When the owner of a house gets into an agreement with the builder to allow him to dismantle the existing house and re-build it for him on mutually agreed terms and conditions, it is called collaboration.
Evidently, the two parties will enter into such an agreement only if it is beneficial to both of them. The owner gets his old house transformed into a brand new well-built house. Instead of his one or two-storey house he gets four floors plus a parking area and/or a basement.
The builder undertakes to build the house at his cost and in return gets a floor or two in the building based on the mutual understanding between both the parties. The builder sells his share of the property, out of which he takes out the cost of construction and makes his profit.
The owner gets a new house, a bigger house and without having to spend on it or having to build it himself. No wonder a large number of houses are being brought down and rebuilt, so much so that multiple owners of houses are also going in for collaboration.
Collaboration is a win-win proposition for all the stake holders. Let’s see how..
If you are the owner of an old house that needs repairs and renovation, you may not have the means to carry out extensive repairs. You have already done patchwork repairs which have not solved your problem. In such a scenario, collaboration is the best option you have, because: