Olympic Park Residential Tower Evacuation

Discussion in 'Property Market Economics' started by qak, 24th Dec, 2018.

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  1. Something_Wrong

    Something_Wrong Well-Known Member

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  2. AlbertWT

    AlbertWT Well-Known Member

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    It seems there is no solution for this Opal tower issue.
     
  3. New Town

    New Town Well-Known Member

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    Straight up story of dodgy building to save money and time. Was it was technically below minimum build/design standards?

    Could you say Opal will retain a base value because its no worse than most other smaller name developer buildings? Obviously the stigma will remain tho
     
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  4. Something_Wrong

    Something_Wrong Well-Known Member

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  5. Speede

    Speede Well-Known Member

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    Opal Tower: First apartment sells after cracking scandal

    The 10th-floor apartment, one of the worst affected dwellings in the Sydney Olympic Park complex which was notoriously evacuated on Christmas Eve, reportedly sold recently for $950,000.

    The sale price was $158,000 higher than the investor paid when bought off-the-plan in 2014, which had been leased out to tenants for $600 a week.


    First Opal Tower apartment sold
     
  6. Noobieboy

    Noobieboy Well-Known Member

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    So I’m not surprised. Maybe the want to show that sales history indicates profits?

    The only sale of an Opal Tower apartment since the Christmas Eve nightmare being a seemingly forced purchase to the builder does little to boost confidence in the complex’s market capability.
     
  7. Terry_w

    Terry_w Broker, Lawyer, Tax advisor, Debt Recycle advisor Business Member

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    wow, amazing.

    Wonder if it was a related party transfer
     
  8. berten

    berten Well-Known Member

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    You missed the part where It says it was bought by ICON, the builder of the tower! :p
     
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  9. Air_Bender

    Air_Bender Well-Known Member

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    I'm actually quite surprised they sold for a profit, even if it was the builders who bought it. I'd be thanking my lucky stars if I were that seller.
     
  10. berten

    berten Well-Known Member

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    Builder has also agreed to 1.7m in remediation costs I believe.
     
  11. Woodjda

    Woodjda Well-Known Member

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    Those owners must've had the developers over a barrel somehow. Better massively overpay for a near worthless apartment than settle a court action and open the floodgates to every owner in the building.
     
  12. Speede

    Speede Well-Known Member

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    I like this part...near worthless apartment....

    And how do you know if it's worthless or not?
     
  13. Terry_w

    Terry_w Broker, Lawyer, Tax advisor, Debt Recycle advisor Business Member

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    Must be an attempt to help establish a market value.
    Also wonder if the seller was related to the buyer..
     
  14. Woodjda

    Woodjda Well-Known Member

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    Well according to the article there hasn't been a single sale to a genuine buyer in the tower since the cracking occurred at Christmas. Somehow I doubt it's because the owners are knocking back a heap of genuine offers.
     
  15. TMNT

    TMNT Well-Known Member

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    I wouldnt put any weight on the builder buying the apartment,
    there could be a million of reasons why they did that that does NOT reflect true market value
     
  16. Air_Bender

    Air_Bender Well-Known Member

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    If I've read the article correctly the builders needed ongoing access to the building and will have to make significant changes to that apartment in particular hence the need to just acquire it. In this scenario it's plausible the sellers demanded what they deemed it was worth but could you honestly blame them?
     
  17. Woodjda

    Woodjda Well-Known Member

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    Yeah only just read that. Makes a lot of sense and only affects that apartment not the rest. Sounds like they could demand whatever they wanted. Compared to the other owners they just won the lottery.
     
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  18. TMNT

    TMNT Well-Known Member

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    or builders said its worth $800k, but we'll give you $950 for it so it creates a new market price, and then give you $150k cash back, or payment or discount off another project,

    is that legal?
     
    Last edited: 1st Aug, 2019
  19. Terry_w

    Terry_w Broker, Lawyer, Tax advisor, Debt Recycle advisor Business Member

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    yes
     
  20. Air_Bender

    Air_Bender Well-Known Member

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    Never thought of it that way but it is possible.