First Ward Urban Village / North Tryon Vision Plan

[dubone]

Until they hack the trees up to protect the utility lines.

[moving uptown]

any one have any info on the renwick? what is the history of this development and is that the building under construction now next to the community center (the one that has the elevator shaft up)? I emailed the renwick for info and they didnt respond

[UrbanCharlotte]

That is the Renwick project.

[swh1972]

Renwick developer is in the process of terminating all of the existing purchase agreements and will look to re-offer all of the units at higher prices. Apparantly all of the remaining units have been "off" the market for a few months. Probably need to resolve all of this before looking to sell to new individuals.

[graydog]

Those balconies remind me of the sunken eyes of Snuffleupagus from Sesame Street.

http://en.wikipedia.org/wiki/Aloysius_Snuffleupagus

That's a relief. I thought I was the only one who saw that.

[mdadolfo]

Renwick developer is in the process of terminating all of the existing purchase agreements and will look to re-offer all of the units at higher prices. Apparantly all of the remaining units have been "off" the market for a few months. Probably need to resolve all of this before looking to sell to new individuals.

Out of curiosity, what happens to those customers who have negotiated and closed on mortgage loans, taking advantage of the the craze of low rates, on these units?

[swh1972]

Out of curiosity, what happens to those customers who have negotiated and closed on mortgage loans, taking advantage of the the craze of low rates, on these units?

Not sure you can get a formal mortgage loan on a property that is not finished yet. I think the lender would need to have the property completed as collateral for the mortgage, but I'm not 100% certain of this.

[kennethlin]

Not sure you can get a formal mortgage loan on a property that is not finished yet. I think the lender would need to have the property completed as collateral for the mortgage, but I'm not 100% certain of this.

Loans have NOT closed on the Renwick project yet. I am certain of this. Developers are smart in that they DO NOT allow buyers to CLOSE prior to full completion of the condo/SFH units. This is THEIR way of leveraging themselves in case of unforeseen circumstances where it can allow them to back out of these contracts. Believe it or not, there are STILL buyers at Courtside (the original units) that are still awaiting closing. I'm certain they are doing this to make sure they (the developers) are making their buck on this project and the last few buyers of Courtside are the guinea pigs for their profit making. That is why I am NOT surprised that the developer of Renwick wants to pull everyone's contract and redo the sales process again. Honestly, I don't see the buyer really standing a chance against this, because the language that developers have written these contracts bodes well on their favor. I've seen them, and they are just too unprotective of the buyer. Anyways, good luck though for the buyers, because they did THEIR homework, and it's sad that it's always the BIG BOYS getting all the breaks.

[MZT]

What Gazumpers. I thought this was a British thing, but I guess America has it's own version in construction financing.

http://www.themovechannel.com/howto/buy/wh...s-gazumping.asp

http://en.wikipedia.org/wiki/Gazump

Edited October 1, 2006 by MZT

[swh1972]

Could get interesting if there are multiple individuals trying to close on and move into the same units

[ElricSeven]

What Gazumpers. I thought this was a British thing, but I guess America has it's own version in construction financing.

http://www.themovechannel.com/howto/buy/wh...s-gazumping.asp

http://en.wikipedia.org/wiki/Gazump

I think the Renwick buyers do have a written contract, that's the difference.

[monsoon]

Banks normally will not allow a mortgage on unfinished property. Since they are the lien holders, they will insist the property be finished. They will make exceptions for minor work, but sometimes they will require the builder to put the money needed to finish the project in escrow before they let the loan close. In any case it's very bad business to do something like this if you could because all of your leverage with the builder is gone once he has his money. What might be interesting is if any of the Renwick's customers have negotiated loan locks with a finance company.

UK "real estate" is vastly more complicated than what we have here in the USA. When looking at an advertised property there, you have to look at the terms to see if you are purchasing a leasehold or the freehold. If it is a leasehold, you are purchasing the "right" to live inside this unit for a specified number of years and most of these are 30-100 years in length. If you are purchasing the freehold, you are buying the building and the land under it or even a share of it. Buying and selling one is complicated by the other and sometimes both are sold together. The reasons behind this go back to feudal times and theoretically the Crown still owns all property in England.

They have recently introduced something called commonhold that more resembles our condo scheme here by eliminating the freeholders, but these are definately in the minority.

[Charlotte_native]

Loans have NOT closed on the Renwick project yet. I am certain of this. Developers are smart in that they DO NOT allow buyers to CLOSE prior to full completion of the condo/SFH units. This is THEIR way of leveraging themselves in case of unforeseen circumstances where it can allow them to back out of these contracts.

A bank would never loan funds on a property that was only under construction. They have no collateral should the project not be finished AND would you really think a consumer would begin paying mortgage payments before they had possesion? This isn't a developer choice, but with the banks. I'm sure the developer would LOVE to have money in hand months and months before finishing thier project!!

The fact that they are dumping the original folks that reserved here is shameful and greedy. It would serve them right if no one "re-bought" into the project, but doubtful that will happen. It will be interesting to see if this, the cancellation of the original contracts, occurs with a fizzle or a fight.

[joshuacc]

I hope people become aware of this, seems like they don't mind ruining their reputation. This could however be great news for blvd centro. It could give them incentive to pre sell the row now also. If I were at the Renwick, I'd be certainly looking at all the projects at quarterside now.

[Charlotte_native]

I hope people become aware of this, seems like they don't mind ruining their reputation. This could however be great news for blvd centro. It could give them incentive to pre sell the row now also. If I were at the Renwick, I'd be certainly looking at all the projects at quarterside now.

Someone clue Tara at CL about this -- she loves a negative story and this should definitely be known.

[crispin]

A bank would never loan funds on a property that was only under construction.

As respects the Renwick, this may be true, but mortgage companies certainly do make and close residential mortgage loans on properties under construction.

[ElricSeven]

As respects the Renwick, this may be true, but mortgage companies certainly do make and close residential mortgage loans on properties under construction.

I think they do, but if my experience at Courtside is any indication, it requires that the unit be inspected and approved for occupancy. So the unit itself is not under construction, even if the rest of the project still is.

[Charlotte_native]

As respects the Renwick, this may be true, but mortgage companies certainly do make and close residential mortgage loans on properties under construction.

Should have said project. Banks loan money all the time on pre-construction, but they do it to the owners and builders. They don't to the new buyers in condo buildings until a Certificate of Occupancy (CO) is issued by the governing body that inspects to make sure the property/project/building/unit is complete. Depends on how the permits were done. Example: 230 South Tryon has permits floor by floor and then the penthouse units each have their own permit since they can be custom. The common elements have to be complete then the unit in question to close on the loan.

They lend construction loans all the time, but release funds as work is completed based on the value of that work -- the whole loan is closed at one time, but the funds are not dispersed then. I'm sure everyone would be trustworthy with cash in hand for work they had not done yet!

Edited October 2, 2006 by Charlotte_native

[swh1972]

As far as developers canceling purchase contracts, I did a quick search online, and found enough stories/blogs/message board threads to come to the conclusion that this is happening all over the US right now. A lot of the stories seem to be located in markets that have been categorized as a "bubble".

Is this the first to happen recently in Charlotte?

[ElricSeven]

As far as developers canceling purchase contracts, I did a quick search online, and found enough stories/blogs/message board threads to come to the conclusion that this is happening all over the US right now. A lot of the stories seem to be located in markets that have been categorized as a "bubble".

Is this the first to happen recently in Charlotte?

These are cancellations, though, so the developer can resell the units at a HIGHER price. Not dismantle the project due to lack of interest. Completely opposite thing.

[swh1972]

These are cancellations, though, so the developer can resell the units at a HIGHER price. Not dismantle the project due to lack of interest. Completely opposite thing.

Agreed. I found examples of both situations, though.

[MZT]

I wonder how closely 210 Trade is watching this unfold... Rumor on that thread, is they underpriced... and are finding the construction cost of a tower to be outside of initial expectations.

Edited October 2, 2006 by MZT

[cltheel.sdl]

ElricSeven this reminds me: I was wondering if you could post some pics of your unit and the interior of courtside. I think that would be cool! Thanks.

[ElricSeven]

ElricSeven this reminds me: I was wondering if you could post some pics of your unit and the interior of courtside. I think that would be cool! Thanks.

I'm a bit technologically challenged on posting pics, but I'll take some and then perhaps give it a try. I'm a little leery of my privacy, though. I'll think about it.

[UrbanCharlotte]

Renwick

QuaRterside

Court6

Church St towns (idk if this goes here or not)

Edited October 7, 2006 by UrbanCharlotte