Fully Funded

1 & 3 Little Hervells Court, Hardwick Hill Lane, Chepstow, Monmouthshire, NP16 5PT

Developer: Adam Vers

loan amount

£325,000

interest paid*

8%

funds pledged

£325,000

number of investors

38

% of target pledged

Fully Funded

project type

New development (eg new build, self-build, air rights etc)

loan term

up to 18 months

security

1st charge

project phasing

1 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***

49%

strategy & vision

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 the 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 historic Chepstow castle is a short 5 minutes walk from the site, with the River Wye situated nearby. The property is located approximately 0.5 miles south east of Chepstow Community Hospital and is a short 10 minute walk from the High Street.

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 have 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.

Works for No. 1 Little Hervells Court have already commenced:
No. 1 has been cleared, trenches excavated and foundations/footings concreted ready for the erection of the slab to DPC levels. The entrance has been broken through and driveway to scalping finish all services i.e. gas, electric, water, BT, foul and storm are complete to the entrance of the property. All retaining and boundary walls have also been completed.

Works have also already commenced for No. 3 Little Hervells Court:
The site for No. 3 have been excavated and cleared footings completed slab complete to dpc level over-site complete and concreted Ready for Timber Frame erection. All services/utilities complete and capped off. Driveway complete to concrete finish ready for resin bond final coat golden pea. The garage has also been constructed. Shared entrance complete i.e. electric, gates and intercoms Boundary treatments complete 100%.

Estimated build costs for the project are £750,000, with the borrower having already completed £125,000 of these works. 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 has agreed to lend the borrower £625,000 across a 2 phase raise for a maximum of 18 months. The 1st phase raise will be £325,000 which will provide monies to continue the construction works with the phase 2 raise estimated in Q2 2019. The borrower will receive a day 1 advance of £250,000 representing a loan to value of 54.3%. The expected loan to value at exit will be 49.1% - which will include rolled up interest. The 18 month term loan is a max term and the borrower can pay back the whole or part anytime between 6 and 18 months.

Targeted loan commencement date for this project is 21/12/2018

exit strategy

Build out and sell.

the borrower
& project team

The subject property is held in Adam’s own name. His professional career began in his family construction business and during the next 14 years he learnt about the building industry. Adam went on to complete his own carpentry contracts for national house builders David Mcleans, Bovis Homes andWilcon Homes where he learnt how these firms costed labour materials on new build residential homes. He then set up his own company where he completed his first new build property in 1998 - a detached 4 bedroom property. Over the next 18 years Adam went on to build out over 50 houses and apartments in the Monmouthshire area. In 2013 Adam completed the barn conversion - No. 4 Little Hervells Court. Costs for this conversion were £160,000 with a total GDV £290,000. He then built No. 2 Little Hervells Court and details of this property can be found on https://www.rightmove.co.uk/property-for-sale/property-65441533.html. Adam built this property over an 8 month period funded by £360,000 of private finance. He then split the title and re mortgaged. The GDV of plot 2 - £750,000. It is not his intention to sell this unit whilst works continue on the adjacent plots but is using No. 2 for the benefit of a show home.

At Welsh Street, Chepstow he purchased a site in 2009, gained planning permission for the construction 3 X 4 bed detached houses and sold in 2012. Cost of works totalled £850,000 with an out turn GDV of £1,230,000.
Various new build and conversions have been successfully completed in Newport including a 12 house development at Aberthaw Close Newport.

Adam also works closely with his professional team who consist of:

Quantity Surveyor- Richard Thorington: Thorington Construction Consultancy- http://www.thorington.uk/
Architect - Chris Jackson CJ projects 
Engineer - Dave Fowler  
Building control - Celtech Consultants 

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

CrowdProperty Comments


Having completed No. 2 Little Hervalls Court to a high standard CrowdProperty is confident that the borrower will replicate this level of finish throughout the project to create a high end development in the heart of Chepstow. Being able to use No. 2 Little Hervells Court as a show home for this development will be an additional benefit to the marketability and demand for these dwellings.

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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 and you may lose all you lend. See our full risk warning for more information

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