Recently, Huangpu Life Hui received feedback from home buyers that two real estate projects in Huangpu have been postponed, what is going on?
01.
Huangpu Innovation Center Project
The first is the real estate located in Lao Huangpu - Innovation Center, and I also saw the recent request for help from buyers on the leadership message board, "I purchased Agile Innovation Center in 2021, and the contract agreed to deliver the house on September 30, 2023, but it has not been notified of the delivery until now, which has brought a lot of difficulties to our living and accommodation....."
▲ Image source/leadership message board
It is understood that the Huangpu Innovation Center is a complex project covering office buildings, commercial buildings and apartments, and the plot where it is located belongs to the collective land of Hengsha Economic Association, and the apartment purchased by the owner essentially has no property rights, only the right to use.
Huangpu Innovation Center covers an area of about 110,000 square meters, with a total construction area of about 400,000 square meters, a house type of about 27 square meters - 53 square meters, and an average price of 10,000 + / square meters.
Up to now, nearly a year has passed since the original contract agreed on the delivery time.......
▲Photo source/Huangpu Life
In January this year, some villagers in Hengsha went to the Huangpu Innovation Center (the affiliated company is Guangzhou Yajing Investment Co., Ltd.) to defend their rights, mainly related to the rent arrears dispute in Hengsha.
It is understood that Hengsha and Agile cooperated in the early years to transfer the right to use the collective land for 40 years, and the property built by the relevant plots in Hengsha got back 4 percent, and then signed a leaseback agreement to rent back 35 yuan per square meter per month.
However, the rent collection began to be abnormal in 2022, and in 2023, Agile is still in a state of deferred rent payment, and the relevant properties have not been fully delivered to Hengsha.
Photo source/Hengsha villagers
At that time, Agile gave feedback to the villagers in Hengsha on the explanation of the rent payment of the leaseback property.
Agile said that the Huangpu Innovation Center project is a joint development project between Hengsha Economic Associated Press and Yajing Company, due to the construction of the government's key project Metro Line 7 and the construction period is delayed by 14 months compared with the original plan, and the surrounding roads have not been opened so far, resulting in the construction of buildings 6 and 7 cannot be constructed and operated, and the problem of the construction of the subway land covering the land has been reported to the Dasha Sub-district Office to confirm that the situation is true, so there are doubts about the calculation of the rent return, and the rent can only be paid after the dispute is resolved.
▲Photo source/Huangpu Life
In the context of the deterioration of the economic environment after the epidemic, the serious decline of the housing market, especially the rental market, and the fact that real estate companies have exploded and fallen flat, the company still continues to invest in projects to ensure the delivery of buildings, and negotiates with the leaders of the village committee to pay interest loans to the village to pay rent back.
To sum up, ideally, the maximum service life of the apartment project is 40 years, and it is worth it to weigh it yourself.
▲Photo source/Huangpu Life
02.
City Vientiane Project
The second project that was delayed is the urban Vientiane project located in the Huangpi section of Huangpu, which is also a non-property right apartment.
The buyer said that according to the purchase contract, it should be delivered on May 1, 2024, but in fact it could not be delivered, and it was later negotiated to be delivered on July 31, but he said that it was not possible yet, and it was estimated that it would be the end of the year.
The relevant department replied that the developer had communicated with you to negotiate the issue of delaying the delivery of the real estate project and proposed a compensation plan. If the two parties fail to reach an agreement, it is recommended that you protect your legitimate rights and interests through legal means. At the same time, the developer is also speeding up the construction progress of the project, striving to deliver it in batches around the Spring Festival in 2025.
▲ Image source/leadership message board
Huangpu Life Hui also visited the project, and at that time, there was a very conspicuous sales advertisement hanging next to it, with the words "Rent and support LOFT light assets to help you realize", "The total price is 2X million" and so on.
▲Photo source/Huangpu Life
The condominium project also posted relevant notices in the sales department to explain the nature of the project.
The land owner of the city of Vientiane is the Baishi Economic Cooperative of Huangpi Community, Huangpu District, and the land use nature is commercial facility land and commercial facility land, and the land use period is 40 years.
Guangzhou Huafa Property Development Co., Ltd. will develop and construct the project on the above plot after approval.
The City Vientiane project does not belong to commercial housing, but only belongs to the acquisition of property use rights through paid leasing and other means, and there is no property right certificate.
▲Photo source/Huangpu Life
A total of 6 buildings and about 10,000 square meters of commercial buildings are planned in Vientiane. Buildings 1, 5 and 6 are owned by the developer and are planned to be office buildings in the future. The remaining buildings 3 and 4 are apartments for sale, with a height of about 17 floors.
At that time, the products were available from 28 to 65 square meters, with a unit price of about 8,000 yuan/square meters, and the lowest total price was less than 250,000 yuan.
▲Photo source/Huangpu Life
In fact, the "purchase contract" of a non-titled apartment is actually a long-term lease contract, with a common term of 40 years. According to Article 705 of the Civil Code of the People's Republic of China, the term of the lease shall not exceed 20 years. If it is more than 20 years old, the excess part is invalid. Upon the expiration of the lease term, the parties may renew the lease contract; However, the agreed term of the lease shall not exceed twenty years from the date of renewal.
However, in many of the actual transactions of non-titled condominiums, two lease agreements are signed at once, one for 20 years and the other for the remainder of the lease renewal. Strictly speaking, this kind of advanced operation has no legal effect at all, and the associated risks should be carefully considered when purchasing.
Photo source/Huangpu Life
However, this does not mean that no property title apartment can not be bought, although there are many restrictions on self-occupation, but it is better to have a low threshold for getting on the bus, which can be used as a transitional residence; As an investment product, it is necessary to fully evaluate its investment rate of return and choose an apartment with a high-quality location + high rental rate.
After all, the service life is here, and the longer it drags on, the more the residence, rental income, etc. will definitely be affected, I hope the developer can solve the project stuck point and achieve delivery as soon as possible.
If it involves issues such as breach of contract or compensation, it is recommended to resolve it through legal means if the negotiation fails.
This article is for discussion purposes only and is subject to change.