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Matthew Gilligan showed examples of several developments he is doing at the moment, mainly small-scale subdivisions but also some fairly substantial commercial and residential developments as well. I'm not convinced those are right for the 'average investor' though as he was suggesting, I've seen that strategy go very bad when the market turns and it takes a lot of capital to fund those projects as well. The strategy will suit some investors but certainly not most which I felt was the message. Just my opinion though as that's all I have. All the same it was good to hear his views, he's a smart guy, and see what he's up to.
Given the blood bath Sponge Bay turned into for a lot of people (me included), I'd be interested in what Matthew is doing differently this time.
I'd advise caution to anyone thinking of 'investing' in anything like this. Matthew is smart, as you say, and very aggressive ensuring the loss of these developments is borne by the investors, not him.
Given the blood bath Sponge Bay turned into for a lot of people (me included), I'd be interested in what Matthew is doing differently this time.
I'd advise caution to anyone thinking of 'investing' in anything like this. Matthew is smart, as you say, and very aggressive ensuring the loss of these developments is borne by the investors, not him.
TD
Perhaps MG this time is just marketing the developments and taking in easy sales commission/referral fees? Also lots of accounting fees on the developers and purchasers.
Given the blood bath Sponge Bay turned into for a lot of people (me included), I'd be interested in what Matthew is doing differently this time.
I'd advise caution to anyone thinking of 'investing' in anything like this. Matthew is smart, as you say, and very aggressive ensuring the loss of these developments is borne by the investors, not him.
TD
Yes, would agree with you on that. These people don't seem to change or care who they rip off and appear a few years later in other disguises such as mentoring companies etc.
At least Phil Jones wasn't allowed back in to New Zealand after all he did.
Do people generally feel Mathew Gilligan is a good advisor or otherwise? Based on the above comments it sounds like his approach is at the riskier end of the scale. Is this the case?
I think it is generally acknowledged that Gilligan Rowe are at the top end of quality advise regarding property accounting and structures.
However, for anyone considering engaging them, I would consider whether or not you need a Rolls Royce service (that you will pay for, heavily), or whether a Toyota service will do.
In my own case, I set up the 3 Trust structure through GRA, because everyone said that was the best advice and structure available, and even with hide-sight I don't doubt that. However, I have since seen people torn apart, even with the protection these structures offer. They are by no means bullet proof, especially with the government's new laws and scrutiny on property matters.
As I haven't managed to get back to (reside) in NZ, I never fully utilised my Trusts. The ATO (Australian Tax Office) completely ignore the structures, and look straight through them to you as the beneficiary. Furthermore, the administration burden of Trusts is significant, with tax returns, company returns, Trust minutes etc etc. I'm in the process of unwinding my structure as it's of no benefit (to me at least).
So, DHTP, in summary, if you are planning some highly complex property transactions, and looking for solutions that are not your everyday obvious, then GRA might be the go. If you're just a slow and steady Buy and Hold type of Dude, there are more value for money options.
I think it is generally acknowledged that Gilligan Rowe are at the top end of quality advise regarding property accounting and structures.
However, for anyone considering engaging them, I would consider whether or not you need a Rolls Royce service (that you will pay for, heavily), or whether a Toyota service will do.
In my own case, I set up the 3 Trust structure through GRA, because everyone said that was the best advice and structure available, and even with hide-sight I don't doubt that. However, I have since seen people torn apart, even with the protection these structures offer. They are by no means bullet proof, especially with the government's new laws and scrutiny on property matters.
As I haven't managed to get back to (reside) in NZ, I never fully utilised my Trusts. The ATO (Australian Tax Office) completely ignore the structures, and look straight through them to you as the beneficiary. Furthermore, the administration burden of Trusts is significant, with tax returns, company returns, Trust minutes etc etc. I'm in the process of unwinding my structure as it's of no benefit (to me at least).
So, DHTP, in summary, if you are planning some highly complex property transactions, and looking for solutions that are not your everyday obvious, then GRA might be the go. If you're just a slow and steady Buy and Hold type of Dude, there are more value for money options.
Yes, would agree with you on that. These people don't seem to change or care who they rip off and appear a few years later in other disguises such as mentoring companies etc.
At least Phil Jones wasn't allowed back in to New Zealand after all he did.
I didn't realise PJ was banned from the country. Is it legal barriers or public opinion that is barring him?
Thanks The_Dog. Excellent feedback. I am more of a Ford man. Never fancied European cars... The concerns you've raised are exactly what concerns me. Are the structures beneficial to me or to the accountant? But (to stay on track with this thread title) given the Auckland market and potential for a downturn at some stage it is a good idea to protect yourself within reason under appropriate structures.
I didn't realise PJ was banned from the country. Is it legal barriers or public opinion that is barring him?
Actually, not sure if he is banned from coming back (from memory that is what I was told a while ago) but can find out if you do want to know from a friend that knows exactly what happened.
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