Buyers of new flats told they will have to wait another year to move in...

tomstickland

Urban Splash, developers of a Tobacco Factory flat conversion.
I have a friend in a similar situation on a much smaller development (nothing to do with Urban Splash though). I told him that it might be a blessing in disguise, as he is under no obligation to buy if the builders don't complete by a certain date.

http://www.thisisbristol.co.uk/homepage/Bristol-flats-delay-affects-400-depositors/article-736311-detail/article.html

kennyboy66_2

I presume your friend loses their deposit in such circumstances - still might be a result though.

Urban Splash generally are a decent developer but do seem to have over -stretched themselves.

tomstickland

He's of the opinion that it might be a better outcome in the long run.

scousethife

Does US get some public funding?

I was under the impression they did, but cant for the life of me think where I heard it.

Cannon_Fodder

re public funding - looks like it, at least here - http://www.regen.net/news/ByDiscipline/Business/883160/Park-Hill-hits-funding-problems-HCA-steps/

Instead of letting the development quietly stagnate until the market turns around, seems the Homes & Communities Agency (HCA) have the bright idea of stumping up their cash early, because US cannot...

erm...shouldn't that tell them something...

Like, wait until all the empty properties everywhere else have sold..?

They have already spent millions "during" the crash...genius.

edit; http://www.urbansplash.co.uk/about-us/our-story/stakeholders

a list of organisations who didn't lose enough money in Iceland's banks, so have been funding a financially unsound building developer...?

Trollfever

From Companies House:

02827908URBAN SPLASH LIMITED03167078URBAN SPLASH BUILD LIMITED06613354THE URBAN SPLASH CHARITABLE TRUST LTD05654480URBAN SPLASH DIRECTOR LIMITED05715263URBAN SPLASH EIGHT LIMITED05716272URBAN SPLASH FIVE LIMITED03542905URBAN SPLASH FORT DUNLOP LIMITED03141013URBAN SPLASH GROUP LIMITED06606884URBAN SPLASH HOLDINGS LIMITED03311962URBAN SPLASH HOTELS LIMITED05716202URBAN SPLASH LAKES LIMITED06030748URBAN SPLASH MIDLANDS LIMITED05715157URBAN SPLASH NINE LIMITED05970356URBAN SPLASH (PARK HILL) LIMITED06476278URBAN SPLASH RESIDENTIAL MANAGEMENT LIMITED05718661URBAN SPLASH (SAXTON) LIMITED05716201URBAN SPLASH SEVEN LIMITED04160106URBAN SPLASH (SOUTH WEST) LIMITED05749471URBAN SPLASH (SOUTH WEST) BIRNBECK LIMITED06061186URBAN SPLASH SOUTH WEST (BRIDEWELL) LIMITED05749525URBAN SPLASH SOUTH WEST (LAKESHORE) LIMITED05749470URBAN SPLASH SOUTH WEST (MILLS BAKERY) LIMITED05749473URBAN SPLASH SOUTH WEST (MORELANDS) LIMITED05749472URBAN SPLASH SOUTH WEST (WATCHET) LIMITED06108834URBAN SPLASH SOUTH WEST (WORK) LIMITED04910714URBAN SPLASH SPV1 LIMITED04909351URBAN SPLASH SPV3 LIMITED04913093URBAN SPLASH SPV2 LIMITED05716197URBAN SPLASH THREE LIMITED06031168URBAN SPLASH WALSALL LIMITED02076610URBAN SPLASH WORK LIMITED03922882URBAN SPLASH YORKSHIRE LIMITED

tomstickland

What about Urban Splosh?

1984ReturnsForReal_2

Trollfever wrote: »

From Companies House:

02827908URBAN SPLASH LIMITED03167078URBAN SPLASH BUILD LIMITED06613354THE URBAN SPLASH CHARITABLE TRUST LTD05654480URBAN SPLASH DIRECTOR LIMITED05715263URBAN SPLASH EIGHT LIMITED05716272URBAN SPLASH FIVE LIMITED03542905URBAN SPLASH FORT DUNLOP LIMITED03141013URBAN SPLASH GROUP LIMITED06606884URBAN SPLASH HOLDINGS LIMITED03311962URBAN SPLASH HOTELS LIMITED05716202URBAN SPLASH LAKES LIMITED06030748URBAN SPLASH MIDLANDS LIMITED05715157URBAN SPLASH NINE LIMITED05970356URBAN SPLASH (PARK HILL) LIMITED06476278URBAN SPLASH RESIDENTIAL MANAGEMENT LIMITED05718661URBAN SPLASH (SAXTON) LIMITED05716201URBAN SPLASH SEVEN LIMITED04160106URBAN SPLASH (SOUTH WEST) LIMITED05749471URBAN SPLASH (SOUTH WEST) BIRNBECK LIMITED06061186URBAN SPLASH SOUTH WEST (BRIDEWELL) LIMITED05749525URBAN SPLASH SOUTH WEST (LAKESHORE) LIMITED05749470URBAN SPLASH SOUTH WEST (MILLS BAKERY) LIMITED05749473URBAN SPLASH SOUTH WEST (MORELANDS) LIMITED05749472URBAN SPLASH SOUTH WEST (WATCHET) LIMITED06108834URBAN SPLASH SOUTH WEST (WORK) LIMITED04910714URBAN SPLASH SPV1 LIMITED04909351URBAN SPLASH SPV3 LIMITED04913093URBAN SPLASH SPV2 LIMITED05716197URBAN SPLASH THREE LIMITED06031168URBAN SPLASH WALSALL LIMITED02076610URBAN SPLASH WORK LIMITED03922882URBAN SPLASH YORKSHIRE LIMITED

Your not trying to suggest they have been trying to avoid tax???

dopester

tomstickland wrote: »

Urban Splash, developers of a Tobacco Factory flat conversion.
I have a friend in a similar situation on a much smaller development (nothing to do with Urban Splash though). I told him that it might be a blessing in disguise, as he is under no obligation to buy if the builders don't complete by a certain date.

http://www.thisisbristol.co.uk/homepage/Bristol-flats-delay-affects-400-depositors/article-736311-detail/article.html

I hope they are locked-in-hard to the contract to be honest. Hard going for the honest locals who did reach too high in paying or borrowing vast sums for an apartment, but having to cope with unexpected delays should be, in my non-legal view, part of the risk for off-plan property investors if they are getting a discount on what they believe it will be worth after it has been finished.

Look at that article.

Promotional literature, which prompted long queues of buyers to wait overnight outside the marketing suite in Bristol city centre in late 2007, claimed a target opening date of mid-2009.

Flats were priced at up to £225,000 and the development was due to feature eco-friendly geothermal heating systems, landscaped gardens and even a new electric car club. But Urban Splash is now telling customers they will not be able to move in until 2010.

And one buyer told the Post he had been told he would have to wait until 2011 – more than three years since he put down a deposit.

“A utopia for workers and bosses alike”
September 30, 2007 · 1 Comment








Fashionable Manchester-based property developers Urban Splash have recently pitched up in Bristol where they’re trying to bring their marketing-heavy gentrification plans for loft living yuppies to Hartcliffe, a working class area to the south of the city.

Their first project is the conversion of a deserted 1970s Imperial Tobacco factory on the fringes of the city into trendy loft apartments with various ‘green’ features.

Despite having built nothing as yet, Urban Splash have, however, already set about aggressively marketing and selling the apartments at prices way beyond anything locals can afford.

This expensive marketing effort is presumably for the benefit of investors rather than locals as Urban Splash’s sales pitch lacks any basic knowledge about Bristol, to say the least.

They confidently claim, for instance, that “Bristol is a city bubbling with . . . Banksy balloon festivals”! Which is partially true because Banksy is a native of Bristol and the city does have a balloon fiesta but unfortunately the two have very little to do with each other.

They also have plenty to say about the old Imperial Tobacco factory site they are converting. “It had a very 20th century use, too. A proper headquarters, brimming with confidence,” they say. “A utopia for workers and bosses alike,” they gush.

more..

dopester

I'm not sure what happens if the property isn't completed in good time, and that may depend on what is in a particular contract - but these off-plan investors (not directed towards those few who bought for a home) - really are something else.

* Contracts, conversations and direct correspondence with BH suggest investors not completing will lose their deposits and risk being sued for losses and costs incurred. There seems to be no clear case law to suggest whether in a falling market this would be deemed reasonable/enforceable by the courts. It’s clear that the majority of the investors who attended yesterday’s meeting risk bankruptcy if sued in this way. However, there would clearly be no benefit for any developer to do this as 1) there would be no funds left to distribute to the creditor after bankruptcy proceedings and costs incurred, 2) the developer wouldn’t be able to sell the property to another buyer whilst these cases are ongoing, 3) even if successful, they will be left with a large number of unsold properties to try and resell in the current negative environment.

* Another common theme is that people were not made aware, either by the developer-recommended lawyers or those who used independent lawyers, that they were liable for more than just the deposit paid but could be sued for for potentially the total costs of properties. Is this misrepresentation and therefore a basis to sue/nullify contracts? Are the contracts deemed legally reasonable?

* Many investors bought to live in. If investors can find a way to own these properties then they will complete, but to complete on a property that has devalued by a third or more at the full contracted price of 2 years ago is financial insanity. The housing market is not going to recover for many years and individual investors would be left with a large financial burden instantly putting themselves in a position of substantial negative equity.

* What is clear from yesterday’s meeting is that all the attending investors’ developers (majority BH), if they are responding at all, are taking a hard line and the non-sensical view (stating they have their own valuations supporting this view) that prices from 2 years ago are still realistic and therefore will not negotiate on price. A number of investors have had independent valuations conducted for mortgage purposes demonstrating what we all know to be true... that these properties have dramatically fallen in value.

http://www.moneysupermarket.com/community/forums/t/property-bought-offplan-for-09-completion-will-i-23656.aspx?PageIndex=6

No "clear case law", which differs from some stuff I've read on the forums, suggesting buyers will just be let off.

As for the second highlighted bit, a family home in many instances I suspect. A developer could just slash the price of their repossessed homes to a level of real market interest - not try and hold on for what these people obviously believe their main home is worth. Sell it to people like me, who only ever wanted one home to live in.

I'm reading and hearing stories of this over and over. People selling property, second homes, BTLs, or more like trying to, from England, Ireland and all over the world they are invested, to call in cash to try and cover and secure their own main positions.

The third highlighted bit... ahhh well there it is. Yet developers carried out their side of the deal for years on the up and up and up and up. I've never heard of any developer trying to wangle 15% more after property built because the property value had gone up by that much in value. Offplan investors were happy to accept the "profits" when values had gone up.

:rotfl:

FraudBuster

Caveat Emptor.