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Joint Development Agreements (JDAs) are increasingly relevant in the context of affordable housing, driven by government initiatives and tax benefits for builders and consumers. This agreement involves a landowner and a builder, where the owner provides land for construction in exchange for constructed flats, resembling a barter system. The focus on JDAs is highlighted by recent tax amendments, which affect their taxation. Understanding JDAs includes clarifying their definition, the parties involved, and their benefits. The main incentive for affordable housing lies in the taxation structure introduced through JDAs, which aligns with current interests in sustainable housing solutions.
