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Property Sharing Agreement

Property Sharing Agreement Template for Indonesia

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Key Requirements PROMPT example:

Property Sharing Agreement

"I need a Property Sharing Agreement for a three-party arrangement between my family members for our newly acquired beachfront villa in Bali, with specific provisions for rental income sharing and maintenance cost allocation from March 2025."

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Document background
The Property Sharing Agreement serves as a crucial legal instrument in Indonesian property law, designed to formalize arrangements where multiple parties share ownership or usage rights of a property. This document becomes essential in various scenarios, including joint property investments, family property sharing, or corporate property arrangements. It must comply with Indonesian legal requirements, particularly the Basic Agrarian Law (UU No. 5/1960) and related property regulations. The agreement typically includes detailed provisions for ownership structure, financial responsibilities, property management, usage rights, and dispute resolution mechanisms. Special consideration is given to Indonesian foreign ownership restrictions when international parties are involved. The Property Sharing Agreement helps prevent future disputes by clearly documenting all aspects of the sharing arrangement while ensuring legal enforceability within the Indonesian jurisdiction.
Suggested Sections

1. Parties: Identification of all parties involved in the property sharing arrangement, including full legal names, addresses, and any registration numbers for companies

2. Background: Context of the agreement, including property details and the purpose of the sharing arrangement

3. Definitions: Detailed definitions of key terms used throughout the agreement

4. Property Details: Comprehensive description of the shared property, including legal title details, certificates, and location

5. Ownership Structure: Clear specification of ownership shares and rights of each party

6. Financial Obligations: Distribution of costs, expenses, and financial responsibilities among parties

7. Management and Decision Making: Procedures for property management and how decisions will be made between parties

8. Usage Rights: Rules and schedule for property usage, access rights, and restrictions

9. Maintenance and Repairs: Responsibilities and procedures for property maintenance and repairs

10. Insurance: Requirements for property insurance and responsibility for premiums

11. Transfer of Interest: Rules regarding selling, transferring, or encumbering ownership shares

12. Dispute Resolution: Procedures for resolving conflicts between parties

13. Term and Termination: Duration of the agreement and conditions for termination

14. Governing Law: Specification of Indonesian law as governing law and relevant jurisdictions

15. Execution: Signature blocks and execution requirements

Optional Sections

1. Rental Income: Provisions for sharing rental income if the property is to be leased to third parties

2. Development Rights: Terms regarding property development or improvement rights, used when future development is contemplated

3. Mortality Provisions: Succession arrangements in case of death of any party, particularly relevant for individual owners

4. Foreign Ownership Compliance: Special provisions ensuring compliance with Indonesian foreign ownership restrictions, needed when any party is non-Indonesian

5. Property Manager: Terms for appointing and managing a property manager, relevant for larger or more complex properties

6. Right of First Refusal: Provisions giving existing parties priority rights to purchase others' shares

7. Special Use Provisions: Specific terms for special property features like swimming pools, shared facilities, or commercial areas

Suggested Schedules

1. Property Title Documents: Copies of property certificates, land titles, and registration documents

2. Floor Plans and Property Maps: Detailed plans showing property layout and boundaries

3. Ownership Schedule: Detailed breakdown of ownership percentages and specific areas assigned to each party

4. Cost Allocation Schedule: Detailed breakdown of how various costs and expenses are to be shared

5. Usage Schedule: Detailed timetable or rules for shared usage of the property

6. Maintenance Schedule: Regular maintenance requirements and responsibilities

7. Property Inventory: List of shared furniture, equipment, or other assets included in the arrangement

8. Insurance Certificates: Copies of current insurance policies and certificates

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok成人版 | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

alex.den.21@genieai.co
Relevant legal definitions


















































Clauses







































Relevant Industries

Real Estate

Property Development

Hospitality

Commercial Property

Residential Property

Tourism

Retail

Mixed-Use Development

Property Investment

Construction

Relevant Teams

Legal

Real Estate

Property Management

Asset Management

Facilities Management

Compliance

Investment

Operations

Business Development

Risk Management

Relevant Roles

Property Manager

Real Estate Developer

Legal Counsel

Property Investment Manager

Asset Manager

Facilities Manager

Real Estate Agent

Property Development Director

Compliance Officer

Corporate Lawyer

Real Estate Investment Analyst

Property Operations Manager

Joint Venture Manager

Land Acquisition Manager

Industries







Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks, 聽Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination, 聽Severance Pay, Governing Law, Entire Agreemen

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