A Deed of Mutual Covenant is a contract usually entered into between the developer, the first owner of a unit in the building and the manager of the building. It sets out the rights and obligations of owners of units in the building. It also provides for other matters pertinent to the management of the building, for example, prohibiting certain types of use in the building, use of common areas, and the appointment of the management company.
An entrepreneur who has an interest in a property, initiates its development and ensures that this is carried out (for occupation, investment or dealing) and from the outset accepts the ultimate responsibility for providing or procuring the funds needed to finance the whole project.