An assignment of construction contract is a contract between the lender and the borrower towards construction of a project. The lender agrees to pay a certain sum of money and the borrower promises to transfer the property under the name of the lender after taking necessary payments for the construction.
Sample Assignment of construction contract:
Terms of the Assignment of Construction Contract:
This Assignment of Construction Contract is effective from 10th Jan 2010 between the Indians Housing Finance Agency and HUDA developers. Herein the Indiana Housing Finance Agency will be referred to as the public corporate body and the HUDA developers would be referred to as the borrower.
- The Indiana Housing Finance Agency has agreed to make advances to the borrower not exceeding the principal amount of $10,000, referred to as the loan in accordance with the terms thereof to finance construction according to the specifications mentioned in the design document.
- The construction is to be made by the borrower in the location 7100 Athens Place, Washington DC, 20521-7100.
- To secure the payment to the Indiana Housing Finance Agency, the borrower has delivered a program assignment of rents and leases with appropriate dates and amounts.
Approval of the Assignment of Construction Contract by both the parties:
In consideration of the foregoing, the borrower grants, assigns, transfers and sets over unto the public corporate body, the Indiana Housing Finance Agency, title and interest into the construction project under the date 10th Jan 2010 between the borrower and the public corporate body.
Signature of the Public Corporate body: The Indiana Housing Finance Agency
Date: 09th Jan 2010
Signature of the borrower: HUDA developers
Date: 10th Jan 2010