Red Residence

[mike.stewart]

Min. 5 posts for private msg

can we talk offline

I think one needs to have a minimum of 5 posts for using private msg services.

Regards
M

 

[mike.stewart]

I heard yesterday that DEWA is not giving them electricity and MED is faced with 35 million DHS fines also.
I also heard that the 5 star building finishing is not there, all inferior quality material has been used.
I spoke to a lawyer a week ago, she sent me a verdict in favour of MED customers who won cases with 6% financial charges also. I am now wondering if i should do the same.

Hi zamalliance,

What is your source for the above, in regards to
- DEWA and the MED fine
- Quality of 5-star furnishing and
- Cases won against MED

Thanks and kind regards
M

 

[mike.stewart]

Mixed used building

The other thought i like to share with you all is the 'mixed-mode' usage of the buildings as proposed by MED, meaning, some investors would be allowed to use their units as private rentals while others would be in the hotel rental plan with 1-month personal use.

This proposal does not make sense. MED is a developer and not an operator, and therefore will do anything to sell the units. One cannot have a building where some floors are for private rental occupants (with access to pool, gym, concierge, room service, etc, etc),while other floors are hotel rooms for short-term (tourists and business people). Correct me, but I have never in my world travels ever come across (unless any one of you have) any such arrangement in a hotel-rental mix. It raises all sorts of security issues. No self-respecting 5-star hotel would allow private tenants moving in with personal furniture through the lobby, during business hours in plain view of guests.

MED has also not made it clear how the rental revenue across mix-usage building will be calculated and distributed amongst the investors.

May be the only way to get clarity is to make an appointment and just go to their office and meet with the owner, (not that receptionist called ioana nica, who they seem to have put in charge).

 

[mike.stewart]

Utilites bill and other advance payments

Another thing to point out for those expecting hand-over.
Bare in mind that investors are required to pay utilities and other costs, upfront for one year.

Regards
M

 

[mike.stewart]

MED cancelled projects by RERA

Check this link below for the MED cancelled project - Windsor REsidence

New list of cancelled Dubai real estate projects... and refunds - Emirates 24|7

 

[mike.stewart]

4% registration fees

Hi all,

Do anyone of you know about the 4% registration fee with DLD?

I found the following post in one of the other threads:

"Firstly, do u guys have any idea if you have paid your OQOOD fees to the developer? if so you should have the initial sale of Contract. ( which will be 1 or 2 pages, do not confuse it with the SPA- the Sales Purchase Agreement). which is the the proof of your registration.
If you do not have it, you need to ask the developer about it, since it is his duty to register the same. You can send him a legal notice in this behalf.
the Department of OQOOD is in the Land Department RERA, dubai
However, if it the registration is not done as per Law 13 of 2008, it can make your SPA void.
You do not need to do it personally"

M

 

[mike.stewart]

Information from a call in Mar 2013

Back in Mar 2013, I made a call to MED office and at that time an interim sales staff (called Tony) was in charge of customer services (Ioana came later).

Tony had informed me at that time, that about 50% of the owners had accepted the 'discounted offer' to opt out of the rental program. The accuracy of this information is open to speculation, but based on all the information gathered so far, it appears that MED is in quite a situation - having made deals with some investors, but not others, and most likely not able to obtain the permits to run the development as initially promised.

I would expect MED to use all means (fair or unfair, with legal protection) to get out of this situation, to deliver something - anything - and wash their hands of any liabilities towards investors.

I am happy to join a group and share the costs of legal advice. Please contact me via private message. or use mike(dot)stewart7575 at y.a.h.o.o.dotc.o.m.

 

[mike.stewart]

Here is the latest from a personal communication with an investor:

Some are paying the 4% Managers check made out DLD . (rationale being that at least the property will be registered in my name)

Regarding legal action: Plaintiffs may win judgements : But can they collect if defendant has no money?

Many towers that had been abandoned are now under construction. It appears that there is a government process to take over partially completed towers, but then the developer has to abandon it first. Complicated but there seems to be a process.

 

[mike.stewart]

MED broke

Based on the information in this forum it appears that MED is broke. Which means that even if investors pay legal firm and court fees, and win, it might just be a hollow win, with more money thrown out.

Have to think of other ways out!

Any suggestions folks!

M

 

[jaimeybug]

Hi Zamalliance

Are you able to copy and paste into this forum what you received from MED in terms of the Rental Agreement being cancelled and you being forced to accept 40 000 AED. Also who informed you about DEWA not supplying electricity and the fine to MED.

In addition, can you copy and paste the information from the lawyer who appears to have some success in sueing MED. At the end of the day if MED will not give us a refund of our money then it would be useful to know who this lawyer is as they may be the people to approach.
Thanking you
Jaimeybug

 

[medloser]

Lawyer Approach ?

Given all the uncertainties with lawyers, is there a way of directly logging a complaint with RERA or any other authority

 

[mike.stewart]

Sadly, RERA has no real authority to act on complains from individual investors.

 

[zamalliance]

i say we hire the lawyer who has already won cases against MED.

 

[jaimeybug]

Hi Zamalliance

Thank you for your posting. We cannot of course see the Judgement they are referring to and wonder if it is possible for you to post it? Is the law firm Nasser Mallala Advocates and Legal Consultants perhaps? Do you know the circumstances of the case they handled against MED? Was it for investors in our development, Red Residence and having won their case did they actually get paid. It is sometimes one thing to win and another to actually get paid.

Jaimeybug

 

[jaimeybug]

Hi Zamalliance

I have just come across a website which details court judgements but I need the Case No. Can you perhaps post it.
Thanking you
Jaimeybug

 

[Sophielsie]

Who has won the cases against MED ?

It maybe TLG - they emailed me stating ' “having handled several matters in arbitration including matters against MED in which we have received successful outcome.” I have asked them for specifics and what they consider to be a successful outcome

 

[mike.stewart]

Legal route

Hi all,

The legal firms would certainly like to get clients who have similar, or identical, situation as the ones they have represented recently (and won). Clearly, no one is interested in clients whose case is not strong enough (unless the lawyers simply want to take consultation fees).

So the question above by Sophielse is key:
- What precise type of SPA has given the investor the grounds for wining against MED?

MED appears to have signed different types of SPA with different investors. Some have a 'delay penalty' clause. (Mine does not). Others may have other variations which might make their claims stronger.

In my opinion, the legal way forward has a high risk of throwing good money after bad, UNLESS there is a law firm willing to detail the SPA, the investor claim, and the court ruling.
And I agree that winning a case is one thing, and getting paid by MED is another.

If you need to please send a private message or else contact me at mike.stewart7575(at)y.a.h.o.o(dot)c.o.m
(We might be able to create a mailing list to be able to exchange further details.)

 

[mike.stewart]

My rental programme was terminated and i was given a 40,000 DHS discount. It was rather a forced termination. Many emails to MED have been fruitless.

Please note:
- Discounts for termination are all discussed on individual cases and there is no transparency about it at all.
- If MED feels that one might go down the legal route, they will treat the investor with more respect, make a better deal rather than force terminate.

It is truly unfortunate that MED treats investors differently depending on their geographic location or depending on their awareness of their rights, or willingness to sue. Which is an indication of the situation MED is in.

If our case is strong, then there should be law firms willing to represent us on "no-win-no-fees" basis. Currently I don't see that.

Regards
M

 

[mike.stewart]

Min. of 5 posts

i say we hire the lawyer who has already won cases against MED.

Zamalliance: you have to make a minimum of 5 posts to contact other members via private messages.

Regards
M

 

[mike.stewart]

Isn't over till it is over

Even if one does stick with the developer and makes it to the end, there is more after MED washes their hands of the property.
I found the text below from people who have had delivery:

"We will use f&c's contracted snagger as they will act as a one stop shop for everything for us inc transfer of all funds to the 8 ot so accounts monies need to go to inc cash payments, cheques and the different accounts that dsc use for the payments like 10%, 4%, oqood, service deposits and fees, dewa, emicool and then thers all the different forms that need to be taken to other parts of dubai to compete parts of the process etc. I think dewa is a lot quicker than it used to be, around 24 hours, but youve still got to take receipts etc to dsc etc and get deeds etc. Will be interesting to see how long the snagging fulfillment takes as it wont be over until way past receipt of keys and after weve got to start paying for service, emicool and dewa...will also be interesting to see how much our bills for dewa ans emicool are despite minimal usage whilst it is empty....and then theres the selling or renting...but thats a way off yet and not worth worrying about just yet"

M