Palm Jebel Ali Update

[wottodo]

Recieved a letter today stating that the first Garden homes and Signature villas on PJA are expected to be handed over late 2011 with the remainder scheduled to be completed throughout 2012.

Recently I contacted Nakheel to ask if they were adjusting their payment terms due to the delays (as they have with other developments) only to be told that PJA was on schedule and therefore they would not be revsing the payment terms on this project.

I have previous correspondence dated June 2007 which states that consturction would begin in mid-2008 with the first delivery of properties expected in late 2010.

Is it just me, or does this not constitue a delay in construction?? Could this be a case for us PJA owners to take to Rera? Come May 2010 we will have all paid 90% of the proeprty price with at least another 18 months to wait before we get our properties handed over to us!

 

[wottodo]

Emailed Nakheel a week ago to query the additional delay............. Still no answer!

 

[bclague]

I also received confirmation from nakheel that there is no revision to the payment plan for my signature villa on palm jebel ali..

 

[PropGuy]

what is the OP of signature villa in PJA?

 

[bclague]

Mediteranean Type 3 on C Frond so completion in 2010 for the lower fronds..

regards,
Barry,
bclague<at>gmail<dot>com
(230) 253 1801

 

[wottodo]

Eventually received a reply from Nakheel. They have now admitted that there is a one year delay in handover since they announced their 'updated' payment schedules. They also said however that the payment schedules will remain the same as infastructure works are considered part of the construction process and this requires about 60% of the value of the property to build!

This is nothing but a complete contradiction of previous correspondence when the revised payment schedules were announced. If the project is 1 year delayed surely the payment schedule should reflect this. Nakheel have said that their contract is in line with RERA and goverment laws, however no matter how they word it we will all still be 90% paid up AT LEAST 18 months prior to receiveing handover! They did however say that the understand our concerns and will take it up with the management. Mmmmm.........

If there are any PJA owners out there I suggest you do the same and ask for an explanation as to why they feel it acceptable to take 90% of investors money so far in advance of handover!!

I think the next stop is RERA and legal advise if need be. If we can go 'en masse' this may help.

 

[Tonymack]

We must all try to get the payment schedule delayed

I have a Garden Home on The Palm Jebel Ali and have paid Nakheel 30%. I have also been asking Nakheel to delay the payment schedule by 18 months to allow the building works to catch up. The last reply I got from them via email was that my questions have been referrred to their legal department. I agree, I think we need to contact RERA (whoever they are) and ask them where we stand with Nakheel. If we can get a delay on the payment schedule then this may buy us time for the resale prices to improve. What do you think.

Eventually received a reply from Nakheel. They have now admitted that there is a one year delay in handover since they announced their 'updated' payment schedules. They also said however that the payment schedules will remain the same as infastructure works are considered part of the construction process and this requires about 60% of the value of the property to build!

This is nothing but a complete contradiction of previous correspondence when the revised payment schedules were announced. If the project is 1 year delayed surely the payment schedule should reflect this. Nakheel have said that their contract is in line with RERA and goverment laws, however no matter how they word it we will all still be 90% paid up AT LEAST 18 months prior to receiveing handover! They did however say that the understand our concerns and will take it up with the management. Mmmmm.........

If there are any PJA owners out there I suggest you do the same and ask for an explanation as to why they feel it acceptable to take 90% of investors money so far in advance of handover!!

I think the next stop is RERA and legal advise if need be. If we can go 'en masse' this may help.

 

[wottodo]

TonyMack, thank you for your reply.

I am still conversing with Nakheel and have quoted various clauses from my contract which shows that Nakheel would appear to be in breach of contract if they continue with the current payment schedule issued in relation to the previous handover date of end 2010. Like you I am waiting to hear from their legal department and have been for over one week now. They say no news is good news so let’s hope for such.

RERA are the Dubai’s Real Estate Regularity Authority who are supposed to be working in the interests of both the investors and the developers to make the industry as transparent as possible. To date they have made a few questionable decisions, however they seem to be moving in the right direction. I have however heard through other sources that both Nakheel and Emaar are not held to the regulations that RERA set down. I do not know if this 100% correct as Nakheel have used their name in past correspondence to me.

I agree that any delay in the payments is a step in the right direction and may allow time for some recovery in prices. However a delay in the payments is not only for the benefit for those who have bought the property for investment purposes only. There are some out there who have bought into Palm Jebel Ali with the idea of eventually living there and will be the end-users of the property. Is it right that a homeowner should pay 90% of their property value 18 months prior to be able to live in it? Many have only budgeted be in this position for a maximum of 6 months as per the original expected handover date not 1 ½ to 2 years!

As you said we need as many owners as possible to renege against this current payment schedule due to this further delay in construction. You may have noticed however that there has not been much interest from my thread from other investors. Any suggestions?

 

[bclague]

Palm Jebel Ali Owners Group on Facebook

I think this might be the best place to get a group together

on facebook the group id is 51689104204

there was this info there

Cynthia (a great property lawyer out here) has arranged to have a panel to mediate between a group representing developers and another representing customers.
All the results of the meetings will be presented to RERA- so as a customer and end user you really ought to be there.
What gets done at the meeting will count....
The main topics under discussion will be:
Law 13 of 2008 and its application by RERA and the Dubai Property Court; and Risks and difficulties facing developers and purchasers in the property market today.
Date: 10 March 2009
Time: 5 pm – 7:30 pm
Venue: 4th Floor, The Capital Club, DIFC Gate Village
Hosted by : Trench, Oufi & Colombotti (previously known as Trench & Associates)
RSVP: Noemi Villanueva: reception<at>trenchlaw<dot>com
We have had very little consultation as buyers, and really very little consideration as end users.
RERA needs to hear the buyer's side, so be there.

 

[wottodo]

Nakheel Petition against payment shcedule

Just received an email from another disgruntled group of owners who are trying to organise a petition to be handed into Nakheel in order to try and postpone the April payment.

If you would like to join the petition PM me and I will send you the email address.

 

[palmjebelalimembersclub]

Hi we are representing the group of home owners on Palm Jebel Ali who are writting a petition to Nakheel .
If you are interested in Joining pls mail back so we can add you on the list.

Regards,
Palm jebel ali owners

 

[Poppy]

Hi,

I have a Garden Home on Palm Jebel Ali.
I have been corresponding with Nakheel regarding the payment plan. They wrote back that they are curently reviewing it and will contact me in April.
Has anybody heard any more?

How can I get on the petition list?

 

[Poppy]

Hi we are representing the group of home owners on Palm Jebel Ali who are writting a petition to Nakheel .
If you are interested in Joining pls mail back so we can add you on the list.

Regards,
Palm jebel ali owners

Please add my name to the list, I own a Garden Home on Palm Jebel Ali.
Many thanks,
Poppy

 

[wottodo]

Adding your name to the petition.

Please add my name to the list, I own a Garden Home on Palm Jebel Ali.
Many thanks,
Poppy

Email [email protected] and they will help you.

 

[ryano71]

Hi wottodo

My Father and I own a Garden Villa on frond M and are not happy at all with the payment schedule or pace of the project so would be grateful if you could send me the email address for the petition

 

[lipstickpink]

I also have a garden home on palm jebel ali, fron O our friends have the one next to us, we would both like to add our names to the petition. We went along to the beach next to the palm and the lack of construction is staggering considering the want the next payment. 6 show homes does not constitute major construction to me!

 

[Tonymack]

Palm Jebel Ali April instalment

Wottodo, (and anyone else who can help)

The last I heard was that after a petition of over 400 signatures was handed to Nakheel in regards to delaying the payment schedule, RERA and Nakheel were in discussion about the payment schedule and that Nakheel was going to issue a statement soon. I got an email back from Nakheel customer services on 20th March stating that they are still having discussions about the payment schedule.

Have you or anyone else heard any more about the payment plan and
should I go ahead and pay the April 09 instalment or hold back bearing in mind
the late payment interest charges.

Just received an email from another disgruntled group of owners who are trying to organise a petition to be handed into Nakheel in order to try and postpone the April payment.

If you would like to join the petition PM me and I will send you the email address.

 

[Tonymack]

Palm Jebel Ali

Hi Ryano71,

I also have a Garden Home on Frond M. If you hear any news about the payment schedule then could you please let me know and visa versa.

I also do not want to pay the April payment because of the big delay in construction.

Regards

Tony


QUOTE=ryano71;99938]Hi wottodo

My Father and I own a Garden Villa on frond M and are not happy at all with the payment schedule or pace of the project so would be grateful if you could send me the email address for the petition[/QUOTE]

 

[akkash]

Hi apparently Nakheel are still having discussions with RERA about a new payment schedule and details will be revealed as soon as decided. Anybody paid April payment? Seems like everyone holding out for the moment.

 

[wottodo]

I've been told the same from Nakheel that they are still in discussions with RERA and will inform all owners once the payment schedule is settled. I have told Nakheel that I will not be paying any more funds to them until this matter is legally settled and they seem to be fine with that. No mention of any penalty clauses in their response to my mail.