I received an email the other day from a resident of a new Liberty Village condo who wants to know why the amenities in the building aren’t finished yet – even though she’s been living there for six months.

I explained very matter-of-factly that this doesn’t “need” to be done at any point; really, just whenever the developer gets around to it.

She told me that was “unfair and complete BS” and I soon realized that there are more buyers in dream-land than I previously thought.

Do you want to know how a developer’s priorities really work?

Before I anger any readers who work with developers or feel that condominium development in Toronto is running at top-notch levels of consumer satisfaction and there is really nothing to complain about, let me state emphatically that this post is only my opinion on how things are done.

In a completely unrelated story, click HERE to see how my opinion has been proved correct 100% of the time.

Ha, no, okay.  I realize that there are some honourable developers out there that work hard to improve their reputation and sell condos based on their track records, but in my opinion, most developers follow the priority list that I’ll outline below.

It wasn’t until my recent rash of anti-developer posts that I realized how naive and uninformed some buyers truly are.

I hope I’m not coming off as unsympathetic, because if last month’s five-day examination didn’t help future buyers of pre-construction to understand the Agreement, then nothing will.  But I guess I’m still amazed at the naivety of some buyers who think that the world is a fair place.

I’ve had several conversations with people who use the word “should” when speaking about the developer of a new condominium.  But “should” only applies in a perfect world; one which is fair and just.

In a perfect world, the developer should finish every single unit, and every single inch of common space before we are given the keys to our “new condo,” but in the real world, we are given keys to our “finished unit in a construction zone” and it remains as such for quite some time.

I’ve had to explain the developer’s priorities to more than a few unhappy emailers, and I feel kind of like a father who tells his six-year-old son that there is no Santa Claus right before he boards the bus to Camp Kawabi in 1986 so that he won’t get made fun of by all the other kids, who happen to be at least seven years old.  But I digress…

Here are the “Developer Priorities” as I see them, with any new condominium development.

First: Finishing Other Units In The Building 

First and foremost comes finishing other units in the building.

When you get in a taxi, what is the first thing the driver does?  He starts the meter, of course!  Do you think he’d ever drive a few blocks first?  Not a chance.

A condominium developer wants to start the meter running on your outstanding tab as soon as possible.  And as I’ve pointed out before, once you have running water and electricity, the developer will hand you the keys and ask for twelve post-dated cheques.  It doesn’t matter if you have one outstanding PDI deficiency, or one-hundred – you have to take occupancy.

So isn’t it in the developer’s best interest to keep working around the clock to finish other units in the building so he can start cashing all those occupancy fee cheques?

Why would he spend time fixing PDI deficiencies on your condo when he’s already got your money?

Second: Correcting PDI Issues

The developer has thirty days to correct the outstanding deficiencies that you’ve noted in your pre-delivery inspection.

If there wasn’t a time limit, I’m sure they’d never get around to it.

But consider that not all the PDI issues will be corrected.

If you listed, “Entire laundry room floor needs to be re-tiled,” it doesn’t mean it’s going to get done.

You may as well list, “Condo should smell like rich mahogany wood, and does NOT,” because ultimately the developer may only fix a few things on your list.

My last PDI had over sixty deficiencies listed, and about twenty of them have been rectified.  Of course, I asked for 20-30 things that I knew would never be addressed, but you simply have to list EVERYTHING or you’ll never get another chance.

Most people stop complaining once the “big” things are fixed.  If you’re missing a closet door, a bathroom mirror, or perhaps your fridge door swings open the wrong way – they’ll fix those things.  Then try calling the “customer service” department for the developer, and they’ll tell you that anything that wasn’t addressed from the PDI is now a Tarion issue, ie. it will never get done.

Most people don’t make any fuss, and go on and live their lives.

That’s why developers get away with it…

Third: Selling New Developments

I was at a development which shall remain nameless, last week, and the sales centre for the developer’s new project is right next door.  I felt like walking inside and asking that happy-little-couple if they wanted to see the developer’s craftsmanship, first hand!  Forget about the model suite and the floor plans on the wall – why not go and see the “completed” units which are under occupancy?

I’m going to stick my neck out here and say that a developer would spend more time and resources selling his new project than finishing the amenities on his old one.

I know it’s hard to quantify, since the former involves salespeople and a cast of characters that is wholly different from the latter, which involves construction workers.  But if the developer had ten dollars to spend and it was either on selling new condos or finishing the party room in the condo that’s in its seventh month of occupancy, what do you think he’d do?

It’s in the Agreement of Purchase & Sale; the developer doesn’t have to finish any of the common elements before you take occupancy, and there is no stated timeline for completion.

Fourth: Completing Common Elements

Don’t get me wrong – the developer will finish the common elements.  It’s just a matter of when.

Ask the residents of Radio City how long it took for the “state-of-the-art” gym to be completed.  This was a massive marketing feature when Context Developments was pre-selling these condos, and many people bought into the complex because the gym was supposed to be top-notch.  But how disappointed were those buyers when they had to hold on to their GoodLife memberships for two years?

It’s not even so much the gym, hot tub, party room, and all that other crap I never use that bothers me.  It’s the common areas.  The hallways, the lobby, et al.

Anything that isn’t right inside your condo is considered “common.”  So if you thought you’d have carpets on the floors, light fixtures on the ceilings, and actual PAINT on the walls of your hallways, think again.

It can be very frustrating to have to remove your shoes at the front door of your condo for eighteen months because you don’t want to track drywall dust into your unit.

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The bottom line is: developers aren’t doing anything illegal; just immoral.

The rules put in place by the powers-that-be allow developers to follow the schedule that I’ve outlined.

In other Provinces, the condominium must actually be FINISHED before people can take occupancy.  This makes sense, but for some reason, Ontario allows builders to grant occupancy when there is electricity and running water.

We can’t solve all the world’s problems in one day.

Just know what you’re getting yourself into…