‘My flat was £161,950 in 2007 – now I’m offered just £28,000’

When Tony Cross’s father was the first buyer at a McCarthy & Stone retirement development in Folkestone, Kent, he thought he was getting a bargain. The sales rep offered him an “early bird” discount, knocking £3,000 off the cost of a one-bed flat, selling it to him for £161,950 in 2007.

‘My flat was £161,950 in 2007 – now I’m offered just £28,000’

When Tony Cross’s father was the first buyer at a McCarthy & Stone retirement development in Folkestone, Kent, he thought he was getting a bargain. The sales rep offered him an “early bird” discount, knocking £3,000 off the cost of a one-bed flat, selling it to him for £161,950 in 2007.

The Guardian reports the heir to a retirement flat at Laurel Court in Folkestone bought for £161,950 in 2007 is considering an offer of £28,000 from a buying service.

Why do property values fall at Laurel Court, asks Patrick Collinson.

The answer is because the property values of the flats is of no financial concern to either the freeholder, the Tchenguiz Family Trust based in the British Virgin Islands or its former company Peverel / FirstPort which manages the site.

Both will be paid the same whatever the value of the leases: FirstPort in management fees; Tchenguiz gets the ground rents – or rather Rothesay Life does, in a loan arrangement on Tchenguiz’s entire freehold portfolio.

The only people who care about the value of the leases are the leaseholders, who are completely disempowered and irrelevant to the income streams of the site.

 Here are the dismal figures from the Land Registry:

 Flat 1, Laurel Court, 24 Stanley Road, Folkestone, CT19 4RL
 Transaction history
 A2010-09-17£222,000
 
 Flat 10
 2018-08-10£75,000
 2010-04-23£150,788
 
 Flat 11
 
 2019-04-26£105,000
 2009-11-27£150,615
 
 Flat 12
 
 2010-06-16£149,950
 
 Flat 14
 2011-12-02£111,265
 
 Flat 15
 2013-12-16£145,000
 2012-12-14£134,950
 2008-03-17£188,950
 
 Flat 16
 2017-05-26£139,995
 2016-07-08£137,500
 2012-03-12£139,950
 2008-08-08£189,950
 
 Flat 17
 
 2017-02-10£135,000
 2013-11-26£149,000
 2008-09-10£182,950
 
 Flat 18
 2018-03-16£135,000
 2009-08-21£175,000
 
 Flat 19
 2015-05-29£150,000
 
 Flat 2
 2017-12-14£125,000
 2011-04-01£164,950
 
 Flat 20
 2018-03-23£175,000
 2011-07-29£224,950
 
 Flat 21
 2017-12-01£90,000
 
 Flat 22
 2014-04-11£97,450
 
 Flat 23
 
 2014-10-03£99,950
 
 Flat 25
 2007-11-30£161,950
 
 Flat 26
 2018-05-16£155,000
 2015-01-30£150,000
 2012-05-25£122,885
 
 Flat 27
 
 2012-02-24£195,000
 
 Flat 29
 2016-03-31£175,000
 2010-04-28£175,000
 2008-07-25£244,950
 
 Flat 3
 2018-03-28£100,000
 2012-05-04£150,000
 2010-07-23£155,000
 
 Flat 30
 2010-08-20£160,000
 2008-09-01£238,950
 
 Flat 31
 2015-12-16£125,000
 2007-11-30£207,778
 
 Flat 32
 2011-09-01£191,950
 
 Flat 33
 2018-08-01£95,000
 2017-08-21£94,000
 2015-02-20£162,950
 
 Flat 35
 2013-08-28£99,950
 
 Flat 36
 2019-07-01£80,000
 2009-06-08£154,950
 
 Flat 39
 2008-11-28£160,000
 
 Flat 4
 2017-12-08£80,000
 2008-08-08£167,500
 
 Flat 40
 2014-01-13£144,000
 2008-08-29£176,950
 
 Flat 42
 2014-08-15£179,950
 
 Flat 43
 2013-08-02£210,950
 
 Flat 45
 2016-05-11£125,000
 2013-02-13£144,000
 2010-12-17£178,950
 
 Flat 46
 2012-11-30£160,000
 2009-04-16£244,950
 
 Flat 47
 2018-09-14£95,000
 
 Flat 48
 2014-12-23£119,000
 
 Flat 49
 2014-10-31£145,000
 
 Flat 50
 2017-12-08£110,000
 
 Flat 52
 2014-07-17£193,950
 
 Flat 53
 2011-07-27£195,000
 
 Flat 55
 2015-09-08£165,000
 2009-10-30£213,950
 
 Flat 56
 2010-09-10£228,950
 
 Flat 57
 2018-04-27£120,000
 2016-03-04£140,000
 
 Flat 59
 2014-08-29£165,950
 
 Flat 6
 2017-10-11£155,000
 2007-11-30£215,950
 
 Flat 60
 2016-01-22£128,000
 2011-06-24£181,950
 
 Flat 62
 2018-01-08£85,000
 2012-08-24£161,950
 
 Flat 63
 2017-06-07£82,000
 
 Flat 64
 2018-05-02£135,000
 2015-01-20£150,000
 
 Flat 65
 2008-07-25£162,950
 
 Flat 66
 2017-08-24£114,000
 2014-10-22£172,950
 
 Flat 67
 2018-03-22£120,000
 2014-08-29£153,950
 
 Flat 68
 2014-01-31£182,950
 
 Flat 69
 2018-08-29£173,000
 2016-12-09£152,500
 2011-10-28£199,950
 
 Flat 7
 2008-02-29£226,950
 
 Flat 70
 2015-11-24£120,000
 2014-01-29£132,000
 2008-08-29£189,950
 
 Flat 71
 2017-04-13£115,000
 2011-04-01£209,950
 
 Flat 8
 2015-02-20£125,000
 2009-09-24£177,950
 
 Flat 9
 2010-05-14£163,761
  
  

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