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valves007
Guest
preview opening this weekend...prices start from $221,900
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TOgirl1979
New Member
A post on the facebook thread states that the economic viability condition was extended again until July. What exactly does this mean? Does it mean that they will not continue with construction until July? Does this happen often with new condos?
simuls
Senior Member
They have again requested an extension to the Economic Viability Date, this time for an additional 4 months, or July 31/08 (13 months past the original). This gives buyers an option to be released from their agreement and receive their downpayment back (with interest), and if someone takes advantage of this, it gives CanAlfa the ability to resell that condo at a much higher price (30-40% higher since sales started in 2006).
I have no idea what, if any, effect this will have on construction, or whether this is a regular occurrence in condos - would love to find out though! They've been digging while the other extensions were in effect so I can't see it affecting construction much. I'm hoping it's just a shrewd business move to give people an option to leave or scare them into leaving.
I have no idea what, if any, effect this will have on construction, or whether this is a regular occurrence in condos - would love to find out though! They've been digging while the other extensions were in effect so I can't see it affecting construction much. I'm hoping it's just a shrewd business move to give people an option to leave or scare them into leaving.
Urban Newbie
Active Member
Can anyone on the board shed some light? If this is standard biz practice/shrewd biz, it sure doesn't speak well for this developer! Just start building already!
TOgirl1979
New Member
Bumping up.
Rumor has it that CanAlfa can't find a bank to finance the project because of current economic conditions.
If they can't find financing, what is likely to happen? Would another developer take over? Would they have to refund the deposits for purchasers of Liberty Towers, Bliss, Liberty on the Park and Liberty Townhomes?
They would take such a financial hit. Think about the money spent alone on advertising. This is crazy.
Rumor has it that CanAlfa can't find a bank to finance the project because of current economic conditions.
If they can't find financing, what is likely to happen? Would another developer take over? Would they have to refund the deposits for purchasers of Liberty Towers, Bliss, Liberty on the Park and Liberty Townhomes?
They would take such a financial hit. Think about the money spent alone on advertising. This is crazy.
yyzer
Senior Member
I truly hope that this rumour is false....could be a very bad portent if true...
Ca$trO
New Member
I can't see why a builder cannot obtain financing when the 3 projects have pretty much sold out rather quickly.......when i went in the sales lady said it was unlikey that cranes would go up end of march because canalfa needed to supply the bank with documentation that could not be supplied on-time and its likely that they will make the second deadline (i wolud be lying if i told you i remembered when that deadline would be could be april or july i dunno)
on a good note as i passed by on the Go train i thought i saw some new equipment on the site which is positive
Mike in TO
Senior Member
This would be very unfortunate to the purchasers if true.
In recent months a lot of builders/developers have become much more concerned about the market and are starting to tread much more carefully. Bank Financing is also getting much tighter, which increases the soft costs for developers and increases the level of risk for any given project on the development side (while reducing the risk exposure from the lender).
In recent months a lot of builders/developers have become much more concerned about the market and are starting to tread much more carefully. Bank Financing is also getting much tighter, which increases the soft costs for developers and increases the level of risk for any given project on the development side (while reducing the risk exposure from the lender).
Urban Newbie
Active Member
Is it possible that this project will not get off the ground? Construction still hasn't started (although excavation has) and apparently there are financial issues, or so CanAlfa is telling buyers. Is there anyone in the know who can provide more details? Any buyers who can share their experiences?
Ca$trO
New Member
with four phases announced i dont think shelving this phase is an option as it would be extreamly bad for business.
I think the real issue here is balancing getting things done in a timly fashion and keeping buyers happy.
CGM
Active Member
On their website and billboards they say "under construction" ... that's misleading... the hole has been there for some time and there obviously has been no recent activity... It doesn't look like they will finish by their final occupancy date of 2010... if it has sold well... why are they having problems with the financing?
simuls
Senior Member
I think fall of 2010 is still a doable timeline considering the excavation is done. Should take a maximum of 2 years to finish. It's hard to determine the complete outside date. Some purchasers of Liberty Village Towers have September 2010 while others have December 2010, while Bliss purchasers have another date that I would guess stretches well into 2011. Ah well, at least it'll be built before the ICE condos. Those aren't supposed to be finished until 2013! And on the upside, the King West Condo's west of us will probably be finished not that far behind so Liberty Towers won't have to live with construction beside us for years.
TOgirl1979
New Member
We bought a unit there in April 2006. In March 2007 we were able to back out of the contract, before even knowing about the whole financing issue (but thats a whole other story). We went out and bought another condo that had just begun work on the 1st floor. By May 2008 we were in our new condo and LT was and still is just an unfinished whole in the ground. We would have been miserable if we had to wait until 2010/2011.
We used to joke that the construction equipment on site was rented to give the illusion that work was taking place.
Why are they taking their sweet time?
We used to joke that the construction equipment on site was rented to give the illusion that work was taking place.
Why are they taking their sweet time?
Towered
Senior Member
Lazy.
CGM
Active Member
Their presentation centre is very impressive and reflects the spirit of the area. Their industriousness... not so much.
I will drop by their presentation centre and put them under the gun (not literally folks) and see what they spill
Why are they advertising the "next phase in fall 2008" when they can't even get this one started? Unless they are being literal... Phase 1 -> bring equipment to site, Phase 2 -> dig a hole, Phase 3 -> install a crane, etc.
I will drop by their presentation centre and put them under the gun (not literally folks) and see what they spill
Why are they advertising the "next phase in fall 2008" when they can't even get this one started? Unless they are being literal... Phase 1 -> bring equipment to site, Phase 2 -> dig a hole, Phase 3 -> install a crane, etc.