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LOAN SUMMARY | 309 EAST 37TH STREET 309 East 37th Street, Savannah, GA 31401

B8937571ef32119c4cf043ed13007893b2674060

BORROWER


Rate
Projected Term
Loan To ARV
Loan Amount
Investors
6.5%
12 months
53.2%
$170,180
314
Purpose
Loan Position
Total Loan Amount
Loan Status
Renovation
First Lien
$170,180
Funded
Started on
Funded on
Repaid on
Matures on
06/13/2017
Pending
06/15/2018

LOAN UPDATES

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GROUNDFLOOR - 9/9/2017

Please be advised, this loan could potentially be impacted by Hurricane Irma. We have confirmed that the appropriate insurance coverage is in place. We will provide additional updates as they are received and the storm passes.

Please refer to our September 08, 2017 Hurricane Response blog post for additional information on how Groundfloor manages the risk posed by natural disasters, including more information about our management of insurance coverage. 

Visit: Hurricane Response

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GROUNDFLOOR - 8/28/2017
The borrower has advised that the project has had continuous delays due to weather issues. The borrower has entered into a listing agreement with a real estate agent, and hopes to have the property on the market by Labor Day weekend. 
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GROUNDFLOOR - 8/3/2017
The borrower has advised that the renovation has gone over the initial estimate by 10%.  The project has also run over the expected time line primarily due to unexpected sheetrock replacement (approximately 70% had to be replaced), difficult sanding job to refinish the original hardwood floors, and the advent of hurricane season, which has brought heavy rains in the last few weeks. Once the floors are finished, the contractor will put in the kitchen, final fixtures, and fix the final details. The borrower expects the rehab to be finished in the next 10 days and then placed on the market the following week.

FINANCIAL OVERVIEW

After Repair Value (ARV)
$320,000
Total Project Costs
$270,180
$49,820
GROUNDFLOOR
$170,180
$100,000
0%
Skin-in-the-Game
First Lien Loan
Cushion
Purchase Price
$165,000
Purchase Date
04/19/2017
Loan To ARV
53.2%
Loan To Total Project Cost
63.0%

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
4
5
Borrower Commitment
1
1

VALUATION REPORTS

As Complete (ARV)
$320,000
Certified Independent Appraisal
Broker's Price Opinion
Borrower Provided Appraisal
Borrower Provided Comps

PROPERTY DESCRIPTION

The Borrower intends to use the loan proceeds to 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
  • We advanced the Borrower the money it needed to begin renovation of this property on June 16, 2017 through a wholly owned subsidiary. The Borrower has now begun renovation. If this offering is fully subscribed, the property will be assigned to us from the subsidiary, and we will continue to administer and service the loan per the terms of our 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 property was purchased for $165,000. The Borrower intends to use $65,000 of the proceeds from our loan to offset that amount of the purchase price of the property. Therefore, the Borrower is only receiving a "Skin-in-the-Game" score for the remaining $100,000 that is tied up in the project after completion of our loan.
  • Please consult the Offering Circular