“An additional payment (in addition to the agreed purchase price) made to a Land Owner which is conditional upon a pre-agreed set of events occurring….”
It enables the Land Owner to share in the profit of the Developer. For example:
A Developer agrees to buy the Land from the Land Owner for £250,000
The Developer agrees that if the Land can be developed for more than 2 houses then the Land Owner will be paid an additional amount over the £250,000.
The Overage can be a fixed sum or can be a percentage of the Developer’s profits.
Whether you are a Land Owner or a Developer Ellis Jones’ Commercial Property Team will work with you to ensure the Lockout agreement represents exactly what you require.
For further information and advice speak with our experts.