Option agreement
An option agreement gives a buyer the exclusive right, but not the obligation, to purchase land at agreed terms within a set period, in exchange for an option payment to the owner. Data center developers use options to control land while they study power and entitlements. Key terms include the option period, extension payments, whether payments apply to the price, and access rights for diligence.
The full guide · Decisions and trade-offsBuy, Option or Lease: How Developers Secure Data Center LandHow a data center developer chooses between buying land, taking an option or signing a ground lease, with a side-by-side comparison and the key terms.Where Option agreement comes up
- Feasibility, diligence & dealsSelling or Leasing Land to a Data Center Developer
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