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Redevelopment Offer Letter

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Draft of Final Appointment Letter of Project Consultant

FOR REDEVELOPMENT PROJECT MANAGEMENT CONSULTANT / PMC

CONTACT +91 98335 45366 OR CONTACT@REDEVELOPMENTPMC.COM

ANNEXURE – 7

MODEL CO-OP. HSG. SOCIETY LTD.

(Redg.No.)

Date :

Ref. No.

To,

M/S. ,

MUMBAI

Kind Attention :-

SUB: APPOINTMENT LETTER FOR PROVIDING ARCHITECTURAL/ PROJECT MANAGEMENT CONSULTANCY SERVICES FOR CARRYING OUT REDEVELOPMENT OF OUR SOCIETY BUILDINGS.

Ref :-

1. In continuation of Our Letter dated duly accepted by you in joint meeting held on .

2. Society's Letter dated for fee Structure.

3. Your letter dated in response to the Society’s Letter dated .

4. Discussion held on .

5. Your Revised Offer Letter dated .

6. Your Revised offer on .

Dear Sir,

With reference to the above and in continuation of our brief appointment letter dated (Duly accepted by you on during meeting), we have to state that the Managing Committee is pleased to appoint you as our Architect/Project Management Consultant subject to the following terms and conditions :-

(A) YOUR SCOPE OF WORKS AS A PROJECT MANAGEMENT CONSULTANT / ARCHITECT WILL BE AS UNDER :-

(I) Pre-Tendering Stage (Phase I) :-

1. Preparing feasibility report with respect to present government policy about utilization of T.D.R.

2. Recommending the list of amenities, extra area corpus fund etc and preparing rough designs of the building as per utilization of TDR and preparing a detail report to the society before inviting Tender from builder/developer.

3. Preparing draft tender documents and discussing the same with the committee and finally obtaining a go ahead from the committee for floating the same.

4. Inviting the tenders (Technical and Commercial) from various approved builders/developers, doing the technical evaluation, preparing comparison statement and submitting the same to committee members.

5. Conducting joint meeting with the short listed Builders / Developer along with the committee members and finalizing the most suitable developer.

(II) Before Construction Stage (Phase II) :-

1. Drafting Letter of Intent based on terms negotiated with the selected Developer.

2. Ascertaining measurement of each flat and finalizing the carpet area of each member.

3. Listing down the requirement of each member and coordinating with the design architect for the final drawing.

4. Ascertaining of detail plane table survey in order to work out the area of entire plot precisely and accurately.

5. Approving the plans prepared by the developer keeping in mind the interest of the society only.

6. Assisting the society in selecting upon Solicitors/Legal Consultants and Tax Consultants.

7. Preparing Bar charts/CPM-PERT Networks so as to ensure timely completion.

8. Ascertaining preparation of all detailed Electrical and Plumbing layouts by Architect of Builder/Developer.

9. Ascertaining Preparation of all working drawings and Structural drawings by Architect of Builder/Developer.

10. Ascertaining conducting of various Soil Investigation so as to decide and select the required material or construction techniques at the time actual work of foundation.

11. Ascertaining Submission layout proposed and its approval.

12. Ascertaining Layout approval.

13. Ascertaining Submission Building files.

14. Ascertaining Obtaining of I.O.D./ C.C. etc.

(III) Construction Stage (Phase II) :-

1. Overall co-ordination with the society on technical and financial matter and co-ordination with Builders/Developers as may be required and between various engineering disciplines.

2. Maintaining complete co-ordination on entire project.

3. Preparation and issue of a project co-ordination procedure documents.

4. Programming the overall projects and following progress of all aspect of the work. Updating Bar charts and expediting and preparation and issue of monthly Project Reports to the Society indicating the status and progress of work.

5. Preparation and issue of change notices, indicating any change in project which will affect costs, planning etc.

6. To have overall co-ordination with the Society, Design Architects, Developers with respect to the Municipal Drawings so as to ensure smooth progress of the Municipal follow up.

7. Monitoring Work Progress as per the Agreed Construction Schedule.

The Above is further explained in detail as under:-

(A) MATERIAL MANAGEMENT – Strict supervision of work in interest of society and in accordance with Tender/Quotations received and approved between Society and Builder/Developer

This will include the following :

1. Ensuring quality control and adherence to specification.

2. Carrying out periodical test of the various construction materials received prior and /or during its use.

3. Conducting laboratory test of material used as well of the final product and certifying the work carried out by the Builder / developers.

4. Ascertaining upon the quantum of various materials required for different constructional activities, checking their order placements and their timely procurement along with quality.

5. Ascertaining of timely receiving and storing of the materials in their safe places as per the job layout.

6. Maintaining up to date stock register.

7. Checking the materials received on site for quantity and quality as per tender specification.

(B) DAY TO DAY SITE SUPERVISION & QUALITY CONTROL

This includes —

1. Full Time Supervision by Your Engineers

2. Periodical site visit in connection with works by yourself (at least once in a week) or your project Engineers at least 3 times a week and Providing Corrective Supervision.

3. Giving instruction regarding method of carrying out the construction from the workmanship and materials consideration. Issue written orders for rectification of defective works (if any).

(C) CONTROLLING UPON THE WORK PROGRESS

This includes —

1. Preparation of bar chart PERT/CPM Networks and strictly implementing the same. Updating the activities in case of delay to meet the target completion time.

2. Periodical meeting with the concerned contractors so as to have a first hand report about their practical difficulties if any and suggestion them an alternatives procedure to solve the same in the best interests of the society.

3. To ensure that builder/developer incorporates a penalty clause in the works with each sub-contractor.

(D) OVERALL CO-ORDINATION WITH OTHER AGENCIES INVOLVED SUCH AS: —

1. Builders/Developers/Solicitors/Contractors

2. Piling contractors and geo technical consultants.

3. R.C.C. Consultants/Electrical Consultant/Plumbing Consultant

4. Lift Agency/Swimming pool specialists/Landscaping consultants. And any other agencies related to the said project.

(III) END OF CONSTRUCTION STAGE

1. To ascertain obtaining of various Completion certificates as stated by BMC.

2. To ascertain obtaining of various Completion certificates, permanent water connection and finally BCC.

3. Preparation of ‘as built’ drawings.

4. Preparing completion report as the end of the project.

In Nutshell,

As Project Management Consultant you have to carry out following :

1. You have to verify and recommend suitable changes in the plans prepared by Architect of Builders/Developer in interest of society’s Member and in accordance with approved tender condition so as to submit same to BMC Authorities.

2. You have to prepare list of amenities (The best that can be provided) to the existing Society’s Members.

3. You have to prepare D.T.P. get approved from society and then issue tender documents (2 parts) to approved Builders/Developer inviting bids /offer and then to evaluate the bids received and submit technical/financial report to the society and to get approval of Builder/Developer from society (In AGM) and issue Letter Of Intent and work order in time.

4. You have to check/verify all drawings prepared by Architect of Builder / Developers in accordance with tender conditions and in interest of society members and in accordance with BMC byelaws and keep a regular check on all formalities of BMC like I.O.D., CC, Further C.C., Part O.C., Full O.C., etc.

5. Strict supervision of Building constructed for Society Members in accordance with tender approval.

6. You have to keep strict vigil on work executed (either for society members or for area constructed for sale by Builder/Developer) to ensure that no violation of any law /Byelaws are done by Builder/Developers.

(B) YOUR PROFESSIONAL FEES AS A PROJECT MANAGEMENT CONSULTANT

Your professional fees shall be (zero zero Per cent only) of the contract value of works executed PLUS of the total fees payable towards Service Tax Payable to the Government or the service tax as applicable as the time of release of payment.

Contract Value - Built up Area/Construction area – constructed for Society Members only @ Rs. (Rupees zero Hundred only) per square feet.

The said professional fees shall be payable as follows :-

MODE OF PAYMENT :-

SR NO. ITEM PERCENTAGE OR LUMP SUM

I After issuing appointment letter and acceptance

II Inspect the site and documents and preparation of viability report as mentioned in Point No.(1) & (2)/ Pre-tendering Stage. Ascertaining of detail plane table survey in order to work out the area of entire plot preciously and accurately.

III(a) Ascertaining measurement of each flat and finalizing the carpet area of each member. Listing down the requirement of each member and co-ordinating with the design architect for the final drawings

III(b) Preparation and submission of draft tender papers as per the requirement of the Society for inviting the tenders from Developers and getting approval of society.

IV After approval of D.T.P. Making required number of copies of tender documents for sale to approved Builder/ Developers. Organizing the pre-bid conference, preparing draft replies to queries raised in the pre-bid conference and preparing at the draft minutes of pre-bid conference.

V Scrutiny and evaluating all the tenders received and giving recommendations to the society, for selection of the builder /developer, for execution of work and also assist in carrying out negotiations with developers.

VI Preparation of various contract documents required for the execution of Agreement between Developer and Society Drafting Letter of Intent based on terms negotiated with the selected Builder/Developer. Assisting the society in selecting upon Solicitors/legal consultants and Tax consultants and finally selecting the same. Approving the agreements between the society and builders/developer and also the society members and builders/developers. Approving the plans prepared by the developer keeping in mind the interest of the society. Finalizing the Layout of the entire plot in consultation with the Building Development Committee.

VII Detailed scrutiny of Municipal drawing which is to be submitted to the corporation by developer and scrutiny of approval given by corporation. Ascertaining Submission layout proposed and its approval. Ascertaining layout approval. Ascertaining Submission Building files. Ascertaining Obtaining of I.O.D.

VIII Detailed scrutiny of Architectural drawings working drawings or layouts, building unit design and all other related works to the level of requirement submitted by the developer and its approval. Ascertaining various compliance and obtaining O.C.

IX Scrutiny of Structural designs and calculations submitted by Developer as per relevant I.S. Code Norms.

X Checking the Foundation layout at the site and after verification giving work approvals to execute the work.

XI Complete day to day supervisions of contracted buildings, land development works, infrastructure work etc., ensuring quality control in all stages of construction, stages approvals viz. approval at materials, usages thereof in proper proportion and workmanship at all stages of execution of individual items of work. Monitoring and controlling the progress by using modern methods ensuring proper quality control of works and maintaining proper records.

XI(A) Completion of RCC Works (Serial No XI (A)(1) to XI (A)(7) to be amended depending upon no. of floors to be constructed.

XI(A)(1) Construction of plinth or column above ground – 3%

XI(A)(2) R.C.C. work up to 1st & 2nd Slab – 3%

XI(A)(3) R.C.C. work up to 3rd & 4th Slab – 3%

XI(A)(4) R.C.C. work up to 5th & 6th Slab – 3%

XI(A)(5) R.C.C. work up to 7th & 8th Slab – 3%

XI(A)(6) R.C.C. work up to 9th & 10th Slab – 3%

XI(A)(7) R.C.C. work up to 11th & 12th Slab – 3%

XI(A)(8) Construction of U/G water tank – 3%

XI(A)(9) Construction of O/H water tank – 3%

XI(A)(10) Staircase and machine room at terrace level including parapet for stair case, balcony and terrace – 3 %

XI(B) External masonry

XI(C) Internal masonry with erection of door frames

XI (D) Internal Neeru Plaster

XI (E) External sand face plaster

XI (F) Flooring and staircase steps

XI (G) Kitchen platform and toilet tiling

XI (H) Drainage and external plumbing

XI (I) Internal plumbing

XI (J) P.O.P. and internal painting

XI (K) Making and fixing door shutters & Aluminium windows

XI (L) Electrical work

XI (M) Compound wall with gate and concrete pavement and watchman cabin

XI (N) External Painting

XII Following the matter of occupation with Developer, attend to the Certificates of occupation by the corporation and / or from any other Authority concerned whenever required. Ascertaining of Obtaining O.C.C. Ascertaining of Obtaining permanent water connection and water supply meter fixing

XIII Verification of ‘As- built’ drawings for the buildings and services and certification thereof. The drawings would be prepared and furnished by developer. These drawings after verification shall be submitted to the society. After the completion of project, submission of completion plans and detailed resume of the project with certificates. Cleaning site and handing over possession (Any work to complete in the building)

TOTAL

OTHER TERMS & CONDITIONS

1. All official payments required to be made to the various Municipal/Govt. departments shall be borne by society and the same shall be paid within 10 days from the demand day.

2. All Undertakings, affidavits, Indemnity Bonds etc. shall be given to you promptly as and when demanded.

3. During the actual construction stage we shall have to pay your company a fixed remuneration of Rs. 21,000/- (Rupees Twenty One Thousand Only) and the same shall be adjusted from the total fees payable as per the schedule given above.

4. The above fees is for providing Project Management Services and does not include the services for preparing municipal drawings, working drawings, etc, structural designs, obtaining various permission from statutory department, etc.

5. During discussion on 14th October 200- (With reference to Item No.5 of offer terms & conditions – P 6/6), you had agreed to give your name as Architect to B.M.C. on behalf of Society without any additional charge/cost to the society.

6. In case, in any event, due to unforeseen circumstances, the project does not materialize then, in that case, maximum fee that you shall be restricted to the item executed and fees mentioned against each item and no other claim will be levied on society.

7. Your Professional fees shall be cleared within 15 days from the date of submission of your Bills to our office.

8. As recently discussed on 28th December, 200-, you have intimated that construction period considered for fee structure as 30 (thirty) months from date of actual start work and beyond thirty months you should be compensated if construction continues. In response, the Managing Committee, in meeting held on 28th December, 2004, has decided that suitable compensation will be paid by the society, in case supervision for construction work continues beyond 30 (Thirty) months.

Signature of Society Representative

Name:

Designation:

Signature of Consultant

Name:

Designation:

Enter text✕

What a Redevelopment Offer Letter Is and When It’s Used

A Redevelopment Offer Letter is a written proposal from a developer or purchaser setting out key terms to acquire, redevelop, or repurpose a property. It typically summarizes parties, proposed purchase price or consideration, basic project scope, due diligence period, and an acceptance deadline. The letter is often nonbinding but frames negotiations and can trigger exclusive negotiation periods or deposit requirements. For projects involving public land or funding, the letter may also document preliminary compliance or funding contingencies before drafting a formal purchase-and-sale agreement.

Why a Clear Redevelopment Offer Letter Matters

A concise offer letter sets expectations for price, timing, and contingencies, reducing misunderstandings and supporting quicker negotiation. It protects both parties by documenting essential business terms and can streamline counsel review when preparing a binding agreement.

Why a Clear Redevelopment Offer Letter Matters

Who Typically Prepares and Receives This Letter

Redevelopment Offer Letters are used by developers, property owners, public agencies, lenders, and their advisors to start formal negotiations.

  • Developers and sponsors proposing acquisition and project scope for a property
  • Property owners, public agencies, or trustees evaluating preliminary commercial terms
  • Lenders and equity partners reviewing high-level deal viability before due diligence

Use this letter as an early commercial record; follow with a detailed agreement if negotiations progress.

Step-by-Step: Preparing and Submitting the Letter

Follow these sequential steps to produce a complete and reviewable Redevelopment Offer Letter.

  • 01
    Draft core terms: Set price, scope, and key dates.
  • 02
    Attach exhibits: Include site plan and financing summary.
  • 03
    Internal review: Legal and finance sign-off required.
  • 04
    Deliver to owner: Send by registered mail or secure eDelivery.

Where to Send or File the Redevelopment Offer Letter

Routing depends on whether the recipient is a private owner, public agency, or trustee; choose secure and documented delivery methods.

  • Private Owner: Deliver to owner or authorized representative with proof of receipt.
  • Public Agency: Submit per agency procurement rules or RFP instructions.
  • Trustee or Receiver: Route to appointed fiduciary or counsel for acceptance.
  • Lender Notice: Provide copy to lender if financing or consent is required.

Digital Delivery and eSubmission Requirements

Use a secure platform that preserves a tamper-evident audit trail, authenticates signers, and stores executed PDFs with metadata.

  • File formats: PDF, PDF/A, DOCX
  • Authentication: Email, SMS code, or advanced options
  • Audit data: Timestamp, IP, and signer details

Typical Timelines and Key Deadlines to Include

Use clear, measurable deadlines in the letter to avoid disputes over timing and to align due diligence with financing constraints.

Offer Expiration Date:

Exact calendar date and time the offer lapses if not accepted.

Due Diligence Window:

Number of days for inspections, title review, and approvals.

Escrow Deposit Deadline:

Date by which buyer must deliver earnest money to escrow.

Closing Target Date:

Planned date for executing the binding purchase agreement.

Financing Contingency Date:

Cutoff for securing funding and lender approvals.

Common Errors to Avoid When Preparing an Offer Letter

  • Vague property description that differs from title records, causing title objections or delays in contracting.
  • Unclear contingency language that fails to specify inspection scope, permitting obligations, or financing conditions.
  • Missing or ambiguous acceptance deadline leading to disputes over whether an offer was timely accepted.
  • Failure to state whether the letter is binding or nonbinding; this can unintentionally create enforceable commitments.

Consequences of Mistakes or Missing Requirements

Unintended Obligations: May create enforceable contract
Title Issues: Delay or derail closing
Regulatory Noncompliance: Permit denials or fines
Tax Reporting Exposure: IRC §6721 penalties possible
I-9/Employment Risk: Documentation fines apply
Escrow Forfeiture: Loss of deposit

Practical Examples of Redevelopment Offer Letters

Two concise scenario examples illustrating how letters capture core deal terms and contingencies.

Urban Mixed-Use Offer

A developer offers $3,200,000 for a downtown parcel with a 120-day due diligence period

  • buyer includes a financing contingency and $50,000 earnest deposit
  • letter requires owner response within 14 days and specifies escrow instructions and intended closing timeline.

Public Land Revitalization

A sponsor proposes adaptive reuse with public space and 15% affordable units, subject to grant funding

  • the letter conditions acceptance on a tenative funding award and environmental review
  • it reserves negotiation exclusivity for 90 days while parties finalize a definitive redevelopment agreement.

Essential Elements to Include in a Professional Letter

A complete letter balances commercial clarity with limited legal commitment language until a binding agreement is drafted.

Parties

Identify buyer, seller, and any nominee or special purpose entity and include contact details and authorized signatory names.

Property Details

Provide street address, parcel ID, and any relevant zoning or easement notes to avoid ambiguity.

Financial Terms

State purchase price, deposit amount, payment structure, and allocation of closing costs.

Contingencies

List inspections, financing, zoning approvals, environmental review, and other conditions precedent.

Timing

Set dates for acceptance, due diligence, closing target, and milestones for approvals.

Binding Scope

Specify whether the letter is nonbinding for negotiations and which clauses (e.g., confidentiality, exclusivity) are intended to be binding.

Required Information Checklist

Full Names: Developer and owner
Property ID: Address and parcel
Offer Amount: Numeric and words
Key Dates: Acceptance and closing
Contingencies: Due diligence items
Signature: Authorized signatory

eSignature Vendor Comparison for Executing Offer Letters

Common vendor options for secure e-signing and document workflows; signNow appears first per platform comparison conventions.

signNow DocuSign Adobe Sign PandaDoc HelloSign
Starting Price $8/user/mo $15/user/mo $14/user/mo $19/user/mo $15/user/mo
Free Trial 7-day free trial Yes Yes Yes Yes
Bulk Send Yes Yes Yes Yes No
Audit Trail Yes Yes Yes Yes Yes
HIPAA Compliant Yes Yes Yes No No
Envelope Cap No cap 100 envelopes/user/year Varies by plan Varies by plan Varies by plan

Frequently Asked Questions and Troubleshooting

Answers to common questions about form content, signing validity, delivery, and follow-up steps for Redevelopment Offer Letters.


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