aj
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Post by aj on Dec 5, 2017 12:33:34 GMT
Couldn't find a thread on this.
GDV of £3,255,000 seems very high considering the market and the poky site. Also, knowing the location there are serious traffic issues which will only be getting worse with the large amount of development in the local area.
Additional funding with no sign of development is not giving off very good signals to me!
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number5
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Post by number5 on Dec 5, 2017 16:04:05 GMT
I did not get an email for this new loan! Looks like the emails are on the blink again.
Is it at 4pm?
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mikes1531
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Post by mikes1531 on Dec 5, 2017 16:28:49 GMT
I did not get an email for this new loan! Looks like the emails are on the blink again. Is it at 4pm? I think so. It's live now and was 75% funded at 1630. As a second-ranking loan behind a 65% LTV first loan, it looks too risky for me. If the first loan defaults, and the property is sold promptly, it would take net proceeds of over 70% of 'value' before the investors in this loan would receive anything at all back. And if the recovery took six months, which IMHO is pretty normal (or even optimistic) for LPA receiverships, the net recovery proceeds would have to approach 80% of value to achieve any recovery for these investors. You don't want to think about what would happen if the recovery takes longer than that. 
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dmc1601
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Post by dmc1601 on Jan 13, 2018 12:59:05 GMT
Great forum really appreciate peoples words of wisdom.
new to this so excuse my ignorance if thats the case , but where is the loan ranking behind this as it seems as its all been consolidated into one loan. Its coming up for renewal now seems worth renewing or am i missing something obvious.
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mikes1531
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Post by mikes1531 on Jan 13, 2018 13:20:06 GMT
Great forum really appreciate peoples words of wisdom. new to this so excuse my ignorance if thats the case , but where is the loan ranking behind this as it seems as its all been consolidated into one loan. Its coming up for renewal now seems worth renewing or am i missing something obvious. : Welcome to the forum! The numbers of the two active loans are in the thread title above. But it all may be irrelevant based on today's update: "We are currently in discussion with the borrower to finalise terms of a development facility. Once agreed, this loan will be repaid and the first tranche of a new development facility will be put up."
If FS do the development loan, it won't really be a renewal and will need to be evaluated afresh on its own merits.
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michaelc
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Post by michaelc on Aug 10, 2018 17:31:42 GMT
Repaid.
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rogerthat
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Post by rogerthat on Aug 10, 2018 17:49:11 GMT
Hallelujah..is it me or is there some movement on overdues & even SM ?
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Post by beepbeepimajeep on Aug 10, 2018 17:58:49 GMT
I was in this and I am impressed, keep it up please FS.
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Post by spareapennyor2 on Aug 10, 2018 18:04:39 GMT
it`s now funded on cr**dproperty
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aj
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Post by aj on Sept 26, 2018 12:45:57 GMT
And it's back? Are FS saying that there was a shortfall on the refinance, which they've only just noticed and now they want lenders to fill it?
I'm struggling to understand this one...
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rogerthat
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Post by rogerthat on Sept 26, 2018 12:53:57 GMT
A tad confused..can someone explain ?
The Loan 1292156586 was repaid and its listed in AAAPL's as completed. Am I to assume that the new lender wont lend all the borrower wants so they've come back to FS to take up the slack?
FS also say " They secured development finance with a separate lender which substantially repaid the loan but which left a small residual balance which is now secured by a 2nd charge "...what is this residual balance (and as the loan 1292156586 has completed) where is it ?
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TheDriver
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Slightly bonkers
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Post by TheDriver on Sept 29, 2018 6:32:45 GMT
ISTM the new lender wouldn't finance to the same level as FS, so FS had to agree to continue to fund the balance as a subordinate facility. Happy it's repaid, but share the same reservations as the OP. Extension of the first charge in the event of likely overrun will be an interesting action, as it could further subjugate this facility.
Shame no-one wanted to keep the building as is, 'cos it's interesting architecturally, but the valuation with PP obviously precludes that. Having said that I wouldn't want to move to one of the proposed hutches, esp. being adjacent a frequently gridlocked arterial route - but many people have!
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adrian77
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Post by adrian77 on Sept 29, 2018 8:39:07 GMT
totally agree with the prior post - I did have a nibble in the first tranche but overall I really don't like any second charges and not least this one as final sales of the yet unstarted properties is a long way off. I am thinking about putting this one in my FA league...
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adrian77
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Post by adrian77 on May 7, 2019 18:54:51 GMT
Verbal permission is one thing - getting it in writing is another. So this one which is already late is estimated to be another 6 - 7 months and as this is a second charge FS can either default the loan (I am sure 2nd charge holders can do this) which may not be a good idea considering a lot of us think it is overvalued and is waiting for planning or simply wait and hope the first charge holder does not default this loan...
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coop
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Post by coop on May 8, 2019 9:20:15 GMT
The development value looks pretty wild to me - I live in a 19th c. 4 bed terrace in Plymouth with 2 bathrooms and 2 reception rooms which we paid £250k for last year. GDV of this suggests they can get c. £300k per property - which must mean they think they can offload the 4 bed ones at what, £400k?? Doubt that will happen in Plymouth unless they're ridiculously high spec, but it doesn't even look like they have garages... It's also right out in the sticks, about 4.5 miles from town centre. If you look on rightmove everything going for £350k+ is either enormous, has a garage, a big garden or some land: www.rightmove.co.uk/property-for-sale/find.html?locationIdentifier=REGION%5E1073&maxPrice=400000&minPrice=300000&index=48 |
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