There is no need to give any power of attorney sale deed in favour of the builder for getting the property constructed. The sale deed would only be executed once the construction is complete in all respects and subject to specifications. Just  a validly executed redevelopment agreement between the owner and the builder would suffice.

Further, you should get the due diligence of the said agreement from your own lawyer, in order to ascertain that your interests are protected.

Dear querist, 

Just by reading the clause(if it is in the agreement) that "owner will hand over vacant possession of the property which shall be irrevocable". I would like to tell you that it means you are providing the physical possession to the builder which will be irrevocable. pls note if its is on the sale deed, you have transferred the property to him. The whole document will be against you. kindly remove that clause and moreover, the whole document has to be seen and drafted carefully seeing the malice by the builders nowadays. 

You can contact me for document proof reading and consultation. if any

Regards, 

YUGANSHU SHARMA 

ADVOCATE 

DELHI HIGH COURT

1. The builders get the agreement drafted to suit their interests.

2. Owners should exhibit due diligence and refuse to execute agreements containing such sweeping clauses which have the effect of sounding a death kneel to their possessory rights. Possession has to be handed over for sure for redevelopment to begin but it should not be irrevocable in favour of builder.

3. Do not execute GPA in favour of builder, much less sale deed. It will wipe out your title.

MOUC with only right to construction and division of flats within this period will execute. And if builder builder failed to complete project within given time, owner is entitle to recover interest @ xy.

Through GPA builder shall be authorize to execute agreement to sell of his share of flats but no sale deed will execute till owner receives his portion of flats/profit. Violation of this clause, agreement will expire at builder cost and no right to recover from owner. 

development agreement should be entered into wherein you give right to builder to develop the property 

2) there should be clause that builder would give bank guarantee that    construction shall be completed within stipulated period and in case of breach of contract you can encash the BG 

3) since builders are financing the project they insist that possession be handed over to builder 

4) you should insist that existing construction not be demolished until builder obtains sanctioned plans from muncipal corporation 

 - A Collaboration Agreement is an arrangement between an owner of the land and a builder where the land owner contributes the land and the developer undertakes the responsibility of obtaining approvals, property development, launching and marketing the project with the help of his financial resources. 

- As per law, the buillder is not the transferee or buyer of the flats as per the Transfer of Property Act, 1882 under the Collaboration Agreement.

- The ownership lies with the owner of the land, but the landowner grants the builder along with development rights, a license to enter the land for the purpose of development.

- The license/authority to enter the land is typically given by way of a Power of attorney issued in favor of the Builder , and this General power of attorney should be registered with the Registrar in order to be legally binding on both parties.

- Hence , the transfer of the land on which construction will be carried by the Builder , is mandatory. 

- On compeletion of the consturction by the builder , the occupancy right is granted by the competent authority to the owner, and the owner will himself execute the sale deed in favour of the buyers.

- Further, in case of breach of the terms of the Collaboration agreement, the land owner will have the right to revoke the power of attorney.

- Hence, there is no problem, if it is mention that the Owner will hand over vacant physical possession of the property which shall irrevocably vest with the Builder.

- You should also mention in the said agreement that this Collaboration agreement is limited to construction and for taking approval by the competent authority on behalf of the owner , and not for transfer any portion of the land,without taking consent of the land owner. 

See only rights of construction should be given complete possession rights should not be given.

See in the agreement it can be mentioned that the builder is handing over the possession only for construction.

Further for sale GPA can be executed in favour of builder and you can be confirming party.

In redevelopment agreement owner has to handover clear possession to builder. Unless and until possession is not handover to builder how he will built a building on that empty space.

In return owner has to get in writing from builder that what and how much space he is going to return and within how much lock in period of time.

Builder wants complete possession of land for uninterrupted construction process of building. 

Owner can have right to transfer to property and legal ownership of property.

The completion period of Redevelopment shall be of not more than two years and in special cases not more than 3 years in case of any exigencies.

The Developer should give Bank Guarantee of 20% price of Redevelopment Project.

The Agreement should be registered under Registration Act 1908

The Development rights given to the Developer will be non-transferable. 

n a Joint Development Agreement (JDA), a landowner contributes his land for the construction of a real estate project and the developer undertakes the responsibility for the development of property, obtaining approvals, launching, and marketing the project. Here are some of the essentials of a Joint Development Agreement.

JDA is one of the most common aspects in the real estate sector which bounds the landowner and the developer in an agreement for the construction of new projects. In return for the land provided by the former, the latter agrees to provides to some provisions.