Freshstart Living : (Text removed by MSE Forum Team) : Trafford Press Manchester

allyhall

hollydays wrote: »

I see this from the sun newspaper



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SALFORD ADELPHI WHARF FLATS BEING SOLD WITH NO PLANNING PERMISSION

Developer Knight Knox and associated agents are selling flats at the proposed Adelphi Wharf blocks before any planning permission or Section 106 agreements have been put in place.

The flats on Adelphi Street, on the site of the previously ill-fated Foundry Wharf development, are being touted as "high-end riverside apartments in Manchester", while the Knight Knox International website is claiming that one third of the flats in Phase One are already sold.
Following the Salford Star article last November about the `X1 Media City, Manchester' development that was being flogged with no planning permission (see here), the practice seems to be catching on, as Knight Knox is now also pushing flats at its proposed Adelphi Wharf blocks with no planning permission.

Salford Star readers have been in touch, stating they have been `spammed' with emails by the `Buy Association' promising "high-end riverside apartments in Manchester" comprised of "580 stunning apartments, set against the River Irwell's picturesque waterfront", with `assured completion due August 2016'.

Meanwhile, the Knight Knox website is claiming that 30% of the flats on sale in its Phase One are already `sold out'. However, the proposed development hasn't even been passed by Salford City Council's planning panel yet – which has the power to reject the application.

A video on the Adelphi Wharf page of the Knight Knox International website states that its `buy to let properties' are `designed to appeal to the investor market', adding that `the potential to earn a high return on a property is greater now than at the height of the boom'. And never mind affordable housing, the video explains that its blocks are `specifically designed to attract the best paying tenants'...

With Phase One already `30% sold out' and the `best paying tenants' being lined up to fill the flats, Knight Knox should find it difficult to argue that the scheme won't be `viable' if it has to pay fees when its planning application does eventually come before Salford Council's planning panel.

The last twelve months have seen a procession of developers pleading poverty; that their schemes for thousands of apartments wouldn't be `viable' if they had to pay Section 106 planning obligations for things like open space, infrastructure and construction training; or if they had to provide affordable housing in line with Council policy.

The Council's Assistant Mayor for Planning recently called the practice "a public scandal of immense proportions", while rightly blaming the ConDem Government's National Planning Policy Framework (NPPF) "that has seen Eric Pickles rig the planning regulations in order to deprive, to rob, local communities of its essential investment in order to line the pockets of landowners and developers" (see here).

The proposed Adelphi Wharf development is on the same site as the ill fated Foundry Wharf scheme for a 27 storey apartment tower which imploded in 2010, leaving the site derelict. The planning permission for that scheme was granted in 2007, under the last Labour Government, without any need to provide affordable housing. The only Section 106 agreement appeared to be for a `riverside walkway' enhancing the value of the developer's own project.

Meanwhile, the `X1 Media City, Manchester' development still appears to have no planning permission, or Section 106 agreement or affordable housing in place, despite continuing to market its flats.

reported: Salford Star

montgomeryhouse

Selling Investment properties you do not own or have planning permission for is commonplace these days

whitehouseruncorn(dot)com

.

allyhall

In Daily Mirror Today - 14 May 2015 - Penman Investigates - Page 29


Developers behind a new apartment block called The White House say they can guarantee an annual rental return to investors of 10%.

They describe the project in Runcorn, Cheshire, as “high yielding, reliable and secure”. But there’s a snag – the flats are so new they don’t exist.

Halton Borough Council has rejected plans to convert an empty office block into the flats, citing “overwhelming opposition”.

There’s been an unhappy history to this saga. A previous company behind this scheme was Fresh Start Living, which I exposed in 2013. It was run by Charles Cunningham, an Eton contemporary of Prince William, and promised 9% returns, insisting that it was “one of the only safe investments available”.

Fresh Start was put into compulsory liquidation by a furious investor who discovered that it did not even own the building where its flats were supposed to be.

Now the Runcorn block is in the hands of Absolute Living Developments, which is part of US company Arem Pacific Corp. But when I emailed them my questions were answered by Singapore property entrepreneur Yong Yit Lee of Era Realty Network.

Posing as a potential investor I asked if he has planning permission to convert the office to flats.

“It is a retrofitting project from an existing building, it is targeted to be completed in first quarter 2016,” replied Yong.

Which wasn’t an answer to the question, so I asked again. This time he replied: “Planning permission has been obtained for its change of use to residential apartments. Retrofitting work is in progress.”

Back to Halton council, where a spokesman confirmed: “The application was refused and is currently at appeal.”

allyhall

Developers Link To Failed Firm



A company behind a controversial bid to turn a derelict government building in Runcorn into flats has distanced itself from another firm that went bust under a cloud of anger from investors and the Advertising Standards Agency in 2013.

Absolute Living Developments (ALD) has applied to convert East Lane House next to Runcorn Shopping Centre into 448 studio and single-bedroom flats.

On Friday, it confirmed to the Weekly News that it had taken over some part-completed developments from Fresh Start Living (FSL), which went into liquidation in 2013.

The company’s statement came after the Weekly News found loan documents lodged with Government business website Companies House relating to third party lender DS7 Ltd.

The forms showed that DS7 had loaned cash to ALD for the East Lane House project, with the terms of the contract granting DS7 Ltd power to appoint one of its officers as a receiver in the event that ALD goes into receivership.

The contract also gives DS7 Ltd the power to ‘take possession’ of the flats in the case of ALD’s demise.

Another form lists the recipient on a forwarding address for DS7 Ltd as ‘for the attention of Charles Cunningham’.

The Weekly News asked ALD whether this was linked to former Fresh Start Living director Charles Alexander Clunie Cunningham, who was the subject of a critical article by Daily Mirror investigative report Andrew Penman in September 2013.

Further documents on Companies House showed that a former Fresh Start Living director, Philip Wright, had been a director at ‘Absolute Living Developments (Orchid Point)’ – another company with a loan from DS7 Ltd.

ALD’s spokeswoman said Philip Wright had been on the board of a ‘vehicle’ that owned a FSL development site acquired by ALD.

He was replaced after the acquisition.

She said there was ‘no relation’ between ALD and DS7 Ltd.

Fresh Start Living went into liquidation in 2013.

Andrew Penman, of the Daily Mirror, said the firm had left investors fuming after they alleged they were left out of pocket having pumped thousands of pounds into properties renovated by FSL.

FSL was also investigated by the Advertising Standards Authority (ASA) after a complaint was made over the firm’s claim to have made a £4m profit. The ASA upheld the grievance.

The Business Desk reported in September 2013 that Stockport Council and Greater Manchester Fire And Rescue Service were taking separate actions over safety breaches.

An ALD spokeswoman said: “Absolute Living Developments have acquired a number of developments around the country.

“Some of these were part-completed developments from Fresh Start Living which were acquired when it went into administration, one being Orchid Point whereby Absolute Living Developments acquired the vehicle that owned the site.

“Philip Wright was on the board of the vehicle and was replaced when the acquisition completed – there is no other connection between Absolute Living Developments and Fresh Start Living.

“DS7 Limited is a lender to Absolute Living Developments on certain developments.”

Halton Borough Council’s development control committee is due to hold a ‘special meeting’ tonight to decide whether to allow ALD’s proposed conversion of East Lane House into flats.

The scheme has been blasted as ‘barmy’ by Halton Lea ward’s Cllr Dave Thompson.

ALD insists it will attract young professionals and key workers.

By Oliver Clay, Runcorn Weekly News

allyhall

'Slums of the future' given go-ahead in Runcorn

Planning inspector quashes councillors' decision and paves way for firm to turn asbestos eyesore East Lane House into 448 flats

A flats project in Runcorn described as the 'worst scheme ever seen' by a Halton councillor has been given the go-ahead.

Mark Caine, of the Planning Inspectorate, found in favour of property firm Absolute Living Developments, paving the way for it to convert East Lane House into 448 one-bedroom flats.

Of these units, 394 of them will be ‘studio apartments’ derided as ‘bedsits’ by critics of the project.

Mr Caine’s decision overturns a refusal by elected Halton councillors to reject the scheme.

Opponents to the project have argued that the building will become a ‘slum’, and will cause to parking and traffic problems in the vicinity and neighbouring areas.

Some have said the building also contains asbestos.

Due to a change in the law during the last Parliament, the only factors that could be used to stop converting a building into homes were flood risk, contamination and highways impact.

At first developers planned to provide 60 parking spaces, but increased this to 157 following an outcry.

The planning inspector said that the secretary of state’s comments about homes needing enough places to park vehicles had limited weight in this instance because the flats would not be family homes.

Mr Caine dismissed there being any relevant highways, flood risk or contamination impact.

Critics of the scheme have included Cllr Alan Lowe who said the scheme would create the 'slums of the future' and Cllr Dave Thompson, who called the project 'barmy' and the 'worst he had ever seen'.

In his decision report, published on Wednesday, Mr Caine said: “Local residents and councillors have also raised a number of other objections.

“These include concerns regarding the proposed mix and tenure, the lack of amenities in the area, the levels of asbestos, the amount of previous fires at the appeal building, anti-social behaviour and noise and disturbance.

“I have also been referred to a previous application at Grosvenor House, and the proposal’s effect on the conservation area and the regeneration of the area have also been put forward.

“However, prior approval applications only allow consideration of specific matters which are in regard to highways impact, contamination and flood risk.

“The matters raised above are therefore not relevant to the proposal and do not form a basis for dismissing the appeal.”

Source: Liverpool Echo, Oliver Clay
http://www.liverpoolecho.co.uk/news/liverpool-news/slums-future-given-go-ahead-runcorn-9689824

mostonanne

Government rules 'forcing' 700 flats on Runcorn says councillor

A councillor has blasted the Government over development rules that mean the borough has been ‘powerless’ to stop empty offices being converted into 700 flats in Runcorn.

Cllr Dave Thompson accused Whitehall of ‘forcing’ homes on Runcorn as planning chiefs decided not to oppose a bid to turn Castle View House into 188 properties.

He told the development control committee meeting on Tuesday, December 8, that the Castle View House scheme was the ‘least troublesome’ of three projects under way in the East Lane area because it will have about 160 parking spaces.

Cllr Thompson added that the plan could ‘kill off’ plans to convert East Lane House - now rebranded as 'White House' - next door into 448 flats because of impact on demand, telling Halton’s development control committee: “I can’t honestly see who would want to live in East Lane House if Castle View House is first to be converted.”

The Halton Lea ward councillor said that Castle View House, East Lane House and the Grosvenor House conversion scheme would provide the total future demand for ‘apartments’ on one Runcorn road – a situation he branded ‘ridiculous’.

He said 500 jobs had been lost at Castle View House following its closure in 2013, which in turn had contributed to the closure of Tesco in Runcorn Shopping Centre in April with the loss of 110 jobs.

Whitehall planning policy means that local authorities can only oppose residential conversion plans on the grounds of highways, flood or contamination risk.

Cllr Thompson also questioned the quality of projects allowed under the Government’s ‘change of use’ rules.

He said: “The Government have now changed the rules by which the council considers proposals for converting offices into residential dwellings and we are now virtually powerless to stop poor developments, even if the plans proposed are poor in design and fail to meet the public’s needs or expectations.”

He added: “The plans for Castle View House, Grosvenor House and the derelict eyesore at East Lane House will result in an excessive density of bedsits and one-bed apartments.

“We now have all of the number of flats anticipated to meet Halton’s future needs on this one road in Runcorn.

“That is ridiculous.

“It means local planning authorities simply can’t plan for meeting future housing needs.”

Liverpool Echo : 10 December 2015

allyhall

http://www.businesswire.com/news/home/20151209005470/en/Daniel-Mark-Harrison-Takeover-Absolute-Living-Developments

Does anyone know if this is accurate. This Daniel Mark Harrison seems to have come from nowhere? Apart from his own self promotion he does not appear to have had much personal success in property or finance.

mostonanne

The Mill / Orchid Point property in Trafford, UK developed by ALD /FSL

The property is sold by Absolute Livings Development Ltd (ALD)sold with a 10 year net rental guarantee of 8.5% p.a. and the rentals for the first 2 years are used to offset the selling price. The sales agent called Hong Kong Homes said no need to pay ground rent or service charges for the first 10 years because ALD will pay. The sales brochure also says 8.5% net minimum annual rental return. The development project is called The Mill with 38 units, 33 3bedroom duplex flats and 5 penthouses. Most units were sold by HKH in 2014.

The buyers are mostly from Hong Kong and in Oct 2015 received solicitors letters asking payment of ground rent and service charges for 2014 and 2015. ALD did not reply to any queries as if disappeared. No quarterly rent account statements was ever produced. Edwen Yew resigned as director 30 Aug 2015 and transferred all the share to a Mr Leong. He appeared to still play an active role. At the same time, ALD sent a few emails to all unit buyers to offer the sale of freehold and mentioned that by paying for the freehold, unit buyers will not have to pay the ground rent any more. ALD changed ownership again in Dec 2015 to DMH & Co by Daniel Mark Harrison. The lease was sold by a company called FSL Properties Empress Mill Ltd and the management company named in the lease is called Orchid Point Management Company Ltd. The management agreement was with ALD. ALD Property projects sold by Hong Kong Homes have similar or completion problems, Summerberry Residences, Olicana.

When pressured by groups of buyers, Samson Law said he would resolve the problems with Charles Cunningham and Tim Ackrel (using their DS7 emails).

The unit buyers afraid they may not get the rental after the 2 year guaranteed period even if give the 60 days notice under the management agreement because ALD appears to have disappeared. The 5 penthouse units are not yet completed because no work was done for over a year and the main staircase to enter the block is said to be unfit for people walking so there may be fire and safety compliance. Not sure the duplex design may meet the safety requirement. When paying for the initial deposit, the buyers were told by Hong Kong Homes they would get a specified free car park. Later, they were told such car park was not available but replaced by a right to park outside the building.

From past reportings on the news, the companies concerned(Empirical, FSL) have similar directors Charles Cunningham, Wright. The role of solicitors are also very confusing:

Tim Ackrel

l  Acts as seller company [FSL Properties Empress Mill Ltd] solicitors in the sale agreement : Tim Ackrel, Empirical Property Group Ltd

l  Tim is sole director of a company called DS7. DS7 is the company that lends money to ALD to purchase FSL properties. ALD has charged its asset to DS7.

l  Tim is also the legal head of ALD (so ALD has charged its assets to a staff?)

l Tim acts both for the landlord (FSL Properties Empress Mill or ALD Orchid Point), and the management company (ALD Ltd) He uses the landlord’s name to demand money from unit buyers but he totally ignored the responsibility of the management company to pay the ground rent and service charges per the management contract. He is using his legal expertise against the unwary overseas buyers?

The solicitors letters were sent at the same time regardless of when individual buyers purchased the units but the purchase time may vary many months. If they had sent the first letter on first due date in late 2014 or early 2015, other potential buyers might know and not buy. In short, this may be a well structured sales scheme. Other development projects by ALD sold by Hong Kong Homes are Summerberry Residences, Olicana and Alexander House. The last two are not yet completed. Summerberry buyers also received solicitors letters. No work appeared done for the last year on the outstanding work at the Mill (staircase, penthouses), and yet they are selling a site opposite called The Mill B via a sales agent called MIG, a Malaysian group. Edwen Yew is also Malaysian.

hollydays

You would be advised to follow the forum rules, for your own benefit.
It's better to do this so posts remain.

off_to_market

Can this be true?

Award winning developer and management

The largest development of it’s kind in the region

http://www.rightmove.co.uk/new-homes-for-sale/property-41048211.html?utm_source=facebook&utm_medium=sharing&utm_campaign=newhomes