Agreement for Sale of an Off Plan Apartment to a Company
This is an Agreement for Sale of a unit in a development/complex undergoing construction. The Purchaser relies on the Building Plans and Specifications availed by the developer/vendor in making their decision. In most instances, the developer/vendor will erect a show room to simulate the completed development and have it as a term of the Agreement for Sale that the completed unit shall be substantially similar to the show room.
A Purchaser will require proof from the developer/vendor that all relevant government consents and approvals such as those of NEMA, the National Construction Authority, the Department of Physical Planning, relevant County Government and the Ministry of Lands and Physical Planning have been obtained prior to entering into an Agreement for Purchase of the unit.
The purchase price/stand premium is usually less when a purchase is made off plan as compared to purchase of a completed unit, however stamp duty and other government charges shall be based on the market price at the time of completion of the development and transfer of the unit.