British award-winning investigative current affairs television programme Dispatches this week highlighted concerns surrounding investments with British storage company Store First – a company that has also attracted a number of investors from Singapore during property exhibitions in the city-state.
The programme, titled ‘How to blow your pension’ looked at how U.K. legislations will change in April 2015, allowing investors to use their pension to invest in alternative schemes and investments.
Store First has been marketing storage pods and car park investments in Singapore for at least three years and through several different real estate agencies. One local agent, who declined to be named, suggested commission rates in Singapore were was high at 20 percent – a warning sign in itself he said.
The television programme highlighted one example where a saver was told he would get a lump sum and an investment in self-storage units with Store First if he handed over his entire pension savings.
According to the programme the lump sum payment was delayed by 11 months and he had not received any return on his promised investment.
Store First confirmed to the programme that it had sold units to a pension scheme which the individual “appeared” to be a member of.
In January last year the U.K.’s Financial Conduct Authority issued a consumer alert naming store pods, among other unregulated investments ,that are “high risk”.
As with any property investment buyers and investors are urged to do their own independent legal due diligence to satisfy themselves of the validity of their investment.
Store First did not immediately reply to comment regarding the television programme to PropertyGuru’s inquiries.
