cooling_dude
Bye Bye's for the PPI
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Post by cooling_dude on Oct 21, 2016 12:39:01 GMT
LIVE LOAN
| Loan Amount | : | £ | 7,920,000
| | Security Value | : | £ | 12,500,000
| | SS Indicated LTV | : |
| 63% | | 90 Day Market Valuation | : | £ | 11,000,000
| | LTV Based on 90 day Market Valuation | : |
| 72% | | Term | : |
| 365 days
| % PA
| : |
| 12% |
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sam i am
Member of DD Central
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Post by sam i am on Oct 21, 2016 12:40:23 GMT
Stuff here (not DD stuff - but all the other stuff) appear... later  , I think you should have referred to this loan as PBL*** just to be safe.
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Post by jonboy73 on Oct 21, 2016 12:47:41 GMT
having just read the other thread, I nearly spat coffee across my keyboard when I read the title... lol
is it possible to set up a group message to discuss anything you may now not want to post on the forum? I for one very much appreciate the work you put it. many thanks it will be missed.
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elliotn
Member of DD Central
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Post by elliotn on Oct 21, 2016 12:47:59 GMT
What a whopper, should shake out the SM somewhat . |
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jonah
Member of DD Central
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Post by jonah on Oct 21, 2016 12:48:54 GMT
Stuff here (not DD stuff - but all the other stuff) appear... later , I think you should have referred to this loan as PBL*** just to be safe. Surely **L*** to avoid confirming the nature of the loan?
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ablender
Member of DD Central
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Post by ablender on Oct 21, 2016 13:24:48 GMT
I have asked a question in a post in the Pipeline Loans thread:
The contract date is October 2015 with a value of £8.8m giving an LTV of 90%
Current valuation October 2016 has a value of £12.5m giving an LTV of 63%
My question is:
Is it realistic to have an increase in value of c£4m in the span of a year?
I understand that some level of planning permission has been achieved with the view of enhancing this further.
Anyone can guesstimate an answer?
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ablender
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Post by ablender on Oct 21, 2016 13:26:01 GMT
By the way, will I be slapped if I mention the seller of the security not the borrower?
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seeingred
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Post by seeingred on Oct 21, 2016 13:32:48 GMT
The purchase price of 8.8 was before planning??
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ablender
Member of DD Central
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Post by ablender on Oct 21, 2016 13:37:07 GMT
The purchase price of 8.8 was before planning?? Yes, so is it reasonable to get an increase of c 50% due to this?
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Post by savingstream on Oct 21, 2016 13:41:20 GMT
I have asked a question in a post in the Pipeline Loans thread: The contract date is October 2015 with a value of £8.8m giving an LTV of 90% Current valuation October 2016 has a value of £12.5m giving an LTV of 63% My question is: Is it realistic to have an increase in value of c£4m in the span of a year?
I understand that some level of planning permission has been achieved with the view of enhancing this further. Anyone can guesstimate an answer? When there has been material change in the use or status of the asset via planning then yes and it happens very often. When more units are added or additional space created or change of use is agreed, this can lead to a higher GDV. A calculation can then be performed which gives a residual valuation of the initial land or building upon which the planning has been granted. This is what our borrower has done. He has managed to get permission for an increase in the available space which will cost £2m to complete. Once this is spent and the works completed, £4m value would be added to the security. I.e £8.8mm without planning, £12.5m value today with new planning, £2.1m spend, GDV c£18m.
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ablender
Member of DD Central
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Post by ablender on Oct 21, 2016 13:48:35 GMT
I have asked a question in a post in the Pipeline Loans thread: The contract date is October 2015 with a value of £8.8m giving an LTV of 90% Current valuation October 2016 has a value of £12.5m giving an LTV of 63% My question is: Is it realistic to have an increase in value of c£4m in the span of a year?
I understand that some level of planning permission has been achieved with the view of enhancing this further. Anyone can guesstimate an answer? When there has been material change in the use or status of the asset via planning then yes and it happens very often. When more units are added or additional space created or change of use is agreed, this can lead to a higher GDV. A calculation can then be performed which gives a residual valuation of the initial land or building upon which the planning has been granted. This is what our borrower has done. He has managed to get permission for an increase in the available space which will cost £2m to complete. Once this is spent and the works completed, £4m value would be added to the security. I.e £8.8mm without planning, £12.5m value today with new planning, £2.1m spend, GDV c£18m. Thanks savingstream for the reply.
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Post by holmesy999 on Oct 21, 2016 14:55:39 GMT
The question for me on this one is will it realistically have that loan term - because I doubt you will be able to sell this on the secondary market to get out when you need to. this is going to be a long term tie up if you invest
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Neil_P2PBlog
P2P Blogger
Use @p2pblog to tag me :-)
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Post by Neil_P2PBlog on Oct 21, 2016 14:58:33 GMT
The question for me on this one is will it realistically have that loan term - because I doubt you will be able to sell this on the secondary market to get out when you need to. this is going to be a long term tie up if you invest This is my thinking too: I'd take a slightly higher risk loan for liquidity
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ablender
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Post by ablender on Oct 21, 2016 15:06:34 GMT
The question for me on this one is will it realistically have that loan term - because I doubt you will be able to sell this on the secondary market to get out when you need to. this is going to be a long term tie up if you invest If you look at the DFL loans (DFL007 is a good example), with multiple tranches, they can be long. This one is for a year, which is typical for SS (as a starting duration at least). If the SM's conditions remain similar to the average of the past year and a bit that I have invested in SS, I do not see problems. Keep in mind that this is different than loans on FS, where interest is paid at the end of 6 months and where SM sales are iffy, at least to me.
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Post by savingstream on Oct 21, 2016 15:47:24 GMT
savingstream , is this a firm 12 month loan or will it be reduced to six months shortly after launch like the Farmland  ? At the moment, it is a 12 month loan and we don't see any changes forthcoming. Not at this stage.
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