First Trust Deeds - Nevada - 10%-10.25% Yield

[Israel Irizarry]

DRAGON RIDGE DEVELOPMENT, LLC, #4551 – NEVADA

First Trust Deed collateralized by a fully developed 1.1-acre lot in the MacDonald Highlands Community which is approximately 19 miles south of downtown Las Vegas, Nevada. The MacDonald Highlands Community is nestled in the picturesque McCullough Mountains which has become one of the most sought after addresses in the Las Vegas Valley. Finished lots on this street are currently selling for more that $2,000,000 for just the lot. Although no homes have sold on this 51-lot street yet, some homes are anticipated to be sold for more than 10 million. This loan is to acquire the lot and build a roughly 8,000 square foot home. Now that building permits have been fully approved by the HOA as well as the city, the borrower is able to begin construction immediately. It is anticipated the home will be completed and sold within the duration of this loan.
Loan Amount: $3,500,000

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: 9 months with one optional nine-month extension period at maturity.

BLUE HERON HIGHLANDS SHOW HOME, LLC. #4554 – NEVADA

First Trust Deed collateralized by a fully developed 1.3-acre lot in the MacDonald Highlands Community which is approximately 19 miles south of downtown Las Vegas, Nevada. The MacDonald Highlands Community is nestled in the picturesque McCullough Mountains which has become one of the most sought after addresses in the Las Vegas Valley. Finished lots on this street are currently selling for more that $2,000,000 for just the lot. Although no homes have sold on this 51-lot street yet, some homes are anticipated to be sold for more than 10 million. This loan is to refinance the acquisition of the lot and build a roughly 13,000 square foot home. Now that the building permit have been fully approved by the HOA as well as the city, the borrower has already begun construction on the home as the foundation of the home is completed. As is typical for Blue Heron, they build one "showcase home" to showoff all of the newest and most innovative architecture in design and technology. When they do this, they typically will pay off the loan with their own investor capital once the home is completed and ready to tour.

Loan Amount: $3,900,000

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: 9 months with one optional nine-month extension period at maturity.