sl75
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Post by sl75 on Mar 20, 2018 15:39:49 GMT
For a loan that's got such a huge amount of our collective money tied up in it, discussion seems to have been surprisingly quiet on this one as the current due date approaches.
One thing that seems very slightly worrying is the phrasing of the last update...
"We have received correspondence from the borrower requesting a redemption statement in order to progress with the refinance of the loan facility. Once provided, we shall ..."
The first part is very positive in my view - implying that the borrower is pro-actively seeking a refinance rather than Lendy having to "chase" them for updates. However, I now find this worrying because it does not say or imply: "We have received correspondence from the borrower requesting a redemption statement in order to progress with the refinance of the loan facility. Now that this has been provided, we shall ..."
It doesn't even give any indication of how long Lendy would expect to take to reply to such a routine enquiry. I also have vague recollections of another borrower citing Lendy's delays in providing a redemption statement as a factor in causing their repayment to not be forthcoming... probably an excuse, but one which Lendy need to ensure borrowers cannot truthfully give.
What reason could Lendy have for not being in a position to provide a redemption statement on demand by return of email, or even better on the borrower-facing part of the website where an authorised representative of a borrower can access it whenever they want? Or would this merely have been clumsy phrasing and the redemption statement was in fact provided immediately after writing the update to lenders?
If in fact there are no issues, and for the first time ever a refinance of a large loan completes without endless "unanticipated" delays, an amount in excess of £14M being dumped into Lendy's client account all in one go would seem to me to have the potential to shake up the market quite significantly... especially as a good chunk of it was from investors who were specifically attracted by the previous cashback offer, and there are now several current cash back loans waiting to soak that cash back up again.
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withnell
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Post by withnell on Mar 20, 2018 16:26:21 GMT
I think the delay in redemption statement may be due to the time to redemption - when I tried to get a redemption statement on my mortgage, they would only provide a figure up to 7 days away. Clearly from the daily interest figure you can project out to a longer period, but seems lenders don't like sending them out any sooner (maybe to avoid instances of defaulted interim payments not being wrapped in and a solicitor releasing security before they are settled?)
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Post by skint4achange on Mar 20, 2018 16:39:31 GMT
If you go onto Booking.com, you can book a stay in this development! So, it must be going quite well with the build and there must have been some of the apartments completed and sold if you can stay there?
Makes me wonder where the funds have gone from the sales though if you can stay there??
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Post by brummiefred on Mar 20, 2018 18:27:47 GMT
I do not think that any of the completed apartments have been sold but that these are being let by the developer.
See information on the loan page under 'Overview ......extension summary'
A further 68 rooms will be completed/released for letting in next 2 to 4 weeks.
The mention of ''further' would suggest an earlier phase was already completed, and a cafe was up and running.
The developer was looking into several sources of refinance including discussions with Private Sector Rented Guarantee Scheme which may suggest longer term ownership as a possibility.
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oldgrumpy
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Post by oldgrumpy on Apr 8, 2018 14:57:18 GMT
Lendy 2 February 2018 update:
DFL004 - Residential Development, ***************, Wolverhampton The latest Independent Monitoring Surveyor's report confirms that they have no significant concerns regarding the works that have been completed, however Practical Completion has been delayed further and the borrower now expected to have completed all the works on site by March...
Did the borrower really say that? I doubt it. It is nonsense, though that doesn't necessarily mean the refinance isn't still on course. I still think Oct-Dec 2018 is a realistic completion target.
Lendy 16 February 2018 update
We are chasing and await confirmation that good progress is being made in seeking new funding, to repay the loan once the development is complete.
Is that exactly when the refinance company intend to take over? (... or were Lendy "advised" ...etc, and by whom?) We have long been conditioned not to take Lendy's statements at face value.
Much of the site and development looks to be in good order, however the south facing sides are still only receiving intermittent and very occasional work. I will post a few pictures in the next few days (when) if I can confirm that any contractors at all are currently working on the site (there was no-one on site Saturday 7 April 2018).
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Post by p2plender on Apr 9, 2018 0:14:04 GMT
"We have long been conditioned not to take Lendy's statements at face value"
Saved me a fortune taking this advice.
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oldgrumpy
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Post by oldgrumpy on Apr 9, 2018 14:52:26 GMT
OK. The site is almost at a standstill. I saw two guys in hi-vis and hardhats climbing stairs to the top floor in the courtyard. One general builder/home improvement van was in the car park (which is accessible to anyone) so they may have been on site somewhere. The inner courtyard (apart from the two guys mentioned) was gated up and locked and silent. The J**** Street side has barely had any work done since Christmas. Let's not accept any statement from Lendy about the development being anywhere near complete. That still does not mean the refinance is not progressing. The borrower is a fairly level headed person, from what I have read locally. Photos from 7 April 2018 ![](https://i.imgur.com/PsgjJmV.jpg) ![](https://i.imgur.com/RaR243G.jpg) ![](https://i.imgur.com/8yxHuM0.jpg)
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Post by skint4achange on Apr 9, 2018 15:12:41 GMT
Next update from Lendy will read something like, "The final coat of paint and sweep up are now taking place"
But, as you say, as long as the refinance is progressing...............................
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Jeepers
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Post by Jeepers on Apr 9, 2018 15:24:30 GMT
No need to be publishing negative images at this stage. it's too late for any negative DD. Always be aware the refinancing company could be reading the forum.
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Post by harryvederci on Apr 9, 2018 15:41:40 GMT
How can actual photos showing the property condition be 'negative images'? It is what it is. I would think the new funder would be underwriting the loan on a new property valuation survey report rather than reading what is posted on an internet forum
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Post by skint4achange on Apr 9, 2018 15:46:17 GMT
How can actual photos showing the property condition be 'negative images'? It is what it is. I would think the new funder would be underwriting the loan on a new property valuation survey report rather than reading what is posted on an internet forum Surely not? I thought they would have just phoned up Lendy and asked how the work was going and did they think it was ok to lend the borrower a quick £14m!
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Jeepers
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Post by Jeepers on Apr 9, 2018 15:49:15 GMT
Just before the gloom and doom starts. All I'm saying is just be mindful it's not just L investors that will view the forum. We've done our DD, now we just want repayment.
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Post by loftankerman on Apr 9, 2018 16:00:52 GMT
Hmmm! This level of completion is what I would regard as the ‘trying to decide whether to start or not.’ phase. I have not been all that convinced about what they are trying to do here or the consequential long term desirability of the properties themselves. I suspect that this is another tail that is wagging the Lendy dog. Hopefully I am wrong and repayment money will be arriving shortly and the longer term won't matter.
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oldgrumpy
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Post by oldgrumpy on Apr 9, 2018 16:10:56 GMT
I'll just repeat this sentence from my post of 15:37 GMY yesterday:
"Much of the site and development looks to be in good order, however the south facing sides are still only receiving intermittent and very occasional work."
My cautionary comments refer more to Lendy than this particular borrower.
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blueninja
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Post by blueninja on Apr 9, 2018 17:13:49 GMT
How can actual photos showing the property condition be 'negative images'? It is what it is. I would think the new funder would be underwriting the loan on a new property valuation survey report rather than reading what is posted on an internet forum The new funder will be assured of the asset value as he will be relying solely on a professional RICS valuation.
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