PBL177/178/179 - 'Borrower In Receivership' Loans DEFAULT

Anyone any info on this crock of...... The sale of the property to the original purchase has fallen (surprise surprise) through and whilst another buyer has been identified, they are working to an October 2018 completion and the borrower has removed the property from the back stop auction. In light of these developments we are in the process of reviewing whether to take immediate enforcement action and dispose of the property as soon as possible or provide the additional forbearance sought.

I'd love to know which auction house is open on a Sunday...  Even a look at my usual source (https://www.propertyauctionaction.co.uk/) shows nothing on 28th October, so looks like going to monthly updates hasn't improved proof reading skills

Yep, that's the lower end of the range. Lendy have now added an update correcting the auction date.

The auction listing badly explains the details.

Seems like at the £850k guide price this could be a good buy for someone.

The listing provides only details of the income from the Creche at £1500pcm. Lease till July 2019.

It says "Retail parade is subject to a long lease" but gives no idea of income.

It says 10 of the 19 flats are occupied, but not income details. 

A quick check on Zoopla suggests they one bedrooms in that area probably rent for £450pcm. So that would put current annual rental income at £72,000 + whatever the "retail parade" earns. From the photo it looks like "retail parade" is 5 or 6 small shops. Lets say 5 at £500pcm.


Then there is another £48,000 potential in the 9 vacant flats. Interestingly they don't seem to be listed on the market for rent.

All-in the potential could be £150k/year. That seems like a bargain at £850k. But auction house states "The property was not internally inspected" so who knows what the state of vacant properties are and any other potential problems on the site.

From a 2011 estate agent listing it looks like units 3 & 4 of the retail parade were up for sale individually. The listing details showed a retail bank had a lease for it till 2014 and was paying £13,000/yr. So a ballpark figure of £500pcm per unit seems a possible. Though Google Streetview June 2017 shows the bank has gone and the current shops are all small independents: hair dressers, beauty clinic, a small carpet shop. 

Also it shows the place is right next to the trainline. So I guess the flats might rent at a discount to the market price.

The local council shows that it is 7 units in the retails parade and the combined business rates (i.e. what they assess as the market value of the rent) is £36,400.

This all seems like useful info that would help the valuation. Would be nice for Lendy to push to get the auction listing improved.

Same place, 7 lots later.