Property Joint Venture Agreement Template for Malaysia

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Key Requirements PROMPT example:

Property Joint Venture Agreement

"I need a Property Joint Venture Agreement for a residential development project in Kuala Lumpur between my development company and a local landowner, with construction starting March 2025, where we'll contribute 70% of the capital and development expertise while the landowner contributes the land."

Document background
The Property Joint Venture Agreement is essential for structuring property development partnerships in Malaysia, where collaborations between landowners, developers, and investors are common. This document is typically used when parties wish to combine their resources, such as land, capital, expertise, or market access, to undertake property development projects. It must comply with Malaysian legal requirements, including the National Land Code 1965, state land rules, and foreign investment regulations where applicable. The agreement covers crucial aspects such as capital contributions, profit sharing, management control, development timelines, and risk allocation. It's particularly important in the Malaysian context where land matters are state-regulated and foreign investment in property may be subject to specific restrictions and approvals.
Suggested Sections

1. Parties: Identification of the JV partners, including full corporate/individual details

2. Background: Context of the JV, including property details and purpose of collaboration

3. Definitions and Interpretation: Key terms used throughout the agreement and interpretation rules

4. Joint Venture Structure: Legal structure of the JV, ownership percentages, and capital contributions

5. Property Details and Project Scope: Specific details of the property and proposed development

6. Contributions and Funding: Each party's contributions (land, capital, expertise) and funding arrangements

7. Management and Control: Decision-making process, management structure, and voting rights

8. Development and Construction: Development timeline, responsibilities, and construction requirements

9. Distribution of Profits and Losses: How profits and losses will be shared between parties

10. Representations and Warranties: Standard and specific warranties regarding property, authority, and capacity

11. Regulatory Compliance: Compliance with Malaysian property and development regulations

12. Term and Termination: Duration of JV and circumstances for termination

13. Dispute Resolution: Process for resolving disputes, including jurisdiction and governing law

14. General Provisions: Standard boilerplate clauses including notices, amendments, and assignments

Optional Sections

1. Foreign Investment Provisions: Required when one party is a foreign entity, addressing FIC guidelines and restrictions

2. Islamic Finance Compliance: Required when the JV needs to be Shariah-compliant

3. Environmental Compliance: Required for projects with significant environmental impact

4. Sales and Marketing: Include when the JV includes property sale/lease strategy

5. Intellectual Property Rights: Required when the JV involves unique designs or branding

6. Employment Matters: Include when the JV will directly employ staff

7. Force Majeure: Optional but recommended for long-term development projects

8. Step-In Rights: Include when there are project financing arrangements with lenders

Suggested Schedules

1. Property Details Schedule: Detailed property description, title details, and encumbrances

2. Development Plans: Architectural plans, drawings, and development specifications

3. Capital Contribution Schedule: Detailed breakdown of each party's capital contributions and timing

4. Project Timeline: Detailed development milestones and completion dates

5. Management Structure: Organizational chart and management procedures

6. Distribution Mechanism: Detailed profit-sharing calculations and distribution procedures

7. Required Approvals: List of required regulatory approvals and permits

8. Form of Shareholder Agreement: If JV involves company formation, draft shareholder agreement

9. Property Valuation Report: Independent valuation of the development property

10. Technical Specifications: Detailed construction and development specifications

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions
Clauses
Relevant Industries

Real Estate

Property Development

Construction

Infrastructure

Commercial Property

Residential Property

Urban Planning

Architecture

Investment Management

Property Management

Relevant Teams

Legal

Real Estate

Property Development

Investment

Project Management

Construction

Finance

Commercial

Business Development

Compliance

Risk Management

Relevant Roles

Chief Executive Officer

Managing Director

Property Development Director

Legal Counsel

Real Estate Manager

Investment Manager

Project Manager

Development Manager

Construction Manager

Finance Director

Land Acquisition Manager

Commercial Director

Joint Venture Manager

Business Development Director

Compliance Officer

Industries
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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