Gooner
Active Member
I am not jumpy at all. I just looking for some insight / new info. I believe its a good project and the real estate / economy situation should not impact it significantly...
Toronto King West Life Condominiums | ?m | 25s | Plaza | Gabriel Bodor
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I am not jumpy at all. I just looking for some insight / new info. I believe its a good project and the real estate / economy situation should not impact it significantly...
simuls
Senior Member
The real estate/economic situation has already impacted it significantly and stopped presales in its tracks. They were supposed to release their second building in September - 7 months later and they still only have 60% of the first sold. Unless they do what other builders are doing and chop it up into 3 different buildings/start dates, etc, there is no way this will get built in the next 5 years. And even if they do do this, my guess is that only the first building will get built and it wouldn't even be complete until sometime in 2013. If you're a buyer, Gooner, I would suggest that when they ask for an extension to your EV date, you say no, get back your deposit and buy another property in the area that is already finished or under construction - by that time the condo market will have fallen further and you'll be able to buy more for the same price - it's actually not a bad situation to be in. 
Gooner
Active Member
Simuls - when they do an EV do they typically give you the option of getting your money back at that point. If the tentative completion date is December 2011 when would they typically do an EV?
I really like the building and the $'s per sq. ft. I am also happy that my money is 'safe' in the building as opposed to be lost via investments. I however cannot wait much longer than 2011/12 to move so I may need to look elsewhere. At what point do you think thye would give the option of getting your money back given the timeline...
Thanks for your assistance, much appreciated!
I really like the building and the $'s per sq. ft. I am also happy that my money is 'safe' in the building as opposed to be lost via investments. I however cannot wait much longer than 2011/12 to move so I may need to look elsewhere. At what point do you think thye would give the option of getting your money back given the timeline...
Thanks for your assistance, much appreciated!
simuls
Senior Member
Every contract is different, so you need to look up the Economic Viability clause in your Purchase and Sale Agreement and see what it says. It will usually have a date (eg. July 31, 2009), and then another date maybe 3 months later (eg. October 31, 2009) that the developer can unilaterally extend to without your consent. Anything past this final date needs your consent and they have to give you the option of agreeing to an extension or voiding the contract and giving your deposit back (plus interest - although it'll be a pittance). I would guess that your final EV date would be sometime this year. If 2011/12 is your latest date to move and you really like Liberty Village then I'd look at CanAlfa's properties as both Bliss and Liberty Towers will be built by then (and are now offering unadvertised incentives and will probably be very amenable to price negotiations) and maybe even Liberty On the Park. I'd also look into the Liberty Market Lofts - they're really cool and quite good as well for the price/sq foot and seem to be in a better position to actually get built. Toy Factory has some good layouts as well and will probably have some good resales going on. Do your due diligence though and don't take my word for it. Best of luck!!
Sorry Mods, I know this is real estate in the more architecturally oriented thread. Do what you must
Sorry Mods, I know this is real estate in the more architecturally oriented thread. Do what you must
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Gooner
Active Member
Thanks for taking the time simuls.....and I apologize for getting this thread off topic...
dc01231
Active Member
Every contract is different, so you need to look up the Economic Viability clause in your Purchase and Sale Agreement and see what it says. It will usually have a date (eg. July 31, 2009), and then another date maybe 3 months later (eg. October 31, 2009) that the developer can unilaterally extend to without your consent. Anything past this final date needs your consent and they have to give you the option of agreeing to an extension or voiding the contract and giving your deposit back (plus interest - although it'll be a pittance). I would guess that your final EV date would be sometime this year. If 2011/12 is your latest date to move and you really like Liberty Village then I'd look at CanAlfa's properties as both Bliss and Liberty Towers will be built by then (and are now offering unadvertised incentives and will probably be very amenable to price negotiations) and maybe even Liberty On the Park. I'd also look into the Liberty Market Lofts - they're really cool and quite good as well for the price/sq foot and seem to be in a better position to actually get built. Toy Factory has some good layouts as well and will probably have some good resales going on. Do your due diligence though and don't take my word for it. Best of luck!!
Sorry Mods, I know this is real estate in the more architecturally oriented thread. Do what you must
Here's a little bit better of an idea of what is going on....
I just received a letter from Plazacorp letting us know that they are extending the "cut off" date for the first of three possible 90 day extensions to August 28th. When I called Plazacorp they told me that they did not yet work out a deal with Royal Bank to receive construction financing. They also said to me that they will be going ahead with this 100% and if they can't get bank financing they will fund it themselves.
If anyone somewhat believes this or has any insight into what might actually be going on please let me know! Thanks!
Gooner
Active Member
Financing...
Thanks for the info! I also received the cut off extension letter from Plazacorp. In my communications they have maintained that they have the money to 'fund' this venture themselves, although I am not familiar with the money it takes to build a construction such as this, I find it hard to believe. In you conversations with Plazacorp did they allude to when they are waiting for Royal Bank to approve and when they would decide to fund themselves (ie - start building).
I am not too sure where all this is going! Have they even started sales of the second phase?
Thank You!
Thanks for the info! I also received the cut off extension letter from Plazacorp. In my communications they have maintained that they have the money to 'fund' this venture themselves, although I am not familiar with the money it takes to build a construction such as this, I find it hard to believe. In you conversations with Plazacorp did they allude to when they are waiting for Royal Bank to approve and when they would decide to fund themselves (ie - start building).
I am not too sure where all this is going! Have they even started sales of the second phase?
Thank You!
Solaris
Senior Member
I doubt Plazacorp will start sales for KWL 2 when phase 1 sales have not even reached the 'financial viability' mark
Gooner
Active Member
I agree however given that the building is to be built together (3 phases) I would assume the financial viability would need to be for the whole building as opposed to one phase.
dc01231
Active Member
This project is going to cost between 100-150 million to build. They are about half way through phase 1 sales and they told me they wont start selling phase 2 until probably the middle of the fall. And yes the whole building is going to be built together. They said construction will take around 1.5 years to complete. So the fact that they haven't started yet shouldn't really concern us too much.
When I said the thing about Royal Bank, what the lady said to me was "if we can use the banks money rather than our own we will". And she said if it means we have to wait it out then we will. So I would assume shes not BS'ing me on that. I am actually praying that this is the case. The fact of the matter is I would rather wait it out an extra 6 months than have them start giving tons of incentives to buy like some other projects. Hopefully confidence has come back and they see the value in this building because it offers way more than most if you factor in parking.
maestro
Senior Member
Was "they" the sales staff? Those guys should always be taken with a grain of salt.
P.S. 1.5 years is laughable.
P.S. 1.5 years is laughable.
dc01231
Active Member
I went over their heads and spoke with the person at Plazacorp who actually sent out the letters. i honestly dont know what to believe anymore! I guess only time will tell...and hopefully not too much extra time!
cdr108
Senior Member
This is a LARGE project with 3 slabbish towers of 24s ... to expect them completed in 1.5 years is truly laughable.
At minimum, I would expect 2 years just for one tower; and if built concurrently as stated, then all 3 done in 3 years.
dc01231
Active Member
ok so lets get something straight here... I can expect to be moving in when?? June 1st 2011 is obviously not happening... any predictions of how much extra time were looking at here? 2012? 2013??
Gooner
Active Member
I have some documentation (somewhere) that says the estimated date of occupancy is now December 2011 (when i bought they did say June 2011 but shortly after that they changed to December).
I am think maybe mid 2012. I am still hoping the project goes ahead as the unit I bought was a great deal however if they decided to 'fold' or the occupancy date is unrealistic I will pull my money and look elsewhere...