I bought in Chelsea Bridge Wharf, London......anyone else on this forum bought there also ?

Hi,

In 2007 we purchased a property with Berkley homes in the Royal Arsenal - it is due for completion this year and we have had the same response from them as you seem to have experienced.

I do not understand why they are so unwilling to re-negotiate especially as I know they are now saying to people who enquire on purchasing one that they would sell it for less than the price we agreed to pay in 2007??!! When I asked why this is the case they continually refer back to the contract and say they could rent it, out as they are not 'chasing for money' . If they aren't chasing the money why not come to an agreement? They have already earnt a considerable amount on the 10% deposit we gave them. For the sake of a reduced profit margin they are willing to loose a sale in this kind of economic environment.

We have also had a valuation which came back 15% lower and when presenting it to them they refuse to believe it and say they have had valuations at the purchase price- similar to you they can not give details of these 'so called valuations'. In addition the LDA grated them planning permission to build on the site as they are 'providing affordable housing', which I again am not convinced of.

It is not that we don't want to buy it - the simple fact is the banks won't lend on something that is £54K over valued!

Our biggest concern is 'being sued for damages'! The solicitor was recommended to us by Berkley and we feel is not acting in our best interests as they say there is nothing we can do, and they will send a failure to complete form to us.

I'm 100% on board with starting a group as I think there will be more and more people in this situation. We are also considering writing to the local press and the LDA perhaps there is power in numbers especially as it is the same developer.

Hello ECRCW

I too am contracted to buy a plot from Berkeley Homes at Caspian Wharf. I am encountering two main problems:

(1) Lenders all want a 25% deposit for new build properties.

(2) Berkeley Homes are unopen to any negotiation at this stage. I have been advised that this is likey to remain their position until it is clear how many of the plots cannot complete when the property is finished (likely April/May 2009).

However, it would not harm us to form a Caspian Wharf purchasers forum and see if we can contact other people that have exchanged on properties in Caspian Wharf and are in the same situation. Please respond to my thread ASAP if you are interested in setting something up and we will try and work out the best way of doing this.

Incidently, there is an open day at Berkeley Homes on Friday 23 January for Caspian Wharf exchanged purchasers.

Hi,

In the same position here with Berkeley at Royal Arsenal and not to mention that we're having problems with the solicitor as well. Let's hope you're not with Thackray Williams as their man there seems to have gone AWOL.

I'm also on board for starting a group.

Thanks everyone for their replies. I am away till Monday, but then I'll set something up and we can get a group started. My issue is also with Berkeley, but those with issues with other builders are also welcome to join.

I will post details here early next week.

I just dont understand why Berkeley wont negotiate or even put a solution forward. I have approached them two times and offered 3 possible solutions of which I thought the idea of them putting up the 15 or 25% that the flat is likely to be valued at by way of a loan would be accepted. Some developers like Crest Nicholson and Barrat I think are offering these deals just to get things moving.

The idea is the developer pays the 25% and secures it as a second mortgage against the property. You then have to pay this back usually before 10 years or when the property is sold whichever is sooner. I guess the idea is that they defer their profit take for a future date.

I thought it was workable solution but you can guess the Berkeley answer....

I wonder if as momentum is buidling on this, if the press / local MP etc etc would interested

I also bought an off plan apartment in Spectrum Manchester in July 2007, with a view to live in it NOT BECAUSE I WANTED TO MAKE A FAST BUCK as you morons on here keep alluding to, but because I actually wanted to secure a city centre apartment so I could be closer to work...

So I arranged a mortgage which the underwriters were happy to renew until the unit was ready, unfortunately due to the economic downturn they pulled the deal in September 2008, since then I have not been able to get any further funding to finance the purchase, my completion date was last week, I have now received the very same letter from Dandara regarding the court proceedings and the statement relating to the fact I have no entitlement to defend myself...... If I was a serial murderer surely I would be entitled to a defence?? Ohhhhh Maybe this crime is more serious YEAH????

The point is I only ever had enough money and funds availabe to cover the cost of the deal as this was my first off plan purchase, i had no idea that if i didn't complete that i could possibly be sued for the depreciation costs and other hefty fees, if i had known that i would never have entered into the contract...

So the upshot is i literally have no other money or savings, so worse case scenerio is the property developers could force me to complete or pay the difference, which would render me insolvent and bankrupt...... would this really be a gain for them??

Their choice....

I will of course be buying many other off plan properties in future!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!...

Thank you and Goodnight

Shelly xxx

We had a meeting with Berkley Homes and they offered absolutely no help with the situation! They have said they may delay completion by a few months. BUT if anything this will make it worse as the market is predicted to fall again this year- making a bad situation even worse. We also were meant to move in so have to change our living plans etc etc.

We spoke to a legal person yesturday and they said the only way out is to sue the solicitor if they didnt go through the contract with us and point out the important points i.e being sued!

I really think the more people who are in this situation raise this with the local MP and with the london development agency, the London Major (who have granted them permission to build on the site!) there is more chance of something happening.

I just hope that they will see business sense and help us buy it and not take lots of people to court!

We're contracted to complete on property at Caspian Wharf. Coming across these entries was a sigh of relief as it's clear there are many of us in the same boat. We'll be attending the open day on 23rd and I suggest everybody else who can does too. It would be a good opportunity to share a few contact numbers and bounce some ideas off one another to work out reasonable solutions. As a suggestion, perhaps we can get a group together before meeting them? There's a good pub locally.

BTW, was anybody else recommended to use Thackray Williams by Berkeley Homes?

Please drop me a line at XXXXX as there's always safety in numbers, particulalry if Berkely Homes aren't willing to find a sensible solution or things start going pear-shaped.

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I read your post, and others, with great interest and agree we as investors in Caspian Wharf have to get together to do something. Lots of people have referred to setting up an action group but I'm not aware that this has been already done (please correct me if I'm wrong) so I suggest that we do it immediately. There is a meeting with Caspian Wharf on 23rd which I will be attending and suggest all others do too. If you're going too, pls let me know. Perhaps most will be working on Friday so it may be better to agree to meet up in Canary Wharf on Sat 24th to discuss a strategy on how to reach a reasonable conclusion. I suggest the Weatherspoons' Ledger Building, West India Quay at 12h00 noon will be easy enough to find for everyone.

Please email me XXXX to confirm your attendance and drop me your mobile so I can steer you in if lost.

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I'm in the same boat albeit not with Caspian, however, it'll be good to chat through stuff with others in the same boat and see what we can learn from each other.

See everyone at the Ledger Building (Wetherspoons pub) at West India Quay on the 24th at noon (in the main bar on the right).

Gary

I will be there on 24th at the Wetherspoons at 12 noon.

I do find it rather interesting that very few people (me included) were aware that if they weren't in a position to complete (or even just changed their minds) they could be sued for non-completion as well as losing their deposit (the latter expected). In a rising market there isn't an issue with this as developers can resell at a higher price, however, given that it is a market and can go up and down, I'd have hoped that the solicitors involved would have pointed out any key points at the time exchange happened (often months or even years before completion). One key point being that completion is not subject to being able to get a mortgage (is that really reasonable?), the other beign that the developers can sue! I used a developer recommeded solicitor and was not made aware of either of these facts... has anyone used an independent solicitor and, if so, were these mentioned at exchange?

I will be there as well.

We'll be there too, we have brought at the Royal Arsenal with Berkley homes..