New Development Verification: Apartments, Cottages, Duplexes
Verification of the developer’s reliability and the legality of construction for safe real estate investment at any stage — from the excavation phase to commissioning.
| 15+ years of specialization in real estate due diligence | 1000+ verified properties and protected investments | 6 out of 10 verified properties contain hidden legal risks |
Why Investing in a New Development Is Not Always Safe
A polished promotional video, a smiling sales manager, and an attractive price are not a guarantee that your money will ultimately result in ownership of an apartment. Here is what often happens in reality:
- Construction is carried out under permitting documentation issued for a lower consequence class facility
- The designated land use does not correspond to the type of construction project
- The development company has open enforcement proceedings, debts, or is undergoing bankruptcy procedures
- The agreement contains unfair terms: penalties for the buyer in case of withdrawal, while the developer bears no liability for delays
- A cottage or duplex is constructed on land that does not legally permit such type of development
- After commissioning, it turns out that part of the property constitutes unauthorized construction
- The investment structure does not comply with legal requirements
What Is Included in the New Development Verification
Four key areas that provide a comprehensive understanding of the property’s reliability and the security of the transaction.
1. Developer Verification and Legal Review of the Agreement
- Verification of the developer’s registration details and corporate structure
- Financial analysis: debts, enforcement proceedings, and bankruptcy risks
- Review of litigation involving the developer and affiliated companies
- Legal analysis of the sale or investment agreement for unfair or high-risk provisions
- Assessment of the balance of liabilities between the buyer and the developer under the agreement
- Verification of the authority of the person signing the agreement on behalf of the developer
- Analysis of the sales structure (Construction Financing Fund, Real Estate Operations Fund, forward contract, preliminary agreement, etc.)
2. Land and Permitting Documentation Verification
- Verification of ownership rights, lease rights, or superficies rights for the construction land plot
- Compliance of the land designation with the type of construction project
- Verification of the existence and validity of the construction declaration or permit
- Analysis of urban planning conditions and restrictions: number of floors, building density, setbacks
- Verification of arrests, mortgages, and encumbrances affecting the land plot
- Verification of protected zones, red lines, and other urban planning restrictions
4. Assessment of Agreement Termination and Refund Conditions
- Analysis of the terms and procedure for contract termination by both the buyer and the seller
- Verification of deadlines and refund mechanisms in the event of termination
- Assessment of penalties and deductions applied upon refund of the investment
- Analysis of the developer’s liability for delays in project completion
- Verification of the existence and enforceability of construction quality guarantees
- Recommendations on protecting the buyer’s interests during contract execution
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What You Will Receive as a Result
A written conclusion answering the key question: can you trust this developer with your money?
01 A detailed report with a comprehensive analysis of property and developer risks
02 Assessment of the developer’s reliability: reputation, litigation, and enforcement history
03 Conclusion regarding the legality of the construction and compliance of permitting documentation
04 Agreement analysis with identification of high-risk clauses and recommendations for amendments
05 Clear recommendation: invest / invest after contract amendments / decline the investment
Why GlobalBud Ukraine — and Not a Sales Department Manager
A sales manager will never disclose the risks hidden behind the transaction. We simultaneously verify construction documentation, developer information, and the agreement itself.
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We Know the Development Market from the Inside Over 15 years, we have verified hundreds of developers. We understand their typical schemes, actual reputation, and hidden contractual pitfalls. |
Lawyers + Engineers Within One Team Where necessary, our engineer can visit the property with you both during construction and after commissioning to prepare a defect inspection report |
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We Analyze the Agreement — and Help Correct It We do not merely identify problematic clauses. We explain which provisions are critical and which may be acceptable if the developer refuses to amend the agreement |
Independent Position — No Conflict of Interest We do not cooperate with developers and receive no commissions from them. Our only client is the buyer. |
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Verification at Any Stage Excavation stage, active construction, or completed property — we adapt the scope and depth of the verification to your current stage |
6 Out of 10 Properties Contain Hidden Risks This is our statistic based on 15 years of practice. Without verification, you simply do not know which category your investment falls into. |
“ A client approached us one day before signing a preliminary agreement for a cottage. The land plot under construction turned out to be mortgaged to a bank, while the developer had 4 open enforcement proceedings. The client refused to sign. Eight months later, the project was frozen. ”
Verify the Developer Before Signing the Agreement
The cost of verification is only a few hours of work by our specialists. The cost of a mistake may be your entire investment and years of litigation.
