Post by scooter on Mar 4, 2024 23:43:50 GMT
I purchased Tranche 18 of this loan on 28/08/22 – assume end date as 24/05/23 as the date has been retrospectively changed for all tranches.
An 18-month term was provided and interest is to be retained throughout the term. At that time an increase in the loan of £800k had already happened and no reference has ever been made to it by Kuflink.
Loan updates did not begin until 25/04/23 – the day after the loan should have been repaid.
Valuation Tranche 2
FINAL PROJECT COST ESTIMATE From the information provided by Kuflink in our instruction letter dated 15/07/20, we understand that the total facility is £2,100,000
Tranche 1 – 25/11/20 Lending Case
Total lending £3,521,463 to assist with repaying first charge indebtedness and the development of the security property.
Our borrower has provided 4 additional properties as security providing an additional available equity of £4,396,213.
• There are 2 valuation reports for this loan - Valuation 2 states “Access denied”
• Assume these 4 additional properties are retrospectively added to the loan cases and relate to the loan comment 03/08/23
Valuation Tranche 14 – 05/05/22
The developer is reporting an increase of cost of £736,882 which is a total build cost of £2,847,252.
The developer has provided a program which shows a Feb 2023 completion of the works.
• No loan updates to investors were made until 25/04/23, almost a year later.
Valuation Tranche 17 – 03/07/22
FINAL PROJECT COST ESTIMATE - As of the 30th of May 2022 Kuflink increased the build facility to £2,914,618 to align with the latest costs as previously reported.
• £800k investors have never been told about & there was no mention of this in the Loan case for tranche 18 that I purchased.
Valuation Tranche 20 – 01/11/22
at the current rate of progress it is believed that a January 2023 finish is now unachievable and that PC will extend into Q2 2023
• Something else Kuflink never told investors
Valuation Tranche 22 – 15/12/22
The developer has provided a revised programme showing a 31st March 2023 completion of the works.
• Still no update for investors
Valuations for Tranches 23 -34 are not available for investors to view
• The loan stands at £3.5m that we know of.
• The GDV is £4.4m
Apr 25, 2023
Our client has made us aware that they will be unable to repay this loan by the current loan end date of 24/05/2023. Our client has asked us to consider a re-term, which we are currently reviewing.
• Kuflink knew this in Nov 22 if not earlier. They knew exit was via sale and the apartments were not even complete.
Jun 7, 2023
We have now agreed the terms of a final 6 months extension to allow the borrower to complete the building work and have received the required evidence to move this to our underwriters to consider this. Our borrowers expect to achieve their exit by completing the build and selling the individual flats by the end of the new term and has been made aware that we will be unable to allow any further extensions. The current loan end date is 24/05/2023 and we anticipate the new loan end date will be 24/11/2023.
• Kuflink promised no further extentions…….See Jan 9 2024
Aug 3, 2023
We have now finalised a 6 month re-term to allow our client to achieve their exit (via the sale of the security property). As part of this, we have taken additional security to reduce the overall LTGDV to 70.90%.
• Investors have not been told what the security is.
• Investors were never told the LTGDV had increased or what it became or how it was calculated.
Nov 22, 2023
…..the development is still ongoing and we are working with the borrower to achieve redemption of the loan by 30/11/2023. If the loan is not redeemed, we will start recovery action.
• The development is not finished, but Kuflink tell investors they are still aiming for redemption in 13 days’ time.
Jan 9, 2024
……due to the development not being completed we have re-termed our loan for 12 months. This will allow us to work with the borrower to get the development completed and allow enough time for the borrower to redeem our loan. We will provide update on the progress of the development on 16/02/2024.
• In June 23 investors were told there would be no more extensions.
• A 12-month extension! Kuflink told us they expected it could be finished, sold/refinanced in 13 days in Nov 23!
No further updates! Loan cannot be sold, but is not defaulted.
27 apartments are on sale for around £6m. 10 have been reserved. Why is this going to take another 12 months? Why don’t they sell the addition security properties at auction? Why don’t investors matter?
An 18-month term was provided and interest is to be retained throughout the term. At that time an increase in the loan of £800k had already happened and no reference has ever been made to it by Kuflink.
Loan updates did not begin until 25/04/23 – the day after the loan should have been repaid.
Valuation Tranche 2
FINAL PROJECT COST ESTIMATE From the information provided by Kuflink in our instruction letter dated 15/07/20, we understand that the total facility is £2,100,000
Tranche 1 – 25/11/20 Lending Case
Total lending £3,521,463 to assist with repaying first charge indebtedness and the development of the security property.
Our borrower has provided 4 additional properties as security providing an additional available equity of £4,396,213.
• There are 2 valuation reports for this loan - Valuation 2 states “Access denied”
• Assume these 4 additional properties are retrospectively added to the loan cases and relate to the loan comment 03/08/23
Valuation Tranche 14 – 05/05/22
The developer is reporting an increase of cost of £736,882 which is a total build cost of £2,847,252.
The developer has provided a program which shows a Feb 2023 completion of the works.
• No loan updates to investors were made until 25/04/23, almost a year later.
Valuation Tranche 17 – 03/07/22
FINAL PROJECT COST ESTIMATE - As of the 30th of May 2022 Kuflink increased the build facility to £2,914,618 to align with the latest costs as previously reported.
• £800k investors have never been told about & there was no mention of this in the Loan case for tranche 18 that I purchased.
Valuation Tranche 20 – 01/11/22
at the current rate of progress it is believed that a January 2023 finish is now unachievable and that PC will extend into Q2 2023
• Something else Kuflink never told investors
Valuation Tranche 22 – 15/12/22
The developer has provided a revised programme showing a 31st March 2023 completion of the works.
• Still no update for investors
Valuations for Tranches 23 -34 are not available for investors to view
• The loan stands at £3.5m that we know of.
• The GDV is £4.4m
Apr 25, 2023
Our client has made us aware that they will be unable to repay this loan by the current loan end date of 24/05/2023. Our client has asked us to consider a re-term, which we are currently reviewing.
• Kuflink knew this in Nov 22 if not earlier. They knew exit was via sale and the apartments were not even complete.
Jun 7, 2023
We have now agreed the terms of a final 6 months extension to allow the borrower to complete the building work and have received the required evidence to move this to our underwriters to consider this. Our borrowers expect to achieve their exit by completing the build and selling the individual flats by the end of the new term and has been made aware that we will be unable to allow any further extensions. The current loan end date is 24/05/2023 and we anticipate the new loan end date will be 24/11/2023.
• Kuflink promised no further extentions…….See Jan 9 2024
Aug 3, 2023
We have now finalised a 6 month re-term to allow our client to achieve their exit (via the sale of the security property). As part of this, we have taken additional security to reduce the overall LTGDV to 70.90%.
• Investors have not been told what the security is.
• Investors were never told the LTGDV had increased or what it became or how it was calculated.
Nov 22, 2023
…..the development is still ongoing and we are working with the borrower to achieve redemption of the loan by 30/11/2023. If the loan is not redeemed, we will start recovery action.
• The development is not finished, but Kuflink tell investors they are still aiming for redemption in 13 days’ time.
Jan 9, 2024
……due to the development not being completed we have re-termed our loan for 12 months. This will allow us to work with the borrower to get the development completed and allow enough time for the borrower to redeem our loan. We will provide update on the progress of the development on 16/02/2024.
• In June 23 investors were told there would be no more extensions.
• A 12-month extension! Kuflink told us they expected it could be finished, sold/refinanced in 13 days in Nov 23!
No further updates! Loan cannot be sold, but is not defaulted.
27 apartments are on sale for around £6m. 10 have been reserved. Why is this going to take another 12 months? Why don’t they sell the addition security properties at auction? Why don’t investors matter?
