UDI to participate in OV buyer lawsuits

The Urban Development Institute is the public voice of Real Estate developers in BC and they have recently been given the right to participate as an intervenor in the case against the Olympic Village by 34 presales buyers.

The group of buyers is trying to get out of their contracts by claiming that the City of Vancouver should be considered a ‘developer’ in this case and their lack of disclosure statements means the contracts shouldn’t be binding.

The plaintiffs argue that the City of Vancouver and the company who was selling the units were “developers” within the meaning of the Real Estate Development Marketing Act , S.B.C. 2004, c. 42 (“REDMA”) such that they were required to sign disclosure statements.  REDMA defines developer as “a person who, directly or indirectly, owns, leases or has a right to acquire or dispose of development property.”

REDMA is relatively new legislation, proclaimed in 2004. The definition of developer has not yet been addressed by the Court. The plaintiffs described this case as one which “has the potential to fundamentally alter developer’s responsibilities to purchasers in British Columbia”.

The UDI will now have a chance to help define the definition of developer as used in the REDMA.

Read the full article over at getlegal.ca

Sort by:   newest | oldest | most voted
specialfx3000
Member
specialfx3000

Perhaps just coincidences but I thought I Google a couple of the non-Asian names to wonder what they do.

Who’s worse? One’s a (dead) ganster and the other a Realtor.

http://www.vancouversun.com/news/gangster+Gisby+brutally+murdered+Mexico/6536360/story.html

http://global.remax.com/AgentProfile.aspx?AgentID=1029592036

Softy
Guest
Softy
The lawyer for the OV buyers looks to be the same one that is representing Prime Minister Kim Campbell. He may even be the lawyer for Vancouver Olympic boss John Furlong. http://www.harpergrey.com/lawyer/bryan-baynham/ Here is a list of media articles that Bryan Baynham was quoted in: •Headline: Former PM and 12 others Sue condo developer – The Province-Article – March 17, 2013 •Headline: Former PM Kim Campbell suing Vancouver developers over tardy condo – The Globe and Mail – Article – March 15, 2013 •Headline: Toronto condos no Shangri-La for unhappy B.C. buyers – Business in Vancouver – Article – March 15, 2013 •Headline: Condo buyers breaking contracts as prices fall – Canadian Business Magazine – Article – November 27, 2012 •Headline: Family Defends VANOC CEO against abuse allegations – The Globe and Mail – Article – January 23, 2013 •Headline:… Read more »
Son of Ponzi
Guest
Son of Ponzi

Thanks Softy for this information.
There’s a lot of information about litigation concerning the OV on this lawyers website.
Go to the tab: Events & News.
The OV was rushed through and there were some serious deficiencies right from the beginning.

Skook
Member
Skook
Off-topic Over the last five months, I noticed an unusual number a MLS listings appear for units at what was the most successful development on the Sunshine Coast. I did some researching and found some interesting data but decided to set it aside because I was sick of posting stuff about Sechelt and wanted to move on. Well, after following your discussions here with ‘Softy’, I decided to tackle that Wakefield Beach info, finish the research and pull it together into a, hopefully, intelligent post which is now up in the VanPeak forum. http://vancouverpeak.com/Thread-Real-Estate-Investing-Sunshine-Coast-Style-Life-s-a-Wakefield-Beach I would like dedicate this new post to you, Softy, for your faith in a RE soft landing and to all of you who have attempted to enlighten him. Finally, I would like to recommend that you visit a few of those Samji links near the… Read more »
YVR
Guest
YVR
There is a huge risk these presale purchasers are taking on by not completing. In addition to their own legal fees which will be significant they are responsible to make up the difference for what the developer can sell the unit for, RE commissions, marketing costs, court costs and the developers legal fees. I notice the lawyer does not provide any information on cases he has won for presale buyers in the past. To make this case more difficult the developer went bankrupt so there is nobody to sue except the City who is a creditor. Usually the only ones who gain anything is the lawyers. From the Lawyer’s website: What is at risk for pre-sale purchasers? If you do not complete, the developer/the City will sell your unit and seek the difference from you, which could be significantly more… Read more »
VanRant
Member
VanRant

Its refreshing to see a Realtor that’s sitting on the other side of the fence.

http://www.patrickgunville.com

Son of Ponzi
Guest
Son of Ponzi

Until now, I always thought that the main beneficiaries of the RE boom/bubble were the developers and the RE agents.
But, after reading all the material presented here recently, it may be the RE lawyers who are taking the lion’s share.
And, as the prices continue to drop, litigations will continue to increase, as disgruntled buyers will try to weasel their way out of their obligations. Many of them, for the first time, will find out that a signature is more than just their name on a piece of paper.
I also wonder how many law students are specializing in RE law right now?

tedeastside
Member
tedeastside

take away people flipping houses to each other and Vancouver has zero economic activity

Naked Official #9000
Guest
Naked Official #9000

@ted 8 – that’s not true, and you know it!

we have cocaine, weed and cactus clubs

Randy Randerson
Guest
Randy Randerson

And invisible Lululemon pants.

YVR
Guest
YVR

Looks like in addition to a bunch of amature landlords and flippers we have some mortgage lenders in trouble.

We are looking to sell a 1st mortgage on a Vancouver, West side property at a substantial discount.

http://vancouver.en.craigslist.ca/van/bfs/4023037020.html

YVR
Guest
YVR

And it a Realtors phone number on CL ad trying to sell the mortgage.

http://wesellbchomes.com/contact/

VMD
Member

G&M: As rates rise, beware of mortgage renewal surprises
Aug. 26 2013

Current fixed rates are still lower than they were five years ago, but it’s a different story with the once-popular variable rate mortgage. Veteran mortgage broker Vince Gaetano of MonsterMortgage.ca says he has clients coming in with maturing variable-rate mortgages at 2.1 or 2.2 per cent, an all-time great deal. “They know their cash flow is going to get crunched,” he said.

patriotz
Member

We are looking to sell a 1st mortgage on a Vancouver, West side property at a substantial discount.

Sounds to me like a seller offered vendor financing to a buyer who was turned down by the banks and CMHC.

Well guess what? They got it right.

But something stinks here. The poster claims the property has ~$500K, yet claims the buyer of the mortgage will have to foreclose to get the principal back. Why doesn’t the owner just sell?

oneangryslav2
Guest
oneangryslav2

“But something stinks here. The poster claims the property has ~$500K, yet claims the buyer of the mortgage will have to foreclose to get the principal back. Why doesn’t the owner just sell?”

Exactly what I was thinking. If the deal is legitimate (ya, right!), then there is the opportunity for somebody to swoop in and make some quick and easy money.

YVR
Guest
YVR

patriotz: “But something stinks here. The poster claims the property has ~$500K, yet claims the buyer of the mortgage will have to foreclose to get the principal back. Why doesn’t the owner just sell?”

Yes at minimum there are other debts/mortgages on the house otherwise yes the current owner would just sell it. Could be back taxes ahead of the mortgage too. The realtor has a property that matches the description for sale on his website.

Manatee
Guest
Manatee

I’ve written a script to process that real estate statistics dump from the weekend. I need to de-bug one more section (and hopefully not more) but I should be able to put a link to it on here this evening. It’s all written for Google Spreadsheets and I’ll include instructions if anybody wants to use it. Sorry I don’t have a version for Excel.

The script automatically filters out any intermediate prices and puts the first and last posted prices with their dates onto one line. It puts this onto a separate sheet so you can compare the original data against the filtered results in case there’s any extra bugs.

gokou3
Guest
gokou3

“But something stinks here. The poster claims the property has ~$500K, yet claims the buyer of the mortgage will have to foreclose to get the principal back. Why doesn’t the owner just sell?”

Well, assuming the lender and the homeowner are two parties, the homeowner could be current on this mortgage but somehow the lender needs to cash out on his asset (the loan). Of course the lender cannot sell the property because he’s not the homeowner.

There’s not necessarily anything fishy here.

Joe
Guest
Joe

“Well, assuming the lender and the homeowner are two parties, the homeowner could be current on this mortgage but somehow the lender needs to cash out on his asset (the loan). Of course the lender cannot sell the property because he’s not the homeowner.

There’s not necessarily anything fishy here.”

How can you foreclose when you say the homeowner is current on this mortgage. dud?

Devore
Member
Devore

“Why doesn’t the owner just sell?”

The owner can’t service the mortgage, nor apparently can the mortgagor afford to not be paid back for the duration the house would be on the market to sell in this price range. Probably his own primary mortgage relies on these payments. So the owner is walking, and the vendor needs a bag holder.

Whatever the situation, I am sure he was plenty :smug: about making bank on this VTB mortgage. All these things work until they suddenly don’t.

Aggregator
Guest
Aggregator
@YVR Says “In addition to their own legal fees which will be significant they are responsible to make up the difference for what the developer can sell the unit for.” Although that’s true, it’s a catch 22 because if developers liquidate units below market value, they’d be undercutting other presale owners and their own inventory, if any. I’m not sure about the legalities of doing that, but I’m pretty sure presale owners would have an arguable legal case if a developer were to firesale units before completion. Developers can handle a few defaulted units here and there. The problem is when presale owners start defaulting in bulk because they can’t flip or assign their unit, so they have to get a mortgage that they never intended to get. If I was in that situation I’d rather default, lose my deposit… Read more »
gokou3
Guest
gokou3

“How can you foreclose when you say the homeowner is current on this mortgage. dud?”

Ok, i missed the part where it says “The property will have to go into foreclosure to recover your money.” — my bad, I somehow misinterpreted it as a hypothetical scenario and not an actual one.

Aggregator
Guest
Aggregator

@Manatee

If you (or anyone) has the data on a Google spreadsheet, you could build a free database search with this site. http://multimedia.journalism.berkeley.edu/tools/freedive/wizard

That would avoid page loads and allow users to search properties more easy, i.e., by address, price range, etc.

RealityCheck
Guest
RealityCheck

There is too much money awash in the World. RE is expensive because you don’t have any…you are an indentured laborer (brainwashed?).

BTW,

Tesla, a new car company, has a market capitalization of $20 Billion. Yes Billion. A friend at University turned his $10,000 into $600,000.

India has 1 Million households with land holdings (no mortgage) of at least $4 Million. Now, would a $1 Million dollar Vancouver home seem absurd to them?

paulb
Member
Active Member

New Listings 207
Price Changes 114
Sold Listings 143
TI:17397

http://www.paulboenisch.com

wpDiscuz