First Trust Deed collateralized by 7.5 gross acres of land currently zoned R-E to allow for two units per acre (a total of 15 units) although there is a resolution of intent for R-2 zoning which allows up to eight units per acre (a total of 60 units). Located in Enterprise, NV (approximately 18 miles Southeast of Las Vegas, NV) the property is nearly adjoining Mountain’s Edge, Southern Nevada’s premier master planned community. With the close proximity to Mountain’s Edge, future residents of this community will be able to enjoy all the amenities that Mountain’s Edge provides without paying community and master association dues which top $500 per month. This collateral is located within section 19, a 640 acre parcel, of which the borrower owns or manages 150 acres that is currently going through the same zoning conversions. The zoned land will ultimately be sold to home builders, just as the collateral for this loan will. It is anticipated that the collateral of this loan will be the first part developed and sold due to the proximity to the nearest utilities.
Loan Amount: $2,470,000
Yield: 10.25% (Principal Balance ≥ $100,000); 10.00% (Principal Balance < $100,000) Interest is paid monthly in arrears with payments due on the 1st of each month with a 10-day grace period.
Term: 6 months with an optional 6 month extension at maturity.