Table of Contents
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
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:—
- 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. - 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. - 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.
- 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. - 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.
- 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.
- 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. - 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.
