A standard document for use where a seller is selling a property to a buyer who intends to carry out a residential development on the property and the seller wants to share in the buyer's profit from disposals of completed residential units. The buyer must make an overage payment to the seller on each occasion that a completed residential unit is sold at arm's length in the open market.

Provision is made for a restriction to be entered against the buyer's title and for the creation of a chain of deeds of covenant with the buyer's successors in title.

The document is drafted as a standalone overage deed to be entered into on completion of a sale of a property. The operative provisions may also be adapted for use in a schedule to a transfer or a contract for sale.

NOTE: Overage provisions must always be drafted and adapted to fit the particular circumstances and terms of the transaction. The standard document should be amended and modified accordingly. This standard document and its integrated drafting notes highlight issues that commonly arise and should be taken into consideration. However, it is likely that there will also be other factors arising out of the particular transaction that must be taken into account.