Real Estate Joint Ventures


This practice note provides an overview of joint ventures in real estate acquisitions or developments. Real estate joint ventures are essentially a way to match capital needed or desired for a real estate acquisition or development by an operating party (referred to herein as the operating member) with a real estate capital provider (referred to herein as the capital member). The real estate capital provider's business is to invest capital in real estate assets or projects but not necessarily to source and operate real estate assets. This note explains the key components of a joint venture agreement, including provisions that address capital contribution obligations, management structures, and defaults and remedies.