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Post by mrclondon on Mar 8, 2018 13:16:49 GMT
With just £74k left, I'd hope this one manages to fill by Monday (I've done my bit!). MoneyThing Ed, any chance of some pictures and/or a bit more detail about the progress of the development? All we have so far is " Our monitoring surveyor and valuer have confirmed that works have begun in earnest on site and c£390,000 has been expended to date by the client" MoneyThing The borrower updated the pages on his corporate website relating to the two development projects still being funded by FS a few weeks ago with large photo sets dated January 2018 showing construction progress. (The photos are under the heading development updates, and are meant to be a slideshow - its not always that clear, swipe left to get subsquent pairs of photos if the navigation arrows don't render). However the page on his corporate website relating to this development has had no update as to progress since last October. I'm also slightly concerned with management over reach - this (parent) development company does not have a lot of history, and the three sites were ostensibly acquired from shall we say a less successful developer. Managing three sites simultaneously is a tall order for any developer. Given the state of p2p at the present time, I can't help but think the best advice to the borrower would be to concentrate on the other two developments this year, build some trading history that will both ease the search for refinance, and potentially build trust with p2p lenders through the successful completion of the two projects financed through FS.
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Post by MoneyThing on Mar 8, 2018 13:31:02 GMT
I'm hoping Ed is well aware (and will be striving to remedy) that a lot of lenders' cash is now locked into defaulted loans ( 35·7% of my money is unavailable for reinvestment). Does he really think we are going to keep putting new money through the platform on risky development loans while this situation continues? Probably not. I wonder if he will back off such loans (as Col announced before their misdemeanour came to light) and leave them to the big boys. Nottingham £16M? Yeah, right!!! Afternoon oldgrumpy, We are certainly mindful that we have to present loans that are of a type there is demand for and we fully appreciate we need to demonstrate our recovery performance on our first defaulted loans. Lenders will see over the coming weeks by way of the types of loans presented and those that are shown (or removed), from the Pipeline, will be adjusted to what there is lender demand for. There is little point in us presenting loans which are unlikely to fill as it doesn’t benefit lenders, borrowers or us. Whilst lender demand for loan types can vary quite quickly, adjusting the pipeline of loans coming through (and which may already be going through legals), does take somewhat longer to filter through due to the longer lead time. Kind regards, Ed
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Post by westcountry on Mar 8, 2018 14:03:07 GMT
I'm hoping Ed is well aware (and will be striving to remedy) that a lot of lenders' cash is now locked into defaulted loans ( 35·7% of my money is unavailable for reinvestment). Does he really think we are going to keep putting new money through the platform on risky development loans while this situation continues? Probably not. I wonder if he will back off such loans (as Col announced before their misdemeanour came to light) and leave them to the big boys. Nottingham £16M? Yeah, right!!! Afternoon oldgrumpy, We are certainly mindful that we have to present loans that are of a type there is demand for and we fully appreciate we need to demonstrate our recovery performance on our first defaulted loans. Lenders will see over the coming weeks by way of the types of loans presented and those that are shown (or removed), from the Pipeline, will be adjusted to what there is lender demand for. There is little point in us presenting loans which are unlikely to fill as it doesn’t benefit lenders, borrowers or us. Whilst lender demand for loan types can vary quite quickly, adjusting the pipeline of loans coming through (and which may already be going through legals), does take somewhat longer to filter through due to the longer lead time. Kind regards, Ed MoneyThing, I remember (but can't find) a forum post a week or two ago where you said that you were concentrating on property loans, and weren't looking for any new sources of non-property loans, although you would still consider new non-property loans to existing borrowers. In the light of the new pawn loans today and your post above, has this policy of not looking for new non-property loans now been changed, please? 18.4% of my MT property loans are now defaulted, not as much as oldgrumpy, but sufficient that I too am not making any further investments in property loans here for the time being.
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Post by ladywhitenap on Mar 8, 2018 14:05:11 GMT
Much as I would normally invest in this I'm already in for quite a wad of the first tranche so can't really help.
Regrets
LW
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dovap
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Post by dovap on Mar 8, 2018 14:11:54 GMT
I'd rather it was put out of it's misery tbh rather than limp along increasingly unlikely to fill (but then I wasn't a fan of the first tranche which is perhaps coloured by being at 25% + defaulted)
trouble is I guess refinance as an exit on many loans is less than straightforward
ho hum
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jlend
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Post by jlend on Mar 8, 2018 14:19:40 GMT
MoneyThingIt might help lenders if we could see an estimated forward profile of the remaining tranches for this loan. For each tranche: Tranche amount Tranche date This would help lenders plan ahead. Lenders who put money into this tranche may well end up having to fund the remaining tranches to keep the loan going I am sure the borrower must have a rough timescale and expenditure plan to base this on.
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mickj
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Post by mickj on Mar 8, 2018 14:21:19 GMT
The available is and was reducing, over 10k this morning taken up while 300k of new loans has flown off the shelves. Surprised to see 50% of the new car loans still available after 2 hours.
I am with 30% in default but have fingers crossed on some of them (legs crossed, toes), would like to see this loan do well and expect I will be down the back of the sofa later.
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r00lish67
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Post by r00lish67 on Mar 8, 2018 14:24:56 GMT
The thing is, even if an investor paraglides in to snaffle up the remainder of this tranche, would that really be a good thing?
70% of the GDV of this loan implies an MT loan facility of up to £5,500,000 that's going to be ultimately required to fulfill this loan. If this tranche limps over the line, we'll have extended just £805,000 of that facility.
I'm not saying it's impossible for lender confidence to recover and perhaps some stellar progress would really help matters, but finding another £4,700,000 at this stage looks a gigantic ask.
If funding does fail to materialise later down the line, then we could end up in a very difficult situation with a half completed building. Even if this 2nd tranche is drawn down, I'd be rather concerned about the stated 40% uplift in value on the basis of a few drawings and some site clearance having been done.
Personally I think I'll feel much more comfortable with MT as a going concern if and when this one is off the books. I do hope this is actually possible, given that it's already been refinanced from FS previously. I've liked the look of the 2 recent loans, but have had to resist investing due to these concerns.
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elliotn
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Post by elliotn on Mar 8, 2018 14:32:30 GMT
This is nearly all pre-sold so any update should split build costs between platform requirements and funds from deposits and exchanges.
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jlend
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Post by jlend on Mar 8, 2018 14:45:46 GMT
This is nearly all pre-sold so any update should split build costs between platform requirements and funds from deposits and exchanges. Good point. At least 54 of the 70 units have now exchanged. I assume they have already spent the money from these and hence why this tranche is now looking to be filled. At exchange the buyers pay 40% less £5000 for the property according to the brochure unless ì have misunderstood it. They paid the £5000 deposit to reserve the property
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shuff27
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Post by shuff27 on Mar 9, 2018 6:46:55 GMT
Like (I suspect) many others, I'm not putting any new money into MT until some of the defaults are resolved. However, if MTAH903 repays today I'll probably put some of those funds into this one.
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Post by spareapennyor2 on Mar 9, 2018 7:27:19 GMT
However, if MTAH903 repays today I'll probably put some of those funds into this one. that`s a big IF
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shuff27
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Post by shuff27 on Mar 9, 2018 7:45:26 GMT
However, if MTAH903 repays today I'll probably put some of those funds into this one. that`s a big IF Yep, I'm not holding my breath - lots of big ifs in p2p
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ianj
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Post by ianj on Mar 9, 2018 9:59:04 GMT
Possibly one less IF to ponder! MTAH903 listed in Completed Loans.
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alanp
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Post by alanp on Mar 9, 2018 13:46:56 GMT
Looks like it might make it over the line before the deadline as only £58k left now.
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