WORRIED residents of a York flats complex have received some reassurances from the Joseph Rowntree Foundation about the future of their homes.
At least 50 residents from Rowntree Wharf - many of whom have only a 50 per cent stake in their homes - met last night for a question and answer session with foundation representatives.
The meeting followed the announcement last month that the foundation was invoking a clause in the lease, allowing it to sell residents the remaining 50 per cent of their flats at the current market value, or buy back the original 50 per cent at the original market value plus ten per cent, minus three per cent.
Residents at the complex in Navigation Road claimed last month that the decision could leave them thousands of pounds out of pocket.
But the Foundation announced some moves last night to help residents struggling to cope with the changes.
It said some residents who had only moved in to their homes recently could remain in their flats for three years on a rent-free basis before either selling their share or buying the remaining share.
Another option now open to residents was to keep their 50 per cent stake and pay a rent on the remaining 50 per cent at less than the market value.
The Foundation also said special steps would be taken to assist people who might be eligible for charitable support, such as the elderly, disabled and those on low incomes who would face financial hardship as a result of the proposals.
Residents were also reminded that they can sell their share in their flats at the current market value on the basis that the foundation also sold its share at the same time. After a three per cent deduction for costs, each party would receive 50 per cent of the sum raised.
Many residents criticised the foundation and solicitors last night, claiming they had not been adequately informed about the clause in the lease. One said she had been almost suicidal and had not slept properly for weeks.
But one resident, Rita Leeman, while sorry for new residents who had been caught out, said people were "nave" if they had bought the property not believing that this situation could arise at any given moment.
She said: "I always knew I was living on borrowed time. It's nave of people to think they would be given something for nothing, Rowntree's have been very fair. People should have read the legal documents properly."
Richard Best, from the Foundation, said: "I am sorry to be the bearer of difficult news for you and we are going to try to make the process as manageable as we can in the meantime."
Updated: 11:02 Thursday, October 04, 2001
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