In accordance with Turkmenistan’s Law on Shared-Equity Construction of Residential Buildings and Other Real Estate Objects, the cost of an agreement for participation in shared-equity construction is calculated as the sum of the cost of construction of an object of shared-equity construction and the cost of the developer's services for its construction, with their separate indication in the agreement for participation in a shared-equity construction.
The cost of building of a shared-equity construction object is determined based on the contractual prices. At the same time, the cost of expenses for the building of a shared-equity construction object may include the costs of connecting to external networks made within the boundaries of the construction site, with the exception of costs for construction, overhaul or current repairs of external networks themselves, which are financed at the expense of the relevant ministries, departments or local executive authorities.
The cost of the developer's services is determined by agreement of the parties to the contract.
Can the value of the contract for participation in shared-equity construction change after its conclusion?
By agreement of the parties, the value of the contract may be changed after its conclusion, unless otherwise provided by the legislation of Turkmenistan.
From what period can mutual settlements be made between the shareholder and the developer under an agreement for participation in shared-equity construction?
Any mutual settlements between a shareholder and a developer under an agreement for participation in shared-equity construction can be made only after taking into account the agreement for participation in shared-equity construction with an authorized body.
The cost of the contract for participation in shared-equity construction is paid by the shareholder at a time or in stages by depositing funds in cash or non-cash form into a special bank account in accordance with the payment schedule attached to the contract for participation in shared-equity construction.
Source: Rysgal newspaper, 23.11.2020
