Property Moose Successfully Delivers 8% net Interest in Matured Loan Note
On the 17th of July, 2017, we successfully exited our first secured lending opportunity, PMF A. The loan note raised £160,500 from 79 investors and offered a fixed, annual return of 8% p.a. All investors received 100% of their initial investment in addition to the outlined 8% net interest. We believe this marks a significant milestone in our growth, and further supports our credibility within the marketplace.
Darren Schindler, Executive Chairman of Property Moose noted,
“We believe the success of this product is rooted in its simplicity. The lending opportunities hold a legal charge, and are secured by carefully sourced property assets. Our members recognise the opportunity to earn hassle-free, fixed returns, alongside the security of bricks and mortar. It’s a simple, tried and tested model.”
Investors’ right to vote
Under our chosen nominee structure, investors receive full voting rights, hopefully allowing them to control and tailor their investment plans to their personal choice. For equity investors, this ranges from approving prospective tenants in our buy-to-let opportunities, to deciding to hold or sell an investment property.
Once a majority decision has been made, our experienced team complete the necessary steps. We believe that, in offering a hassle-free service in this way, yet allowing investors to maintain their freedom in decision making, our platform provides an innovative and simple property investment experience.
PMF A voting outcome
For those investing in our debt opportunities, such as PMF A, investors were offered 3 exit options, which were individual requests as opposed to a majority-based preference. As a result, PMF A investors had complete control over the way in which they exited their investment. The three options included:
- Immediately enter a new 12-month PMF opportunity of 8% net p.a. and also invest interest earned;
- Enter a new 12-month PMF opportunity of 8% net p.a. and receive interest earned as a payout;
- Exit the investment.
PMF B5 is our latest PMF opportunity and also offers a fixed return of 8% net p.a.
Of the 67% who acted on their right to vote:
- 29.2% - voted to reinvest capital and interest in PMF B5
- 11.3% - voted to invest capital in PMF B5 and receive interest
- 26.5% - voted to leave
Therefore;
- 40.5% of investors voted to remain invested
- £76,100 of capital was reinvested into PMF B5 (equivalent to 47.41% of PMF A’s fund amount)
- £5,000 of interest earned from PMF A was reinvested in PMF B5
- £81,100 in total invested in PMF B5 = 50.5% of PMF A redemptions
PMF B5 was 40% funded prior to its official launch
As a result, PMF B5 was 40% funded prior to its official launch on the platform; a testament to the product’s popularity and demand.
An introduction to our PMF investments
Our secured lending product allows investors to lend money which is legally secured against real-estate assets, with the prospect of earning a fixed interest on funds invested.
Considering the number of buy to let opportunities we offer, it may seem as though our platform has become known for equity crowdfunding opportunities. However, we believe our loan notes are becoming a staple for the investment platform, and are proving to be increasingly popular with our members.
Our five fully funded loan notes have successfully raised approximately £1m in total, which equates to 10% of the total funds raised to date by the platform.
Andrew Gardiner, CEO and founder of Property Moose noted,
“We are dedicated to revolutionising the way people invest through technology, helping to educate and encourage safe and sustainable forms of investment. Our members are able to build diversified investment portfolios, from as little as £10 at a time.”
You can view PMF B5, our latest loan note opportunity, here.
If you are interested in our fixed return opportunities, you may wish to view our currently funding loan-note, PMF D1. This is an opportunity to invest in a 10% net p.a. secured fixed return loan note, which will help enable the purchase, development and sale of a mixed-used site in Bristol.
Disclaimer and Legals
Property Moose does not provide any advice in relation to investments and you must rely on your own due diligence before investing. Please remember that property prices can go down as well as up and that all figures, rates and yields are projections only and should not be relied on. If in doubt, please seek the advice of a financial adviser. Your capital is at risk if you invest. This post has been approved as a financial promotion by Resolution Compliance Limited.
Property Moose is a trading name of Crowd Fin Limited which is an Appointed Representative of Resolution Compliance Limited which is authorised and regulated by the Financial Conduct Authority (no: 574048).