Tall & Urban News

The developer H. Solís decided to suspend four housing projects in Curridabat, Costa, Rica, stating that they could not continue with their development.

This was confirmed by Cinthya Zapata, director of the Office of Consumer Support of the Ministry of Economy, Industry and Commerce (MEIC).

On 7 January 2020, it was released through an internal communication allegedly issued by H. Solís that one of the projects had been suspended.

The company spokesman Carlos Carmiol said, “With reference to the Curridabat Forum project, we informed our clients through the internal communiqué sent on 6 January 2020, that the decision was taken to suspend the continuation of these developments. This commercial decision was made based on the current situation that the real estate market is going through, which has produced a significant decrease in sales, leading to said investment not being viable.”

“Acting in the most responsible way towards our clientele, the definitive suspension of its development was then determined and, starting today, January 7, 2020, a process for signing contractual settlements, will be followed by the respective returns of the money to each of the clients, who had previously reserved a housing unit in this project. All of this will proceed according to what has been established within the provisions, terms, and clauses of the contract,” he added.

The firm emphasized that all their contracts are endorsed by the MEIC, who had already learned about their decision. These contracts contemplated clauses for an eventual suspension of the project, with which the company said they will comply fully.

News of the suspensions refers to a highly-anticipated project that was supposed to be one of the tallest apartment towers in Costa Rica, with a total of 27 floors.

The project, called Foro Curridabat, was going to be developed in a lot in front of the College of Engineers and Architects.

Zapata said that, essentially, the company had called on 20 December 2019 to see how it should proceed in terminating the project.

Solís was required to inform the MEIC because the project had been a formally registered development.

In this interview with Zapata, it was reported that the company had already completed three other condominium projects, apparently reaching a satisfactory agreement with those who had delivered funds in exchange for a housing guarantee.

By 2018, the company had six projects registered with the MEIC, however, now currently, only three remain.

The projects that could not continue with their development include Foro 2-25, Residential Horizontal Avante, and now Foro Curridabat. Their authorizations and permits have been revoked for now.

The Q-Bo condominium projects and the first-phase of Kuk Horizontal Residential Condominium are still viable according to the MEIC Directorate of Consumer Support.

Until 7 January 2020, H.Solís had not sent the information for this in relation to the Foro Curridabat project.

“This project was canceled. Consumers will not see built housing. The company should make returns in an orderly manner,” said Zapata.

In the afternoon a statement from H. Solís allegedly circulated where he spoke about the suspension of the Curridabat Forum project.

It was signed by an H. Solís team member and included relevant contact information.

“We are 100 percent convinced that the lack of sales has not been due to a deficiency in the marketing process, nor in the quality of the project. Unfortunately, due to the complicated economic situation that the country is going through, the real estate market has been significantly affected…” reads the company's statement to its customers.

For more on this story, go to Diario Extra.