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Aprtment In Leeds On Hold

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I purchased an apartment in Lumiere Leeds due to complete in 2011. I got a letter to say the project is to be put on hold until the market improves.

I have played 5% of the purchase price on the apartment.

On the contract it does not specify a date of completing just says we will notify you 3 months before completion.

Looking for advice on what I should do next. :(:(

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I purchased an apartment in Lumiere Leeds due to complete in 2011. I got a letter to say the project is to be put on hold until the market improves.

I have played 5% of the purchase price on the apartment.

On the contract it does not specify a date of completing just says we will notify you 3 months before completion.

Looking for advice on what I should do next. :(:(

Your Solicitors should have insisted on a longstop completion date to avoid this eventuality.The contract may however be void for perpetuity.There is no certainty that the apartments will ever be built and so you could be left in limbo indefinitely and therefor the contract may be void.Obviously there may be terms in the contract to get round the perpetuity rule which need looking at.

You should consult your solicitor immediately.

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I asked can I pull out of the contract and they said no, becuase they did not specify a date on the contract when the building would be finished. I just hope this dosn't go on for months even a year.

I'm not a lawyer, so take this with a pinch of salt, but that doesn't sound right, otherwise you could promise people anything and just not "complete" the building etc. Get back to your solicitor and as about the issue raised by the first respondent. Don't ask the developers...they will just plain lie.

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Hi

I contacted my solicitor they siad they are as much in the dark as I am and don't know when they will get an answer from the developer.

I contacted the develpoer they said they don't know when they will be back building but said it will be built.

I asked can I pull out of the contract and they said no, becuase they did not specify a date on the contract when the building would be finished. I just hope this dosn't go on for months even a year.

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I'm not a lawyer, so take this with a pinch of salt, but that doesn't sound right, otherwise you could promise people anything and just not "complete" the building etc. Get back to your solicitor and as about the issue raised by the first respondent. Don't ask the developers...they will just plain lie.

I am giving the contracts to another solicitor tomorrow. So hopefully they will give me some advice.

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I am giving the contracts to another solicitor tomorrow. So hopefully they will give me some advice.

I think it highly unlikely you get anywhere - the deposit is like an option premium. You are speculating on the future value of a project, and hence you are taking an investment risk. You presumably expected to benefit from an early stage commitment, otherwise you would have bought an existing property. Now conditions have changed, the project you invested in has poor prospects, you expect to get your money back. You can't really expect to have upside potential on an investment without incurring some risk.

This is the lesson the market needs to learn the hard way. Speculation carries risk. Off-plan investing is investing in a speculative project. Speculation that once it is built it can be sold for more than it cost.

I don't mean to be harsh, and you might not have thought of it as gambling or speculation, you might still deny it, but that is exactly what you were doing when you put down the deposit.

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I know someone who bought an apartment on the now shelved GreenBank development in Leeds - he received his 5% deposit back from George Wimpey.

Obviously varies from development to development, as he didn't have to push them at all, in order to receive this...

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I purchased an apartment in Lumiere Leeds due to complete in 2011. I got a letter to say the project is to be put on hold until the market improves.

I have played 5% of the purchase price on the apartment.

On the contract it does not specify a date of completing just says we will notify you 3 months before completion.

Looking for advice on what I should do next. :(:(

Focus, if you have mention of the proposed completion date in your contract ie 2011 then the key factor will be the length of time after that they intend to have your apartment ready.if no mention, it is all down to how long a 'reasonable person' would expect it to take to get to completion after seeing all the sales guff etc.The first thing you need is an estimated completion date in writing,if the wont give one they would be on very thin ice in court.

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I know someone who bought an apartment on the now shelved GreenBank development in Leeds - he received his 5% deposit back from George Wimpey.

Obviously varies from development to development, as he didn't have to push them at all, in order to receive this...

Thanks all for your replies.

I new it was a gamble when I purchased as markets can go either way. My problem is they gave us a date 2010/2011 for completion on the brochures not on the contract.

The development is now postponed and work will not start again until the second quarter 2009, a delay of 11months. There is no guarantee this will happen. With the current climate in the property world I think banks won't give funding for another 2 years at least. The building is only 70% sold I have no proof of this but this what the developer says.The project is costing £220mil the development is taking nearly a year more to complete and rising cost in the building industry can the developer sustain this.

I have reson to be worried. I have been told there is no way out of the contract and no refund of my deposit.

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Although I can see your point Focus in trying to wriggle out, you have to stand back and take a look. The construction company will not be in breach of any contract (Verbal or otherwise) until 2011 so I would have a good read through and try to find a different way to back out of a contract which you have signed up to.

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Just been looking to try and find out who the developer is; I was wondering how likely they are to be good for giving the 5% back. I've never heard of them, so I expect the answer is no. I expect the developer also was hoping to sell the project on to someone else; a small company could never hope to fund or raise funding for a project of that magnitude, and wouldn't even have the technical expertise for that kind of project.

I note from http://www.propertybrief.com/viewfloor_lum...or=24&dev=1 that in fact the greatest majority of the properties have been reserved, and if they can't build it in those circumstances now then they perhaps will never be able to.

I think it is a certainty that this thing can never be built. Nobody at all is going to buy super-cool apartments that blend the best in contemporary designer living with ingenious space-saving features and provide additional storage space within the development which can be rented if required.

"The result has been the acceptance of micro-living as a truly viable and sought-after option. It has allowed 18ft by 13ft Smart Pads to be created which use the very best in open plan design, as a lounge, kitchen and bedroom blend seamlessly into one, with a separate bathroom."

Reading this, I honestly think that if you only lose the 5% as seems likely, this may be lucky. You could have lost so much more if the damm things had been built.

Edited by mikeymadman

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"The result has been the acceptance of micro-living as a truly viable and sought-after option."

When the super wealthy start adopting micro-living, I'll believe it's more than just a way of packing more mortgage slaves into a smaller area.

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  • 399 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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