Jardin de la Fleur- Your help / mis-adviced

[moroccndream]

I need your advice on a situation which I just got to know by chance. I bought my property In Jardin de la fleur in Saidia, Morocco. The appartment is a touristic unit, which means that I will have only limited access to the property during the year. As I found out, Moroccan law places a lot of restrictions in terms of use on touristic property.

I appointed a solicitor firm in the UK that claims expertise of the Moroccan law. They sent me a first report but without mentioning that it was a touristic property and its implications for my use of it. I already paid the developper and can not undo the contract. The problem is that I bought my property to enjoy it throughout the year, not in order to let it to tourists and access it only for limited period of times. I doubt that I would have chosen Saidia to buy property if my intention was to buy in order to let, because, according to my understanding, the tourism market in Saidia is unpopular. I just recently learned through my own investigation that the place is relatively empty and that there is only a limited tourism market there, therefore I would have invested in a touristically unattractive region. I went to Saidia and found the town rather deserted, which would be fine for me if my property was just for me, but now that I am bound to letting it out, I find myself in a problematic situation. It also looks as if the property is not attractive enough to sell it to someone else without me losing considerable amounts of money.

I am now thinking to sue the solicitors which mis-adviced me, emitting the fact that the property is a touristic one with all its implications from their report. I would be very grateful for advice or contact by other investors who maybe encountered similar problems.

[Popcorn]

I don't think you bought on a Le Jardin de Fleur development as they are all residential units. Which plot did you buy on and who was you agent?

If your contract stipulates that you must rent it out, then why did you go ahead? Because at the contact stage all deposits are usually fully refundable.

[moroccndream]

The contract did not provide any information on renting out. It says touristic, which according to the Moroccan law must be rented out.

Neither the agent not the lawyer explained that properly or knew about it.

[fws]

Why did you buy an apartment for your own use in a development that you have never visited and know nothing about?

You can't blame the solicitor for the fact that you did no research whatsover.

Of course Mediterranea Saidia is deserted, it isn't built yet. Saidia itself is a nice little Moroccan seaside town, fairly quiet apart from the summer months.

Contact the LJDF developer and he will sell on for you if this isn't what you want. I believe there's a 5% fee.

[Popcorn]

I can find nothing in the contracts for LJDF that have any mention of touristic, or in fact residential, therefore I do not think you could have bought on a Le Jardin de Fleur plot?

Please let us know which plot number this refers to?

[uberdude]

You guys are very naive at best. You should do your homework. The Saidia plot LJDF RT8/RT2/RT6 which I am sure you are refereing too is zoned as Residence Touristique, not resedential, that is AP or VVT.

This is very specific under Moroccan Law and even under current legisaltion horizontal division is not allowed (although it is changing). RT plots are one removed from hotels and were specifically designed for use a rental lets. This is why the developer has to offer a 9 year leaseback.

The Moroccan government has a mandate to improve tourism and the Plan Azur is the back bone, do you think the government wants 9000 resedential units, only occupied 2 months of the year....exactly, these are purpose built to let out and this is why they will make a great investment. If you got sold these as a residential unit you were badly advised.

Thankfully I did my homework!

[moroccndream]

Thank you very much UBERDUDE that you understand what I am talking about. Property Logic sold the property units as “residential property,” including RT8/RT2/RT6, despite the fact that their contract with Fadesa apparently clearly specifies the property as “touristic” plots.

The attitude of the developer is unlawful, by hiding such important information he is misleading buyers.

The lawyer is professionally negligent, because he supposed to search first and advice me properly about the nature of property I am buying. For a non-lawyer, it was not possible to read from the contract that the property was “touristic”, and even if it had stated this, I would not have been able to know what “touristic” implies under Moroccan law. This is what I hired a lawyer for who supposedly understands and can interpret Moroccan law terms. I am extremely disappointed by the law firm, and the developer.

I am currently looking for buyers who bought and used the same law firm for conveyencing.

[Popcorn]

The VVT plots are defined as "Villages de Vacances Touristiques" so presumably the same applies to these as well?

[moroccndream]

The best way to know what is the legal status of the units built on the VVT is to require the property Logic- Fadesa contract.

[Popcorn]

As I am buying through Superior Group and they have properties that are similar to PL (Oasis RT and VVT plots) I contacted them to get some more information. This is the response:

"The main differences between the AP’s and the RT’s/VVT’s is the RT’s and VVT’s have to supply facilities, whereas AP’s don’t.


The properties won't need to be rented out for all but a few weeks a year, and you WILL be given the title deeds on handover. That is why it is stated in our contracts. We wouldn’t have put that in, if we knew different, as it leaves ourselves and Property Logic wide open to cancellations/legal action.


Basically RT stands for Residence Touristique which translates as Holiday Homes and VVT stands for Village de Vacance Touristique, which translates as Holiday Home Village. This means that the properties have to come furnished, with restaurant,sports facilities and swimming pools etc. This would make sense as recently we have had to add a crazy golf course to our The Pines (VVT3) area and have added a tennis court to our Oasis Gardens (RT5) area. With the clubhouses that ourselves and Property Logic are building, we have satisfied the ministry for the interiors demands.


As you probably well know, Fadesa’s AP areas are apartments that don’t come fully furnished and don’t have clubhouses/facilities within the AP area.


I have also been told that Driss Jetou, the Moroccan Prime Minister, is going to the site tomorrow (April 20th) to sign some new agreements relating to these things."