Grand Designs presenter’s housing scheme set to lose thousands for investors
Investors feel “fobbed off” as many are set to lose 97% of their investment
Investors who have put millions of pounds into an eco-friendly housing scheme created by TV property guru Kevin McCloud could lose up to 97% of their money, it has been claimed.
McCloud gained investment for his scheme between 2013 and 2017, with a string of fundraising mini-bond schemes that promised returns of up to 9% a year. The scheme was called Happiness Architecture Beauty (HAB) homes.
It has now emerged, however, that small investors who put £2.4 million into one of the bonds are set to lose between 74% and 97% of their investment.
Another set of investors who ploughed £1.9 million into another HAB company in 2013 were told to expect dividends of at least 5% by the end of 2016. They have not received any of their money back as of yet, and claim they have been “fobbed off”.
Ironically, McCloud rose to fame as a presenter of TV property program, Grand Designs, which often sees drama in the form of overspending, constructions issues, and relationships bust ups. He has admitted he has gone through “a great deal of heartache and pain” during this time struggling through “systematic faults” and large debts.
The TV presenter told The Guardian:
"I stand shoulder to shoulder with those who have lost money. I will of course do everything in my power to improve the current situation."
One investor, who invested several thousands of pounds into the project, told the paper:
"I'm disappointed that what I saw as an idealistic project seems to be collapsing on a sour note, with the original directors having departed and investors seemingly left to bear the entire financial burden of a failed enterprise."
Have you been affected by Kevin McCloud’s HAB homes?
At Smooth Commercial Law, our team of experts have extensive experience in dealing with a whole manner of claims that arise from negligent and/or unsuitable financial advice. This includes being wrongfully convinced into putting money into unsuitable investments, or being promised unrealistic return on investment.
Should you have a claim for any losses, we can deal with your case and look to recover compensation for not just your loss of investment but also any adverse tax liabilities that you may now be facing as well.