1) permission for construction of residential complex must have been granted in name of the firm
2) you are at Liberty to add new partners in the firm and take payment in name of firm
Construction by partnership firm on plot acquired on partners name
Hello We are parnership firm established in 2011 Earlier, in 2007 we all partners acquired agricultural land in our individual name. In 2014, we obtained required permissions along with NA to construct a residential complex. Now we intend to construct residential building. We also want to include 3 working partners in our existing partnership firm. So can we include new partners to the firm and construct the building and take payment of flats sold in the name of firm. As most of our flats will be sold to buyers awailing home loans from various banks. We are concerned about the search and title reports.
Asked 7 years ago in Property Law
Religion: Hindu
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6 Answers
Sir, As the plot was acquired in individual partners name, NA and Town Planning authorities have also given consent on same names, So please give appropiate remedy.
Asked 7 years ago
1) since permission has been granted for construction in individual names saleof flats has to be done in individual partners name
1. You can certainly induct fresh partners in to your partnership firm.
2. The land owners (most of whom are the partners of the firm) should have entered in to an agreement with the firm about the payment they should get or the area of constructed flats they will be allotted by the developer being the said partnership firm.
3. You can not make any construction up n agricultural land for which you shall have to convert the said agricultural land in to Bastu land without which you shall not get the sanction for constructing the building upon the said agricultural land.
4. Unless and until you convert the agricultural land in to Bastu land, neither the construction plan will be sanctioned by the local Panchayat/Municipality nor any bank will provide house building loan to any of your prospective buyer because of the illegality of unauthorised construction upon an agricultural land.
1. Town Planning authority has given consent for doing what on the said agricultural land?
2. File an application for changing the character of the land from being agricultural to Bastu.
3. After the said land is converted to Bastu land, your construction plan will be sanctioned and your prospective buyers will get house building loans from the Banks.
The agricultural landed properties belong to individuals and not the firm.
Therefore the partnership firm has nothing to do with the residential complexes on the properties lying in the individual names.
If at all the properties are desired to be owned by the said partnership firm then all the property owners have to transfer the properties to the partnership firm and it can be considered as their capital investments.
To add any new partners you may have to look into the conditions of the partnership firm or the bye laws or the article of association.
The firm upon a resolution passed to this effect can acquire the properties and include new partners to the firm.
As the plot was acquired in individual partners name, NA and Town Planning authorities have also given consent on same names, So please give appropiate remedy.
The properties in the individual names have to be transferred to the partnership firm's name by all the owners, then only the firm can be a single owner to the properties.