Pre-Sales and Receivership in Vancouver
Posted February 28th, 2008 in Pre-Sales, Real Estate
Glad rhymes with Sad
Courtesy Chandler.com
Another two condo projects hit the Receivership’s books.
Is this the final act?
According to a CBC report Chandler Development’s H&H project in Yaletown, and the Garden City project in Richmond is now in receivership.
This “comes on the heels of another developer, the Eden Group of Companies, citing financial difficulties for a decision to halt its third development in Vancouver in less than four months.”
Comparable to Sophia, Riverbend, Bambu, OMA??
Courtesy Chandler.com
The Stink
Bowra the receiver, said they have “discovered that 23 condos in the Chandler Development Group projects were allegedly sold to insiders at prices well below market value”.
Good News - No guarantees
It appears (my emphasis), that the other buyers will get their condos for the price paid as there is enough money available to finish the job.
I strongly recommend
If you purchased a unit in one of these projects you should be speaking with your lawyer.
Other Opinions on This Issue
No doubt current and future buyers will be glad to wait for the following oasis of sanity.NDP housing critic Diane Thorne said unless our laws change, presales could be the next leaky condo crisis. “I think it should be a guaranteed price,” she said. “Prices will go up in the beginning, but I think there’s more security for homeowners. They won’t buy something they’ll lose or not be able to afford.” Bob Rennie, who makes his living marketing presales, says reputable developers welcome new laws. “Anything the government wants to put in place to protect the consumer doesn’t worry those top 15, 20 developers,” he said. “If you’re getting creative with your financing, or your profit margin is too low, that developer may worry. But then again we’re protecting the consumer so let’s do it.”Will Wertheim of The Residential Group Realty discusses “Pre-sale Risk” to buyers offering potential solutions for what may be the beginning of a larger issue in the near future. Matthew Collinge of Royal Lepage fame, offers another perspective into the Chandler issue.
Got a Vancouver Real Estate question? I’ll do my best to answer it. Call or send me an email. Larry
If you could help get the message out to (buyers only) of the Sophia Development. It will be greatly appreciated.
People can contact savesophia@gmail.com for information and guidance. Buyers will be meeting together soon.
Donna,
No worries. Good luck.
Garden City Living by Chandler/The Bowra Group has re-released those units that were recovered advertising them as having rock-bottom prices. Is it safe to buy those units that were recovered by the receiver?
Kate:
There are no guarantees. Just ask the first buyers!
Should you decide to put in an offer please, please ensure that you include a condition making your purchase “subject to your lawyer’s approval.”
As for “rock-bottom prices”. Really? The market is on the edge of tilting. You may on the crest of wave about to hit those rocks.
I’m just sayin……..