Namaste to all
HOW does downpayment typically work ..? is there a trap in this ? what kind of investigation to do ?
Here is situation . I have a friend who is lab technician and runs path lab. His building is under redevelopment and all tenants ( most are residential ) have signed ok agreement. Now my friend wants to expand lab under new construction of 15 story tower . Landlord says he will give concession rate now and charge FULL if he comes to ask for more area now. SO to LOCK rate to low rate my friend agree to give landlord token amount now and then 50% when he gets approval from housing board to break house and 50% at completion.
The problem is some tenant or other commerical property owner will put up case against landlord for whatever reason , we dont know and stop work. This happens now and often in redevelopment matter , then HOW we can recover the downpayment. That money is lost.
so ..
HOW does downpayment typically work . should he give only 10% at the time of housing board approval .? is there a trap in this ? what kind of investigation to do ?
Best
