B

LOAN SUMMARY | 1280 West Peachtree Street Northwest #2, Atlanta, GA 30309

BORROWER

TXO Investment Group LLC
Elijah Thompson - principal
Rate
Projected Term
Loan To ARV
Loan Amount
Investors
9%
9 months
65.9%
$280,000
0
Purpose
Loan Position
Total Loan Amount
Loan Status
Refinance - Rehab
First Lien
$280,000
Repaid on 04/26/2022
Started on
Funded on
Repaid on
Matured on
03/05/2019
07/10/2019
04/26/2022
12/04/2019

FINANCIAL OVERVIEW

After Repair Value (ARV)
$1,120,000
Total Project Costs
$987,760
$132,240
GROUNDFLOOR
$737,760
$250,000
0%
Skin-in-the-Game
First Lien Loan
Cushion
Purchase Price
$573,000
Purchase Date
02/14/2018
Loan To ARV
65.9%
Loan To Total Project Cost
74.7%

Grade Factors

The following factors determine in part how the loan was graded:
(in descending order of importance)
Loan To ARV Score
4
10
Quality of Valuation Report
4
4
Skin-in-the-Game
4
10
Location
4
8
Borrower Experience
5
5
Borrower Commitment
1
1

VALUATION REPORTS

As Complete (ARV)
$1,120,000
Certified Independent Appraisal
Broker's Price Opinion
Borrower Provided Appraisal
Borrower Provided Comps

PROPERTY DESCRIPTION

1280 WEST PEACHTREE STREET NORTHWEST #2, ATLANTA, GA 30309
The Borrower intends to use the loan proceeds to payoff an existing loan and complete a renovation to the property. Upon completion, the Borrower intends to sell the property to repay the Groundfloor loan.

PROPERTY PHOTOS

MISCELLANEOUS

PROJECT SPECIFIC RISK FACTORS
  • The Borrower was advanced the money it needed to begin renovation of this property on March 5, 2019 by Groundfloor Finance Inc. (“Groundfloor,” “we,” “us,” or “our”) or a wholly-owned subsidiary of Groundfloor. The Borrower has now begun renovation of the property. If this offering is fully subscribed, Groundfloor will continue to administer and service the loan as further described in the Offering Circular.
  • The renovation of the property may be extensive, and therefore subject to delays and other unexpected issues.
  • The renovation will require permitting, and permits may not be obtained on time or may be denied.
  • The Borrower is using $568,952 of the loan proceeds to pay off an existing loan that was used to acquire and begin renovation of the property. Groundfloor will assume the first lien position. The rest of the loan proceeds will be put towards completing the renovation of the property, much like an acquisition and renovation loan.
  • This loan represents the second draw for the project and is secured by an individual note.
  • Each draw on this project is structured as an individual loan. We will fund each draw from our own capital or credit facilities as and when requested by the Borrower, provided conditions for each draw are met as described in our Offering Circular. Once a draw has been approved and funded, we will then sell the corresponding series of LROs on our platform, each of which will be due 12 months from the time such series of LRO is deemed issued, as described in our Offering Circular. Subsequent draws are expected to be requested every two months from the date we advanced the first draw, but may be requested sooner, or later, depending on the progress of construction.
  • There will be three loans on this project, each representing subsequent draws. The first two loans are $280,000 each. The last loan is subordinate to the first two loans and is for $177,760. The Financial Overview box represents the aggregate amount of all loans to be secured by this property, giving a complete financial picture of the project.
  • The event of default on one Groundfloor note secured by this property will trigger default on all Groundfloor notes secured by this property. However, LRO holders investing in LROs corresponding to notes secured by this property have different priorities in any recovery. Holders of LRO series 1280 West Peachtree Street Northwest #1 and 1280 West Peachtree Street Northwest #2 share first priority and any recovery will be distributed on a pro rata basis to these LRO holders first. Holders of LRO Series 1280 West Peachtree Street Northwest #3 have a subordinated priority, and any remaining recovery will be distributed to them if and when LRO holders of the first priority notes are made whole./li>
  • The Borrower has not completed any project in the past year. As such, the Borrower's average revenue, costs, and margins cannot be calculated.
  • The property was purchased as part of a group of three notes. Each loan is for and secured by one individual loan.
  • Please consult the Offering Circular