First Trust Deed collateralized by roughly 5.99 acres of land which will eventually be developed into 18 single family lots. With entitlement completed, the borrower will begin development shortly after acquiring the property. Over the next eight months the borrower should have the land fully developed into the 18-lot community at which point the borrower anticipates being ready for vertical construction (late summer of this year). The 18 quarter to half acre lots will eventually have homes averaging 3,500 square feet built on them. Average sale prices in the community should be around $1,500,000 when the finished homes become available.
Master Loan Amount: $6,400,000
Yield: 10.5% interest is paid monthly in arrears with payments due on the 1st of each month with a 10-day grace period.
Term: Nine months with an optional nine-month extensions at maturity. Final maturity date is 8/4/24.
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