Document background
The Fractional Ownership Agreement serves as the foundational document for establishing and managing shared property ownership under Swiss law. This document is particularly relevant for luxury properties, vacation homes, or high-value real estate assets where multiple parties seek to share ownership and usage rights while maintaining legal clarity and protection. The agreement becomes necessary when two or more parties wish to formalize their shared ownership arrangement, detailing everything from initial purchase and ownership percentages to ongoing management and eventual exit strategies. It must comply with Swiss property law, including cantonal regulations and the Lex Koller restrictions on foreign ownership. The document is especially important in Switzerland's premium real estate market, where fractional ownership has become an increasingly popular alternative to full ownership, particularly in tourist destinations and luxury developments.
