Condo One -mandawee

[mancub]

Hi Guys...

Anybody else own a unit in Mandawee and finding out that they are not being paid the rental as per the contract ? It is my understanding that they are not honouring the contract ,as there are currently no tourists and therefore supposedly no money available. The Company also is also apparantely not even giving the 90 days notice of cancellation as per contract. I have visited just recently and the development in almost deserted !

Anyone else know anything ...

[nattymatt]

I have a rental contract with mandawee and have been paid all my rental money as per contract.

I have not received a notice saying they will not pay any more, however my next payment is due in a few months.

[hagler]

hhmmm let me see how this may play out...

Management Company with whom the agreements were made originally goes belly up through lack of funds. Contracts are no longer able to be honoured or indeed enforced with any subsequent Management Company at they weren't parties to the original contracts.

New Management Company is appointed who, shock and horror, goes through the books and finds that there just isn't going to be the projected returns that the apartments were sold on. Also operating costs are higher than anticipated and so returns to the owners will have to be substantially less and the management fees higher. Owners have a choice either accepting the new Management Company or the whole project being placed into liquidation.

Gee whiz who would have though that would happen to a project like this? Probably no-one except the 10000's around the world who have bitten before in similar situations.

And the second Management Company? Like a phoenix it shall arise from the ashes of the first....

et caveat emptor.

[nattymatt]

Hagler, you are missing the point that the project was sold WITHOUT any guaranteed return.

This was offered after completion. Well it was to me.

It was an added bonus that they offered 3 years rental.

And the project will not go into liquidation if the management co. can't finance it, as its finished and i believe most of the units are sold....It may well be sold out.

Still crap that they may not stick to their original contract...but hey TIT!!!

If it was Spain, they would cost 500% more and probably be bulldozed in a year......there's some food for thought ...

[hagler]

Hagler, you are missing the point that the project was sold WITHOUT any guaranteed return.

This was offered after completion. Well it was to me.

It was an added bonus that they offered 3 years rental.

And the project will not go into liquidation if the management co. can't finance it, as its finished and i believe most of the units are sold....It may well be sold out.

Still crap that they may not stick to their original contract...but hey TIT!!!

If it was Spain, they would cost 500% more and probably be bulldozed in a year......there's some food for thought ...

People bought them with rental returns offered - as you said 3 years. Bonus or not this affected their buying decision and would have been factored in by them.

What happens if the operating costs are greater than the revenue for the place? (as is the case at the project now) ie. not enough guests to cover the staffing, maintenance and upkeep costs? Then the only option will be to raise the levies paid dramatically by the owners or close the front doors.

and if it was in Southern Sudan it would have cost 500% less. Please don't use the "if this was in..." argument. I wont let any of my sales staff use it as it is sooooo "naff" and I am a Property Developer involved in the same industry...lol. Something is worth what the market will pay for it in the location in which it is based. Anyone who sells ( or buys) something based on " imagine what this would be worth if it was in.." basis deserves to be taken to the cleaners. ( and they inevitably are)

et caveat emptor

[grumpyoldman]

Still crap that they may not stick to their original contract...but hey TIT!!!

If it was Spain, they would cost 500% more and probably be bulldozed in a year......there's some food for thought ...

and if it was in Southern Sudan it would have cost 500% less. Please don't use the "if this was in..." argument. I wont let any of my sales staff use it as it is sooooo "naff" and I am a Property Developer involved in the same industry...lol. Something is worth what the market will pay for it in the location in which it is based. Anyone who sells ( or buys) something based on " imagine what this would be worth if it was in.." basis deserves to be taken to the cleaners. ( and they inevitably are)

et caveat emptor

spot on bra !

[taninthai]

this place is in a very bad location it already has some not to good reviews on websites id say they are in for a tough couple of years ,i was getting some food in ao nang a couple off months ago and the staff from mandawee were going round giving out leaflets for the place not the usua ay 4/5 star places operate every one was just commenting on how expensive it is.

they are also opening a mercure hotel in ao nang in the coming future which will be a bit more competition for it.

[mancub]

Well, appreciate the replies chaps...

The facts ,as I am led to believe are as follows....

Correct...original "management" company has been re-invented as of last month, thus supposedly freeing itself from any existing rental "contract" agreements. As such, existing benefactors may expect their next installment not to materialize . New "contracts are supposedly being proposed from Nov 2010 , I can only imagine this will be dependent on projected occupancy .

The buildings are being well maintained ( as they should be -given that the project was 95% sold -and owners have paid 2 yrs "maintainence costs " up-front ).

Correct: Only a certain percentage of units were required and offered a rental contract .

I Imagine that the majority of foreign owners are not living in Thailand and bought ,in good faith ,as an investment ...the rental scheme being an added bonus . The comments about "serves them right" seems a little out of place and un-warranted and surely not what one would expect from a Property Developer ...but then again !

[nattymatt]

Mr Property developer should read posts a little more carefully.

The properties were offered for sale WITHOUT rental agreements in place.

The rental agreement was offered afterwards.

But as a property developer you are too busy to spend time on Thai visa......

You are right, "what ifs" mean nothing, but your post about the management co. is not based on fact

The fact is they have not defaulted on their payments yet?

They are offering a new 3 year deal in Nov...so anyone who has had 1 years payment already may well be gettin 4 years, not 3.

But this is only if they pay up.........another "if"

If the management co. fails the condominium will not be run as a resort.

It will be a Condominium....which is what people bought....right?

[mancub]

Mr Property developer should read posts a little more carefully.

The properties were offered for sale WITHOUT rental agreements in place.

The rental agreement was offered afterwards.

But as a property developer you are too busy to spend time on Thai visa......

You are right, "what ifs" mean nothing, but your post about the management co. is not based on fact

The fact is they have not defaulted on their payments yet?

They are offering a new 3 year deal in Nov...so anyone who has had 1 years payment already may well be gettin 4 years, not 3.

But this is only if they pay up.........another "if"

If the management co. fails the condominium will not be run as a resort.

It will be a Condominium....which is what people bought....right?

Ignoring the side -issues ...to clarify :

a/ They HAVE defaulted in payments ...mine was due last month and I was told that it would not be forth-coming ( I know of 1 other party in the same situation). No further monies will be given under the existing?3yr contract .

b/ Any "new" contracts issued from Nov '10 will initially be for 1 year ONLY and the "old" contracts will have no bearing. Therfore 3/4 years is currently hypothetical ....

c/ Agreed, if the Resort does not work , then there is no reason for the complex not to be operated as sold ( or mis-sold ) as a Condominium ....but there will be very few "inhabitants" and many for-sale signs! At least the pool areas won't be crowded !!

[nattymatt]

Agreed.

However they did say to me that they would issue a new 3 year contract........but somehow i think that may not happen.

The mandawee does get a lot of positive reviews on thai blogs and forums so the future may not be so bleak.

Plus they have to be realistic about their projections.

The place was only fully finished a few months ago, the Spa still doesn't have a finished bar area and they only have a short season.

Hopefully better times are ahead for everybody investing here in Thailand

[frenchfarangjomtien]

Hi,

Can I know how much did you buy your condo there ?

And do you know any other condo project near Krabi ?

Thanks.

[Avocado]

I have also experienced the same problem with tthe management of Mandawee resort so this is not just cheating foreign owners but Thai owners also - delaying payments, then giving me red cheques, passing the book on the phone so many times and renting my room out even after I cancelled the rental contract with them (because I had received no money).

Despite this, i try to think that as another person on the forum wrote , it was sold as a condo not a resort ,and it is still a perfect holiday base for everyone who invested here - 3 pools, spa etc - we have paid maintenance fees to use all of these things and I (and I hope others) intend to enjoy using them as long as I dont bump into any of the management - the company name may have changed but I suspect the people operating it have not changed and to not honour the contract or admit to financial problems was a poor decision by them.

Finally, I hope the resort pay attention to the small things that would make a big difference -put transport on for the guests, rent out bicycles , bring the prices of the villas down, market and advertise a 'seafood' restaurant and use English speaking staff on the front desk , reasonably priced weekend packages for Thai citizens and foreign work permit holders would help through the low season. i know it is ambitous but I can dream as I still think the villas and the resort as a whole is quite impressive but cutting corners and offering overly expensive room rates will not help.:jap:

[ESB7]

I never understand why people would INVEST in property in Thailand....buy as a home OK but investment purposes/rental returns.....it just dont happen or make sense....

Im not saying dont buy, in fact I am looking to purchase a small condo in Hua Hin, more as a crash pad than anything else, however am shocked at the ludicrous prices and maitenance charges...

I remember a few years ago when I worked in Phuket and a Norwegian and his Thai wife were thinking of buying but they didnt...why.....the Thai wifes words were "this is Thailand and I dont trust anyone what they say so wont buy"...just about sums it up really.

[duncanb]

I am interested in buying one as a holiday home. The 15,000 rental gaurantee is peanuts especially when the cheapest room at the resort is currently 1700 baht a night. As far as I can tell its a new resort that is a little out of the way so will take time to get busy. I have looked at the terms and conditions of the rental gaurantee and it clearly states that they can revise the rental gaurtantee at any time.

Do you know what the studios are worth/sold for originally?

Thanks

[taninthai]

I am interested in buying one as a holiday home. The 15,000 rental gaurantee is peanuts especially when the cheapest room at the resort is currently 1700 baht a night. As far as I can tell its a new resort that is a little out of the way so will take time to get busy. I have looked at the terms and conditions of the rental gaurantee and it clearly states that they can revise the rental gaurtantee at any time.

Do you know what the studios are worth/sold for originally?

Thanks

there is an ad on thai visa classified looks like they are trying to sell the pool villas that are part of the resort 13 million baht must have more money problems.......

[duncanb]

Thanks. Thats down from nearly 19million,

I am interested in one of the condos though- I have seen one advertised for 1.3 million, and a friend of a friend of a friend has one for sale and the price is to be confirmed but around a million. Off course I do not want to overpay, and want a reasonable deal given the current uncertainties. I am just trying to find out what they where originally sold for

I am interested in buying one as a holiday home. The 15,000 rental gaurantee is peanuts especially when the cheapest room at the resort is currently 1700 baht a night. As far as I can tell its a new resort that is a little out of the way so will take time to get busy. I have looked at the terms and conditions of the rental gaurantee and it clearly states that they can revise the rental gaurtantee at any time.

Do you know what the studios are worth/sold for originally?

Thanks

there is an ad on thai visa classified looks like they are trying to sell the pool villas that are part of the resort 13 million baht must have more money problems.......

[taninthai]

Thanks. Thats down from nearly 19million,

I am interested in one of the condos though- I have seen one advertised for 1.3 million, and a friend of a friend of a friend has one for sale and the price is to be confirmed but around a million. Off course I do not want to overpay, and want a reasonable deal given the current uncertainties. I am just trying to find out what they where originally sold for

I am interested in buying one as a holiday home. The 15,000 rental gaurantee is peanuts especially when the cheapest room at the resort is currently 1700 baht a night. As far as I can tell its a new resort that is a little out of the way so will take time to get busy. I have looked at the terms and conditions of the rental gaurantee and it clearly states that they can revise the rental gaurtantee at any time.

Do you know what the studios are worth/sold for originally?

Thanks

there is an ad on thai visa classified looks like they are trying to sell the pool villas that are part of the resort 13 million baht must have more money problems.......

i have seen the 1 for sale at 1.3 mil there is also 1 for sale at 3.4 mill 2 beds think well overpriced there is a few people on here that have owned them from new dont know weathjer they would telll you what they payed for them though...................i would also be interested to know...............

[nattymatt]

Well if you can pick one up for 1 million you are getting it at a good price.

especially if you can get 15000b per month rent......i'm not a mathmatician but that's a pretty good return

The studio/1 beds were originally sold for more than that.

If it sells, i know of another for sale

[duncanb]

I thought the price was decent and the rental gaurantee good, but I think I could do better renting it out myself, being fortunate to know a lot of people who would rent it.

I am going to see one over the weekend. If you are selling feel free to PM me with the details and a price. Otherwise,best of luck with it. I for one (and for what I have heard) have a hunch that allthough the location is a little out of the way, with a little bit of good marketing I am certain there are many many people who would prefer such a development as opposed to being packed in like sardines near to the beach and noise.

Thanks

Well if you can pick one up for 1 million you are getting it at a good price.

especially if you can get 15000b per month rent......i'm not a mathmatician but that's a pretty good return

The studio/1 beds were originally sold for more than that.

If it sells, i know of another for sale

[nattymatt]

Your right about the location, nice and quiet and only a couple of mins from the beach....I'm amazed some people moan so much.What do they expect for 1m baht....beach front?

I'm not selling...sold mine already. However i do have a friend who is wanting to sell, so i will pass on your details.

Good Luck

[duncanb]

Thanks for the email, but the asking price is way above the one I have seen, but thanks all the same.

Thanks. Thats down from nearly 19million,

I am interested in one of the condos though- I have seen one advertised for 1.3 million, and a friend of a friend of a friend has one for sale and the price is to be confirmed but around a million. Off course I do not want to overpay, and want a reasonable deal given the current uncertainties. I am just trying to find out what they where originally sold for

I am interested in buying one as a holiday home. The 15,000 rental gaurantee is peanuts especially when the cheapest room at the resort is currently 1700 baht a night. As far as I can tell its a new resort that is a little out of the way so will take time to get busy. I have looked at the terms and conditions of the rental gaurantee and it clearly states that they can revise the rental gaurtantee at any time.

Do you know what the studios are worth/sold for originally?

Thanks

there is an ad on thai visa classified looks like they are trying to sell the pool villas that are part of the resort 13 million baht must have more money problems.......

i have seen the 1 for sale at 1.3 mil there is also 1 for sale at 3.4 mill 2 beds think well overpriced there is a few people on here that have owned them from new dont know weathjer they would telll you what they payed for them though...................i would also be interested to know...............

[mancub]

Just an update for any unit owners /prospective owners :

Have recently seen the new " rental contract" being offered .......it is one page , only in Thai ( no translation available -which lends me to thinking that it is only being made available to Thai owners).

It offers 3 choices :

A / rental agreement 12mths , payable on a monthly basis .....with a "proposed 2nd year payable in advance !

B/ as above , but with an offer to purchase the unit at cost price +20% , but less the 12mth rental payment !

c/ the option to use the unit for personal use !

Both a+b are , in my opinion " pie in the sky" ,as there is no money available at present ,and it seems to be a scam to get to use the units essentially for free for a period of time !

If this sounds cynical, it stems partly from previous experience and partly from the fact that this new "offer" has a proviso that the company can cancel the "agreement at any time !

The "management company" seem to feel that they own the buildings ! It is a bizarre situation . What concerns me most is the fact that I don't believe there to be any "juristic"person , "common maintainence fund" or,indeed any other legal requirement as per Thai Condominium laws . I am also concerned to hear rumour that there is no building insurance in place .

Would be interested to hear if anyone knows more or differently !