Real Estate Joint Ventures: Sharing Pursuit Costs
Real Estate attorneys Anna Ayar and Doug Merkel co-authored an article for The Practical Real Estate Lawyer addressing how parties in a joint venture formed to acquire real estate should approach sharing pursuit costs. The authors caution that unless this point is determined prior to the closing of an acquisition, parties may be reluctant to incur costs and disputes could arise later. Their article begins by outlining what pursuit costs are and which ones are eligible for sharing. They then explain how and when the sharing occurs, along with best practices for documentation.