What should the contract for participation in shared construction contain?
In accordance with the Law of Turkmenistan on Shared-Equity Construction of Residential Buildings and Other Real Estate Objects, an agreement for participation in shared-equity construction must contain:
- the name and location of a residential building or other real estate object in which the shared-equity construction object is located;
- terms of commissioning a residential building and (or) other real estate object;
- cost of the object of shared-equity construction;
- rights, obligations and responsibilities of the parties;
- the size and terms of payment for the cost of the shared-equity construction object, the conditions and procedure for the return of the equity owner's funds upon termination of the contract for participation in shared-equity construction;
- information about the developer's (contractor's) license to perform construction and installation works;
- quality assurance of the object of shared-equity construction;
- details of the parties.
In some cases, the Cabinet of Ministers of Turkmenistan may establish other requirements for the content of an agreement on participation in shared-equity construction.
How is the notarization and registration of an agreement for participation in shared-equity construction carried out?
The developer, within 30 (thirty) calendar days from the date of signing by the shareholder of an agreement for participation in shared-equity construction or an additional agreement to it, shall submit five copies of the agreement or additional agreement to the authorized body to verify their compliance with the requirements provided for in the Law of Turkmenistan on Shared-Equity Construction of Residential Buildings and Other Real Estate Objects, and the project declaration. The authorized body shall, within ten working days, consider an agreement for participation in shared-equity construction or an additional agreement to it and in case of non-compliance of the agreement for participation in shared-equity construction with the specified requirements or if contradictions between the additional agreement and the agreement on shared-equity construction are found, returns them to the developer to eliminate the identified inconsistencies and (or ) contradictions.
If the agreement for participation in shared-equity construction meets the requirements of the Law of Turkmenistan on Shared-Equity Construction of Residential Buildings and Other Real Estate Objects, or there are no contradictions between the additional agreement and the agreement for participation in shared-equity construction, the authorized body shall affix a stamp with the mark “Seredildi".
The contract of participation in shared-equity construction, an additional agreement to it with the mark "Seredildi" are subject to notarization.
Source: Rysgal newspaper, 12.10.2020
