Investors offered 50% cash refund

Investors in the Dh1.8-billion equestrian-themed community project, the Escape, are being offered a refund — which is 50 per cent of the “proven paid amount”, 'Emirates24|7' can reveal.

In an email sent to investors, Ajman Real Estate Regulatory Agency (Arra) said: “We are sending this e-mail to inform you that Arra has initiated Escape settlement and the settlement offered is 50 per cent of the proven paid amount.”

The agency has asked investors to visit their office with the original Escape contract; original Escape receipts for payments made; original Ajman Bank receipts (if paid in the escrow account); original bank clearance for the payments made if made by cheque.

Investors will have to sign an indemnification form when they come to receive their settlement cheques, Arra mentioned in the email.

An investor, who wished not to be named, said he had accepted the refund offer, but was proposed the option to own a land plot that was equal to total amount paid by him to the developer.

“I have accepted the 50 per cent cash refund. It’s good to get back something than lose all my money. I am now just waiting to hear from the agency on when I can get my cheque.”

When contacted, an Arra spokesperson said that they would reveal the details of the settlement soon.

Separately, in an advertisement issued on March 11, Arra asked Escape investors, who have not approached the agency, to submit their documents within the next 30 days.

In September 2011, Yafea Eid Al Faraj, Executive-Director, Arra told this website that they were working to find a solution for the project.

“We are working on it… we have a couple of options to solve the issue and we are also finding a solution for the end users,” he had said.

Launched in 2008, Escape was a 200-acre equestrian-themed community, which would housed over 500 villas, 16 low-rise buildings and a boutique hotel. The development would have offered stabling for 200 horses including a modern equestrian spa dedicated to the rehabilitation of injured horses, and a mix of indoor and outdoor riding arenas and training facilities.

Previously, Arra has been successful in resolving investor claims related to Al Helio Downtown, a multi-billion-dirham project. It September 2011, it settled claims worth Dh1.4 billion on the project.
 

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