Partnering on real estate development

[Rory Korpela]

We build single family homes, either for spec or for specific clients. An opportunity has arisen whereby we could acquire upwards of 52 lots (mix of townhome and SFR) from a local municipality. These lots are in an existing subdivision.

The one hitch is that the infrastructure (water, sewer, curb and gutter, asphalt roads, and electric) are not in.  When the original developer of the neighborhood went under in the mid-2000s, those items stopped at their current location.   They need to be extended, about a 1,000 lineal feet, to open up the single family lots.  The townhome lots will require about another 500 lineal feet of similar infrastructure but will need parking lots instead of roads.  

Have any of you out there partnered with others on the infrastructure for land development?  What kinds of agreements/arrangements have been successful for you?

Thanks, Rory