Document background
The Forward Purchase Agreement (Real Estate) is a specialized contract used in Swiss real estate transactions where a purchaser commits to buying a property that is yet to be developed or is under construction. This document is particularly relevant in commercial real estate development, investment projects, and large-scale residential developments. It requires careful consideration of Swiss federal and cantonal laws, including mandatory notarization requirements, Lex Koller regulations for foreign investors, and construction law compliance. The agreement typically includes comprehensive provisions for development specifications, quality standards, milestone payments, construction monitoring rights, risk allocation, and completion conditions. It serves as both a purchase agreement and a development agreement, protecting the interests of both the developer/seller and the purchaser throughout the construction period until final completion and transfer of ownership.
