25 Feb 2010 4:35 PM:
hello major,
I visited the site back in spring 2007 when I first invested and it was, as now, a piece of rustic/farm land but understandable even now at pre definative planning consent. My uneducated knowledge of the planning system in Spain is that it is similar to that in the UK in that getting outline planning is the major hurdle with definative planning merely being the final council agreed plan blue print and if that is the case then at least we've got outline.
When you were there in Jan, did you notice any works to the train line? This, up dated station and hi speed connection, is apparently the first change albeit a government thing and with no direct involvement in the development. This will help going forward and with potential uplift.
I too have been dealing with Andrew Segal. I'm concerned about the flip position like you thinking surely most investors went in on this basis, certainly if invested through IPIN what with their marketing strategy based this way. Andrew won't confirm directly that the majority are looking to flip, saying roughly half but that he was hoping that many would be swayed to stay on board following the upcoming presentation/seminar. Interestingly, he said that they no longer intend to do the propsed 1 in 10 sales system; if you recall, it was initailly proposed that part of M&C's dedicated resale programme would give priority to investors in the same order of when the investment was made at a ratio of 1 investor plot to 10 non-investor held plot. He said that with the additional uplift again anticipated with definative planning M&C will hold on to their witheld plots til then to max their profit. At least therefore ours should be flipped only in direct order. I share you concerns though regarding over stock of flip investors with little market demand. Andrew had previously spoken of investor groups considering baulk plot purchases and if these included ours then fine, reduced profit is better than loss.
I am waiting in anticipation to see their next intended strategy but feel they will make a big play on investors retaining the plots to max profits following definitive planning. I did ask Andrew what he thought the likely value of the plots would be now, given the decline in the market. If you recall, we were advised the minimum value with outline planning would be £150,000 back in 2007; given the change in Euro to sterling to near parity since and the changed market conditions, he advised around £90-100,000, obviously he stressed this was merely a guessimate and it could well be more or........less. Of course this still brings up the question of demand or probable lack of it.
Let me have your thoughts and bring on these proposed seminars/presentations.
Good to be able to chat to someone else involved and hope I haven't waffled and duplicated too much.
Regards, Marcus
Community thread:
The Banks Cash Point Scam
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