ATTENTION: BROADACRE LAND OWNERS

 
 
Are you sick of being approached by real estate agents and developers wanting to buy your biggest asset? 
Rather than selling your land have you considered a Resi Ventures Land Development Agreement (LDA)?
The LDA allows you and your family to maximise the value of your land by working with an experienced developer who takes on the development risk and completely funds the whole development process.
By partnering with a proven developer like Resi Ventures you can significantly boost the value of your Urban Growth Zone (UGZ) land without you needing to spend a cent.
 
  

INDEX

WHAT IS An LDA?

LDA CHECKLIST

THE LDA PROCESS

LDA VS MANAGEMENT AGREEMENT

THE DEVELOPMENT PROCESS

TAILORED TO SUIT YOUR NEEDS

LDA VS JOINT VENTURE AGREEMENT

  

Resi Ventures maximises the return on your biggest asset without risking your financial future

 

WHAT IS A LAND DEVELOPMENT AGREEMENT? 

 
A Land Development Agreement allows a Land Owner to enter land deals and share in the development upside whilst the developer takes all the risk in developing the land
 
 

  

 

Download our LDA brochure  <https://blog.resiventures.com.au/download-lda-brochure>

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IMPORTANT!

DON’T SELL YOUR LAND UNTIL YOU HAVE DOWNLOADED THIS GUIDE


Download the LDA Checklist  <https://cdn2.hubspot.net/hubfs/4482710/checklist.pdf?hsCtaTracking=ab330269-c29d-4f5b-b5df-0a518f6f020c%7Ccab4e20e-cafd-4108-84bb-dc4729895609>

 

RECEIVE A FREE CONCEPT PLAN
WITH YOUR CONSULTATION

PlanforLDA-3 

 ✔️ No obligation consultation

✔️ Minimum 10 hectares Urban Growth Zone
✔️ Deal Directly with the developers

Register for more information  <https://blog.resiventures.com.au/land-development-agreement#register-here>

 

Receive a professional assessment of your site from a leading planner (similar to this).



 

 

 

THE LDA PROCESS

 

 

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We can structure an LDA deal to provide a regular cashflow, minimise your tax liabilities and maximise your returns.
 

 

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Resi Ventures takes care of every step in the development process

 

 

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 Resi Ventures Accolade development on Leakes Rd in Rockbank (above) is being expanded via several Land Development Agreements with local land owners.
 

 

 
A Land Development Agreement allows the Landowner to use their land as their equity in the development process while Resi Ventures funds all development costs.
 
To ensure security for the Landowner they stay on title and share in the development upside in a tax effective manner whilst the developer takes the risk in developing their land.
 
What Resi Ventures has done is to bring the benefits of large scale development to the smaller Landowner, who may only have 20-30 acres. At times we will amalgamate adjoining land holdings thereby working with neighbouring Landowners  to create a large estate that helps all parties to benefit through achieving economies of scale which reduces costs.
 
Our Land Partner then gets to go on a development journey with us and shares the upside. Their returns are tied to the end lot prices, and as those prices rise, so do their returns receiving distributions along the way.
 
The key to a successful LDA is selecting a reputable developer with a strong balance sheet who has a track record of delivering  projects for their partners.

1. Resi Ventures funds the entire development and shares the development profits with the Landowner as the project rolls out.

2. We pay all holding costs such as Council Rates and Land Tax as well as developer contributions to Council,  Melbourne Water and other external authorities.

3. We fund all project related costs including planning permits, sales and marketing, paying all external consultants,  carrying out detailed engineering design, all the way to construction of roads and other civil works to create the end lots.
 

 

 

 

 

For a free & independent assessment of your land's potential, please contact us on 1300 031 260.

 


 

LDA VS MANAGEMENT AGREEMENT

 

 

 
The biggest difference is that a Development Management Agreement (DMA) is carried out by a Project Management company who does not have a strong balance sheet.  They will borrow against your land to obtain the permits and to develop the land. They don’t have their own equity, so they are exposing the Landowner to high levels of development risk. 
With a Resi Ventures LDA, we use our own equity to carry out the development – start to finish.

 

 

TAILORED TO SUIT YOUR NEEDS

 

A typical Resi Ventures LDA works as follows:

Resi Ventures advances money for your land that you can use straight away.
We can also make regular advances until the development profits are realised.
The Title of the land remains in your name until the individual lots are sold.
Resi Ventures will pay the ongoing holding costs such as Council Rates and Land Tax.
 Resi Ventures will add value to your land whilst funding all project related costs including planning permits, construction of roads and other civil infrastructure, and all external compliance costs such as developer contributions to Council, Melbourne Water & GAIC. 
 
 

 
 

Resi Ventures will project manage and fund the whole development process and then share the development profits with you.

Download our LDA brochure  <https://blog.resiventures.com.au/download-lda-brochure>

 
 
 
 
 
 

THE DEVELOPMENT PROCESS

 

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LDA VS JOINT VENTURE AGREEMENT

 

 
 
 
The LDA and Joint Venture (JV) model are both very similar in that they are used to maximise the returns for the Landowner. There are however a couple of major differences:
Firstly, Under an LDA the returns of the Land Owner are linked to the end lot prices, whereas under a JV the land is put in at current market valuation upfront and then there is usually a profit split which may be 50/50 so the Landowner and Developer share the uplift.
Which means under a JV, the Landowner is taking more risk as the project costs may increase and reduce the overall profit
Whereas under an LDA since the returns are linked to the end lot prices, any fluctuation in project costs does NOT affect the Land Owner returns, making the LDA model a lot more favourable to the Land Owner.
Secondly, under a JV, the land title would have to be transferred over to the JV entity – whereas under an LDA, the land always stays in the Landowner’s name making the LDA far more secure for the Landowner.
 

 

 

 

Resi Ventures gives you the peace of mind knowing that you're in good hands.

 
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1. We are an experienced developer that has successfully completed many land subdivisions
2. Provide regular updates so you can track development progress
3. Remove financial pressure by covering all your holding costs
4. Can provide advances in lieu of deposits to meet your financial needs
5. Allow you to be totally passive during the development process
6. Structure agreements to ensure your proceeds are received tax effectively
7. Customise every deal in a manner that suits your specific needs, which may include:
  • Keeping a principle residence without paying any tax

  • Retaining use of the land for the longest possible time

  • Receiving part of the proceeds in the form of serviced lots 

  • Payment of annual advances to allow you to have greater lifestyle choices.

 

 find out more

 

For more information, register your details here.