g4set, there is penalty for not completing on time, this is in the PSA. However, the penalty give the developer GPD a period of 12months beyond the anticipated completion date before liquidated damages of 6% (I think, check your PSA) can be applied. So if you are down for 30.06.2010, you can't claim any damages before 30.06.2011.
I was at GPDs dubai office today to see Lorraine Luck and find out about what is happening to units such as Park Lane and Cambridge, which have not been started. She basically said they are carrying on with the construction and expect all units to be delivered before the permissible 12 month period beyond the given completion date in the PSA.
I also raised the point that many projects in Phase 3 are not progressing (as I visit the place frequently just to see what is happening, afterall the £38.5K deposit I have put down is a lot of hard graft and no small money) and some might have been cancelled altogether and do they think that will impact the project's delivery and saleability (i.e Rental Guarantee) - i.e why deliver about 7 GPD units (and one or two others from other developers) in the whole phase 3 when many other developers required to deliver other aspecs of the project are not progressing with work - she stated that as a company they are obliged and planning to go ahead as planned and that the rental guarantee is for them to worry about and not teh investor.
In conclusion, I think GPD seem to be carrying on as planned but i feel they are looking to work with the 12 months grace period beyond the stated completion in the PSA, so if you are at Cambridge like me and your completion is Dec 2010 you can put your mind the last quarter og 2011.
All the best.
