24/07/2015
Buy Property or Buy "GRAVE STONE"
This "ABANDONED" project is call "THE BOSS HOTEL SUITE" by Hotwer Development Sdn Bhd.
Below is the news by TheStar claiming that this project has been stalled for some time already.
http://www.thestar.com.my/Metro/Community/2015/07/23/Concern-over-abandoned-project-Liquidators-in-talks-with-buyers-to-decide-future-of-development/
WHY THIS DEVELOPER FAIL ???
Let me explain to you 1 by 1:
1. First time Developer.
2. Only have 2 Bank as End Financier. (bank dont support this project from beginning).
3. Unrealistic Promising GRR (7.5%pa @ 3yr + 3yr + 3yr @ 10%+ every 3yr contract).
4. Sign GRR contract to purchaser with a RM2.00 leasing & management company.
5. A developer who is ONLY "24 year old".
6. A property without HDA compliance (Housing Development Act)
7. Character & Personality of the Managing Director of this company isit important?
- Woman
- Gamble
- Drink
- Drugs
8. The BOSS Hotel Suite at RM750psf is like Selling LOUIS VUITTON at Klang.
9. A company that dont pay their Contractors.
10. A company without a single track record.
And so many other reasons... Why why why !!!
Ps : This is *only ONE OF A REASON how property investor lose money eventhough they think property investment is the safest among all asset classes.
Conclusion is : this project is a BIG LESSON for all of us to learn that there are NO such thing as the word "GUARANTEED", furthermore dont mention "GUARANTEE RENTAL RETURN (GRR). Build also canot complete dont talk about GRR.
To be continued..
P/s : the construction almost complete already but developer abandoned it. He doesnt wana complete the roof structure and the CIRCLE because he scared later the hundreds Owners will climb ontop to Hang his BILLBOARD SIZE PHOTO and officially Guiness Book of Record will come to witness the BIGGEST TOMBSTONE in the world.
You say pantang or not la, as a developer Why would they choose to design a structure like a TOMBSTONE at first? Isint it Digging his own Grave? If you believe TABOO.
Most of the times, Real estate is also about Fengshui and Energy.
Sources by : JL™
CONSTRUCTION work on The Boss, one of Klang’s most talked about development projects, has been abandoned halfway, dealing a cruel blow to 300 investors who were initially guaranteed huge returns on their properties.
