The Court of Appeal has ruled that buyers who paid deposits of £60,000 on fIats at Pointwest, Cromwell Road, SW7, which were never completed should have their money returned.
224 mainly UK buyers paid the developer – a company owned by Land & Property Trust – a total of £11.8m in 1987 to secure the flats, having only ever seen the plans.
In 1993 after the developer went bust Robert Noonan’s Farndale Holdings stepped in and paid the receivers £3m for the development. The company went on to secure a highly profitable deal with Sainsbury, which occupied part of the ground floor, to double its floorspace.
Davies Arnold Cooper, who acted for Pointwest Action Group, is now investigating ways of reclaiming the funding from Farndale.
EGi News 21/10/96
