The loan that at the time was the world’s largest for real estate mortgages has now been redeemed.
In January this year, AltFi News reported on Lendinvest’s world record breaking £4.1m loan deal. The deal got a large amount of press coverage at the time and now it has been repaid in full with investors netting a return of 6% for the six months in which they were invested in the loan – a lofty 12% per annum.
The loan came about when LendInvest’s affiliate business, Montello, was approached by a borrower with whom Montello has a long-standing relationship. This was following the client’s disappointment with a high street lender.
LendInvest revealed that the loan has now been refinanced in a deal arranged by John Kerrigan from Mayfair based brokerage, Arc & Co.
The loan allowed developers to acquire a commercial building in South East London whilst planning issues continued. The project, Green Dragon House, will provide over 120 new, much needed, affordable flats within the area.
“As with any loan, it can only really be characterised as a good loan, when it is repaid.”
“We are experienced lenders, and we have what we believe is the best deal-flow and underwriting experience in the secured P2P market.”
“While some platforms are starting to see some hefty defaults and investor losses, LendInvest is able to exploit its experience and track record as a lender. Unfortunately, some platforms are going to learn that it is easy to lend money, the hard part is doing sound loans that get repaid.”
Since launch in early 2013, Lendinvest has completed £68,441,142 of lending secured against £120,975,000 of real estate within the UK. The platform has recently also been recognised for their new three year mortgage plan challenging traditional bank domination over the £1.3trillion mortgage market.