DFL017 - ** H***r R*w, Old Marylebone Road DEFAULT

Good spot!  You might want to delete this one though, as: 

1) You can't identify the address
2) You can't link to a site that identifies the address
3) Some Dude will be along in a little while to start his own thread on the same theme.

Well then ..... I might as well put this here



LIVE LOAN 

---

			------------------	------------------
			@ 1st Tranche 09/03/17	@ 2nd Tranche >TBD<
Loan Amount	:	£	7,452,896
Gross Dev. Value	:	£	20,403,000
SS Indicated LTGV	:		37%
Current Value	:	£	10,647,000
Current LTV	:		70%
90 Day Market Valuation	:	£	N/A
LTV Based on 90 day MV	:		N/A
Term	:		365 days
% PA	:		11%

Interesting project and a long term loan which is very attractive.

However, I would like some assurance that the purchasing BVI company (family Trust) does not already own this site via an interrelated / closed company and that this loan is not simply to release equity / cash.

Jurisdiction over a BVI company is rather limited, if for example, this project does not take place.

Anyone able to assist ?

from the valuation report...

We are advised by the Applicant that they have negotiated to purchase the offshore

company (W** I******** P***** Limited) as the beneficial owner of H***** Property

Holdings Limited, which retains the freehold interest in the Site, with full vacant possession,

for a consideration of £11,000,000

and

We understand that the Applicant had negotiated to acquire the offshore company as

the beneficial owner of the freehold interest in the Site for £9,500,000. Subsequent to this,

the Vendor confirms that it received four unsolicited offers for the Site, with the benefit of

the planning consent and as a result of this the price increased to £11,000,000

Plenty of info in the public domain about this property, which is still sitting on R*******e for sale with a London agent since November - asking price £7,500,000 NOT sold STC NOT under offer - yet they have received 4 unsolicited offers up to £11m, really?
How can the purported offers be unsolicited if its on the market for sale?

Bought with planning in 2013 at £5,256,000 from R*******e

So they cant sell it at £7.5m on the open market,  are related parties trying to flip it inter company at £11m off sales values of the flats at £2,500 sq ft?

Its Marylebone, not Mayfair or Knightsbridge. A quick news search for 'Marylebone residential market review' brings up main agents market reports eg K***** F**** £1,594 average price sq ft of properties sold in Marylebone first 6 months of 2016

Good to see The FCA doing such a good job of monitoring this Interim Member, gives me excellent peace of mind.   

I had a quick look when I noticed this in the pipeline, actually a few days ago. I was surprised there was no mention of it here Normally it only takes a few minutes!

There's quite a bit of info found when Googling. I did find a page that said it had already been sold a while ago. Acquired as a development opportunity with the permission (in it's current state I believe, judging by the photos, though subsequent permission may have changed for the yoga studio, or whatever it was) for a 'wealthy middle east family' I believe. A 'cash' buyer who found out about and completed the deal in 10 days. Though no price was stated, I think judging by the other prices I found (5m and 7.5m), it was likely much less than the 11m quoted by SS and this most recent offer.  

All figures etc from memory.

One wonders why they never developed it, but I guess a cool 3.5M return on your 7.5m (worst case) over a few year's isn't bad for doing nothing