Have you thought of other project delivery systems other than Design-Bid-Build?
Do you know of House Complex Construction Partnership opportunities available to Project Management Professionals?
Many Owners think of hiring a construction company as a construction management entity to reconstruct or build new buildings in their land. This requires that the land owner finances and pays for construction of that new building. Here we will introduce a method used in Iran for a win-win situation, where both owner and the contractor are happy to join in House Complex Construction Partnership.
Since land lots in some parts of the City is becoming more expensive and valuable, investors are more than happy to reduce their cost of land purchase and focus more on the quality of the end product. Therefore, if a land owner agrees to share his end product and sell in advance some of the apartments or villas to develop the project, contractors with investment interest are more than willing to spend the cash needed to construct and gain their profit at the end, when the House Complex is ready for sale.
As we discussed other project delivery systems such as Design-Build and EPC. House Complex Construction Partnership opportunity has become a systematic way of investment and construction in Tehran and Iran. With 22 to 25% guaranteed annual compound interest back on investment offered by the Banks, investors are reluctant to lock their money on purchase of the land, instead they will deposit that amount and using the interest earned on a monthly basis, for expenses on construction of a new house complexes. On the other hand, landowners are also happy to see their houses rebuilt at no extra cost.
The formula for this kind of partnership depends on the value of the land and the final square meter area of apartments available for sale. The partnership requires complete and precise legal and contract agreements, and managing such project requires expertise and experience. But the main reason why contractors enter such projects is the 40 to 50% annual profit that they earn. Similar systems are also widely used in all over the world such as Great Britain.
There are many opportunities available in Tehran for such investment and partnership and we can help, we have just completed such a project few months ago and you can see the design and aspects of the project here. If you think you are interested in such profits and investment opportunities don’t hesitate to contact us and we will explain more and guide you through this type of project. As a project manager, you may also introduce this type of work for your area and we will provide the consultant services in aspects of design, legal help and management skills required to have a successful House Complex Construction Partnership!