Real Estate Development of JV Deal

Chapter One, investment program description

First, the investor investment
1. Investors and the implementing party signed the English and Chinese version of the investment contract, the two sides agreed to the rights and

2. The two sides jointly set up a new company in Taipei, the investor is a director of the company, Occupies 50% of the total number of shares, acquired half of the directors seats, and may designate professionals
involved in business conduct.

3. All the company’s business, financial and other matters should use may only operate after the Board agreed to recognize.

Chapter Two、 Funds management program

a. Set up a new company
b. Financial Institutions

The four trust funds Supervision Contracts


a. Set up a new company
With investors inject capital simplistic, we remove some of the old shareholders and set up a new construction company. And investors to work together to create the profit sharing.

b. Financial Institutions
The four trust funds Supervision Contracts Through the Trust Companies Act and other related laws and other laws to protect investors and ensure the injection of funds can not be diverted illegally.
Before investors inject capital, it must be signed by comprising banks、 construction management
company and our newly established construction company quartet trust fund management contract.
Trust Bank legally applied entrust the management and supervision of funds payments
project funding agreements.

C, the investor funds management fee payment and investment

profit and loss distribution

1. The funds invested by the investors shall be paid by the
Company on the basis of 2% of the current investment of the
Company as the investor’s fund management Fees, and
deducted before investing funds.

2. When dispatching surplus cash has been recovered sales
price (including homebuyers bank household loans) after
deducting all pipe and sales costs 、 taxes payable,
investors assign 50%.

D, the risk notice
Whether a variety of investment business practices are hidden
risks, and the risk of investing in real estate is to encounter
price fluctuations.
There is a decline in the situation or poor sales of cash flow
losses, this time we are allocated by the proportion of distribution
of housing, and since the burden of its bank financing principal
and interest, or continue to be sold until sold out.

Chapter Three.   Trust Deed shall include the following

First, The name of the principal, trustees and beneficiaries and shelter.
Second, The type of trust property, the name, quantity and scope of rights.
Third, The purpose of the trust.
Fourth, During the existence of the trust relationship.
Fifth, Trust documents.
Six, Registration and transfer of the trust property.
Seven, Management and operation method of the trust property.
Eight, The mode of financing sources of income trusts.
Nine, The cost of the payment.
Ten, The Trust income collection methods.
XI Trust remuneration payment.
XII Liability Trust institution.
Thirteen, Check in trust affairs.
Fourth, Preparation and repair of preparation debt charges.
Fifth, Trust deed change, dissolution and termination of the subject.
XVI Trust property trust relationship after delivery and eliminate debt repayment.
XVII Other matters.

Chapter Four.   
Building for Implementation of Trust

Account control as follows:

(1)During the period of the Trust, investors and homebuyers who have to pay

fees,  and parking revenues and other Finance payments shall be paid into

the trust account, it established by the case on behalf of the trustee in bank


(2)Construction Finance facility approved by the financing banks, Building

Management Firm will according to construction progress inform the Bank

funding to contractors.   
(3)Trust account for the expenditure necessary expenses of the project:

  1. Architectural design fees
  2. Construction funds
  3. Houses sale and sales management fee
  4. Construction management firm fees
  5. Personnel administration fee
  6. Building Management Fund
  7. Bank building principal and other Finance.
  8. Trust management fees
  9.  Land integration agency fee

(4)Vendor bills audit and correct by Construction management Firm, Transfer

money from the trust account Paid to related companies .

(5)Trustee (the bank) the case should be prepared monthly financial

statements, income and expenditure details submit principals

( investors and landowners and builders) to be audited.



Add Comment

Your email address will not be published. Required fields are marked *