Real Estate and Construction Contracting
Real Estate and Construction Contracting
We have been providing legal support for real estate transactions services for many years. This extends beyond mere property acquisition agreements and encompasses comprehensive support for the entire investment process, from its inception to the conclusion of the transaction.
Its successive stages are:
A. Investigation of the legal status of the property
In Poland, many properties have unsettled legal status (various claims from former owners, defects in property sale agreements resulting in their invalidity, pending inheritance proceedings, potential risk of adverse possession by third parties, restrictions on sale especially concerning agricultural land, mortgage burdens, etc.).
When acquiring property for investment purposes, it is crucial to examine the development possibilities in light of local land use plan provisions, decisions on land development conditions, and exclusions of lands from agricultural production.
All these and many other aspects require thorough examination by experienced lawyers before making a property acquisition decision.
At the request of our clients, we examine the legal status of properties and prepare detailed reports on the results, primarily highlighting the most significant risks that might prevent the buyer from realizing their investment plans. We not only point out the threats, but also suggest effective solutions to identified legal problems.
B. Preparation and negotiation of property acquisition and disposal agreements
We prepare for our clients draft property acquisition agreements in various configurations arising from the circumstances of particular transactions, and we actively participate in negotiations.
In many cases, before concluding an agreement transferring the title to the property, it is necessary first to sign a preliminary agreement, specifying conditions upon which the successful completion of the transaction depends. Such an approach allows for a binding commitment of the parties to conclude the promised agreement, and at the same time, it provides a solution to problems hindering the planned investment.
We prepare both direct property acquisition agreements and, when required by the transaction structure, agreements for the acquisition of shares or stock in companies holding title to properties.
We also have extensive experience in drafting and negotiating agreements for the disposal of developed properties, including the buildings erected on them, as well as rights and obligations from lease agreements for commercial or office premises located therein.
C. Financing of real estate transactions
We assist our clients in concluding loan agreements for financing real estate transactions.
As part of these services, we:
- negotiate loan agreements
- prepare and negotiate all documents related to credit security (mortgages, registered pledges, assignment agreements)
- handle the registration of mortgages in land and mortgage registers and pledges in the pledge register.
D. Agreements related to the construction process
We have prepared numerous construction contracts, particularly concerning commercial, office, industrial, and residential buildings throughout Poland.
We have extensive experience in negotiating construction contracts based on FIDIC standards, both in the "design and build" formula and in the standard form limited to civil works.
As part of construction investments, we also draft agreements with designers, as well as agreements on construction process management or agreements with project management companies.
When concluding agreements for design services, we pay special attention to ensuring the correct acquisition by the investor of proprietary copyright to the design.
Our clients for real estate transactions and construction contracts include:
- TK Development Group Companies – transactions related to the acquisition of properties designated for the construction of shopping centers in many Polish cities, as well as office and residential buildings in Warsaw, construction contracts, agreements related to investment financing, and the disposal of completed commercial properties (Targówek and Reduta shopping centers in Warsaw, shopping galleries in Bytom, Sosnowiec, Bydgoszcz, Toruń, Białystok, Tarnów, Jelenia Góra, and Nowy Sącz),
- Forum Gliwice sp. z o.o. (a Deka Immobilien Group Company) – agreements related to property acquisition, contracts with a designer and the general contractor of civil works, a loan agreement along with security documents, an agreement for the sale of a completed investment property to the investor,
- Agora Bytom sp. z o.o. (a company belonging to the Norwegian Borgestad Group) – agreements related to property acquisition, contracts with a designer and the general contractor of civil works, a loan agreement along with security documents,
- one of the leading tobacco industry players in Poland – agreements with designers, construction managers and civil work contractors related to the expansion of an industrial plant and an office building.