The “development” in commercial real estate business deals with land ownership and assembly, land transfer, and taxes and fees. The key commercial terms in development are price and payment structures. The evidences of ownership of any property is normally found in the public records in all the provinces across Canada. The developers, for their real estate business, can acquire any property except the expropriations meant for the public works which have been identified and undertaken by the government agencies or departments. The developers at any cost can never compel or try to acquire these lands by any means for the purposes of their private business development projects. Consult with Forum commercial space for lease for appropriate properties for the purpose of your private real estate business.
The developers who do intend to immediately purchase the land or properties, they have different options to buy the rights of first refusal or same kind of other arrangements with the property owners to ensure and get future rights to buy land or properties. In Canada, all provinces have this facility except Quebec, which ensures the developers to register the lands in the registry offices in order to protect their interests against the third parties. However, such registration towards fulfilling the interests of the developers in the registry offices may result with enhanced taxes for land transfer.
Besides the usual taxes and fees in normal land and property leasing and transfer by the developers, the above discussed facilities of registering the land for protecting the interests of the developers against the interests of third parties, normally results with numerous taxes and fees with significantly enhanced amounts. The government authorities levy these enhanced taxes and fees in terms of application fees, dedication of cash or land in lieu for the purposes of public interest, acreage assessments, and taxes for infrastructure improvement constructions. In some cases, a developer may also be asked for massive construction of infrastructures for improvement as the cost of his fees and taxes.
In this component of development, the key commercial term “price” is referred to the existing market value of the development land. The term “payment structure” refers to the arrangement of negotiations of vendor financing where the payment or the cost of the of the property is structured as a loan to the vendor. In some cases, the developers negotiate joint arrangements with the vendor where all the parties act for the common profit.