West Bromwich Property DEFAULT (FS) | P2P Independent Forum

adrian77
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West Bromwich Property DEFAULT (FS) Jul 15, 2023 11:35:12 GMT 11025, ozboy, and 3 more like this

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Post by adrian77 on Jul 15, 2023 11:35:12 GMT

Being thinking about this one - absolute gross incompetent at best

There is no way on this planet this should have been offered with the ransom strip situation - my solicitor would have immediately
flagged it up in any building land I would have bought and refused to buy it - the term "ransom" is exactly that!!!!

I would hope the investors can launch legal action here as they have been totally ripped off - how the hell can a flat development in
such a economic area as Birmingham lose 82% given the LTVs?

This developer is going to make an absolute killing if the ransom strip is cheaply resolved - in fact realise over twice his investment - just what
I am doing wrong?

The FS investors have been had here due to FS - not sure who will gain the most - FS for a favour, the ransom strip owner or the new owners - I refuse to believe
there is no cosy interests here and they aren't laughing all the way to the bank...

I think the capital recovered by FS as 48% is the gross recovery before the nasties come off?

If anybody has the FS breakdown I would love to see it...

I thank you

zuluwarrior
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chap from Newcastle, dabbling here and there. Long-time lurker of the forums

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West Bromwich Property DEFAULT (FS) Jul 15, 2023 12:05:12 GMT ozboy, adrian77, and 3 more like this

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Post by zuluwarrior on Jul 15, 2023 12:05:12 GMT

FS and their lawyers were acutely aware about the part which wasn't within their security before they advanced any funds.

This is the exact same situation FS had with L***b**k, the 30 odd houses in Scotland, part of the site required to deliver the planning permission was not within the security

mah
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West Bromwich Property DEFAULT (FS) Jul 15, 2023 18:12:55 GMT micky and overthehill like this

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Post by mah on Jul 15, 2023 18:12:55 GMT

Jul 15, 2023 10:27:33 GMT overthehill said:

Jul 15, 2023 10:13:05 GMT zuluwarrior said:

I have an update for you.

This doesn't seem to have been a bent deal and was sold to a local developer for £612,500.

There was no resolution to do with the title and the building straddling two titles, one of which was not within the security (a common theme for FS cases)

18p in the pound was distributed to FS, a world class cockerel up!

I wonder if the new owner can solve the title issues.

My note says 43% of capital was recovered, not sure how that relates to 18p in the pound.

Yes, 42.589% was distributed after the 5% Expense Contrib and 7.5% Indemnity retainer.