Your capital is at risk and investments are not covered by the Financial Services Compensation Scheme (FSCS).

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Your capital is at risk and investments are not covered by the Financial Services Compensation Scheme (FSCS).

Willow Mews - Interim Equity

Willow Mews, Shepherds Bush


£132,000

Funded

£132,000

Total Fund

£132,000 minimum raise

Term (Months)
9

Projected Annualised Return
15% - 18%

Strategy
Leveraged Development

Minimum Investment
£1,000

Interim Equity
Projected returns are an estimate. Returns may go down or up based on the future market value of the property and rental values achieved.


Key Points


  • Zone 2 London location

  • New build of 4 houses
  • 9 month term, targeting 15% - 18% p.a.*
This is a second opportunity to invest in an architect designed, new build gated development in a popular Zone 2 district of London. It will deliver:
  • 2x 3 Bed Mews Houses with private gardens to the rear
  • 2x 2 Bed Single Storey Houses each with a private courtyard area
  • Gated, off-street parking 
Delays early on in the project has meant that it will now be completed 9 months later than originally planned and so this raise is to enable some of the existing investors to exit now.

As this is an Interim Equity investment, the SPV will be issuing Redeemable Shares, with a fixed term and a fixed return.

The ground works are complete and the SIPs panels being used as the structural frame are currently being manufactured offsite and should be in position in early April. Practical Completion is due in September 2019.

The Investment is by way of £1, Redeemable Class B and Class C Shares in the Development SPV - Willow Vale Dragon Limited:
  • Total Crowd Equity of £132,000
  • 90,000 Preferred Redeemable Class B Shares
    • Fixed 9 Month Investment Term
    • Fixed Total Target Returns = 13.5% (18% p.a.)*
    • Minimum Investment is £5,000
  • 42,000 Preferred Redeemable Class C Shares
    • Fixed 9 Month Investment Term
    • Fixed Total Target Returns = 11.2% (15% p.a.)*
    • Minimum Investment is £1,000
Please Note:
The number of shares allocated in each class will depend on demand and will not impact the return. These Redeemable Class B and Class C shares along with the exiting Redeemable Class A shares cannot be redeemed until loans have been repaid and that all Redeemable Shares must be redeemed by the SPV before Ordinary Shareholders become eligible for Dividends or are able to remove any capital.

This mews style gated development has been designed by award winning architects to make the most of the location but also to fit in with the surroundings. It is located on a quiet residential street and is close to Westfield, the new BBC development and the new Soho House.

Each of the two 3 Bed houses have private gardens to the rear of the properties and first floor terraces, whilst the 2 Bed Units are single story, with secluded private courtyards. There is gated off-street parking for 3 of the units and a covered bicycle storage.

These are modern, high specification units designed for the local target audience with sustainable features that includes ‘Green Roofs’.

The construction is well underway via a fixed price JCT contract with Greenleaf Projects (UK) Limited and is scheduled to reach Practical Completion by the end of September 2019.

The main structure is made up of SIPS panels which are fabricated off-site and will enable a quicker build. They will be delivered on site in April now the foundations are in place.

The senior lender is ABC and they hold a first charge over the assets. In addition there are Ordinary Shareholders who have invested 20% of the total costs.

Projected returns


Redeemable Class B Shares**
  • Fixed Target Return of 13.5% (18% p.a.*)
  • Fixed Term of 9 months*
  • Minimum Investment of £5,000
Redeemable Class C Shares**
  • Fixed Target Return of 11.2% (15% p.a.*)
  • Fixed Term of 9 months*
  • Minimum Investment of £1,000

* Projected return to be paid as a capital gain if circumstances make it possible to do so
** Redeemable Shares must be redeemed before the payment of any dividends or the return of any capital to other investors.

Property name: Willow Mews

Address: Shepherds Bush

Property type: Houses 

Property age: New Build

Market type: Young Families & Young Professionals

Local Property Market


Shepherd's Bush and nearby White City are at the centre of an £8 Billion regeneration that will see the already popular Westfield London shopping centre expand with a new John Lewis flagship department store plus 70 new shops and restaurants.

Nearby, the iconic former BBC Television Centre is part of a large scale regeneration project by the developer Stanhope. It will bring 950 flats, offices, restaurants and bars, a Soho House run hotel and a private members club with roof top bar.

Imperial College is establishing a new 25-acre research and innovation centre and more recently the Royal College of Arts has announced that it will be opening a new campus at White City Place.

Willow Vale is located in a quiet residential area, a short walk from Shepherd's Bush Market, White City, and Wood Lane underground stations.

Whilst prices in this area, as with most of Greater London, have declined over the last twelve months, this has been on the back of significant increases over the last 5 years.
 

Capital Investment


Purchase Price £1,715,535
Professional Costs £223,057
Construction Costs £1,162,975
Contingency  £48,117
CrowdLords Fees £22,500
Total Investment £3,172,184
To be funded via:
Senior Debt Finance -£2,265,997
Shareholders Loans £452,687
Crowd Equity £453,500
Developer Equity £100,000
Total Crowd Equity of which: £453,500
Existing Equity Ordinary Class B £250,000
Existing Equity Redeemable Class A £71,500
New Equity Redeemable Class B £90,000
New Equity Redeemable Class C £42,000


 

Expected Capital Returns


Gross Development Value £3,820,000
Gross Development Profits £843,517
Debt Finance Costs -£433,912
Community Infrastructure Levy -£15,671
Sales Cost £106,500
CL Growth Fees £32,000
Net Profits Before Tax £333,675
Corporation Tax £66,735
Net Profits After Tax £266,940
Distribution to Redeemable Class A £25,560
Distribution to Redeemable Class B  £12,150
Distribution to Redeemable Class C  £4,715

 

Expected Return Summary


Investment Period 9 Months
Projected Total Return 11.2% or 13.5%
Target Annualised Return  15% or 18% p.a.


 

CrowdLords Development Analysis


The blocks shown in the "Risk Analysis" chart illustrate the CrowdLords Risk Rating. It shows where the investment lies on our internal Risk Return Profile. It is our opinion only and should not be taken as a recommendation. You should judge the Risk for yourself using the information provided and your own investigations. We rate Risk across 5 parameters and grade them as being A, B, C, D or E. A being lower Risk according to our criteria.
 

About the CrowdLords Risk Analysis

We include a CrowdLords Risk Rating to illustrate where the investment lies on our Risk Return Profile.  Where risks are higher it is usual to expect a higher return and this is designed to aid quick comparisons only. It is our opinion only and should not be taken as a recommendation. You should judge the Risk for yourself using the information provided and your own investigations to form your own opinion. 

We rate Risk across 5 parameters and grade them as being A, B, C, D or E. A being lower Risk. The five areas we grade are:
Market Sensitivity – the less the return is impacted by changes in Market prices, the lower the risk
Cost Sensitivity – the less the return is impacted by any increases in cost, the lower the risk
Time Sensitivity – the less the return is impacted by any extensions to the time line, the lower the risk
Minimum Preferred Return – the higher the minimum preferred return as a proportion of the projected return, the lower the risk
Track Record – the greater the experience of the Developer, the lower the risk.

We combine these into a weighted rating between A and E and show how the Risk / Return compares with what we would expect.

About the Sponsors


Anthony Lewis
Anthony moved to property development after retiring from the position of Joint Senior Partner at Taylor Johnson Garrett (now Taylor Wessing) solicitors. Since then he has completed more than 20 successful schemes in London and the Midlands.

Roger Crundwell - Tuke Manto Architects
Roger has over 20 years experience in design planning and architecture. He has worked with Anthony on several schemes.



Past Projects


Cobb Street
London, E1


9x flats over retail, exterior and interior


Garett Steet
London, E1



12 flats, 3 offices, exterior

Property details


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