Developer cancelling a one-of build contract – help


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    We bought some land in Almeria in December 2005 (using the property developer as the agent) and signed for a build contract paying a 20% deposit of the build cost. The land is rustic land with a ruin.

    The land had not been previously registered – therefore the initial registration was done as part of our purchase. The registration done was only for the land – apparently it is not possible to register land and property together at first registration.

    We were supplied with a certificate from the town council stating that a house had existed on the land since before 1943. Our local (independent) spanish solicitor said that everything would be OK and he would register the house once the new building was completed.

    We have tried to track the restoration licence application and have constantly been told that the licence is only a week away. 2 weeks ago we had an email from the developer saying that they needed to restart the application because of problems with no local technical architect. Alternatively they would return our deposit and buy the land back from us.

    We would like to know where we stand with regards to the costs we have incurred and interest on the money they have had. This amounts to a tidy sum – I understand much less than many on this forum but significant to us.

    Also is the builder pulling a fast one somehow?

    Our local solicitor is acting for us but information is sparse and we are very confused. We also need to ensure that the buy back is at full value – not the value that was declared.

    Any advice will be greatly appreciated. ❓

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