April 4, 2006 at 9:23 am #51698
My lawyer is currently going through the process of agreeing a contract to purchase an apartment on an off plan golf resort. The developer has stated in their marketing brochures, off plan models etc that the resort will include 2 golf courses, tennis courts,an athletics stadium, horse riding facilities, a medical centre etc.. However, my lawyer has so far identified that these are not included in the draft contract that the developer has sent to him.
So my question is – should the facilities that a developer is offering be included in the contract for the purchase of an individual apartment, and is it ok to proceed with the purchase if they are not? It would be really helpful to hear what other people’s experiences have been like.
Thanks for your help,
April 4, 2006 at 12:55 pm #61603
not trying to be funny but should your lawyer not know that already?
April 4, 2006 at 1:57 pm #61604
I think to be safe the facilities should be in the contract. There have been many cases where the developer has not provided things like pools, gym etc using excuses that there wasn’t enough room etc Also heard of a few cases where the buyers have had to pay for the cost of landscaping the gardens. Sometimes the golf courses get cancelled too! Some apartments have been left with an empty lift shaft.
April 4, 2006 at 5:26 pm #61608
I think your question should be answered in 2 parts. The first part will be the facilities of the community that your apartment will be located in and then there will be the whole development which will include golf courses etc etc. In the first instance the developer should provide a list of facilities included in your apartment and the community in which it is located in i.e swimming pool, lifts, gardens, parking area etc. These things should all be listed as you are paying for these in your purchase price.
The second part will be the development as a whole. Here you will find the developer extremely reluctant to provide a written contract on the facilites on offer. You may get a list of proposals and intentions of what they intend to build and if you can get these in a contract you would be very lucky.
I have worked in the area for a long time and seen many things promised but not delivered. Eventually to build the facilities the builder will need money and if sales are not as good as expected etc etc then they have to cut back on their promises or make changes.
It would be ideal if you could get a list of these facilities and the finishing date in a written contract and if he has the funding in place to complete them. Good luck
April 5, 2006 at 1:33 pm #61613
Have everyth¡ng in the contract. Under the description of the element to be sold it needs to have all the facilities. Otherwise you won´t be able to easily claim if failure.
Keep all the publicity and any paper which is describing your paradise.
maria de Castro
April 5, 2006 at 4:00 pm #61618
Maria makes an important point here.
When you buy off-plan / on a new development with common areas still under construction, make sure that you keep all the sales and marketing material such as brochures that the developer uses to indicate what facilities you are being promised. If possible, have the developer’s brochure included in your contract as an addendum. After all, developers use things like brochures and leaflets to give you an idea of what you will end up with, and when buying off-plan you are basically buying an ‘idea’.
April 6, 2006 at 1:14 am #61621
As maria Says keeping brochures is of most importance.
I’ve already said here:
that every advertising brochure related to a development (i.e. describing the compound services & facilities), produced by the developers has in Spain the nature of a compulsory contract clause for the promoter/builder as the Spanish Supreme Court has settled in many cases making this issue a truly and full ‘case-law’
There are many, many court settlements giving compensations to purchasers when promoters fail to deliver what was advertised… Last week I partly lost a case (YES, I was representing the promoter 😳 and I wont say what we did win 😈 ) because the ad brochure said 6-people elevator and only a 4-people was installed (this will cost the promoter 4,000 Euro plus interest)
April 6, 2006 at 8:05 am #61624
If it’s not in the contract it doesn’t exist and therefore cannot be claimed.
As a sidenote I’ll add those facilities sound completely invented; just think the outrageous costs involved to build them unless your property is worth a million euros or more. They will not build such facilities for a 250k flat, it’s only common sense.
April 6, 2006 at 8:47 pm #61646
Thanks to everyone for taking the time to write and share your insights and experiences. It’s really appreciated.
The forum ‘Real Estate Topics, News & Discussion’ is closed to new topics and replies.