SO7 - The Crosby Hotel, Liverpool

Crosby
Liverpool, Merseyside, United Kingdom

Offering Description

Loan Overview

  • Loan Purpose: Commercial-to-Residential conversion
  • Loan Amount †: £619,000
  • Loan Interest †: 10% per annum + bonuses
  • Loan Term †: 12 months
  • Loan Security †: First legal charge (RICS valuation supported)
  • Loan Exit: Commercial re-finance
  • Loan to value: 49%
  • Minimum Investment: £250

 

The Property

Address: The Crosby Hotel, 75 Liverpool Road, Crosby, L23 5SE (google maps)

This substantial public house is steeped in history, set in the beautiful village of Crosby, Liverpool.

The property is currently presented across three floors with the public house being across the ground floor and two residential units across the first floor and second floor.

The majority of the property is in good condition although some rooms are in need of modernisation this will be dealt with during the property conversion.

The property is freehold and registered with the land registry under title number P179799.

The Plan

The borrower has an agreement in place for a conditional exchange on the property, before completing the purchase. It has been agreed that during the exchange period, the borrower will gain planning permission to convert the property to residential.

Planning permission to convert the property from its current use as a public house (use Class A4), to residential dwellings (use Class C3) has now been sought and approved in April 2019.

The borrow is now looking to raise the monies to complete the purchase and convert the property to nine apartments.

Planning information.

The conversion work consists of sub-dividing the current commercial space in to nine self-contained spacious apartments, with the benefit of utilising the basement space as additional storage for each apartment.

Working closely with local estate agents the scheme has been designed to help the demand of starter homes with a mixture of one bed and two bedroomed apartments in a location that is known for expensive property.

The conversion involves no structural alterations and it is forecasted by the Contractor that it will take no longer than 9 months to complete the work, including having the work signed off by Sefton Council for Building Regulation purposes.

 

The Exit

Given the location of the property and the local demand, the Borrower intends to market the apartments off plan for local residents to purchase and reside.

The borrower has also been preapproved for a remortgage and will let the properties out on a buy to let basis should they find sales take time.

 

The Location

Crosby is an affluent suburb of North Liverpool, with easy access to Liverpool city centre, and its beaches are home to “Another place”, the sculpture that was designed by internationally acclaimed artist Sir Anthony Gormley. This area also boasts splendid views of the sea, the Wirral and North Wales.

Crosby has seen a strong incline in housing prices over the last 5 years, totaling an average capital growth of 22%. This trend continued into 2019 as seen below:  

The Financials

Loan Amount † £619,000
Forecasted Valuation aka GDV †† £1,270,000
Loan-to-GDV 49%
Loan Term 12 months
Loan Interest ††† 10% per annum
Cash-back Reward †††† 2%
Loan Interest Payment ††††† Annually in arrears
Loan Security First Legal Charge
† includes purchase and funding fees
†† based on a RICS valuation
††† interest is calculated on a pro-rata basis and is an illustration of the maximum interest amount achievable
†††† reward is calculated on all loan pledges to the value of £25,000 or more
††††† interest will be deposited in each Investors' dashboard wallet

Loan Schedule

PURCHASE FUNDING money paid to the Borrower's solicitor on completion of the purchase
CONVERSION FINANCE money paid to the Contractor per agreed drawdown schedule

Cash-back Reward

Cash-back Reward: 2% when you lend £25,000 or more.

Type:  Cash-back paid on completion (i.e. drawdown) of the loan by the Borrower.

Terms: To claim this offer, you will need to invest a minimum of £25,000 into the loan opportunity - SO7 - The Crosby Hotel, Liverpool​. You will then have your account credited with 2% of the final amount you have invested on completion of the loan. Lender Terms and Conditions apply.

Bonus

Bonus: £50 when you lend your first £500.

Type: Bonus paid on completion (i.e. drawdown) of the loan by the Borrower.

Terms: To claim this offer, you will need to invest a minimum of £500 into the loan opportunity - SO7 - The Crosby Hotel, Liverpool​. You will then have your account credited with £50 on completion of the loan. This offer only applies to your first £500 investment. Lender Terms and Conditions apply.

Management Team

DONHILL DEVELOPMENTS  LTD

DONHILL DEVELOPMENTS LTD

The Borrower

Mike Hill and Peter Donoghue are the directors and shareholders of DONHILL DEVELOPMENTS LTD, who will be the ultimate borrower. This entity is an SPV and has been incorporated for the sole purpose of this project

JSM Interiors

JSM Interiors

The Contractor

JSM Interiors have substantial experience working on a range of different commercial projects including offices and apartments.

They have headed up a number of projects involving the same structure as planned within this offering. They are providing a full package including all aspects of trade.

JSM have converted Wreckfish Bistro, Liverpool, The Hub, Liverpool and most recently, they are due to open Kala on prestigious King St in Manchester.

Sourced HQ

Sourced HQ

The Support Network

Sourced HQ is the name affectionately given to the Sourced head office team.

Sourced HQ is a complete and essential resource hub, with the team being responsible for training and supporting Sourced franchisees and network members, who can call upon a cumulative experience of over thirty years in the property industry undertaking all things including: property sourcing, property developing, property sales and lettings, and property funding.

Jark Security Trustee Limited

Jark Security Trustee Limited

The Security Trustee

All loans offered on the Sourced platform are secured against UK property, more often than not, against the underlying property that forms part of the transaction.

Security is registered in the name of the Security TrusteeJark Security Trustee Limited, and is managed on behalf of the Investors in accordance with the Security Trust Deed as referenced in our Lender's T&C's.

Security address: The Crosby Hotel, 75 Liverpool Road, Crosby, L23 5SE.

Title Number: P179799

 

£226,400.00

Raised Of £619,000.00 Goal

Days 09
Hours 15
Mins 01
£226,400.00
 
Debt Offer. Structure
10% Ann. return
12 Months Term

Call 0333 123 1330