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Post by hoy on May 14, 2020 17:58:09 GMT
I'm still perplexed by BDO's statement: "Following the Creditors’ Committee’s approval at a meeting held on 12 March 2019, Receivers were appointed over the property on 14 March 2019." Firstly, as a simple statement, it doesn't mean that the CC's approval was required to appoint the Receivers, but why write in a way that implies it was? Secondly, concerns were raised with BDO about site security (theft, vandalism) as early as 24 September 2018 (by me) and probably earlier (by others). Had BDO acted more prudently and appointed Receivers then, the site could have been secured/protected to preserve value.My bold.
...and thus possibly have prevented the xmas 2018 break in when a lot of internal damage and theft took place.
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insideout
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Post by insideout on May 19, 2020 21:59:48 GMT
BDO were careful in late 2019 to stress to Timmy that their own insurance was “necessarily limited”. This might have applied to BDO’s block policy. Adequate for most buildings and sites maybe, but inadequate for £5 million worth of almost completed yet largely unsecured flats.
If proper theft and damage insurance could have been obtained from specialist underwriters but wasn’t, BDO were arguably negligent and liable for investor losses.
If it proved impossible to obtain proper insurance why didn’t BDO confirm all the approaches they made to insurers and underwriters and exactly why these refused to provide cover.
Receivers were probably not appointed earlier because they are often a last (and expensive) resort. It can be better to try to get a borrower to repay.
Clearly, adequate insurance was not in place for a very long period of time. Exactly why not? That question has not been answered, either by BDO or by the creditor committee.
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Post by turton on Jun 23, 2022 20:35:17 GMT
This site and the lack of progress was discussed at the local council meeting this week.
According to reports in the local papers following the meeting, some of the apartments have been sold off plan, so any buyer of the site would not get clear title to the whole building,
From Local Paper :
Coun Cox, said: “The company constructing the building are in liquidation. Many of the apartments were sold to investors prior to that liquidation.
“I think there’s a lesson there for all of us – never buy an apartment off- plan. This situation has made it very difficult for the liquidator to sell the building to anyone interested in completing the project, since new developers would want clear title to the building or confirmation that the existing owners are willing to contribute more funds to complete the project.”
On the opposite side of the town centre , the council have approved a plan to convert a multi storey car park to flats, a project very similar in size and style to the one we are invested in, this is likely to further reduce interest in the BL00026 site,
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agent69
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Post by agent69 on Jun 24, 2022 9:25:22 GMT
This site and the lack of progress was discussed at the local council meeting this week. According to reports in the local papers following the meeting, some of the apartments have been sold off plan, so any buyer of the site would not get clear title to the whole building, From Local Paper : Coun Cox, said: “The company constructing the building are in liquidation. Many of the apartments were sold to investors prior to that liquidation. “I think there’s a lesson there for all of us – never buy an apartment off- plan. This situation has made it very difficult for the liquidator to sell the building to anyone interested in completing the project, since new developers would want clear title to the building or confirmation that the existing owners are willing to contribute more funds to complete the project.” On the opposite side of the town centre , the council have approved a plan to convert a multi storey car park to flats, a project very similar in size and style to the one we are invested in, this is likely to further reduce interest in the BL00026 site, So does the person who purchases the development have to finish the build as flats? What happens if the highest bidder wants to knock it down and construct a warehouse instead. Where does that leave the people who have paid in advance for a flat?
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ilmoro
Member of DD Central
'Wondering which of the bu***rs to blame, and watching for pigs on the wing.' - Pink Floyd
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Post by ilmoro on Jun 24, 2022 9:58:54 GMT
This site and the lack of progress was discussed at the local council meeting this week. According to reports in the local papers following the meeting, some of the apartments have been sold off plan, so any buyer of the site would not get clear title to the whole building, From Local Paper : Coun Cox, said: “The company constructing the building are in liquidation. Many of the apartments were sold to investors prior to that liquidation. “I think there’s a lesson there for all of us – never buy an apartment off- plan. This situation has made it very difficult for the liquidator to sell the building to anyone interested in completing the project, since new developers would want clear title to the building or confirmation that the existing owners are willing to contribute more funds to complete the project.” On the opposite side of the town centre , the council have approved a plan to convert a multi storey car park to flats, a project very similar in size and style to the one we are invested in, this is likely to further reduce interest in the BL00026 site, So does the person who purchases the development have to finish the build as flats? What happens if the highest bidder wants to knock it down and construct a warehouse instead. Where does that leave the people who have paid in advance for a flat? Obviously what they build is determined by planning ... its has planning for the current scheme, they cant build something else without new/amended planning. As for the flat purchasers, it depends on the nature of their contract, any deposit and whether they have registered an interest at the Land Registry. AIUI if they have registered the contract with a notice at the LR and paid a deposit, then the contract cant be voided merely by the sale of the property (unlike a normal interest they arent 'overreached' on a sale ... ie the contract survives the fact the original contracting party isnt involved) Any purchaser would therefore have to build the flats and fulfil the contract or seek to have the notices removed ... I assume that would involve additional cost and complexity making the purchase unattractive. The normal mechanism for dealing with UNs is for the IP to apply to the Court to sell with clean title - thats what happened with MT BH (a case usually cited as the relevant example) Lendy Huddersfield, though not Lendy Cardiff where the purchaser was happy to take on the purchase agreements. Clean title means the interests no longer apply, the flat buyers are just normal secured creditors, who get paid if there is money. In the case of BH, three UNs were registered ahead of MT charge, so they got paid in full, anyone registered after the charge or hadnt registed got nothing. I have no idea why it appears Bolton isnt being sold with clean title.
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Mousey
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Post by Mousey on Jun 24, 2022 10:37:36 GMT
though not Lendy Cardiff where the purchaser was happy to take on the purchase agreements. Yep, Cardiff Council utilising a good use of public funds
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ilmoro
Member of DD Central
'Wondering which of the bu***rs to blame, and watching for pigs on the wing.' - Pink Floyd
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Post by ilmoro on Jun 24, 2022 11:30:16 GMT
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Post by turton on Jun 29, 2023 20:40:52 GMT
Went past the Bolton site on Monday, 2 large sections of the front fencing have been vandalised/removed, looks like the building had been entered. I went past again today and the damaged 2 sections have been replaced and the site now seems secure again--well done to whoever was responsible for the quick repair to the external fencing.
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Post by turton on Oct 16, 2023 16:29:11 GMT
I am away from home so can't post a direct link, the local paper (bolton news) are tonight reporting local discussions with the recievers and courts with a plan to acquire the bolton site,and complete the development as student flats as initially planned.
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Post by turton on Oct 16, 2023 20:15:26 GMT
From The Local Paper tonight.
A town centre block which was left unfinished when funds ran out more than 4 years ago could be revived.
The accommodation block on xxxxxx street was once intended to house 140 students in “world class facilities” before the scheme was abandoned in 2018.
This week the council deputy leader Zaman revealed prospective buyers hoped to get the proposal up and running again, but timings would be “to some degree in the hands of the courts”
Zaman said “their intention is to acquire the property, and complete the development as per the 2014 plans with student accommodation and ground floor retail units”
Zaman added “Given the circumstances there are some remaining challenges to overcome as the project involves administration and receivership, The council and the developer are in the hands of the courts in terms of timescale”
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picnicman
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Post by picnicman on Oct 17, 2023 10:17:38 GMT
The last BDO report in the summer mentioned that offers had been received/were being considered on two of the four remaining properties still to be sorted. It had all gone quiet since then, so perhaps this is progress on this issue who knows? If there is anything left, only first tranche holders of the loan are likely to receive something (in the dim and distant future)?!
P
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