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Entitlement contingencies

8/25/2021

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The below article discusses the proposed development of a 90,000 square foot industrial/logistics building. I’m posting this in response to some questions I received about developers asking for entitlement contingencies. The investor I was working with thought that it was odd that a developer would ask for this and was going to use it as part of their reasoning to not sign a purchase agreement. 

Two points:

  1. This kind of contingency is common in land development
  2. This also demonstrates the value of entitlements in the development process
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