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Discuss this article (10 Comments)First Qatar hits back at air-con price hike claims
by This email address is being protected from spam bots, you need Javascript enabled to view it on Thursday, 06 August 2009
PEARL QATAR: An artist's impression of the waterside development.
First Qatar, the company embroiled in controversy over air conditioning charges at mega-project The Pearl, has hit back at claims it is to blame for the price increases.
Some investors at the $14bn seaside development in Doha are trying to establish why they now face up to a 150 percent rise in air-con charges.
Master developer Qatar Cool denys it has raised its air-con prices. It said in a statement last month that it only enters into contracts with developers.
But on Thursday developer First Qatar said Qatar Cool had increased its fees.
The company said: “The purchase agreements co-signed with our customers clearly states that the purchaser shall pay charges for air-conditioning installation and consumption as agreed on in the cooling services agreement.
“The installation fees subject to the increase are one time fees incurred on a pro rata basis for apartments and not on the building as a whole. This issue was recently brought into perspective now that Qatar Cool decided to increase its fees. This problem is not only facing First Qatar but hindering the status of all sub developers on the Pearl Island all abiding to the same conditions,” it added.
“It is important to note that First Qatar has no control over how Qatar cool manipulates its charges and calculate its fees.”
The 4m square metre island mega-project The Pearl-Qatar in Doha will provide around 15,000 homes when it is complete in 2011 and will also allow foreigners freehold ownership rights.
READERS' COMMENTS
Disclaimer: The views expressed here by our readers are not necessarily shared by ArabianBusiness.com or its employees.
The bad news never ends... More hidden Fees:
Posted by Regretful Owner, Doha, Qatar on Friday 14 August 2009 at 07:34 UAE time
I have just found out about more fees to look FWD to that we were yet again not told about. We have to pay 1 or 2.5% of the total price of our home for municipal registration fee. Our developer knew about these fees before we bought our apartment. Did our developer say anything when asked... OF COURSE NOT.
I'm currently looking at fees of 300 000.00 QAR that i have to pay before i can move in.... The list never ends: Qatar Cool connection fees, electricity connection fees, service fees and deposit of 1 year in advance for service fees, master community fees, 1, 500 minimum Qatar Cool AC fees, municipality registration fees... What next? Will this ever end? I don't have that money and even if i did i would not give it to people that are clearly ripping me off!! This apartment has ruined me financially due to all the hidden costs. I NEVER would've bought if i my developer was honest with me and told me about these ludicrous cost!
My only hope is that The Pearl sinks befoe i move in and all my worries with it!! I was so excited to move into my very own first apartment. The thought of that place now makes me want to vomit every time i hear the name Pearl.
Thank you UDC/QC and other developers for shattering so many peoples dreams and positive outlook on your project. We now all look at your development feeling nothing but betrayal and resentment towards you!! Well done, you have made sure your project will be a massive failure due to treating your customers like dirt and trying to take even more money from us even though we've given you millions already. You've just cut off the hand that would've fed you!!!
Posted by Regretful Owner, Doha, Qatar on Friday 14 August 2009 at 07:34 UAE time
I have just found out about more fees to look FWD to that we were yet again not told about. We have to pay 1 or 2.5% of the total price of our home for municipal registration fee. Our developer knew about these fees before we bought our apartment. Did our developer say anything when asked... OF COURSE NOT.
I'm currently looking at fees of 300 000.00 QAR that i have to pay before i can move in.... The list never ends: Qatar Cool connection fees, electricity connection fees, service fees and deposit of 1 year in advance for service fees, master community fees, 1, 500 minimum Qatar Cool AC fees, municipality registration fees... What next? Will this ever end? I don't have that money and even if i did i would not give it to people that are clearly ripping me off!! This apartment has ruined me financially due to all the hidden costs. I NEVER would've bought if i my developer was honest with me and told me about these ludicrous cost!
My only hope is that The Pearl sinks befoe i move in and all my worries with it!! I was so excited to move into my very own first apartment. The thought of that place now makes me want to vomit every time i hear the name Pearl.
Thank you UDC/QC and other developers for shattering so many peoples dreams and positive outlook on your project. We now all look at your development feeling nothing but betrayal and resentment towards you!! Well done, you have made sure your project will be a massive failure due to treating your customers like dirt and trying to take even more money from us even though we've given you millions already. You've just cut off the hand that would've fed you!!!
property development long term?
Posted by MUSHTAQ, DUBAI on Monday 10 August 2009 at 17:50 UAE time
This region's transparency and credibility are really in question now, and I doubt the diversification undertaken by opening-up the property sector to foreigners will acutally materialize and last long enough. First Shrjah, then Dubai, Saudi, Abudhabi, and now Qatar, as properties are delivered more absurd claims,disputes and suprises for the buyer. This is setting a negative sentiment.
Posted by MUSHTAQ, DUBAI on Monday 10 August 2009 at 17:50 UAE time
This region's transparency and credibility are really in question now, and I doubt the diversification undertaken by opening-up the property sector to foreigners will acutally materialize and last long enough. First Shrjah, then Dubai, Saudi, Abudhabi, and now Qatar, as properties are delivered more absurd claims,disputes and suprises for the buyer. This is setting a negative sentiment.
Right all along
Posted by macca on Sunday 9 August 2009 at 13:39 UAE time
All those people in the UK that thought i was stupid for trusting people from this part of the world at all levels to act with decency and honesty were right all along.
Posted by macca on Sunday 9 August 2009 at 13:39 UAE time
All those people in the UK that thought i was stupid for trusting people from this part of the world at all levels to act with decency and honesty were right all along.
Are First Qatar facing financial problems
Posted by Concerned home owner, Doha on Friday 7 August 2009 at 19:23 UAE time
I’m a First Qatar home owner. I wonder if these extortonate fees they are looking to charge us is an indicator that they are short on funds and looking to the customers for cash to finish the project.
When you call FQ to talk about these high fees their general response is that it is not their problem, it is the customers’ problem, our problem, to sort out with Qatar Cool. Qatar Cool are saying publically it is the developers problem and they only deal with the developer . I really do not know who to believe, but from my own dealings with First Qatar they do not have a good track record for honesty or integrity.
To back up my shortage of funds theory I was told by their VP that we are now being expected to pay for connection fees to the building for electricity, water, telephone, internet and the list goes on. I would have expected these fees to be covered in my apartment cost as they are not mentioned in my contract, but they are looking to extract these from us too. Of course nothing with them is in writing, nothing is transparent and it has been this way since day 1.
Why are they asking for such high fees at the end of the project. AC alone is looking at QR+150,000 up from QR50,000 when the contract was signed. The other fees will surely cost another QR50,000. Multiply 200 or so units by QR200,000 in additional fees and you have a nice little sum at the end of construction for First Qatar.
Posted by Concerned home owner, Doha on Friday 7 August 2009 at 19:23 UAE time
I’m a First Qatar home owner. I wonder if these extortonate fees they are looking to charge us is an indicator that they are short on funds and looking to the customers for cash to finish the project.
When you call FQ to talk about these high fees their general response is that it is not their problem, it is the customers’ problem, our problem, to sort out with Qatar Cool. Qatar Cool are saying publically it is the developers problem and they only deal with the developer . I really do not know who to believe, but from my own dealings with First Qatar they do not have a good track record for honesty or integrity.
To back up my shortage of funds theory I was told by their VP that we are now being expected to pay for connection fees to the building for electricity, water, telephone, internet and the list goes on. I would have expected these fees to be covered in my apartment cost as they are not mentioned in my contract, but they are looking to extract these from us too. Of course nothing with them is in writing, nothing is transparent and it has been this way since day 1.
Why are they asking for such high fees at the end of the project. AC alone is looking at QR+150,000 up from QR50,000 when the contract was signed. The other fees will surely cost another QR50,000. Multiply 200 or so units by QR200,000 in additional fees and you have a nice little sum at the end of construction for First Qatar.
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