Dubai chapter of the forum

[AAPROP]

Originally Posted by Roshan

Taken from another thread. I am sure a lot of you will have the same queries.

Quote:

Originally Posted by talk

To build a community you need a lot of trust in each other.Investors mostly work alone for this reason.Developers already have their communities on their books fighting over registation,prelaunch,launch discounts etc.
Bringing 400 investors together would mean turmoil,400 times the fighting,400 times the greed.

Believe it or not but developers would love it.Prices would go up so fast through greed,then no one could sell.

Prelaunchs and discounts are only developers advertising their next tower.
Many times I've purchased at the same price as a bulk buyer months after launch.

Investors who work alone will keep the market stable for longer and still make a good profit.

1 GOOD QUESTION IS CAN PRICES BE STALLED PER SQ/FT.RENTS CAN ONLY SEE A CERTAIN INCREASE YEARLY.DO YOU THINK THAT SALES PROFITS MAY ONLY ALLOW A CERTAIN % ON TOP OF PURCHASE PRICES.WHAT SENSE WOULD DISCOUNTS MAKE THEN.

I really think that working alone will keep us happier longer.

Reply to "Talk"

Rome was not built in a day. Everything takes time.

The model could be changed to suit tastes.

Not all 400 would like to invest at the same time. You can still work alone even if there are 400 people.

For eg : There is an offer for a full floor of a commercial building of lets say 10,000 Sq ft. I am interested in securing 2000 sq ft. With a database of 400, we just need to sound the members. I am certain I will find atleast 5 out of the 400 who will be interested in the balance 8000 sq ft. I still get my 2000 sq ft and the balnce will be shared with the other members. If there are more investors interested, you go for more floors. In the eyes of the developer he has sold 1 floor, but we have still retained our individual identities with our individual investments. What has happend is, you have got your individual investment and for a price lesser than market value.

We go as a group but still buy individually if required. In that way we are absolved of any infighting or disagreement between investors.

The developers will not sell on their terms. We are smart enough to diffrentiate between greed and actual. We put a counter offer and it works.

Classic case : Look at ***, they would probably buying at half the market price and selling at market price. He is not a fool to operate on a 20% margin. He is definitely getting more than that. You think he would put vall the money down when buying a building, he would have got the developer to agree to his terms and would be paying in installments.

The idea is to start. Ther will be "if's" and " buts " on the way. If it does not work out, what the hell, you have made 400 friends. We would have formed a club which meets to share views and talk about the market.

Regards

Roshan

Hi Roshan,

Excellent suggstion and initiative. I am in as well. Let me know if you need any further info about me. Thanks.

[Roshan]

Originally Posted by AAPROP

Hi Roshan,

Excellent suggstion and initiative. I am in as well. Let me know if you need any further info about me. Thanks.

As Nike says " Just do it " or Addidas says " Impossible in nothing ". My mentor used to say " Impossible does not exist "

Regards

Roshan

[bluelight]

Hi There!
Although new to this forum as member but was reading for quote some time please count me in. I am in Dubai
email is gulhassan at hotmail dot com (the name is together)

looking forward to hear more details

[suas5]

hello Roshan and other members,

if fact a group of 5 or ten partners whom i know are into such bulk purchasing and it's very advantagous as the payment plan, prices,location etc... all end up in ones favour .
infact during the summers the markets are slow and the prices pick up during the autum (when the citi scape dubai is ) presently if i could join the current 14 members that met shall be more than willing to be a part of the syndicate.
i would be very much interested please inform me at suas5 at hotmail

[suas5]

Originally Posted by AAPROP

Hi Roshan,

Excellent suggstion and initiative. I am in as well. Let me know if you need any further info about me. Thanks.

hello Roshan and other members,

if fact a group of 5 or ten partners whom i know are into such bulk purchasing and it's very advantagous as the payment plan, prices,location etc... all end up in ones favour .
infact during the summers the markets are slow and the prices pick up during the autum (when the citi scape dubai is ) presently if i could join the current 14 members that met shall be more than willing to be a part of the syndicate.
i would be very much interested please inform me at suas5 at hotmail

[Roshan]

Originally Posted by suas5

hello Roshan and other members,

if fact a group of 5 or ten partners whom i know are into such bulk purchasing and it's very advantagous as the payment plan, prices,location etc... all end up in ones favour .
infact during the summers the markets are slow and the prices pick up during the autum (when the citi scape dubai is ) presently if i could join the current 14 members that met shall be more than willing to be a part of the syndicate.
i would be very much interested please inform me at suas5 at hotmail

A group has to gel before they actually invest. We all meet under the same umbrella and investors decide how they will invest.

As I mentioned earlier on, let's consider a floor. Each member can invest individually. When 10 individual investors get together and invest in a floor ( again individually ). You have a better bargaining power with the developer as he stands to sell the full floor.

The developer also wins and the 10 investors with their individual investments also win by getting a better price then what they would have got if they had to approach the developer alone.

Regards

Roshan

[attif]

Originally Posted by Roshan

A group has to gel before they actually invest. We all meet under the same umbrella and investors decide how they will invest.

As I mentioned earlier on, let's consider a floor. Each member can invest individually. When 10 individual investors get together and invest in a floor ( again individually ). You have a better bargaining power with the developer as he stands to sell the full floor.

The developer also wins and the 10 investors with their individual investments also win by getting a better price then what they would have got if they had to approach the developer alone.

Regards

Roshan

i think with roshans know how of the market and the buying power of x investors getting together, this thing could be very profitable for all who got involved.

If there are any people in the UK, who would like to form the equivelent over the UK please do not hesitate to mail me so that we can all keep in contact, in regards to pushing this thing forward.

Even if not 400, 20 or 30 like minded individuals all wanting to combine their resources to negotiate stronger deals will definetly give us an advantage within the Dubai market.

Regards

[Roshan]

Originally Posted by attif

i think with roshans know how of the market and the buying power of x investors getting together, this thing could be very profitable for all who got involved.

If there are any people in the UK, who would like to form the equivelent over the UK please do not hesitate to mail me so that we can all keep in contact, in regards to pushing this thing forward.

Even if not 400, 20 or 30 like minded individuals all wanting to combine their resources to negotiate stronger deals will definetly give us an advantage within the Dubai market.

Regards

It's not my know how but the groups know how. The group meet and analyse a project, brain storm if required and conclude the potential of the / feasibility of the project.

The group will not handle anybodys cash. Each investor handles his own cash. The motive is to get like minded members together under one umbrella and get good prices in the bargain.

It's obvious that not all members would be investing in all the projects together. The participants in that particular investment will decide how to handle the transcation. It's not rocket science and it can be worked out within yourselves.

The intention is not only to form a syndicate but also to have interactive sessions, invite guest speakers, help the investors who are starting. Nobody can be an expert in real estate. When you move with like minded investors you learn. There are people specilaized in each area. When they talk, we all listen and learn in the process.

The strategy explained in form of a case study.

Case study : Commercial space to be launched.

Database of 400 emailed informing of the launch.

Each floor is of 10,000 sq ft.

Investor A interested in 2500 sq ft.

Investor B interested in 2500 sq ft.

Investor C interested in 2500 sq ft.

Investor D interested in 2500 sq ft.

The above totals 10,000 sq ft. All the above 4 investors will be individual investments and not joint. BUT, when approaching the developer the 4 investors pose as one investor and negotiate the best price for the full floor.

Conclusion : Each investor gets his own individual investment at a prelaunch or discounted price.

Nobody will handover money to anybody. Each one will handover money directly to the developer.

Regards

Roshan

[NAZ_2_NAZ]

The only problem with buying individually as oppossed to one entity is that some people want this part of the floor, other people want another part and it causes problems, i have first hand experience of this. The syndicate should should invest as one entity and get that entity to grow.

I think Roshans point about getting together is good, if it doesnt work, oh well, atleast we made a lot of friends and contacts in the market. I am UK based and have put together a few syndicates of this type, if any one is interested please PM me.

Naz

[attif]

Originally Posted by NAZ_2_NAZ

The only problem with buying individually as oppossed to one entity is that some people want this part of the floor, other people want another part and it causes problems, i have first hand experience of this. The syndicate should should invest as one entity and get that entity to grow.

I think Roshans point about getting together is good, if it doesnt work, oh well, atleast we made a lot of friends and contacts in the market. I am UK based and have put together a few syndicates of this type, if any one is interested please PM me.

Naz

ok, you mean- hear is a floor, 10,000 sq ft, everyone throws in their money and that floor is then owned by whoever put thier money in? is that right?

the only issue with that is what safeguards are there in place to protect your money? are your details also put down on the papers?