[KA1]

AURA - 2 condominium ccorporations for the residential tower

I am willing to confess that I am the one who started this whole discussion by replying to a post by dt.

Canderel has declared in the condominium documents that there will be at least 3, perhaps 4, condo corporations for the whole project -- freehold commercial, ccmmercial condominium and 2 corporations for the residential tower. I would like to restrict my post to the residential tower.

There are 3 sections of the residential tower -- floors upto 55; Executive floors ( read, expensive condos for 'suckers' like myself ) from 56 to 71 floor and Penthouse floors (read, floors for the filthy'' rich) from 72 to 75 floors.

There is proposed to be a condo corporation for the floors upto 55. A separate corporation is proposed for the flloors 56 to 75.

AKH is right about diifferent condo fee rates. Rates for the upper floors are less than the rates for the lower floors. I have not bothered to analyse the proposed budget for both cororations to see as to why there is a differene in rates. It could be that some of the expenses of the lower floors are included in the condo fees. For example, regular maintenance of heating/air-conditioning units on the upper floors is the responsibility of the owners. Maintenance has to be done by a contractor approved by the board and at the maintenance schdule set up the Board. Cost of this maintenance is to be charged to the unit owners. It could be that the maintenance of heating/air-conditioning units on the lower floor is paid for not by individual unit owner but the condo corporation. Hence, higher rates for the lower condo corporation. The condo where I live right now, maintenance cost is paid for by the condo cororation and not by me.

There was an earlier post stating that the reason for 2 corporations could be that the developer would like to see lower corporation registered separately and early to get his money fast.

There is a statement in the condo documents that the development might decide to combine both the lower and upper corporations into 1 corporation. We will have to wait and see as to what developer actually does.

Hopefully, I have given you enough 'fodder' to keep the discussions going. I am loving various posts. So, please, keep them coming.And if someone can post the latest picture of construction site, I would appreciate that.

 

[herman.fung]

Questions for those who purchased a unit at Aura. Have you scheduled a time for the colour/material selection? I just checked the website for the choices that are offered and they are pretty limited. Just want to see if anyone has actually gone to the design centre already and look at actual samples of the materials. Any feedback would be welcome. Thx.

 

[KA1]

Questions for those who purchased a unit at Aura. Have you scheduled a time for the colour/material selection? I just checked the website for the choices that are offered and they are pretty limited. Just want to see if anyone has actually gone to the design centre already and look at actual samples of the materials. Any feedback would be welcome. Thx.

Thumbnails are too small to make any meaningful choice and they can not be enlarged either. As said in the above quote posted, I would also welcome a post from anyone who has visited the design centre and have made colour choices to, please, let us know as to the choices made and, perhaps, reasons as well ( e.g. other colours did not appeal etc.).

By the way, this time, Canderel has offered more colour choices than before --different option for kitchen vanity, counter tops and 2nd bathroom. When I had purchased a unit in RoCP1, I was given an option to pick 1 colour scheme, out of 3, for the entire apartment. I understand that purchasers of a unit in Shangri-La were also given a choice of 1 colour scheme -- out of 3 or 4 -- for the entire apartment.

 

[TheKingEast]

Thumbnails are too small to make any meaningful choice and they can not be enlarged either. As said in the above quote posted, I would also welcome a post from anyone who has visited the design centre and have made colour choices to, please, let us know as to the choices made and, perhaps, reasons as well ( e.g. other colours did not appeal etc.).

By the way, this time, Canderel has offered more colour choices than before --different option for kitchen vanity, counter tops and 2nd bathroom. When I had purchased a unit in RoCP1, I was given an option to pick 1 colour scheme, out of 3, for the entire apartment. I understand that purchasers of a unit in Shangri-La were also given a choice of 1 colour scheme -- out of 3 or 4 -- for the entire apartment.

Not a fan of this because there's usually one scheme that just sucks, another one that's nice but has one thing that's ugly and then the 3rd is the best out of the bunch so everyone gets the same option.

 

[KA1]

Not a fan of this because there's usually one scheme that just sucks, another one that's nice but has one thing that's ugly

That's exactly what happened to me.

I liked the flooring of one package. However, colour of kitchen cabinets was 'horrible'. Therefore, I settled for a package where kitchen cabinet colour was acceptable but the floor colour was my second choice.

 

[edienglish]

hello, im canadian , right now,, im in another country. i bought a unit in aura 39 floor south view.. 832 sq(2br,2wash room) , + 1 parking + 1 locker.. i paid about .. (including par,lok)$ 580 per sq but if i do calculation without parking my price - 30000(parking) - 3000 (locker) = $ 540 per sq,,but im thinking to sell it ..? how much do you guys think this will sell with assignment? i mean,, fair price for me and buyer. also how's the market do you guys think with aura when its built? please reply .. thank you !!! (im not native , so sorry about if i have any mistake with my English) thanks again! =) please reply me many people!!

 

[Johnzz]

I just took a stroll down memory lane and read through the early posts on this thread. Interesting to note how pretty much all fellow UT members fostered a negative attitude to real estate investment back then. I basically gave up trying to argue “in-favor” of real estate two years ago as I was only flamed out by everyone (not on this specific thread though). Not to say things can’t reverse (although I doubt it), let’s take a look at how correct these calls for doom and gloom have been since I posted this data below (post #54):

Average GTA House Price
Year Price % Increase
1966 $21,360 0.00%
1967 $24,078 12.72%
1968 $26,732 11.02%
1969 $28,929 8.22%
1970 $29,492 1.95%
1971 $30,426 3.17%
1972 $32,513 6.86%
1973 $40,605 24.89%
1974 $52,806 30.05%
1975 $57,581 9.04%
1976 $61,389 6.61%
1977 $64,559 5.16%
1978 $67,333 4.30%
1979 $70,830 5.19%
1980 $75,694 6.87%
1981 $90,203 19.17%
1982 $95,496 5.87%
1983 $101,626 6.42%
1984 $102,318 0.68%
1985 $109,094 6.62%
1986 $138,925 27.34%
1987 $189,105 36.12%
1988 $229,635 21.43%
1989 $273,698 19.19%
1990 $255,020 -6.82%
1991 $234,313 -8.12%
1992 $214,971 -8.25%
1993 $206,490 -3.95%
1994 $208,921 1.18%
1995 $203,028 -2.82%
1996 $198,150 -2.40%
1997 $211,307 6.64%
1998 $216,815 2.61%
1999 $228,372 5.33%
2000 $243,255 6.52%
2001 $251,508 3.39%
2002 $275,231 9.43%
2003 $293,067 6.48%
2004 $315,231 7.56%
2005 $335,907 6.56%
2006 $351,941 4.77%
2007 $376,236 6.90%
2008 $379,347 0.83%

The average yearly compounded growth of a home in the GTA during this period was 7.09%.

Now we can add:

2009 $395,400 4.25%
2010 $431,463 9.10%
2011 $477,407 10.65% (April)

As I said in this original post 2 1/2 years ago:

Most central bankers in the world (FOMC, ECB BoC, BoJ, etc…) have explicit (or implicit) goals to maintain inflation between 1% and 3% per year forever. This is easy to do as we now have a “fiat” (paper) monetary system. Most systems withdrew from the gold standard (money supply based on amount of gold in the vault) after Richard Nixon in 1971. It is now extremely easy for central bankers to maintain a positive inflationary environment as they just print more money (or type a few keys on a keyboard). The next few years will prove to be difficult for central bankers (no question) but don’t you worry, central bankers will prevail (I wouldn’t bet against them!). Basically, the way most financial systems work today, inflation acts as a form of stealth tax on the masses. Your living standards are continuously eroded by inflation (a dollar today will be worth about 1 cent next century). The reason governments support this system is that it’s a great way to secretly reduce national debts. These huge gov’t debts continuously decrease in relation to the overall economy, thus becoming more manageable and easier to pay off.

This is the beauty of real estate investment. Provided you invest in the right area at the right price, don’t over leverage (never invest with just 5% down), and are prepared to wait, you will handsomely out perform most any other asset class. You’re basically taking advantage of the system in the same manner as governments. Let it work for you and not against you!

2008 sure feels like a long time ago, but events have basically unfolded as predicted. Furthermore, central banks will continue holding target rates well below inflation, thus maintaining negative "real" rates for the foreseeable future. Nominal rates can certainly rise, but they'll remain below inflation. During a sustained period of negative real interest rates, wealth transfers from the savers (people who buy bonds, gic's, etc) to debtors (Governments and other borrowers).

Take a look at this new working paper from Carmen Reinhart:

https://www.imf.org/external/np/seminars/eng/2011/res2/pdf/crbs.pdf

Here’s a quote:

Historically, periods of high indebtedness have been associated with a rising incidence of default or restructuring of public and private debts. A subtle type of debt restructuring takes the form of “financial repression.” In the heavily regulated financial markets of the Bretton Woods system, several restrictions facilitated a sharp and rapid reduction in public debt/GDP ratios from the late 1940s to the 1970s. Low nominal interest rates help reduce debt servicing costs while a high incidence of negative real interest rates liquidates or erodes the real value of government debt. Thus, financial repression is most successful in liquidating debts when accompanied by a steady dose of inflation.

Unfortunately for retirees, negative real rates are here to stay. Hmm... If financial repression worked so well for governments to reduce debt after World War II, I wonder if they'll try it again?

I suggest building your investment portfolio around this premise.


Sorry, this post wasn't directly related to Aura, but I believe any purchaser in this building will not regret it!

 

[KA1]

Johnzz, welcome back to the Board. I wish you had made this post in the thread "baby, we have a bubble". That's where all the doom and gloom sayers are residing.

About 6 months ago, in one of my posts in the the thread 'baby, ..', I had stated that, going forward, the prices might not increase at the rate they have been going up in the recent past, however, they will not go done by 15 or 25% -- as a few individuals have been mentioning. I was, in effect, told, politely, to wake up and "never take good luck for good judgment". I am glad you are on my side.

Perhaps, you could move your post in the thread ' baby, we ..', or make another post there. Watch out for the naysayers ready to devour, though.

Please come back to the thread '' baby, ..'. That's where the lively discussion is.

 

[kondoz]

hello, im canadian , right now,, im in another country. i bought a unit in aura 39 floor south view.. 832 sq(2br,2wash room) , + 1 parking + 1 locker.. i paid about .. (including par,lok)$ 580 per sq but if i do calculation without parking my price - 30000(parking) - 3000 (locker) = $ 540 per sq,,but im thinking to sell it ..? how much do you guys think this will sell with assignment? i mean,, fair price for me and buyer. also how's the market do you guys think with aura when its built? please reply .. thank you !!! (im not native , so sorry about if i have any mistake with my English) thanks again! =) please reply me many people!!

It also depends on what your downpayment was. And how much did you pay originally? 580sq ft x 832?

 

[Johnzz]

Please come back to the thread '' baby, ..'. That's where the lively discussion is.

Haha, thank you Ka, but no thank you. Been quite busy these days and quite honestly don't have the energy to keep repeating the same thing over and over. People see what they want to see I suppose. Sure, there's reason to be cautious, but most members here seem so blinded by fear, they fail to recognize what's important and what isn't.

I've also purchased at Aura (some 70+ floor units in late 2008 and early 2009) so I'm certainly keeping a close eye on this project.

Anyways good luck.

 

[Johnzz]

hello, im canadian , right now,, im in another country. i bought a unit in aura 39 floor south view.. 832 sq(2br,2wash room) , + 1 parking + 1 locker.. i paid about .. (including par,lok)$ 580 per sq but if i do calculation without parking my price - 30000(parking) - 3000 (locker) = $ 540 per sq,,but im thinking to sell it ..? how much do you guys think this will sell with assignment? i mean,, fair price for me and buyer. also how's the market do you guys think with aura when its built? please reply .. thank you !!! (im not native , so sorry about if i have any mistake with my English) thanks again! =) please reply me many people!!

I'd personally wait until nearer completion, if you need to sell. The final product will impress far more than current renderings.

I'm guessing your unit is currently worth $625-$675/sqft with parking. So since purchasing, you've earned approximately 40% to 80% gross return on your initial $96,500 deposit.

 

[herman.fung]

Hi I've just scheduled a time to select my materials today in July and am wondering if anyone has made their selection already. I asked Kathy who scheduled my appointment whether there is any upgrade available (and whether I have to pay upfront) but she said the builder will not do any upgrades at all. I guess not allowing any upgrades can speed up the process and get the building done faster but I am still surprised by this. For those who have done it, please share your experience.

 

[KA1]

Hi I've just scheduled a time to select my materials today in July and am wondering if anyone has made their selection already. I asked Kathy who scheduled my appointment whether there is any upgrade available (and whether I have to pay upfront) but she said the builder will not do any upgrades at all. I guess not allowing any upgrades can speed up the process and get the building done faster but I am still surprised by this. For those who have done it, please share your experience.

This is normal for Canderel. I live in RoCP. I was also told that 'no upgrades' not even stainless steel appliances which were being given as 'standard' for units on the upper floors.

If you don't mind, I would like to know as to which floor your unit is and the expected date of occupancy you have been given. I have purchased a unit on the upper floors -- 50's -- and, so far, I have not heard anything from Canderel. Further, whenever you have made your selection of colours, I would appreciate if you make a post about the colours and your experience in dealing with design centre.

Hopefully, if someone has already made a selection, they will post their comments to help you.

 

[herman.fung]

Thanks for the reply KA1. I bought the unit on the 31st floor and will definitely post an update once I've through the selection process. It's my first time buying a pre-con so I am excited about it.

 

[KA1]

Thanks for the reply KA1. I bought the unit on the 31st floor and will definitely post an update once I've through the selection process. It's my first time buying a pre-con so I am excited about it.

Thanks.

Any idea about the date of occupancy given to you?