Question for people who understand real estate JVs 👀
Suppose someone owns a piece of land but doesn't have the money to construct an apartment.
A builder approaches them and says:
"You provide the land, I'll take care of the construction, approvals and other development costs. We'll share the apartments after completion."
If you've come across this kind of landowner + builder joint venture, how does it actually work?
What should the landowner be careful about before signing such an agreement?
And most importantly, how is the final share between the landowner and builder usually decided?
Genuinely curious to understand how these deals work from people who have actually seen or been involved in one.