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The Hub Mixed Use Apartment Development in The Short North - News & Updates

Home Forums General Columbus Discussion Development The Hub Mixed Use Apartment Development in The Short North – News & Updates

Viewing 15 posts - 451 through 465 (of 901 total)
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  • #261133

    drew
    Participant

    Core_Models wrote >>
    Maybe I’m slow on the uptake or don’t get this aspect of development, but how is financing the project as apartments suddenly easier than financing it as condos? Or is the plan now to build a cheaper, easier apartment building with no frills instead.

    According to them, it is because it is hard to get financing for condos and presumably easier to find tenants, so they’re more willing to lend for an apartment project.

    #261134

    Tenzo
    Participant

    drew wrote >>

    Core_Models wrote >>
    Maybe I’m slow on the uptake or don’t get this aspect of development, but how is financing the project as apartments suddenly easier than financing it as condos? Or is the plan now to build a cheaper, easier apartment building with no frills instead.

    According to them, it is because it is hard to get financing for condos and presumably easier to find tenants, so they’re more willing to lend for an apartment project.

    If they have been told ‘No, absolutly not’ for the condos. Then, realtively speaking, anything would be easier, no matter how unlikely.

    Sounds like a scramble to keep the company together and their options open.

    This is a pretty common happening in the last couple of years. As long as they have an option, they will not get forclosed on. It is happening in every city.
    http://www.chicagospire.com

    #261135

    surber17
    Participant

    So the next big question is …. their email makes it sound like the apartment financing is just about ready to go. I wonder what kind of new timeline they’re looking at.

    #261136

    JD3
    Member

    surber17 wrote >>
    So the next big question is …. their email makes it sound like the apartment financing is just about ready to go. I wonder what kind of new timeline they’re looking at.

    I was sort of thinking the same thing. I mean, the financing would have to be pretty much a done deal for them to make this announcement.

    #261137

    aaminian
    Participant

    Has anybody tried to contact ARMS since the announcement?

    #261138

    DR
    Participant

    Remember when Ibiza was announced…Ted Strickland was there to cut the ribbon…Financing should have been in place when that happened. They obviously still do not have financing. They are notorious for making lofty statements and things not going as planned.

    #261139

    Tenzo
    Participant

    surber17 wrote >>
    So the next big question is …. their email makes it sound like the apartment financing is just about ready to go. I wonder what kind of new timeline they’re looking at.

    What the people who bought condos may look like

    What the apartment financing request may look like

    #261140
    Jimmy Mak
    Jimmy Mak
    Participant

    Forgive my ignorance but does anyone know how things went so wrong with this project?

    #261141
    Walker Evans
    Walker Evans
    Keymaster

    aaminian wrote >>
    Has anybody tried to contact ARMS since the announcement?

    I did. Will probably have another scheduled interview with them in the next week or so.

    So in the meantime, keep the questions coming. ;)

    #261142

    monadnock
    Member

    I don’t even understand how it is that we’re STILL believing what they are saying. This “trust us” bull shit really isn’t cutting it anymore.

    They took deposits. couldn’t get financing. Didn’t ask the contract holders, went looking for investors, all the while spending the deposit money. Now they’re not building the condos and yet again, they say they’ll give us the money back…. Just not yet. Once they secure financing for the latest gimmick they’ll give the money back, all of it, with interest they say.

    How is this NOT a panzi scheme? http://en.wikipedia.org/wiki/Ponzi_scheme

    ARMS feeds contract holders little bitty pieces of information. Just enough to string everyone along. We really, truly don’t know what the laws are that govern any of this or what we are really, truly allowed to know. Hell, I only just heard in this last letter that I am legally entitled to my deposit back plus interest.

    So my question, If ARMS is doing everything to the letter of the law, then how come the law allows them to spend the deposit money if they are required to give it all back if the project goes belly up? How is this at all possible?!?!

    Lets face it. We (contract holders) need a lawyer. Contact me.

    #261143
    Jason Powell
    Jason Powell
    Participant

    I’m going to go out on a limb and give them the benefit of the doubt this time. Their “excuses” seem to be reasonable. They make perfect sense but it would have been nice to see updates throughout this process. Oh well. We’ll see….hopefully sooner rather than later.

    Hey Walker, ask them when the dirt will start flying and what the rents are.

    #261144

    JD3
    Member

    Have they explored the option of doing lease to purchase like Carlisle’s Watch.

    #261145

    monadnock
    Member

    I think we’ve been giving them the benefit of the doubt for far too long. I can’t believe how easily everyone is cowed in this town. Especially those with skin in this.

    Obviously I had a wealth of trust for these guys in the beginning but now, based on over a year of lousy interactions, they’ve pretty much burned through all the good will I have. Now I want them on a VERY tight leash.

    Only a lousy con artist seems untrustworthy. Really, I’m looking at what they’re not telling us. And the decisions they’re making with my money without my consent. I’m not certain I’m caught up in a scam but if they are scamming me, then I really can’t rely on what they’re telling me now can I?

    #261146
    Jason Powell
    Jason Powell
    Participant

    monadnock wrote >>
    I think we’ve been giving them the benefit of the doubt for far too long. I can’t believe how easily everyone is cowed in this town. Especially those with skin in this.
    Obviously I had a wealth of trust for these guys in the beginning but now, based on over a year of lousy interactions, they’ve pretty much burned through all the good will I have. Now I want them on a VERY tight leash.
    Only a lousy con artist seems untrustworthy. Really, I’m looking at what they’re not telling us. And the decisions they’re making with my money without my consent. I’m not certain I’m caught up in a scam but if they are scamming me, then I really can’t rely on what they’re telling me now can I?

    I’m willing to do it just this once and if we are taken around the block again, I will never trust them again. And I’m not cowed by them. I take everything with a grain of salt. However, given the current state of things in this shite economy, and IF, IF they are telling the truth about why this project has been held up, then they deserve a small ounce of credit. If they don’t come through once again, then I will take that ounce of credit and flush it.

    #261147

    buckeyecpa
    Participant

    This project will not happen. Banks will lend to proven condo developers before they will for any apartment complex. With a condo project you have several different groups involved that need to make sure this is complete for their sake. The sale of the condos gets the bank their money back quickly. With an apartment complex renting at 700 a bedroom it does nothing to pay off the mortgage, cover operating costs, and provide income for employees.

    Second thing is he’s keeping the project the exact same aside from a few small changes. Again, if we think reasonably on this why wouldn’t the banks prefer to invest in a condo operation over an apartment community.

    Also banks will work out deals to also become the preferred mortgage originator. Two reasons, they get paid their money back and they can also sell off on the secondary market. You’ll see places offering lower rates if you go this route. That’s because of an agreement with the bank/developer to purchase points so that the place gets filled and the higher ups are happy to see it off their books.

    The banks can then foreclose on the condos that fall short on the mortgage. This still puts them in a better position than foreclosing on a 45 million dollar apartment community. Good luck selling that off at a reasonable rate if there is failure.

    So basically, with common sense it shows that ARMS is struggling with the concept and delay the inevitable lawsuit. If they were to say game over we’re done with the project all together they would be sued first thing tomorrow. By delaying once again they are hoping to drum up the funds to pay everyone off.

    One thing for everyone to keep in mind is to use caution with ARMS but don’t totally write them off. This was one error that set them very far back. But they have also achieved at providing a great area with all they have accomplished.

Viewing 15 posts - 451 through 465 (of 901 total)

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