Overage Agreement Template

It speeds up the transaction and can save you costs. While 25-year rules are common, 5- to 10-year overruns are more reasonable and realistic for both parties. Extremely long contracts can have a negative impact on the future sale of land, especially for those who intend to invest a lot of time and money in the development of the country, as it is understandable that buyers are not willing to share profits with a former seller who apparently did nothing to earn it! Legal prosecution protection on the sold title is a method of protection, but this is often rejected by developers. Every development funder will likely want an initial legal burden for the land to be developed, so using a legal burden to protect an overshoot agreement could complicate the development of a site. In the context of development, the commercial trigger for exceedances is often the granting of building permits, either for a change of use or for development. . . .