shimself
Member of DD Central
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Post by shimself on May 10, 2019 17:32:33 GMT
Valuation 2.2M in existing condition, 90 day 1.95M Loan 639K. What's not to like?
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jnm21
Posts: 441
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Post by jnm21 on May 10, 2019 17:59:31 GMT
Can't log in at present - is it 2nd charge?
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Post by gravitykillz on May 10, 2019 18:03:34 GMT
1st charge. Don't understand why they have classified this as b1. Looks like an A loan.
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Post by gravitykillz on May 10, 2019 18:04:04 GMT
I must be missing something
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Post by gravitykillz on May 10, 2019 18:13:21 GMT
I have punted a £100 on this loan at 6.5%
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jnm21
Posts: 441
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Post by jnm21 on May 11, 2019 7:14:11 GMT
Well now this one is a turn up. Firstly because I am also missing the catch & tempted by a P20 investment (rare after bad & disastrous experience)!
Secondly I happen to know where this one is! When visiting London a number of years ago I happened to stay in a guest house (more like an Airbnb before they had a name) in Ilford, which is zone 4 of TFL, with good overground links (to Liverpool Street which is on the Circle line or to Stratford where you jump off & go 20ft across the platform to the central line train). I loved Ilford and the area we stayed in was nice & quiet - it was the next street to this property!
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Brainer
Member of DD Central
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Post by Brainer on May 13, 2019 15:35:20 GMT
Valuation 2.2M in existing condition, 90 day 1.95M Loan 639K. What's not to like? It appears the borrower paid £2.025m for the entire site including #34, our security is just #36-38. By area #36-38 is about half the entire site, so while we don’t know the circumstances of the sale to the borrower it seems unlikely that half the site is now worth more than he paid for the whole site.
Also, reading the Design & Access Statement on the Redbridge planning portal it sounds like the borrower hasn't received much interest when marketing it for its current use, although you might question how well it has been advertised if his plan was always to try to convert it into flats.
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Post by gravitykillz on May 13, 2019 16:55:53 GMT
Valuation 2.2M in existing condition, 90 day 1.95M Loan 639K. What's not to like? It appears the borrower paid £2.025m for the entire site including #34, our security is just #36-38. By area #36-38 is about half the entire site, so while we don’t the circumstances of the sale to the borrower it seems unlikely that half the site is now worth more than he paid for the whole site.
Also, reading the Design & Access Statement on the Redbridge planning portal it sounds like the borrower hasn't received much interest when marketing it for its current use, although you might question how well it has been advertised if his plan was always to try to convert it into flats.
So he is borrowing 600k on security worth on average a million pounds. Which is ltv of 65%.Why has kuflink then stated an ltv of almost half that amount unless they have security for the entire site?
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shimself
Member of DD Central
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Post by shimself on May 13, 2019 17:27:47 GMT
It appears the borrower paid £2.025m for the entire site including #34, our security is just #36-38. By area #36-38 is about half the entire site, so while we don’t the circumstances of the sale to the borrower it seems unlikely that half the site is now worth more than he paid for the whole site.
Also, reading the Design & Access Statement on the Redbridge planning portal it sounds like the borrower hasn't received much interest when marketing it for its current use, although you might question how well it has been advertised if his plan was always to try to convert it into flats.
So he is borrowing 600k on security worth on average a million pounds. Which is ltv of 65%.Why has kuflink then stated an ltv of almost half that amount unless they have security for the entire site? There is a valuation of 2.2 (1.95 90 day) which you can read for yourself. But Brainer has picked a good hole in it. So not a no brainer after all
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shimself
Member of DD Central
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Post by shimself on May 13, 2019 17:29:10 GMT
Valuation 2.2M in existing condition, 90 day 1.95M Loan 639K. What's not to like? It appears the borrower paid £2.025m for the entire site including #34, our security is just #36-38. By area #36-38 is about half the entire site, so while we don’t the circumstances of the sale to the borrower it seems unlikely that half the site is now worth more than he paid for the whole site.
Also, reading the Design & Access Statement on the Redbridge planning portal it sounds like the borrower hasn't received much interest when marketing it for its current use, although you might question how well it has been advertised if his plan was always to try to convert it into flats.
Not having your skills I can't see the record of 2.025M. Where did you find it and when was it please?
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Post by gravitykillz on May 13, 2019 17:34:15 GMT
I'm going to stop investing in kuflink. The information they are giving to investors is dodgy. I find it amazing tho that they state no one has lost a penny yet.
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Brainer
Member of DD Central
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Post by Brainer on May 13, 2019 18:33:55 GMT
It appears the borrower paid £2.025m for the entire site including #34, our security is just #36-38. By area #36-38 is about half the entire site, so while we don’t know the circumstances of the sale to the borrower it seems unlikely that half the site is now worth more than he paid for the whole site.
Also, reading the Design & Access Statement on the Redbridge planning portal it sounds like the borrower hasn't received much interest when marketing it for its current use, although you might question how well it has been advertised if his plan was always to try to convert it into flats.
Not having your skills I can't see the record of 2.025M. Where did you find it and when was it please? Page 9 (numbered by the actual document) of the VR, 31st March 2017.
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Brainer
Member of DD Central
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Post by Brainer on May 13, 2019 18:39:24 GMT
I'm going to stop investing in kuflink. The information they are giving to investors is dodgy. I find it amazing tho that they state no one has lost a penny yet. The valuation is on the correct security, so as far as Kuflink are concerned they’ve got a professional valuation report saying it’s worth £2.2m.
It might be the borrower got a good price when he bought the whole site or that our part of the site is much more valuable than the other half, but as we keep seeing in p2p, valuations and actual sale prices are two different things.
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invester
P2P Blogger
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Post by invester on May 13, 2019 20:40:27 GMT
Used to live close to here. Kuflink did have another deal in this area but I didn't partake because I thought the valuation was quite racy. I don't think this one is although the valuation does not mention GDV and bases it off imputed rent for offices. If the flats were rented out I could imagine £10,000 a month was easily achievable.
This road is not a nice one, IMO and Ilford isn't great at night. But, with Crossrail and a relative lack of other high-rises in Ilford and this seems pretty safe.
4 one bed, 5 two bed, 3 three bed and one four bed is the plan. Would expect the building style to stay the same and the finish be average instead of luxury.
The trouble is I think this type of loan has the whiff of Lendy about it. Borrower pockets the loan, doesn't bother building the flats and goes into default. Something about the property next door then devalues the security.
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jnm21
Posts: 441
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Post by jnm21 on May 14, 2019 7:59:32 GMT
kuflink any comment to make? Is the LTV correct?
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