Lincoln Park Dubai (Damac)

marksols · #1 10-06-2011, 10:52 AM

I have just had a demand from Damac for payment of the next instalment for Lincoln Park.

It is supposed to be paid at the point when the 1st floor structure is complete. Their construction update (June 11) shows the building without walls and just accros in place. Hardly complete!

Anyone else had a similar request and if so, what is/are your intention(s).

I have replied pointing out the obvious to them, but at present no reply and I suspect that the next correspondence will be from them telling me that I am in default.

Any info would be appreciated.

midnightblue · #2 11-06-2011, 05:25 AM

I have also had a request for payment from them claiming that the 1st floor is complete. The letter clearly staes that if you do not pay there will be fines to pay. As for the construction updates 11 June there is no sign of the underground car park the pictures are *hit . I my self will pay the installment because I know people that have paid around £900 in fines to Damac for late payments.

dubaiproperty1 · #3 12-06-2011, 11:48 PM

Hi. We received the payment request this evening by email. It is disgraceful that they are giving me only three weeks to pay the next installment. I agree, they have not completed fully the 1st floor so in no position to make demand. Plus, only 1 lousy pic on their website with no evidence that teh 1st floor is actually built on my building (westside). I need to know the implications of defaulting on this payment and contract being cancelled by Damac. What does the current law say on this? Will I be entitled to any of my funds back - we have paid 192K AED so far? The whole investment has been a disaster and I am not sure whether I will get any returns on my investment if we decide to pay the unit off and rent it out. Should we get rid off now and take a hit or should we treat it as a long term investment? Would love to hear from similar Lincoln park investors in the same predicament.

Azadforty, UK

ottoman · #4 12-06-2011, 11:54 PM

Iv'e had a similar request but I will not be paying this instalment yet until I see solid proof that this place is being built and the 'latest' pictures clearly do not show built upto 1st floor.
I will await for Damac to contact me but in all honesty I'm not sure if this place will ever be built due to the construction slowdown and since lincoln park is being built within a larger 'park' what news of construction around this building? or will it be an isolated building with its own water supply from a water tank outside (Damac asked me to move my investment from lincoln to elsewhere last year but I declined. They stated that many(most?) investors had done so and if I didn't I'd end up with a stand alone apartment with water supply)

So i'm not paying them anymore until I see this building being built.

dubaiproperty1 · #5 13-06-2011, 12:03 AM

Thanks for your response. So if you don't pay by the due date, what do you know about the cancellation of the contract that Damac have put in the letter? Is it true with Dubai law 13 2008 that if we default, the developer can take no more that 30% of our funds? Any info on this would be helpful. Plus, I have sent Damac a very stern response asking for for more concrete evidence on constrcution of our building. I too have no evidence of any surrounding infrastrucure development that would feed into Lincoln Park.

Azadforty UK

ottoman · #6 13-06-2011, 12:20 AM

I strongly believe this is a ploy by Damac to create a theoretical default by their clients...by demanding payment from clients for stage completion when clearly no evidence of whether Arjan, Dubailand will complete, never mind linclon park. Clients don't default for simply asking basic questions or challenging claims of stage completion. This project is overdue already by one year and Damac need an excuse to withold any refunds as they know this won't be built.

Iv'e mentally written off my investment with Damac and won't be throwing any more money to them until there's real progress and not just a few hard hats on the floor.

dubaiproperty1 · #7 13-06-2011, 12:47 AM

Thanks for response. I have read up on the Dubai Law 13 plus amendments 2010 and it is clear that if construction is 80% complete then developer could take 40% of purchase price. However, if there is no construction then developer can keep 30% of monies paid refund us back 70%. So I am unsure if we would definitely get back 70% based on construction progress presented by Damac so far. Also, there is no evidence on RERA website that the WESTSIDE Lincoln Park building is actually there, only 5 of the buildings are there. Therefore, I agree with you that this sounds like a ploy by Damac to fool us that construction is progressing based on one picture to get payments from people. Plus they are quick to state the law provisions on the payment letter request as if they want to grab 30% of funds paid. Either way, they want our money with no proper evidence of progress.

marksols · #8 13-06-2011, 11:47 AM

Many thanks for you all posts. It is interesting that previously you could access construction updates for preceding months whereas now that demands are being made, there is just one picture.

If anyone requires legal advice (I am a lawyer but don't touch this area)I have through friends ascertained that DLA Piper solicitors who have offices overseas have a UK department advising people on contracts in Dubai.

Have to say I am very nervous about paying more. I am writing to Damac in no uncertain terms insisting upon photographic evidence. I am also pointing out that my definition of "instalment due upon completing of 1st floor structure" means finished not a few accros in place.

Please keep the posts coming. Contact is Mark (dot) Menzies at PintoPotts(dot)co(dot)uk

Feel free to contact me.

marksols · #9 13-06-2011, 03:30 PM

According to Damac more photos showing Lincoln Park in all its glory(!) will be on the website this month.

fahmeda Qayum · #10 13-06-2011, 06:40 PM

Hi,
I have also had email regarding payment upon completion of 1st floor of structure, forgive me if l am mistaken but from the pictures on damac's website the floor is not complete and secondly l would categorise it as the ground floor.

However l am not sure whether l should pay them anymore, after some research on internet, prices have dropped soooo much that some resale prices for apartments are less than what is outstanding on my account. I have paid 40%.