Results 1 to 9 of 9

Thread: JB condo delays upset buyers

  1. #1
    Join Date
    Oct 2012
    Posts
    1,163

    Default JB condo delays upset buyers

    A GROUP of Singaporeans who bought units in a Johor Baru condominium have faced repeated construction delays, changes to the plans and confusing information about when the complex will be ready.


    The developer says some of the delays stem from labour shortages and problems sourcing materials. It also says some buyers did not fully understand the terms of the contract.


    Investors have asked about the completion date five times for the 602-unit KSL D'Esplanade Residence, only to be told it has been put back.


    One told The Straits Times that when he bought his RM750,000 (S$298,800) unit two years ago, the developer told him that the project was already 80 per cent complete.


    But in April this year, buyers were told that the development - it sits on top of KSL City Mall as part of a mixed-use development with a hotel - was still only 80 per cent complete and expected to be ready in July.


    KSL Holdings, a Malaysian company listed on the Kuala Lumpur Stock Exchange, is still marketing the condominium, and the average price is RM950 per sq ft. Unit sizes range from 1,267 sq ft to 2,023 sq ft.


    A spokesman for developer KSL Holdings told The Straits Times that the 80 per cent completion rate cited in 2011 referred to the lower floors and that "every floor has a different completion date".


    She noted that just like in Singapore, projects are given a five-year grace period for completion.


    "But projects first get three years unless you apply for an extension, which we did not plan for. If we had applied for the extension to five years, this year would have been the fifth year, and we'd be in time to complete the project."


    The firm said the sales and purchase agreement begins only on the date of purchase, not the day which construction started. That means every buyer's three-year duration started at a different date. It also means if the project is completed within three years of the sales and purchase agreement, there is little disgruntled buyers can do.


    The KSL spokesman noted that completing the project within three years would have been difficult given manpower issues over the past two years caused by government curbs on foreign labour. She said that the condo was completed last month, apart from glass installations that were affected by late supplies.


    When The Straits Times visited the site earlier this month, workers were installing the last glass panel and said the development is expected to be completed next month.


    But delays are not the only issue for the 10 or so Singaporean buyers who came together on an online forum. They claim they are being short-changed as the project now does not fully reflect the plans at time of purchase.


    The brochures said the hotel would have amenities including an 18-hole mini-golf course but last October, buyers found out it had been replaced by a water theme park.


    A Singaporean buyer who declined to be named said: "I did not buy the unit to stay next to a wonderland."


    The KSL spokesman said: "That area is not part of the residential area; it belongs to the hotel, and the hotel management has the right to change anything."


    The experience has left some fed-up buyers regretting they did not read the fine print more closely. The buyer warned: "Check the surveyor report and the clauses in the contract, and what is named in the brochure before you decide to purchase."

  2. #2
    Join Date
    Dec 2010
    Posts
    1,741

    Default

    confirm tio shit! this kind of thing is expected from investment in malaysia. Lucky the thing is delay only not leave there forever. Maybe safer to buy completed units.

  3. #3
    Join Date
    Oct 2011
    Posts
    10,829

    Default Johor condo delays upset S'pore buyers

    http://www.straitstimes.com/premium/...uyers-20130624

    Johor condo delays upset S'pore buyers

    Complaints also include changes to the plans and completion date

    Published on Jun 24, 2013

    By Rachael Boon


    A GROUP of Singaporeans who bought units in a Johor Baru condominium have faced repeated construction delays, changes to the plans and confusing information about when the complex will be ready.

    The developer says some of the delays stem from labour shortages and problems sourcing materials. It also says some buyers did not fully understand the terms of the contract.

    Investors have asked about the completion date five times for the 602-unit KSL D'Esplanade Residence, only to be told it has been put back.

    One told The Straits Times that when he bought his RM750,000 (S$298,800) unit two years ago, the developer told him that the project was already 80 per cent complete.

    But in April this year, buyers were told that the development - it sits on top of KSL City Mall as part of a mixed-use development with a hotel - was still only 80 per cent complete and expected to be ready in July.

    KSL Holdings, a Malaysian company listed on the Kuala Lumpur Stock Exchange, is still marketing the condominium, and the average price is RM950 per sq ft. Unit sizes range from 1,267 sq ft to 2,023 sq ft.

    A spokesman for developer KSL Holdings told The Straits Times that the 80 per cent completion rate cited in 2011 referred to the lower floors and that "every floor has a different completion date".

    She noted that just like in Singapore, projects are given a five-year grace period for completion.

    "But projects first get three years unless you apply for an extension, which we did not plan for. If we had applied for the extension to five years, this year would have been the fifth year, and we'd be in time to complete the project."

    The firm said the sales and purchase agreement begins only on the date of purchase, not the day which construction started. That means every buyer's three-year duration started at a different date. It also means if the project is completed within three years of the sales and purchase agreement, there is little disgruntled buyers can do.

    The KSL spokesman noted that completing the project within three years would have been difficult given manpower issues over the past two years caused by government curbs on foreign labour. She said that the condo was completed last month, apart from glass installations that were affected by late supplies.

    When The Straits Times visited the site earlier this month, workers were installing the last glass panel and said the development is expected to be completed next month.

    But delays are not the only issue for the 10 or so Singaporean buyers who came together on an online forum. They claim they are being short-changed as the project now does not fully reflect the plans at time of purchase.

    The brochures said the hotel would have amenities including an 18-hole mini-golf course but last October, buyers found out it had been replaced by a water theme park.

    A Singaporean buyer who declined to be named said: "I did not buy the unit to stay next to a wonderland."

    The KSL spokesman said: "That area is not part of the residential area; it belongs to the hotel, and the hotel management has the right to change anything."

    The experience has left some fed-up buyers regretting they did not read the fine print more closely. The buyer warned: "Check the surveyor report and the clauses in the contract, and what is named in the brochure before you decide to purchase."

    [email protected]

  4. #4
    Join Date
    Dec 2009
    Posts
    6,003

    Default

    Quote Originally Posted by DaytonaSS
    confirm tio shit! this kind of thing is expected from investment in malaysia. Lucky the thing is delay only not leave there forever. Maybe safer to buy completed units.
    Developer didn't abandon project, which is still okay. In this bull run, completed units will cost you easily another 30-50% more than original VVIP launch price.

  5. #5
    Join Date
    Dec 2012
    Posts
    435

    Default

    Agree, it's a delay, not abandoned, all is not lost, no risk no gain, if u want to play safe and buy completed units, you have to pay a premium.
    “Be fearful when others are greedy. Be greedy when others are fearful.” - Warren Buffet

  6. #6
    Join Date
    Apr 2009
    Posts
    2,009

    Default

    S'pore never have delayed project from the past?

  7. #7
    Join Date
    Oct 2012
    Posts
    1,163

    Default

    The article mentioned two years ago 80% completed and now it still told owners 80% completed.

    Mini Golf course changed to water theme park. Developer then act blur.

  8. #8
    Join Date
    Dec 2009
    Posts
    6,003

    Default

    Likely e developer wanted to change to n charge for e theme park n called for redesign n spent time waiting for approval from authorities. Going forward, dun expect projects to be completed so fast like in pre 2013 as even other big developers in JB are now experiencing some slight delays due to manpower, equipment n materials shortages.

  9. #9
    Join Date
    Apr 2009
    Posts
    2,009

    Default

    Our company have been facing manpower & material shortage over at Pengerang petrochemical project.. & the project is behind schedule

Similar Threads

  1. Tenants upset over Evans Rd shambles
    By reporter2 in forum HDB, EC, commercial and industrial property discussion
    Replies: 0
    -: 11-12-15, 15:41
  2. Borrowers upset over hike in margin for Sibor loans
    By reporter2 in forum Finance and Legal
    Replies: 2
    -: 04-04-15, 12:12
  3. Developer delays launch of condo
    By reporter2 in forum Singapore Private Condominium Property Discussion and News
    Replies: 0
    -: 23-02-14, 17:45
  4. Undergrads upset over spot checks
    By chloechen in forum Coffeeshop Talk
    Replies: 7
    -: 25-10-13, 23:06
  5. Residents upset as glass panels shatter
    By reporter2 in forum Singapore Private Condominium Property Discussion and News
    Replies: 3
    -: 31-01-13, 08:53

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •