michaelc
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Say No To T.D.S.
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Post by michaelc on Mar 14, 2018 21:06:00 GMT
It may not be a bad little development but I did notice in the valuation this:
Developers profit [Assume a range of 15%-25% of GDV] 12.5% £122,000
So despite (presumably his boiler plate valuation) seemingly implying the range should be between 15% and 25% he has chosen 12.5%. That is so low why would you bother? Or is it so that the value of the site matches the figure the borrower wants to borrow?
Despite that I'll probably take a small bite.
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adrian77
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Post by adrian77 on Mar 14, 2018 22:30:31 GMT
Further to above
we have
well this looks a tad optimistic to me as I thought FS charged about 30% !
This looks mega-complicated to me and not one I would personally take on - a gradient of 5m -Gordon Bennet! How many people want a bungalow - loads - but one with 3 split levels - no idea but not me and especially one so close to the A22! I can foresee the road access being a mega planning issue and problems galore for this build. The cost quoted is more than the loan so will the lender be back? If this chap borrows £400K over 1 year then that is £120K i.e. 88K instant hit on the profit. The cost per metre seems possible to me for a standard which this is not. It will probably need retaining walls and I can't see any costings for the road... As the valuer states this is a difficult one to value - it is in an affluent area so he may get away with it but so was the development in Wimbledon and look how that one went!
I wish the developer well but its looks very high risk so hit me with the Smutty Stick baby!
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rs
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Post by rs on Mar 15, 2018 6:45:37 GMT
The loan is at 12%. So no doubt they already know there will be a final 2nd priority ranking loan tranche for 13% in the end.
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mikes1531
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Post by mikes1531 on Mar 15, 2018 10:53:54 GMT
I wish the developer well but its looks very high risk so hit me with the Smutty Stick baby! You obviously aren't the only one with doubts. Nearly an hour after this loan was released, it's only 25% funded. And it's not as if it's a huge loan.
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rogerthat
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Post by rogerthat on Mar 15, 2018 11:32:09 GMT
Have I got this right ?...the entrance to the site is proposed as being to the right of house No.42 via where the tree is directly behind the boarded fence ? seems kinda narrow at best..I know the A22 is a busy road but wont No.42 itself and the established houses opposite in Ha**erwood R*ad absorb or deflect a great deal of traffic noise ?..
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adrian77
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Post by adrian77 on Mar 15, 2018 11:41:26 GMT
I don't think so I have looked at google earth and this seems a "bunch and munch" job to me with the new house being built in the rear garden which borders the A22 - although slightly back and higher up than the road. I may be wrong? To me the problem with the access is not the cost etc but the projected hassle and delay from the highways dept - as I have said before I no longer do new builds as they are just too much hassle. Most new builds now are built by huge companies and there is a reason for this - they can source materials and resources etc much cheaper than Jo Bloggs...
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michaelc
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Say No To T.D.S.
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Post by michaelc on Mar 15, 2018 16:31:01 GMT
Further to above we have well this looks a tad optimistic to me as I thought FS charged about 30% ! This looks mega-complicated to me and not one I would personally take on - a gradient of 5m -Gordon Bennet! How many people want a bungalow - loads - but one with 3 split level - no idea but not me and especially one so close to the A22! I can foresee the road access being a mega planning issue and problems galore for this build. The cost quoted is more than the loan so will the lender be back? If this chap borrows £400K over 1 year then that is £120K i.e. 88K instant hit on the profit. The cost per metre seems possible to me for a standard which this is not. It will probably need retaining walls and I can't see any costings for the road... As the valuer states this is a difficult one to value - it is in an affluent area so he may get away with it but so was the development in Wimbledon and look how that one went! I wish the developer well but its looks very high risk so hit me with the Smutty Stick baby! You were obviously bang on the money there Adrian (slow take up). Saved me a little too.
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Jeepers
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Post by Jeepers on Mar 15, 2018 21:32:11 GMT
Borrower is using his own funds to develop?
Where's his funds coming from and why doesn't he use these funds to buy the land and then get his loan to develop the site as usual with these loans ?
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steve11523
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Post by steve11523 on Mar 7, 2019 20:16:47 GMT
Sloppy of FS not to write an update on the asset tag beyond that written in September. I have renewed my holding since on paper this looks like one of the better loans but the level of information provided for the renewal puts me off from increasing my commitment.
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arby
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Post by arby on Mar 7, 2019 20:19:24 GMT
Sloppy of FS not to write an update on the asset tag beyond that written in September. I have renewed my holding since on paper this looks like one of the better loans but the level of information provided for the renewal puts me off from increasing my commitment. I was originally very confident about this loan, but the list of reasons/excuses for the delays has led me to opt out of my renewal, but to pick it up on the SM or a future renewal once a further update demonstrating real progress is given.
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p2pstephan
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Post by p2pstephan on Mar 8, 2019 10:25:57 GMT
I left this one alone. The loan was originally made live 16/03/2018. So in one year the photos just show a dirt patch. A bit harsh perhaps, and I guess I must be missing something (like a good update), but it’s not for me at this point.
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Post by mrclondon on Apr 1, 2019 16:56:31 GMT
fundingsecure you appear to have activated the 2nd renewal (6560248187) at 17:15 today without first redeeming the previous loan (3058239053) which has left my cash balance wrong as I was renewing my stake in the previous loan. (i.e. you've deducted from my cash balance the amount I was rolling forward from the previous loan).
(A few too many minor admin errors creeping into proceedings .... a delayed credit to my account on Friday claiming I hadn't completed the deposit tracker which I had, the now corrected underwriting bar on the Stoke Newington loan ....)
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Post by multiaccountmanager on Jul 15, 2019 13:22:18 GMT
Renewal is now 2 months away. There are 2 recent sizeable chunks on the SM.
Looking at Google Earth, it appears that there are some other properties - to the West - at the rear of other properties in this Road. However perhaps they have access from the A22.
Has anyone carried out a recent site visit to check on progress?
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Post by mrclondon on Jul 15, 2019 13:51:38 GMT
Has anyone carried out a recent site visit to check on progress? I drove past earlier this year (no photos as it was tipping down, and not safe to stop immediately in front of it)
What little I could see seemed to match the loan updates. A new access lane had been cut at the RH side of the existing property to reach the land at the back. The lane was gated with a construction hoarding gate set a little way back from the public road and displayed the usual health & safety notices. If I've intrepreted the description of the site correctly, I'm not sure much will be visible from the road as its mainly behind the existing property and at a lower level.
I think the only other observation concerns the existing property rather than the land / build of the security .... the access lane is VERY close to the existing property.
Not a tremendous amount on the SM currently (just £3.5k at various discounts, only a couple of £25 at 1% discount)
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Post by multiaccountmanager on Jul 16, 2019 9:16:23 GMT
Thank you mrclondon.
Just to note there is currently 12900 on the SM, albeit only about 3,500 at a discount.
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