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Development Management Agreement - 3 Bed Townhouse

This case study demonstrates a results-driven development partnership model in Dubai where Concept Jumeirah manages every stage from acquisition to renovation and sale under a clear, performance-based framework. The agreement ensures transparency and strong alignment between investor objectives and developer rewards.

Project Investment Breakdown

Property Acquisition

Purchase price: AED 2,850,000

Purchase costs (transfer, agency, registration): AED 175,780

Renovation Costs

Refurbishment and fit-out: AED
495,000

Professional development management ensures quality execution

Management Fee

Development management fee (3%): AED 105,623

Total project cost: AED 3,626,403

Sale Performance

The renovated property achieves a post-renovation valuation of AED 4,250,000, generating a gross profit of AED 623,597 after deducting the total project cost of AED 3,626,403.

Investor Returns

The investor funds 100% of the project cost and receives 85% of profits, earning AED 530,057 with an impressive ROI of
approximately 14.6%.

Profit Distribution & Partnership Value

0%
Investor Profit Share

AED 530,057 return on investment

0%
Concept Jumeirah Share

AED 93,540 profit participation

0%
Management Fee

AED 105,623 development fee

Key Takeaway

This Development Management Agreement creates a win-win partnership structure. The investor funds 100% of the AED 3.63M project cost and earns a strong 14.6% ROI with 85% of profits. Concept Jumeirah earns AED 199,163 through management fees and profit sharing. Our success is tied to your returns incentivising us to enhance capital value and control costs at every stage.