Monetus
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Post by Monetus on May 26, 2019 20:52:07 GMT
Maybe a good idea as we should be the main owner now of the asset While I wish this was the case, I fear that it may not be this straightforward and there could be some significant legal challenges ahead for investors in these "old" term loans. I am also in this loan (as well as DFL001). Both were under Lendy's Model 1 platform terms: lendy.co.uk/sipptermsWhile the site was marketed as a "secured P2P platform" at the time, the platform terms suggest that it was actually anything but. In fact as you were lending your money directly to Lendy themselves (or Saving Stream at the time) instead of directly to the borrowers, the loans were not in any way 36H compliant and therefore most likely don't fall under the definition of P2P. This could mean there's a possibility that all investors in these loans (and any of the others based on these old terms) may actually now be unsecured creditors in this administration. If that's the case then the funds from any sale of these assets would go into the general pot rather than being treated as a "trust" asset because the security technically belongs to Lendy rather than individual investors. I am currently doing a lot of work on this matter in the background along with a couple of other investors in these loans. I have reached out to various parties to try and get clarity regarding the legal situation and to see if there is any potential for action if it becomes necessary later down the line. Right now it's too early to say how the administrators will interpret the loan agreements so there is no need to be alarmed as yet - I just want us to be prepared for what the future may bring. I will be posting some further updates in due course.
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cwah
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Post by cwah on May 26, 2019 20:56:16 GMT
Maybe a good idea as we should be the main owner now of the asset While I wish this was the case, I fear that it may not be this straightforward and there could be some significant legal challenges ahead for investors in these "old" term loans. I am also in this loan (as well as DFL001). Both were under Lendy's Model 1 platform terms: lendy.co.uk/sipptermsWhile the site was marketed as a "secured P2P platform" at the time, the platform terms suggest that it was actually anything but. In fact as you were lending your money directly to Lendy themselves (or Saving Stream at the time) instead of directly to the borrowers, the loans were not in any way 36H compliant and therefore most likely don't fall under the definition of being P2P. This could mean there's a strong possibility that all investors in these loans (and any of the others based on these old terms) may actually now be unsecured creditors in this administration. If that's the case then the funds from any sale of these assets would go into the general pot rather than being treated as a "trust" asset because the security technically belongs to Lendy rather than us investors. I am currently doing a lot of work on this matter in the background along with a couple of other investors in these loans. I have reached out to various parties to try and get clarity regarding the legal situation and to see if there is any potential for action if it becomes necessary later down the line. Right now it's too early to say how the administrators will interpret the loan agreements so there is no need to be alarmed as yet - I just want us to be prepared for what the future may bring. I will be posting some further updates in due course. Yes please do. I don't think the dragging administrator will do us much good. So if we can in any way do something with half completed asset we would hopefully get back more than 10%
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iRobot
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Post by iRobot on May 26, 2019 20:59:34 GMT
With Lendy now in administration I'm wondering if anyone has any thoughts about the possibility for a DFL002 lender consortium buyout? Since the development is in an advanced state I think that this is one of the loans that has potential. It also has the benefit of having a couple of local lenders, me included, to keep an eye on things and assist with management if needed. It's an idea to mull over anyway, it seemed to work(ish) for the DFL012 apartment buyers.
As a sidenote, at least 3-4 of the apartments are already completed as they're being rented out on Airbnb by the borrower. I think that these 'unauthorised residents' were mentioned in a somewhat angry-sounding Lendy update, but I can't seem to find it now. Does anyone know where this was mentioned, or did Lendy delete the update? By Lendy standards, a loooooong update from 27/09/ 2017 includes: " Whilst disposal of two of the three commercial units is progressing well, the Borrower has installed occupants in the residential apartments without Lend's knowledge and/or consent in a deliberate attempt to adversely affect the Property's value and to restrict Lendy's ability to sell it." Also a misplaced update (got transposed with DFL001) from this Feb alludes to occupancy: " Once control of the asset is obtained the estate management plan will be actioned to lease the vacant ground floor units and sell the freehold of these investments. Vacant possession of the upper floors will be obtained, and the part-complete units will be finished."
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Yintara
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Post by Yintara on May 26, 2019 21:26:53 GMT
By Lendy standards, a loooooong update from 27/09/ 2017 Ah, thank you. I missed the first quote in the middle of the update paragraph. And silly me looking for DFL002 updates on the DFL002 updates thread, right?
As Monetus says, a lot of factors depend on how the administrators treat the loan structures, too early to tell yet. I'll continue working on the figures though in case they're needed. I'm by no means a professional though, if anyone has experience with construction project budgets or the tax treatment side of things and wants to work on this with me then please feel free to PM me.
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averageguy
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Post by averageguy on Jun 11, 2019 12:16:12 GMT
Update ....zzz
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mv
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Post by mv on Jun 25, 2020 8:53:52 GMT
I know it is not unusual to have no update for 8 months these days....
But 8 months is a long time and you might have expected something to happen...
I remember that the recovery on this one was complicated. Does anyone have any insight as to what is happening lately?
Thanks
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adrianc
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Post by adrianc on Jun 25, 2020 9:03:23 GMT
I know it is not unusual to have no update for 8 months these days.... But 8 months is a long time and you might have expected something to happen... I remember that the recovery on this one was complicated. Does anyone have any insight as to what is happening lately? Thanks Ly's administrators aren't providing periodic "Nothing new" updates, only when things happen.
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TitoPuente
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Post by TitoPuente on Jun 25, 2020 9:18:24 GMT
I know it is not unusual to have no update for 8 months these days.... But 8 months is a long time and you might have expected something to happen... I remember that the recovery on this one was complicated. Does anyone have any insight as to what is happening lately? Thanks Suggest reading the last Administration report dated 19 June.
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mv
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Post by mv on Jun 25, 2020 9:56:49 GMT
Thanks, I missed that!
Thankfully a small amount in the Exeter loans was all I had left. I'll be assuming its all gone now, and any recovery a bonus!
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