documents do we need to see
regarding your Land?
- A Copy of your Preliminary Title Report
- A recent valuation report/appraisal to be done by a
recognized valuation firm or by an international bank
- Overview of mortgages on your land (if any)
Partners Contributions to the Joint
Venture:
The Developer/Landowner is required
to contribute the following:
- The land free and clear to be used
by the newly formed joint venture.
- The permits to verify that the
proposed project can be constructed as presented.
- A cash contribution 2% of the project
cost in U.S. Dollars or a minimum of $500,000 US Dollars
dependent upon project size.
- The contributed funds are due as
follows: 20% on signing of the Letter of Commitment and
balance due prior to start of vertical construction.
Our Commitment
21st Equity as Joint Venture Partner
is required to contribute the following:
All cost, money's, management, and
resources associate with the construction of the project (Labor,
Architectural, Engineering, Building Materials, etc).
If you are seriously interested getting your planned project
off the ground, please contact
us today.
WE
JOINT VENTURE ANYWHERE ACROSS THE WORLD!
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