A

LOAN SUMMARY | 13886 CR 44 , Eustis, FL 32736

BORROWER


Rate
Projected Term
Loan To ARV
Loan Amount
Investors
12.5%
12 months
60.3%
$350,000
700
Purpose
Loan Position
Total Loan Amount
Loan Status
New Construction
First Lien
$350,000
Funded
Started on
Funded on
Repaid on
Matured on
11/29/2018
01/29/2019
Pending
11/29/2019

FINANCIAL OVERVIEW

After Repair Value (ARV)
$580,000
Total Project Costs
$576,420
$3,580
GROUNDFLOOR
$350,000
$226,420
0%
Skin-in-the-Game
First Lien Loan
Cushion
Purchase Price
$562,420
Purchase Date
04/27/2018
Loan To ARV
60.3%
Loan To Total Project Cost
59.7%

Grade Factors

The following factors determine in part how the loan was graded:
(in descending order of importance)
Loan To ARV Score
5
10
Quality of Valuation Report
4
4
Skin-in-the-Game
7
10
Location
4
8
Borrower Experience
5
5
Borrower Commitment
1
1

VALUATION REPORTS

As Complete (ARV)
$580,000
Certified Independent Appraisal
Broker's Price Opinion
Borrower Provided Appraisal
Borrower Provided Comps

PROPERTY DESCRIPTION

13886 CR 44 , EUSTIS, FL 32736
The Borrower intends to use the loan proceeds to complete a new construction. 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 needs to begin construction of this property on November 30, 2018 by Groundfloor Finance Inc. (“Groundfloor,” “we,” “us,” or “our”) or a wholly-owned subsidiary of Groundfloor. The Borrower will has begun construction 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 primary purpose of the loan is “Refinance” because the loan will be used to refinance the property for ahead of construction. Any loan proceeds allocated towards construction are small.
  • The Borrower must obtain new financing to repay the Groundfloor loan. If the Borrower is unable to obtain the financing needed to repay the Groundfloor loan, the Borrower will have to repay the loan with cash or sell the property.
  • The construction of the property may be extensive, and therefore subject to delays and other unexpected issues.
  • The construction will require permitting, and permits may not be obtained on time or may be denied.
  • There is no existing structure on this property, or if there is, it will be demolished, and a new structure built in its place.
  • The Borrower is using $275,000 of the loan proceeds to pay off an existing loan that was used to acquire and begin the construction 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.
  • Under our Grading Algorithm, the loan grades as a A with an interest rate of 12.5%; however, the Borrower has elected to pay a higher interest rate to make it more marketable and to help ensure that the Project receives funding.
  • The Borrower has not completed any projects since inception. As such, the Borrower's average revenue, costs, and margins cannot be calculated.
  • 13886 CR 44, which serves as additional collateral, has a market value of $580,000 according to a certified appraisal. 13886 CR 44 is not subject to any encumbrances, and Groundfloor is in first lien position. The value of 13886 CR 44 is not factored into the ARV for this loan.
  • This is a collateral loan secured by both the subject property 104 East Ward Avenue, Eustis, FL, 32726 and 800 Kilgore Street, Wildwood, FL, 34785 which was previously purchased and is owned by the borrower.
  • Please consult the Offering Circular