My wife and I purchased a condo in Gulf Shores, AL, as an investment property. A significant incentive for us to invest was that the developer, Hanover Companies, would lease back the property from us for a period of 30 months AND the company would pay the Condo Owners Association annual insurance assessment.
After the first couple of months, Hanover Companies began to fall behind on the lease payments. I kept in cordial and friendly communication with the company's principal, Gerry Gutterman, regarding the consistently late payments.By the end of the first year of the lease, all payments were caught up. However, the second year has been quite different.
The lease payments are now THREE MONTHS behind and this month's payment is due. Additionally, the insurance assessment for this year had not been paid to the association by Hanover Companies. The Association is now in the process of placing a lien on the property. Mr. Gutterman has not replied to any of the e-mail messages I have sent to him in the past three weeks.
Counting the insurance assessment, Hanover Companies now owes me over $9,800!
Based upon Hanover Companies' performance, and Mr. Gutterman's absence of communication, I feel that I was deliberately deceived and misled into purchasing this property as the agreements made up front have not been honored by Hanover Companies.
Hindsight being what it is and based upon my experiences with this investment, given the opportunity, I would NEVER AGAIN purchase another property from Hanover Companies.
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