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Post by wightknight on Nov 17, 2017 14:15:05 GMT
Well, I'm confused on this one. LPA receivers have been appointed and L have v said they are marketing the property to interested parties but the borrower is also pursuing a sale. L have said there are issues with the valuation.
So I don't know who is behind the marketing of the property at the 20% price, but it seems doubtful to me that it could be openly marketed at that price without the first charge consent.
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Post by wightknight on Nov 17, 2017 12:02:38 GMT
Thanks for all the opinions/strategies. I'm still undecided on my actions, I'll take some in the next week to go through my loan book again and see if anything else can be offloaded. Most of what I have kept are to be repaid in 1-5 months so for most its a decision on what will be quicker - waiting for the sale queue or risking that the loan will be repaid in a timely fashion or at all.
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Post by wightknight on Nov 17, 2017 11:57:09 GMT
Hi All, I know I said I'd take a look at the site, but just haven't been able to get to that part of the Island in the normal course of business this month. Haven't heard anything on the local jungle drums either. I would have made a special trip to look around but there doesn't seem to be much of a point in doing so; in putting the land up for sale for 20% of the security value, Lendy has already crystallised the loss - unless they are sure of getting the balance back from the developer. Who is the loan actually to? Is it W****** group? Lots of holes in the information available on the loan site. In the absence of any information from Lendy - anyone got any insight on this? It would appear to me that L**** have been had over on this one and the developer has managed to get past their "Very stringent 49 step DD"!! IMHO
I really do feel for anyone who had a slice of this, but that is part of P2P and we all know it. Doesn't make it right though.
Thanks for the clarity on that, it does seem to be an individual not the group. I know what you are saying ref P2P and we all know the risks etc. However I invested on the basis of the information given and that information gave a named reputable developer as the borrower and even links to their websites to confirm this (I don't feel I can say what I want to say about this here!). There is the valuation too. I guess we all have to wait and see how this turns out - as you say there may well be perfectly good legal reasons for not disclosing too much at this stage. However the land is on the market at 20% of valuation so I'm not sure that argument holds for the change in valuation.
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Post by wightknight on Nov 14, 2017 22:01:46 GMT
'worse things happen at sea'. Yikes, I hope not I'm a marine engineer....
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Post by wightknight on Nov 14, 2017 17:07:20 GMT
Feeling too comfortable with these loans is what got me into this mess No, I was more after a reality check, ie am I being too pessimistic about recovery chances and Lendy's future? Personally I have no idea regarding the recovery chances but I do not feel at this stage LY's future is in doubt. I'm gradually winding down my involvement with a couple of platforms although there may be a delay with that strategy until if or when there is a full or partial repayment on the defaults. Overall though I'm ahead of the game with these two platforms. Bearing in mind that the vast majority of lenders do not visit this forum then it's very easy to become pessimistic regarding the future viability of a (or any) platform. The most important indicator is whether the platform is still able to fund new loan 'opportunities'. Only when that cash starts to dry up is when there could be a more widespread loss of platform confidence. I don't really believe you are in a mess unless your strategy is causing you sleepless nights. If it is then change it until you do feel comfortable (again). There is though little you can do with any suspended/defaulted loans as that's the nature of P2P. All my personal thoughts and not advice in any way which I'm not qualified to give. Thanks for your thoughts. No sleepless nights luckily, never invest anything I can't afford to lose in any single platform/investment - doesn't mean I like losing it though... At the moment I guess I am comfortable with my remaining portfolio in Lendy, my concern is whats the best way to maximise return from here? I'm certainly not comfortable with increasing my portfolio from here, but I could see my confidence returning depending on how Lendy handle these defaults and if they improve the the DD on new loans. That only leaves staying as I am or reducing to only hold my bad loans. But then I haven't yet got an alternative investment to move that money to.
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Post by wightknight on Nov 14, 2017 16:50:04 GMT
Hi All, I know I said I'd take a look at the site, but just haven't been able to get to that part of the Island in the normal course of business this month. Haven't heard anything on the local jungle drums either. I would have made a special trip to look around but there doesn't seem to be much of a point in doing so; in putting the land up for sale for 20% of the security value, Lendy has already crystallised the loss - unless they are sure of getting the balance back from the developer. Who is the loan actually to? Is it W****** group? Lots of holes in the information available on the loan site. In the absence of any information from Lendy - anyone got any insight on this? Please do not name, attempt to name, or attempt to get other people to attempt to name, borrowers or their assets (it's up there in the rules) on the open forum. If you are a registered Lendy lender you can rather easily see who the loan was to, but you still can't spell it out here. Sorry about that. Got carried away there!
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Post by wightknight on Nov 14, 2017 16:11:25 GMT
Whatever makes you feel comfortable. Feeling too comfortable with these loans is what got me into this mess No, I was more after a reality check, ie am I being too pessimistic about recovery chances and Lendy's future?
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Post by wightknight on Nov 14, 2017 16:05:40 GMT
I've been steadily reducing my Lendy portfolio, unfortunately the defaults (suspensions in Lendy speak) have been catching up on me quicker than the sale queue!
I've now got my portfolio down to about 12k, because of the reduction, 1/3 of the portfolio is not tradeable, through suspension or default.
I'm not sure of my strategy from here on out, obviously nothing I can about the bad 1/3 - I've pretty much lost confidence in Lendy, what I'm worried about is the effect these bad loans are having on Lendy itself: will it go under, how many more bad loans are out there with inflated valuations, will it just stagnate because no new investors come onboard?
Do I just sit on what I have remaining, hoping that gains in the good side of the portfolio cover some of the losses on the bad side? Or is it too much of a risk now and should I get everything out that I can?
Interested in anyones take on this.
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Post by wightknight on Nov 14, 2017 15:56:40 GMT
Hi All, I know I said I'd take a look at the site, but just haven't been able to get to that part of the Island in the normal course of business this month. Haven't heard anything on the local jungle drums either.
I would have made a special trip to look around but there doesn't seem to be much of a point in doing so; in putting the land up for sale for 20% of the security value, Lendy has already crystallised the loss - unless they are sure of getting the balance back from the developer. Who is the loan actually to? Is it W****** group? Lots of holes in the information available on the loan site.
In the absence of any information from Lendy - anyone got any insight on this?
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Post by wightknight on Nov 14, 2017 15:45:07 GMT
On 26th October, the update said an offer has been accepted on one of the commercial units for £1M. On 10th November, the next update talks about a prospective purchaser who visited "last week". Is this for the other commercial unit, residential parts or the entire site (ie has the first offer been withdrawn?)? I wonder if the unauthorised occupation is still on going? I'm guessing that while an offer may have been accepted its still just an offer until legals have been done and the purchaser has conducted any investigations. It takes months for a cash sale of residential housing in England to be set in contract let alone a transaction of this kind.
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Post by wightknight on Nov 3, 2017 15:53:18 GMT
Another one. I wonder when it will disclosed that this one isn't worth anything near the valuation. A bunch of derelict farm buildings worth 4.3m?
I wish I had been more skeptical.
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Post by wightknight on Oct 15, 2017 19:49:54 GMT
There must be some local knowledge on this - if the silence continues then a few dozen free phone calls to local persons of interest and even to residents selected to be near the development might elicit some information. It is surprising sometimes how people will chat to a complete stranger. cross posted with above few entries. Yes, I haven't heard much on the local grapevine about this, although I distrust it on the Island - its turned out to be complete bollox that many times. If I get the time to mooch around later this week I'll see if any locals want to talk about it though. Looking at the planning documents I don't think there is a ransom strip, but without pulling the title deeds it's hard to tell. There are definitely other access points, but some involve purchase and demolition and all would involve starting the planning process again - hence reducing the value of the current approval to nil.
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Post by wightknight on Oct 15, 2017 19:24:57 GMT
Not sure of the relevance of fine tuning the 32m and 28m calculations of GDV - this site is advertised as 11.3 acres and if it worth only 900k that is less than 80,000 per acre? can this be right for anywhere on I of W? yes, in short, this can be right. There are other development sites available on the Island (even in Ryde), the asking prices aren't that high. Hence the incredulity at a security of £5M.
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Post by wightknight on Oct 15, 2017 19:20:56 GMT
wightknight Do you live anywhere near the site? Has there been any chatter in the local news? Could you upload any useful photos? From the plan it appears that there are multiple access possibilities, some would involve some demolition but still feasible which makes a single ransom strip unlikely. I'm on the Island, but the opposite end, I'll take a look around next time I'm over that way.
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Post by wightknight on Oct 15, 2017 13:49:08 GMT
Thanks for that. Disappointing isn't it. Although not unexpected as development land even with planning seldom goes for large amounts on the Island. I've been way to trusting on Lendy's loan particulars, screening and most of all valuations. I can only assume that Lendy has is instructing valuations based on the finished development on not on the liquid value - hence there would not be a comeback against the valuer. I now need to go through all my loans and do my own valuations to check against Lendy's particulars. I'm really not a happy punter right now, I'll actually need to keep money in Lendy to offset these losses - but can I trust them to stay afloat? wightknight the valuation doc has 2 valuations on it, a GDV @£32.720M and a residual valuation as existing with planning permission for a retirement village @£5M. The original valuation doc was on Lendy's website but for some very strange reason, has now been removed. Ah, well at least that's one suspicion I can drop then, hopefully that valuation has been removed because Lendy are investigating redress. I'm still going to have to go over my loan book to check on residual values though. £5M Vs £900k is a big drop, Lendy should have questioned that, even worse, I should have questioned that before investing - in my defence though this is a type of development that is sorely needed on the Island and would have been popular if built - its why bungalows attract a premium on the Island and our biggest industry is care homes!
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