An investor has complained about leaks in one of the units. Photo / Paul Estcourt
An investor has complained about leaks in one of the units. Photo / Paul Estcourt
KEY POINTS:
Apartment and finance investment specialist Blue Chip Financial Solutions is encouraging clients to stay in for the long haul.
The ASX-listed Auckland-headquartered company is selling dozens of units on a new decade-long lease structure. Luke Howard, an investment adviser on contract with Blue Chip, said he had morethan 50 properties for sale, mainly Auckland apartments and he is promoting the new 10-year lease deal for investors.
"In the long-term, property is always going to be good, it's not a short-term, get-rich-quick thing," he said.
Apartments in cheaper areas like Albany and Flat Bush dominate his books and range from $241,000 to $700,000.
He is marketing Orewa Grand Apartments, 252 Centreway Rd in Orewa, from $575,000 to $645,000 and at Rosedale Rd at Albany for $241,000 to $291,000.
Investors only had to pay a 10 per cent deposit to buy and can then enter into a 10-year lease with Bluechip New Zealand. Howard said this would give "an assured rental paid monthly for 10 years, set to market rent".
Some investors have complained that deposits paid for new apartments have not resulted in them getting their units.
One couple said they had paid a 10 per cent deposit on units Blue Chip said it would develop in Auckland's CBD but work had not begun.
Marisa Rakich, Blue Chip's marketing communications manager said it was not unusual for investors to be waiting for units because "a lot of apartments sold off the plans".
Another investor was unhappy about apartments he bought from Blue Chip. Michael Gray, of Remuera paid, $625,000 for two Blue Chip units at a 20-unit community on Sunset Rd in Mairangi Bay but said his units had suffered weather-tightness issues.
"Balconies had caused problems and to their credit, Blue Chip have fixed up most of the entire complex and investors have continued to receive guaranteed rental income," he said. Brian Kent said his investment company bought a $351,000 unit at The Avenue at Albany from Blue Chip but he was upset that there were leaks in this project and that it had no code compliance certificate.
"The punchline here is they sold the unit when they knew there were issues there," he said.
