[Gnomes]

I am in the process of buying a presale condo. I was reading the contract and came across this:

If the actual strata lot is short of 3% of preliminary advertised square footage, I get no compensation from the developer.
If the actual square footage is short of more than 10%, I have the option of not buying the condo.
If the actual square footage is short by 4-10%, then the developer will reimburse me by this formula:

Rebate = (0.97 - Actual square foot/advertised square foot) x purchase price

My home is $429,900 for 779square foot. That is about $550/sq feet.

Under the first scenario, I can lose up to 23square feet.
Third scenario
-> if I lose 4%, that is 31square feet lost. Rebate I will get (as according to formula) is $4210. Rebate of $135 per square feet lost.
-> if I lose 9%, that is 70square feet lost. Rebate I will get is $25733. That is 367/square feet.

Both of which is still a rip off (under the original $550/square feet bought). I would like to know how often a developer will deliver less square feet of live space during completion. The developer is not as well known (Marcon). Thanks in advanced.