The Builder Development Agreement serves as the primary contractual framework for construction projects in the United States, typically used when a developer engages a builder for significant construction work. This document is essential for projects ranging from residential developments to commercial complexes, ensuring clear delineation of responsibilities, risk allocation, and project execution parameters. It incorporates federal, state, and local regulatory requirements while protecting both parties' interests through detailed specifications of work scope, quality standards, timelines, and financial terms.
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1. Parties: Identifies all parties to the agreement, including legal names and addresses
2. Background/Recitals: Sets out the context and purpose of the development agreement
3. Definitions: Defines key terms used throughout the agreement
4. Scope of Work: Detailed description of the development project and builder's obligations
5. Project Timeline: Key milestones, completion dates, and project phases
6. Payment Terms: Payment schedule, amounts, and conditions for payment
7. Permits and Approvals: Requirements for obtaining necessary permits and regulatory approvals
8. Insurance and Indemnification: Required insurance coverage and indemnification obligations
9. Default and Termination: Conditions constituting default and termination rights
1. Environmental Provisions: Required when development involves environmental considerations or potential environmental impact
2. Community Benefits: Commitments to provide specific benefits to the local community, typically used for large-scale developments in urban areas
3. Affordable Housing Requirements: Specifications for inclusion of affordable housing units when required by local regulations or agreed with authorities
4. Public Infrastructure: Requirements for public infrastructure improvements when development requires modifications to public infrastructure
1. Development Plans: Detailed architectural and engineering plans
2. Project Specifications: Technical specifications for construction
3. Project Budget: Detailed cost breakdown and budget allocation
4. Construction Schedule: Detailed timeline of construction phases
5. Required Insurance Certificates: Copies of required insurance policies
6. Environmental Reports: Environmental impact assessments and related reports
7. Permits and Approvals: Copies of obtained permits and regulatory approvals
8. Form of Performance Bond: Template for required performance bonds
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