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Calling all investors impacted by Alpha Student Management and Emerging Property LTD

Discussion in 'General Property Investment Discussion' started by Waqas, Dec 30, 2018.

  1. Waqas

    Waqas New Member

    This is message for all investors impacted by Alpha Student Management (ASM) and Emerging Property LTD.

    I bought a Student studio buy to let property via Emerging Property ltd with guaranteed 10% yield for 10 years. Recent email from Management company indicates no rent payment for 3q18 and 1q19 and reduce rent going forward.

    If you are impacted pls get in touch we need investors to work collectively to fight for breach of contract.

    Thanks
    Waqas Anis
     
  2. diyhelp

    diyhelp Active Member

    It might be helpful if you could post some more factual infomation about the situation to help others? Please remember it needs to be factual information to avoid any legal issues.
     
  3. Cec8

    Cec8 New Member

    I am also an investor with Emerging Property, having several units at Jubilee Court. I have also had this problem - shortfall on October's payment and just before Christmas an email which mentions nothing about making up the payments in 2019 as previously promised and is now planning to change the terms of our contract and charge us ground rent and service charges which were meant to be free for 10 years.
    I would be very interested to get together with people in the same position to take collective action as you suggest Waqas. How would we be able to do this as our only connection is through this forum. Is there a way? I'm not very good with technology.
     
  4. Jan lee

    Jan lee New Member

     
  5. techno

    techno New Member

     
  6. techno

    techno New Member

    Hi, I understand it probably impacts all landlord investors of student units sold by Emerging Property as I have a unit in Foundry 1. I would like to see what Andrew Crump of EP advises (from his email that he will get legal advice in the next week or so) first as appears EP are just as in the dark. However they are certainly in breach of contract and I agree it would make sense to take collective action once we have further information.
     
    Last edited: Dec 31, 2018
  7. GeoP

    GeoP New Member

    Hi, I also have 2 units at Foundry 1 and agree that we should wait to see what EP advises after consulting with their lawyers. I have already suggested to Andrew Crump that if legal action is required that we should do it collectively as a single group of landlords. Perhaps EP would be able to coordinate this as they have everyone's contact details, but let's first wait for further news from them after 3 Jan.
     
  8. Cec8

    Cec8 New Member

    So are there the same issues at Foundry 1 too? I thought it was just at Jubilee Court. I received the same email from Emerging Property (re. seeking legal advice) just after I had written my previous message on 31st Dec.
    It is good that they seem to at last be taking an interest. Their initial response to me when this matter first arose following the shortfall payment in October, was that it was nothing to do with them and that I would need to deal directly with Alpha. I found this less than helpful as they had sold me the units and assured me that the management company initially in place was a long term tried and tested company with experience in student properties. This very same company who has caused all the problems this year and have now been removed! So I would have expected them (Emerging Property) to have taken a slightly more active role before now.
     
  9. Richard P

    Richard P New Member

    It appears that this problem is spreading through Alpha Properties many different companies. I have one unit at Jubilee Court, Preston;one at Scholars Village, Bradford which are already affected; & now the rent for my unit at Ilfracombe Holiday Village has not come in!
    I have contacted Gordon Brown Law firm who acted on the initial purchase, & am waiting for their reply.
    I also think that a collective approach would be a good way forward.
     
  10. GeoP

    GeoP New Member

    I expect that all properties under Alpha are affected. EP are of course now taking much more of an interest as it directly impacts their business. The whole basis behind their business model has now crumbled and what they are selling has now become, essentially, a lie. So it is definitely in EP's interest to get this resolved as soon as possible and, if necessary, get Alpha replaced with a management company that has all the experience and integrity that they initially had and should expect.
    This may be our saving grace, but in the short term we now own properties that are not returning what we signed agreements on and which we cannot sell. Who would want to buy them under the present circumstances? Happy new year indeed ...
     
  11. Cec8

    Cec8 New Member

    I don't understand how the Ilfracomebe Holiday Park is affected by Alpha Student Management. Surely the same company aren't managing both types of properties (holiday lets and student accommodation). I also have a unit at Ilfracombe as well as my units at Jubilee Court so it's a double whammy.
     
  12. GeoP

    GeoP New Member

    It could be that the Holiday Park payments are just late due to new year holiday period. Check your lease/underlease agreements to see who you contracted with. I doubt it would be ASM, at least I hope not. Although I don't own one myself, I did recommend the investment to a good friend who subsequently bought at Ilfracombe too.
     
  13. Richard P

    Richard P New Member

    I hope that is the case, however, I don't see why payments should be late as they should be set up for ecectronic funds transfer in advance - my other payments (not from Alpha) due on 1st Jan. arrived today (2nd)!
    I've also sent a message to Andrew Crump at Emerging Properties - waiting for a reply.
     
  14. Richard P

    Richard P New Member

    The payment for my unit at Ilfracombe Holiday Village has still NOT come in today, 3rd, so this problem seems to effect most if not all Alpha properties.

    I'm waiting from a response from Andrew Crump of Emerging Properties & Gordon Brown Law Firm who handled the initial purchase & lease back of my units. I'll post a summary of their reply when I get one.
     
  15. Simon Manning

    Simon Manning New Member

    I own a unit in the Foundry. Am awaiting the advice that EP obtain before deciding what to do. Happy to be part of a bigger gang. My pension and future livelihood are at stake here.
     
  16. techno

    techno New Member

    I agree with an earlier post that a possible way forward may be for us to remove ASM completely from managing the buildings and appoint another management company, even Mezzino (depending on their costs/terms) as they used to manage many of the ASM owned buildings. I personally do not believe that there was ever any financial dispute between ASM and Mezzino or payoffs, if a new management company can operate the units on a more cost effective basis then there is no reason we cannot still have decent yields and sellable units. Meanwhile will see what Andrew Crump of EP reverts back with as he still has a responsibility to the investors.
     
  17. John G

    John G New Member

    Am in the same position as several others here as we have purchased units at Scholar’s Village, Bradford and the newly completed QStudios in Stoke together with a holiday unit at Westbeach, to give us income in retirement. The emails from first Alpha and then Andrew Crump have resulted in us having a far from happy new year as we await news on just how bad the situation is and if anything can be done to salvage it.
     
  18. Richard P

    Richard P New Member

    I've just had an initial first reply from Gordon Brown Law Firm (GBLF). They only became aware of the problems yesterday when they returned from the Xmas break.

    It appears that 16 different sites/locations are affected!!!

    GBLW are treating this as an urgent matter, however, owing to the number of different properties/owners involved it will probaly take some time before they can suggest a way forward.

    In the meantime, I'm looking forward to what Emerging Property has to say.
     
  19. John G

    John G New Member

    So it is now the weekend and so far I haven’t heard anything from Emerging Property. Don’t know if anyone else has? Could have done with some communication before the weekend rather than having to go another 48+ hours being kept in the dark.
    I rang GBLF this morning and spoke to one of their solicitors who’d been dealing with my purchases. They seem to be taking the matter extremely seriously and were reviewing the contracts very thoroughly so they could send out an email briefing their clients very thoroughly on the situation and recommend what possible action could be taken. He said that because of the amount of work involved and their desire to make sure it was completely aaccurate they probably be able to send it out till Monday.
    I did get the feeling that they were intending to do everything they could to assist the clients who’d bought the properties through them. I’m not sure whether they were intending to send the email to all clients or just the ones who’d contacted them so it might be worth getting in touch with them on Monday if you don’t get their email.
     
  20. Richard P

    Richard P New Member

    I e-mailed EP on 2nd. Jan. to say that the problem was also at Green Parks Holidays (Ilfracombe) Ltd, & I received a reply today saying that they were trying to get more information.
    Its a very frustrating situation, however, I too think that GBLF are taking the matter very seriously.
     
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