blender
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Post by blender on Jul 9, 2015 14:49:41 GMT
Not that it has any influence on FCPF's decisions of course, but the value of the company depends on the size of the loan book, and they are just £25M short of the half billion (outstanding loans not defaulted). When will they get there? It's not that easy - the £1BN is a long way off.
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adrianc
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Post by adrianc on Jul 10, 2015 8:09:22 GMT
Islington 1 - 13948. First £610k of £1.2m required, 14mo, 8%, 2%CB - and now at 88% with 22hrs to go. It's getting close... Will they let it fail? If this one's struggling, where do they go with tranche 2...? More CB? Two smaller tranches? 94% with one hour to go. I can hear that clicking finger being warmed up.
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min
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Post by min on Jul 10, 2015 8:55:14 GMT
Islington 1 - 13948. First £610k of £1.2m required, 14mo, 8%, 2%CB - and now at 88% with 22hrs to go. It's getting close... Will they let it fail? If this one's struggling, where do they go with tranche 2...? More CB? Two smaller tranches? 94% with one hour to go. I can hear that clicking finger being warmed up. Still 94% with just over 15 minutes to go. No sign of Frantically Clicking. Perhaps work experience bod can't get in because of the Tube strike.
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SteveT
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Post by SteveT on Jul 10, 2015 9:01:55 GMT
94% with one hour to go. I can hear that clicking finger being warmed up. Still 94% with just over 15 minutes to go. No sign of Frantically Clicking. Perhaps work experience bod can't get in because of the Tube strike. They're leaving it pretty late if they're going to rescue this one. £35k of clicking in 10 mins? Update: Nope, they let it close only 95% filled. Wonder when Further Contrived will manage to develop a system workaround so they can complete on a loan that hasn't quite filled and simply add the "missing" balance onto future tranches.
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pom
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Post by pom on Jul 10, 2015 9:12:02 GMT
Wow - it didn't fill
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adrianc
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Post by adrianc on Jul 10, 2015 9:12:52 GMT
The work experience Furry Chimp seems to have been making a cuppa at the time... £32k short.
Watch this space...?
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SteveT
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Post by SteveT on Jul 10, 2015 9:22:54 GMT
The work experience Furry Chimp seems to have been making a cuppa at the time... £32k short. Watch this space...? All bids now cancelled. My guess is it returns later today as a £400k first tranche of 3 or 4 (same terms)
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min
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Post by min on Jul 10, 2015 9:23:44 GMT
The work experience Furry Chimp seems to have been making a cuppa at the time... £32k short. Watch this space...? They've pulled it. My £40 been returned. Probably be re-listed as smaller tranche.
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Post by GSV3MIaC on Jul 10, 2015 16:37:44 GMT
But it's not shares, it's cash, and it's not an option, it's a schedule. Surely no problem in giving a fixed interest rate for a known and fairly short term cash requirement schedule? Essential to shield the developer from the unpredictability of a sequence of reverse auctions. I don't think I would want to lend to a borrower who did not have control of the financing costs. Whether it's shares, cash, barrels of crude, barley, sides of hogs, or whatever, if someone wants a guaranteed price for a guaranteed delivery at some future date there is normally a premium to be extracted on one side or the other. In the case of property loans it seems that we are expected to want to commit to take £x00k at <unknown future date> at fixed 8%, come whatever. Note the lack of matching commitments from the borrower - they don't have to take it (after we had it sat waiting for them), and infact they can repay what they have taken at any time with no penalty. I'd cheerfully sign up for some slice of the whole thing on day 1, if they pay me a known interest rate on that slice from that date, but I'm not willing to say 'you can have it at some future date whenever that is for an interest rate set now' .. so FC get to bridge the gap (they, after all, get a fee from this underwriting of later tranches .. we don't).
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SteveT
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Post by SteveT on Jul 13, 2015 6:46:49 GMT
Looks like Hendon 5 (13973) could be another one to fall short of filling without "help". £66k more needed with 5 hours to go...
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blender
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Post by blender on Jul 13, 2015 7:21:59 GMT
And with this tranche the project is still a long way from being funded, but perhaps that is ok because it is behind schedule. This project would suit a lender who hopes to receive higher rates of interest due to delayed repayment.
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adrianc
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Post by adrianc on Jul 13, 2015 7:56:30 GMT
And with this tranche the project is still a long way from being funded Wow, it really is... £1m so far, total required £2.76m What's most interesting is that, of the £1.015m to date, they only get £836k after interest/fees, and £190k of that is being held back as contingency - so they only actually see £647k of it... £603k of that has gone to acquire the land, leaving just £44k for construction - they've spent £233k to date. Also interesting that the delay is due to issues with connections to the sewers - remind me why Harrogate was late - and that there's a 2% interest uplift on any delay.
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SteveT
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Post by SteveT on Jul 13, 2015 8:03:43 GMT
And with this tranche the project is still a long way from being funded Wow, it really is... £1m so far, total required £2.76m What's most interesting is that, of the £1.015m to date, they only get £836k after interest/fees, and £190k of that is being held back as contingency - so they only actually see £647k of it... £603k of that has gone to acquire the land, leaving just £44k for construction - they've spent £233k to date. Also interesting that the delay is due to issues with connections to the sewers - remind me why Harrogate was late - and that there's a 2% interest uplift on any delay. Yes, if there's a property scheme to push Fretting Contractors beyond their current boundaries, this could be the one. Enhanced interest rate on the later tranches? 2.5%CB? They could even try offloading specific tranches as surrogate "whole loans" (with the "incentive terms" presumably disguised from us mortals)
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SteveT
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Post by SteveT on Jul 13, 2015 8:44:54 GMT
They gave up on Hendon 5 with more than 3 hours to go!
"FC Comments: Please note that this loan has been de-listed and will be relisted again shortly. Thanks FC."
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adrianc
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Post by adrianc on Jul 13, 2015 8:45:23 GMT
Hendon 5's been pulled, with three hours to go and just over £61k short.
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