Fully Funded

1 & 3 Little Hervells Court, Hardwick Hill Lane, Chepstow - Phase 2, NP16 5PT

Please note, for this project, pledges will be limited to a maximum of £2500 until 10.05am. After 10.05am, you can create pledges larger than £2500 or increase the size of your pre-existing pledge. This is subject to the project amount remaining which needs to be raised.

loan amount

£300,000

interest paid*

8%

funds pledged

£300,000

number of investors

201

% of target pledged

Fully Funded

project type

New build

loan term

up to 14 months

security

1st charge

project phasing

2 of 2

floor area

4557 sq.ft.

purchase price/value

£460,000

cost of work

£750,000

loan to value

54.35%

est. sales value (gdv)**

£1,450,000

owed at exit to gdv***

48.88%

strategy & vision

This is phase 2 of a 2 phase raise where we are raising £300,000 having previously raised £325,000 towards the initial construction costs.

For this project, a £5,000 pledge limit will be in place for the first 5 minutes to provide all those who have taken the time to perform their due diligence a chance to participate, given the current demand for CrowdProperty projects. After 10:05am, pledges greater than £5,000 can be created or existing pledges can be increased, subject to availability. Additionally, CrowdProperty AutoInvest functionality can automatically pledge on your behalf at 10:00am although the actual pledge on a project might be scaled back subject to demand and therefore your AutoInvest pot may be spread across more loans than your original settings.

The loan agreement on this project completed on 21st December 2018 and is for a term of 18 months (max). The phase 2 raise will be for a term of about 14 months.

To date the borrower has undertaken the following works:

Plot 1:

Substucture 100% complete - this involved excavation works, soil removal, strip foundations, floor slab and brickwork up to the damp proof course
Compsosite timber frames 35% complete - this involves the erection of the ICF panels
Windows delivered and being fitted
Drainage 100% installed and services 40% fitted
Stone walls and driveway 50% completed
Landscaping

Plot 3:

Substructure 100% complete
Timber frame panels 55% complete
Drainage and utilities 100% installed
Completion of 48 linear metres double garage, driveway, electric gates and pillar
Landscaping

Works planned in the forthcoming period:

The borrower will order the remaining windows in the forthcoming weeks and will continue to erect the ICF panels and reach wall plate level in line with the build schedule. With the timber frame having arrived on site the roof will be assembled and both plots will be water tight in circa. 16 weeks.

The proposed project - 1 & 3, Little Hervells Court, Monmouth, Chepstow, NP16 5PT is located less than 20 miles to the north of Bristol. The site is situated in Chepstow, which is a town in Monmouthshire, situated in south of Wales with a population of 12,350. The town benefits from good network links, with close proximity to the M48 via the A48 and it’s very own railway station. Access to M48 and Severn Bridge Crossing is approx. 3 miles from Little Hervells Court and Bristol City Centre being 30 minutes further to the south. Situated in Bristol is the Bristol Parkway railway station, which is a 1 hour 15 minute train journey to Paddington. This means the subject property is approx. 2 hours from central London via rail.

The site originally comprised a grade 2 listed Georgian property with a large garden. The borrower has since secured planning for five properties on the site, known as No.’s 1, 2, 3, 4 and 5 Little Hervells Court. The borrower has completed the conversion for the existing barn (No. 4) and the construction of a new detached property (No. 2). These are excluded from the project. CrowdProperty will has a first charge over plots 1 and 3 only. Planning permission has been granted by Monmouthshire Council, planning reference: DC/2015/00931.

The construction of the two new detached properties will form part of a small development:
No. 1 Little Hervells Court will have a GIA of circa. 3,045 sq. ft.
No. 3 Little Hervells Court will have a GIA of circa. 1,512 sq. ft.
The location is very significantly underpinned as a niche development because of the gated and walled entrance and private feel to the scheme. No.s 2, 3 and 4 will enjoy a shared vehicular and pedestrian right of way.

Estimated build costs for the project are £750,000, with the inclusion of sunken costs, costs of finance, professional fees and contingencies, total costs are estimated at £1,100,000 giving an estimated out turn profit of £350,000.

The current market value for No.s 1 and 3 are £290,000 and £170,000 respectively. With the GDV for No. 1 being £850,000 and the GDV for No. 1 being £600,000.

CrowdProperty agreed to lend the borrower £625,000 across 2 phased raises for a maximum of 18 months. The 1st phase raise was for £325,000 which provided monies to continue the construction works. The borrower received a day 1 advance of £250,000 which represented a loan to value of 54.3%. The expected loan to value at exit is estimated to be 48.88% - which will include rolled up interest. The 18 month term loan is a maximum term and the borrower can pay back the whole or part anytime between 6 and 18 months from the commencement of the loan namely 21st December 2018.

Targeted loan commencement date for this second phase raise is 05/04/2019.

exit strategy

Upon completion of the construction works the borrower will sell both units.

indicated return for your pledge
interest
total
min. loan (6 months)
£200
£5,200
14 month loan
£600
£5,600

CrowdProperty Comments


Having already demonstrated his ability to develop new builds to a high standard it is excellent to report that works are continuing in line with the build programme - a further IMS draw down is expected in April. Completed unit no. 2 will continue to be used as a show home and in turn generate interest from an early stage.

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*Please see full risk warning
**Estimated Sales Value is more formally referred to as GDV - Gross Development Value
***Owed at exit to GDV is calculated as the total capital + any planned loan interest against the RICS GDV for the project. These figures do include subsequences on projects funding development costs during the course of the project.

Your capital is at risk. No FSCS protection. Past performance is not an indicator of future results. Tax treatment will depend on individual circumstances and may be subject to change. See our full risk warning.

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