elliotn
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Post by elliotn on May 24, 2017 9:20:05 GMT
Hi all, there's seems to be a misunderstanding about how DFLs work here. For land/development loans our policy is that we will lend a max of 70% of the 'residual' land value of the site and up to 100% of the build costs, but not more than 70% of the GDV in any event. Our loan at initial drawdown in this case is 56% of GDV. This is quite a hefty valuation report and I admit to only skimming it, not going through with a fine tooth comb. However on page 6 it lists the market value (non-time restricted) as £3,685,000. With a loan of £2,947,357 this is a LTV of 80%. When calculating the maximum that can be lent are Lendy now subtracting the upfront interest retained for the loan term from the loan? Or adding up the residual values for the time when the development was started with another lender at 70% and then adding 100% of build costs at the time the loan is taken over perhaps? Further to my last post I should add that because the valuer has underestimated the finance costs for phase 1 and the phase 1 valuation is a residual value this means the value would be lower by the amount underestimated. I've made an approximation this would be about £140k lower which bumps up the LTV a little bit more to 83%. Per Paul, dfl's are calculated on GDV only by LtPPfSS ie 2.9M loan vs 5M GDV = 56%. (Other stages are not quoted but are worth taking in to account by investors, particularly D1 loan vs land, say, at 90D val).
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GeorgeT
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Post by GeorgeT on May 25, 2017 14:02:57 GMT
Very interesting there is still about £277k of this 12% loan with 182 days to run on the SM.
This does indicate that below 200 days is no longer attractive.
That said, I have just sold 2 loan parts with days to run in the 100s. So buying action is variable and selective.
(I am not surprised by the availability of PBL168 which has 300+ days to run, because that is a very specialised and tricky site and a very big loan so it falls down on those 2 criteria.)
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mosaic
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Post by mosaic on May 25, 2017 14:31:12 GMT
It might even be that people have not invested here in preference to elsewhere after some DD
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Tunny
Sometimes it is the people no one imagines anything of who do the things that no one can imagine
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Post by Tunny on Sept 4, 2017 9:51:59 GMT
I notices this morning there was £10's of thousands on the SM for this load at about 8am. Since then about £500 has been taken by investors according to recent investments tab.
So whats happened to the rest of the availability on this loan?
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Tunny
Sometimes it is the people no one imagines anything of who do the things that no one can imagine
Posts: 30
Likes: 13
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Post by Tunny on Sept 4, 2017 11:27:17 GMT
I notices this morning there was £10's of thousands on the SM for this load at about 8am. Since then about £500 has been taken by investors according to recent investments tab. So whats happened to the rest of the availability on this loan? Might that instance at 8am have been someone listing a large-ish holding, having second thoughts, and then delisting? Ah.....Possibly yes. Had not thought of that. All down to timings then.
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warn
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Curmudgeon
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Post by warn on Sept 4, 2017 11:31:24 GMT
Or it's a bug.
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Post by mrclondon on Oct 2, 2017 20:36:29 GMT
Since the middle of September, phase 1 flats have been advertised on both Rightmove and Zoopla ( £299,950 for 2 bed) with the note "will be ready for occupation in late 2017, and available to purchase now"
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Post by skint4achange on Nov 21, 2017 15:30:47 GMT
Just been granted a stay of execution on a midweek update. Now 135 days remaining
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Post by skint4achange on Nov 21, 2017 19:43:13 GMT
Tranche 4 now in the pipeline. £428k.
135 days remaining @12%
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mikes1531
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Post by mikes1531 on Nov 21, 2017 22:46:20 GMT
Tranche 4 now in the pipeline. £428k.
135 days remaining @12% No doubt a big chunk of the net proceeds of that tranche -- nearly half? -- will be used to fund the retained interest to cover the four month extension. IMHO the increase in the remaining term should mean the amount of retained interest had been increased already, as that's what IOA is supposed to mean. In this case, I suspect Lendy have increased the remaining term without actually having any more retained interest yet. If that's what they've done, then I think they're risking misleading their investors. ISTM that they did the same for DFL004, increasing the remaining term without actually having any additional retained interest. Shortly after the remaining term was increased, I asked Lendy Support the following... Their response, received yesterday, was... That, of course, neatly sidestepped answering my questions -- as I've come to expect from Lendy Support responses -- so I had to write back... I really don't expect them to respond until after tomorrow's T11 goes live, is funded, and 'draws down'. At that point they could answer "Yes".
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bloodycat
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Post by bloodycat on Nov 23, 2017 14:54:40 GMT
Tranche 4 now in the pipeline. £428k.
135 days remaining @12% Now gone live. Pity they can't proofread things before they post them. It's the Fourth tranche not the Forth tranche, which I suspect is something completely different.
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Post by harryvederci on Nov 23, 2017 14:57:43 GMT
is the latter a bridge loan  |
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elliotn
Member of DD Central
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Post by elliotn on Feb 14, 2018 2:00:09 GMT
T5 in pipeline, progress positive although remaining days is 50 for the main loan after a pre-Xmas extension and T5 showing 132 days which I can't see an update for - any ideas?
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Post by df on Feb 14, 2018 12:12:54 GMT
T5 in pipeline, progress positive although remaining days is 50 for the main loan after a pre-Xmas extension and T5 showing 132 days which I can't see an update for - any ideas? It is confusing. I assume they will extend the original to 132 days, but there is nothing in "recent updates" to confirm this or otherwise.
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Post by df on Feb 15, 2018 10:49:03 GMT
It is confusing. I assume they will extend the original to 132 days, but there is nothing in "recent updates" to confirm this or otherwise. I guess the main loan can't show the additional days until the Tranche raising the interest to cover it has gone live, is filled and drawn down and the funds allocated to it. It also helps, should the tranche not fill and subsequently get listed on the 'Available' tab, that it has 132 days, as it will list higher on the page for those lenders whose only consideration is days remaining.  It makes sense, but this is not how Ly normally deals with new tranches and extensions. I can't remember any discrepancy (except two Scottish castle PBL's, but they have only one day difference)  It must be a new Ly strategy. T5 was filled yesterday, but still no sign of extension for the main loan.
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It must be a new Ly strategy.