Anyone got any infomation about the Tambrey Development in Karratha WA it is being done by MLG and since paying the deposit the company does not return emails or give correct information about the development wondering if anyone has any infomation about it?? I am locked in and getting no feedback, I am sure it will all work out since I live up here but still does not help when completion was due early 2011 and they have not even put shovel to dirt!Scott No MatesParticipant@scott-no-matesJoin Date: 2005Post Count: 3,856
Get on the phone – their office, your solicitor, their solicitor etc
Send all of the above a fax as well.
I also bought an apartment off the plan earlier this year and have had little or no luck seeking progress information. Last I heard (about 1 month ago), the assigned builder went into liquidation. The developer is now seeking a new builder for the project. I spoke to my solicitor who then spoke with the developers solicitor and was advised that they had not been provided with any information and as far as they were concerned the project was still anticipated for completion late 2011.
I have also been chatting with a local agent who has told me that because the development is multiple stories getting a builder was difficult due to construction costs. (ie cost of bringing up a crane to Karratha etc)
Additionally, I believe that the main building (the one with the pool and reception area) was being sought by a consortium of overseas investors and the developer was hoping to sell it off as an entire block. This I was lead to believe would free up any pre-sale/finance concerns for the developer. I suspect that this has not happened or still in negotiations.
I, like you are hopeful that it will all work out. Of course if it doesn’t the developer will be required to return your deposit. But naturally that is no consolation as it would mean loosing two years of opportunity.
If I hear any more I will post again. Good luck with your investment … hopefully we will both see great rewards in the end!
I purchased one of the Tambrey units earlier this year. Every few months I would check in with Jeremy GILMORE (sales agent) who would say that they were close to the start of construction but said finance was an issue, since all the short stay apartments weren't sold. I was first told construction would start in the next 2 months when purchasing the unit, then 'definately' before the end of the financial year etc
Most recently I spoke to another sales agent from MLG (Melissa GREEN, I think she is now the main sales agent) who said that the developers went overseas to try and get the finance. This was about 2-4 weeks ago. she said there was a positive breakthrough with finance and she anticipated construction starting soon (I have heard this a few time before though). She anticipated contruction to be completed by the end of 2011.
I was not told about the builder going into liquidation. I might follow this up and speak to someone at MLG about it. That is a bit concerning.
This is SCG securities first development so there was always going to be problems.
I too hope that it is built sooner rather than later. This is the first time I have bought off the plan and its starting to get to me a bit, its annoying not being updated. Hopefully we hear something soon.
matt76Member@matt76Join Date: 2010Post Count: 1
I am just about to purchase one of these Tambrey Apartments as I work nearby and considered then to be a good buy, my first investment property also. Thought I would search the forums here to see if anything relevant and suprised to see the actual development, a little concerned now after reading comments. Would be very interested to know what you paid for them if different to the current price, I might try and negotiate some if they are struggling trouble.
Looking forward to your feedback.
@matt re; Tambrey Karratha
I still think they will be a good buy once they are built due to the positive gearing and high depreciation. All indicators point to reasonable growth too. The only problem is that you only get the benifits when the unit is built.
I would ask them about the builder situation – and could you let us know…Maybe even let them know about this forum so they send some correspondence to investors…
When I purchased the unit there were short and long stay ones, I believe all the long term ones were sold pretty much straight away. The short stay ones were cheaper and included furniture I believe.
What type of apartment you looking at, and what is the cost now? I bought a long stay one so will probably be more expensive.
If they are still waiting to sell the last few apartment so sell before they get all th finance together, they may be desperate and sell you one cheaply. Not sure though, I think they are well priced.
There a new development – not sure of the name- in Karratha where one bedroom apartments are going for around the mid $550K. So I think it is worth getting the 2 bedroom for not too much more in the scheme of things..
Hope this helpsJet10Member@jet10Join Date: 2010Post Count: 2
I have spoken to Melissa Green today regarding the progress,or lack of progress with the Tambrey investment, the information she has given me is more or less the same as past inquiries.The developers are still trying to arrange finance and the construction schedule has not changed, completion late 2011,early 2012.
Apparently a update is being sent out to all investors in the next 2 weeks,but then again I have heard that before as well,not a lot we can do but wait and see.Jet10Member@jet10Join Date: 2010Post Count: 2
Latest news I have regarding Tambrey apartments is that they will commence construction march 2011, with a possible completion time of 14 months, Stage 2 will be advertised during construction of Stage 1.
I live in Karratha, trust me there is no sign of development happening in the next few months, no signage no development notifications etc. I speak and email MLG about every month and everything I have been told is after the fact or once I hear it from some of the local developers then watch MLG fumble over their story and not call me back for weeks….. My sources tell me that it is due to water shortages, but what I cant understand is that there is another development that advertised after the Tambrey and is also half way through completion………
MLG from what I hear is trying sell the project to the second lot of developers so actaully developing this site is NOT their goal as they are basically onselling a presold site and making their money from that, using our money as the carrot, dont hold your breath or believe anything that comes from MLG as everything I have been told has been contradictory Its amazing they cant get their story straight.
As for Jeremy GILMORE he has been moved on and if you notice Marcus GILMORE is the CEO, maybe it's time to leave…..
My understanding is that MLG is the realestate agent and SGC Securities is the developer of Tambrey.
Last I heard was that SGC Securities (the developer), have been attempting to source construction finance however securing this finance has been unsuccessful. SGC have apparently engaged in negotiations with another Western Australian developer to purchase the site and commence construction. Apparently there will be an outcome in the next few weeks … humm – heard that before!
The water treatment issue has apparently been resolved with the Water Corporation.
What have you fellow investors heard? What is your gut telling you about this investment?DerekMember@derekJoin Date: 2004Post Count: 3,544
Sorry to hear of your frustrations with the Tambrey project.
There are similar issues up the road in Hedland with water and building costs. The state government and/or water corporation are working as hard as a government department can to provide additional water to Hedland.
We are currently working with small development sites in Hedland for investors and have been advised by water corporation that getting water to greenfield sites is somewhat problematic at the moment. Getting water to sites which are being redeveloped is much easier – in part the major issue is piping – and this is what we are currently doing, finding sites for small scale redevelopments for investors.
Building & labour costs and availability are also issue in the Pilbara. Such is the magnitude of the problem we are having cyclone rated, engineered, precast concrete, modular units poured and fitted out in Perth and transported up. This process has been approved by Hedland council and means we can units into Hedland at costs well below replacement/market value.
Recent announcements by BHP et al and the State Goverment mean the Pilbara region of WA will do very well over the next 2- yrs or so.
Once the Tambrey project is over its current hurdles you guys should do pretty well – it is just a shame you are experiencing delays at the moment. IK reckon hangin there unless you can put your money to better use.1steveParticipant@1steveJoin Date: 2011Post Count: 2
Glad to have found some people who are also in my frustrated shoes.
I have demanded twice that MLG send out a information release about this project. here is what they sent out..hope it helps… also there was a release in the WEst Australian Newspaper property liftout dated 5th October 2011 stating that the development was up for sale in conjunction with the Tambrey Pub. The article went on to suggest that the Development Application could be changed by a prospective new developer to cut Residential owners such as myself out of the project and instead keep it just for short term leasing. It freaked me out and i requested further detail on the article from Melissa Green and Marcus Gilmour but they responded by texting me to look at my contract…..
On behalf of SGC Securities the developer of Tambrey Luxury Apartments, MLG would like to take this opportunity to provide you with a
As part of the update provided in January 2011, MLG indicated that SGC were proceeding to finalise it’s development funding – whilst unfortunately SGC were not able to independently finalise the funding they were
instead able to enter into negotiations with a with well-known Perth based
Developer/Builder to take over the development and construction of
Tambrey Luxury Apartments.
Until recently MLG have been bound for confidentiality reasons to not
release the name of the proposed Developer/Builder looking to acquire the site.
This group still have a conditional contract to purchase Tambrey Luxury Apartments. During contract negotiations, it was determined from the
purchaser that the Sewer Treatment Plants were at capacity, and all
developments which were to be completed prior to 2014 (before the new infrastructure was completed) would not receive
approval from Watercorp until an interim solution was finalized with Watercorp and the State Government. As the First Stage of
Tambrey was to be completed prior to the new infrastructure being completed, this meant that the developer would not have been able to obtain the relevant approvals to commence construction.
As late as Monday last week, this issue was resolved, and SGC have received written confirmation from the Water Corporation, that Tambrey will be able to be developed and completed prior to 2014 – this is great news. Due to the time constraints which have passed due to the Sewer Issue, SGC are now back in discussions with the current purchaser regarding the purchase, and expect to have outcome to this in the coming weeks.
If the current purchaser does not proceed with the purchase it is expected that SGC will endevour to find an alternate purchaser to proceed with the development, and/or may potentially consider a Joint Venture Partner.
SGC can confirm that the pre-sales are sufficient for a Developer to commence construction, and now that the significant hurdle
regarding the Sewer Treatment Plant has been overcome, SGC can expect a reasonably expedient response for the development to move forward.
CONSTRUCTION & SETTLEMENT
In relation to the construction and settlement of Tambrey Luxury Apartments this will be dependant on the outcome of current
negotiations with the current purchaser to take over the development of the site, and/or the sale or Joint Venture to another group. MLG will keep you advised as to the progress of any discussions, and hope to have a resolution in the short term.
Once SGC provides any further updates to MLG – we will endeavour to provide an update to you.
P: 08 9421 2700
CONTACT TIMAIA TO DISCUSS ANY ELEMENT OF THIS UPDATE
Tambrey Luxury Apartments
SEPTMEBER 20111steveParticipant@1steveJoin Date: 2011Post Count: 2
update below from Marcus Gilmour in response to my question of what will happen when the site sells:
Depending on who buys the site will determine what happens with the contracts. If a groups buys and wants to build the development as is, they will have no need, and will maintain the contracts. If a group buys the site and does not want to build the development and or determines it is not viable to build the development, they may look to cancel the contract and refund the deposit plus any interest earnt to you. I hope this clarifies, and apologise for any inconvenience this position has caused you. I can confirm we have buyers looking to develop as is, but some that may consider developing an alternate development. We will not know this for another few weeks, but will advise as soon as we know.
I guess everyone has the news now that a new developer has an unconditional contract to buy the site.
What is everyone's thoughts on what they will do?
I originally thought the would be crazy not to make a few changes and hike up the price, but then they have to sell them all again etc when it seems all the approvals are in place to just start building and make a quick $$$.
We will see though..off to pay the stamp duty with nothing to show for it…
Write to the Office of State Revenue in WA and ask for a 12 month extension based on the property not yet being built and uncertainty as to whether it will go ahead. They will charge interest on the amount owed to them but at least you wont be putting down tens of thousands of dollars. You at least then buy yourself a further 12 months which should allow you to make an informed decision as to whether this property will go ahead or not.
My gut is telling me that the new developer will cancel our contracts and re-package. (Hope I am wrong … but it all doesn’t feel right .. too much secrecy)
Anyway ..good luck.
I spoke to the settlement agent about the extension but he said the interest charged is 9%. I have managed to save the stamp duty and is just offsetting my mortgage..therefore around 6.5% interest. Im still deciding what to do about the extension though.
Yeah I agree about the contracts and the lack of information.
Seems like the developers never wanted to build. The infrequent updates we do get either say that the developer is selling or finding a builder or getting approval with it never going smoothly. Too hard basket maybe.BluepadlockParticipant@bluepadlockJoin Date: 2012Post Count: 1
The sale of the Tambrey is now unconditional and the agreed settlement date is 2 April 2012. It woudl be appropriate to contact Marcus Gilmore at MLG to get a response on what he plans to do.
OK it is official. I have received a Notice of Termination via a Legal representative called Chalmers Legal Studio. I have honestly never seen anything more unprofessional. The letter was not put on any letterhead, was not signed by any person (only Chalmers Legal Studio), and had no explanation only a list of clauses.
1. SGC Securities – Your reputation as a developer is ruined (but I suspect you are broke and don’t exist anymore)
2, MLG Perth – You are disgraceful and unprofessional agency. Your communication was poor and your actions are the reason real-estate agents get a bad name.
3. Chalmers Legal Studio – By sending out such a pathetic letter of termination has made your business look completely unprofessional.
Congratulations the above businesses – for being the bottom of your profession.
…Thankfully I dont have to entrust my hard earned money in these people…
Good luck fellow Tambrey investors with your next venture.DerekMember@derekJoin Date: 2004Post Count: 3,544
Sorry to hear about the fallover of this project in Tambrey.
Someone mentioned the phrase 'too hard' – this may well be on the money. Developing and building in the north west does require an extra level of expertise and due diligence by the developer and builder.
We have some development projects in Karratha using experienced NW builders. Before launching into more projects we are waiting for some resolution to the Shire of Roebourne's review of storm surge heights and the impact this may have on areas that can be developed. We are also waiting for clarification on some rezoning/zoning adjustments/reviews that are currently underway in the Shire of Roebourme.
Have also heard the planned big Mirvac project is also 'under review' – not sure of the reason.