Document background
The Letter of Intent For Real Estate Development is a crucial preliminary document used in the Indian real estate sector when parties wish to formalize their interest in a development project while maintaining flexibility for further negotiations. It bridges the gap between initial discussions and final binding agreements, typically used when a developer or investor has serious interest in a property development opportunity but requires time for due diligence and detailed terms negotiation. The document outlines key commercial terms, project parameters, and timelines while clearly stating which provisions are binding and non-binding. In the Indian context, it must align with various regulations including RERA 2016, state-specific real estate laws, and local development authority requirements. This document type is particularly important in complex development projects where multiple stakeholders are involved and significant due diligence is required before proceeding to definitive agreements.
