A lawyer has been obtained by almost half of buyers who had pre-purchase agreements terminated for homes in the South River Elora subdivision.
In January, Guelph-based builder Gemini Homes, told 32 buyers that their pre-purchase agreements would be cancelled because hard services were not obtained by a pre-determined date of January 13, 2022.
Homeowners were also told deposits would be returned.
John Brennan, Partner at Commercial Litigation Group Lerners LLP, says Gemini Homes has retained legal counsel who has committed to attempting to engage in resolution discussions but as of Friday, they had received no proposal.
Gemini Homes did not respond to our request for comment.
Brennan says unfortunately this is a wide spread issue across the province due to the rise of real estate prices and the rise of construction costs due to the pandemic.
He is currently involved with several similar cases in Tillsonburg and other cities where builders or developers are terminating agreements based on conditions, when Brennan says, normally, the goal is meet deadlines to have purchasers in their homes as soon as possible.
