Omeya under the hammer
90 lots to be auctioned today
17 November 2021 | Business
Aucor Namibia is auctioning 90 lots for various plots, houses and commercial property at the Omeya development outside Windhoek today.
According to the auctioneer's website, the auction is commissioned by Omeya's new management.
Meanwhile, a social media campaign has been launched titled "Sê jou sê Omeya", where they try to deter people from investing in the life promised by the luxury golf estate development.
"Welcome to 'auction week', where you are guaranteed to pay off another man's debt for the rest of your life by buying property at Omeya!" according to a post on Monday.
The dispute stems from a temporary court settlement that was applied for after the Omeya Homeowners Association (OHOA) approached the courts last year to liquidate the business and the largest creditor, Bank Windhoek, stepped in to prevent the liquidation.
This all follows after a complex division of responsibilities and a series of murky internal agreements were made vulnerable by the collapse of the housing market.
Bank Windhoek and Omeya’s developer then reached a temporary settlement to place the latter under judicial management, rather than to liquidate it. The developer company is Omeya Golf and Residential Oasis (OGRO) and Bank Windhoek has meanwhile taken control of this by appointing new directors.
OGRO was already in the red with two of its largest creditors, namely Bank Windhoek and FNB Namibia, to whom it owed about N$133 million and N$12 million respectively.
Bank Windhoek previously asked that all enquiries by directed to Omeya director, Daniel Terblanche. He informed this publication that the previous OHOA council had been appointed by the provisional judicial director, and was replaced on 6 October. Terblanche is one of four South Africans currently serving on the board.
He insists that board members do not have to be homeowners, and that one homeowner still serves on the board. The same individuals currently serve on both OGRO and OHOA's boards.
Previous question marks about the legality of the management agreement applicable to Omeya were rejected by Terblanche. He says legal advice indicates the agreement is valid.
He also shared Bank Windhoek's rescue plan for Omeya.
Specifically, it is the imposition of levies on homeowners in this plan that is causing unhappiness among homeowners, according to social media posts.
According to "Sê jou sê Omeya" levies are currently around N$4 500 per month, and they predict this could increase by N$2 000 to pay off previous debt.
Allegedly, in the meantime, some homeowners have closed their accounts with Bank Windhoek, according to social media posts.
Terblanche says the Namibia Government Infrastructure Development Fund (NIF) of the Government Pension Fund (GIPF) is willing to spend an additional N$65 million on Omeya in addition to the previous N$38 million investment for which NIF obtained 49% of the Omeya Infrastructure Company (OIC).
The OIC arose from the management agreement between OHOA and OGRO and the plan is for the NIF to take over the company as a whole.
He says the OIC provides services to homeowners and is responsible for maintaining infrastructure.
"OHOA has a service agreement with the NIF that regulates service delivery and related costs. The NIF asks that OHOA pays for services provided. The OHOA sends out invoices and collects levies from homeowners to pay the NIF's invoices,” he added.