http://www.straitstimes.com/archive/...costs-20140327
Property buyers sued over 'lost opportunity' costs
Couple's illegal lofts led to delay in BCA certificate, developer alleges
Published on Mar 27, 2014
Macly alleges that the certificate for the Thomson V Two project at Sin Ming Road was meant to have been issued in March last year but it was only granted in November because of the couple’s unauthorised renovation. -- ST FILE PHOTO
By Selina Lum
A CONDOMINIUM developer is suing an "obstinate" man and his wife for more than $760,000, claiming they built two unauthorised timber lofts in their penthouse apartment.
Developer Macly Assets alleges that Mr and Mrs Andrew Loke are to blame for the delay in it obtaining the certificate of statutory completion from the Building and Construction Authority (BCA).
Macly alleges that the certificate for the Thomson V Two project at Sin Ming Road was meant to have been issued in March last year but it was only granted last November because of the couple's unauthorised renovation.
This meant that a $5 million sum, paid by the flat buyers and held in a stakeholding account, was tied up longer than it should have been when it could have been used for other purposes.
Macly is trying to claim $760,782.96 in "lost opportunity" costs from the couple in a three-day High Court hearing that started yesterday.
Mr Loke, 42, a chief financial officer, and his 37-year- old teacher wife bought the 60 sq m apartment in 2007 for $600,000, before it was built.
They started renovating the unit after the temporary occupation permit for the development was issued in June 2012.
Mr Loke got his contractors to build two 7 sq m lofts, one above the hall and the other over the bedroom.
In January last year, BCA officers visiting the couple's unit to check other defects chanced upon the lofts and told Mr Loke that the structures did not comply with regulations.
Two months later, BCA said it would withhold issuing the certificate for the property until several "deviations" were fixed.
Macly asserts it had fixed the other items cited by the BCA but the Lokes were uncooperative in removing the lofts.
In May, BCA ordered them to be demolished. Mr Loke then changed the timber decks to softboard materials to make the structure non-load-bearing and the BCA lifted the order in September.
Macly's lawyer, Mr N. Kanagavijayan, said in his opening statement yesterday that the lofts were built without the developer's permission, breaching the sale and purchase agreement that the couple signed.
But the Lokes, represented by Mr Mahmood Gaznavi, said Macly and its managing agent were aware that the renovations included the timber decks and did not object to them.
The couple also pointed out that other owners in the condo had built similar loft structures in their units.
The case continues.
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