djpix99
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Post by djpix99 on Jan 28, 2019 15:29:32 GMT
This is Uown's first development offering, the loan looks to be unsecured from my reading, so i've just invested a token amount.
Uown blurb:
'HMO refurb opportunity in Leeds. UOWN are raising £65,188 from the crowd for the refurbishment and fit out of the property, which will enable the property to be converted from 4 bedrooms to 6 bedrooms. By increasing the number of bedrooms we intend to achieve capital uplift from the increased rental capacity of the property. We will then aim to tenant the property for the 2019/20 academic year and the property is planned to be sold on the open marketplace in 2019 ensuring the exit for the UOWN crowd and the developer.'
Whats people thoughts on this loan?
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kaya
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Post by kaya on Jan 28, 2019 15:51:29 GMT
Seems not quite right to me to call it an unsecured development loan. You are buying shares in a property (that is your security), to cover the refurbishment costs for works already completed. I like the investment, and I think Uown will be very keen for this short-term investment to be a success, that being essential for their reputation at this stage.
We will find out soon enough when it goes onto market.
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carolus
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Post by carolus on Jan 28, 2019 15:53:31 GMT
Sorry, I might be confused, but could you tell me what it is that makes you think this is a loan? As far as I'm aware this, as all other uown properties, are equity based.
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djpix99
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Post by djpix99 on Jan 28, 2019 16:01:46 GMT
Really i'm just calling it a loan as there is no mention of it being anything else. We(ltd company) seem to be loaning the money to a developer to complete the refurbishment. There is no mention of the property in question being held by the ltd company or the ltd company having any charges against the property.
I really like Uown's offerings so far and really do rate them, they pay rent on time and in full.
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Steerpike
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Post by Steerpike on Jan 28, 2019 16:12:55 GMT
I see no mention of security.
The potential return is of course very sensitive to the selling value, if the actual price is 10% less than estimated then the return for UOWNers will be roughly 0%.
It is not clear exactly what happens to returns if the sales price is say 20% less but presumably lenders will lose a significant proportion of their capital.
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ilmoro
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'Wondering which of the bu***rs to blame, and watching for pigs on the wing.' - Pink Floyd
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Post by ilmoro on Jan 28, 2019 19:58:00 GMT
I suspect this is structured somewhat similar to Assetz Exchange, its a loan to an SPV with lenders getting a pro rata share in profits. It is unclear how the loan is secured. Personally I think the information provided is inadequate for a financial promotion of this nature to a general retail clientele and will be seeking clarification before considering it.
Uown have recently had to ensure lenders in the BTL share opportunities are sophisticated or HNW investors to comply with FCA rules (seem to remember making that point when they launched) so these development loans will be structured differently as they are open to all.
As a side note Uown have switched from being an AR of ShareIn to Resolution Compliance (both had P2P lending permissions)
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IFISAcava
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Post by IFISAcava on Jan 28, 2019 20:05:57 GMT
Important to me is whether the profits are paid as a dividend (income) or capital gain. Not stated in the blurb.
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ilmoro
Member of DD Central
'Wondering which of the bu***rs to blame, and watching for pigs on the wing.' - Pink Floyd
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Post by ilmoro on Jan 29, 2019 13:13:31 GMT
Well its filled. Hopefully everyone knew what they were investing in.
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Post by uown on Jan 31, 2019 8:02:33 GMT
Hi, You can find out more about the developments on UOWN here: www.uown.co/the-hub/property-developments-explainedHopefully this answers some questions. We would also like to thank everyone who participated in the v* st development. There will be many more developments coming on the platform over the coming months. Feel free to get in touch if you have anymore questions. Thanks, |
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carolus
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Post by carolus on Aug 14, 2019 11:55:17 GMT
This has just paid out with a total return of 21.2% over the seven month term. Well done uown.
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Post by Ace on Aug 14, 2019 14:13:09 GMT
Yes, excellent work uown . A return of 20.75% for me after accounting for fees, which is an XIRR of 33.59%. Considerably outperforming the expected return of 14.99%, which I would have been more than happy with. Wish I had invested much more. If your listening uown, I do have one niggle with your platform, which is this; once the transaction fee is paid it seems to completely disappear from the platform. The only way I could find a record of it was to generate a tax statement. I realize that it is very easy to calculate (a flat 2% of each investment). The fee does not appear in the list of transactions for each investment (I feel it should), nor does it appear in the account history (where I also feel it should). I would also prefer it if you quoted returns net of the fees. A minor niggle given the excellent returns so far, but if you don't ask... |
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kaya
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Post by kaya on Aug 22, 2019 12:57:07 GMT
Well its filled. Hopefully everyone knew what they were investing in. To be honest I was not entirely sure, and trusted Uown to deliver. They certainly did.
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