Our Offerings
Residential Hard Money Loan

St. Pete Beach, FL

Fully remodeled 4 bedroom, 3 bathroom home in a fantasy-like location overlooking Boca Ciega Bay and downtown St. Pete in the distance.

Annual Interest Login for details
Term Remaining Matured
Payment Monthly
Offering Size $1,800,000

St. Pete Beach, FL Details

Structure

Tax Document
1099-INT
Offering Structure
BPDN
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SENIOR BPDN - PROMISSORY NOTE SECURED BY COLLATERAL SECURITY AGREEMENT

THIS PROMISSORY NOTE IS SECURED BY THE ISSUER'S PLEDGE OF THE RELEVANT UNDERLYING COLLATERAL LOAN (AS DEFINED BELOW) TO THE LENDER (AS DEFINED BELOW) UNDER THE COLLATERAL SECURITY AGREEMENT AND PROMISSORY NOTE. HOWEVER, EXCEPT TO THE LIMITED EXTENT PROVIDED IN THE PROMISSORY NOTE WITH RESPECT TO THE UNDERLYING COLLATERAL LOAN, THIS NOTE IS NON-RECOURSE TO THE ASSETS, FUNDS AND ACCOUNTS OF YIELDI, LLC (THE "BORROWER", "COMPANY" OR "ISSUER") OR ANY OF ITS AFFILIATES, EMPLOYEES, AGENTS, STOCKHOLDERS, PARENTS, OR SUBSIDIARIES EXCEPT TO THE EXTENT OF THE VALUE OF COLLATERAL LOAN NET PAYMENTS ACTUALLY RECEIVED IN RESPECT OF THE UNDERLYING BORROWER LOAN.

Example Return on Investment

Investment Amount:

Annual ROI:

$0

Why We Like This Opportunity

investment-property-highlights

St. Pete Beach, FL Highlights

Fully remodeled 4 bedroom, 3 bathroom home in a fantasy-like location overlooking Boca Ciega Bay and downtown St. Pete in the distance. The remodel includes the bathrooms, kitchen, and two balconies providing additional access to the breathtaking views. A new paver driveway, new roof, 4 HVAC systems, and a new sea wall were also included in the remodel. An in-ground pool is to be installed in the rear yard along with new hardscape and entertaining areas.  Our loan is at 57% of the appraised value of this property.

About the Neighborhood

Sugary-white sand, dolphins frolicking just off shore and eight major barrier islands make St. Pete Beach a postcard-perfect seaside destination and home of the #1 Best Beach in the U.S. and #5 Best Beach in the World as labeled by Tripadvisor in 2021. Situated on a peninsula off Florida’s west coast, it balances its oceanfront charms with top-notch art museums, a burgeoning dining scene, and boutiques, craft galleries, and the Sunday Market.  Employment prospects are vast, diverse, and exciting. Its job market has increased recently, with job growth over the next ten years expected to be higher than the national average.  Homes are now on the market for a median of 8 days, and housing inventory is currently down 16% since last year. The lack of inventory will continue to push demand for houses up despite rising interest rates. Fortunately, St. Petersburg offers an incredibly diverse range of housing options, from rentals to homeownership, making St. Petersburg more readily accessible to prospective residents. Buyers can find many different housing options, including condos, new construction homes, and luxury homes with prices varying based on neighborhood and home style ranging from $10,000 to $15,000,000.  Renters have a diverse range of rental options, from charming condos to glamorous highrises and everything in between with rental rates between $700 and $12,000 per month.

 

First Priority Mortgage Lien Position

Seniority

The first-priority mortgage lien position is the most senior and highest priority within the capital structure. In the event that a borrower defaults, the lien priority determines the order in which lenders are repaid. Senior lenders are always repaid first. All subordinated positions, including the amount held by the Originator and its investor syndicate, act as a buffer in the event of a deterioration in the Properties’ value.

Personal Guarantee

Personal Guarantee

The Loans are personally guaranteed by the borrower, spouse, and all principals in the LLC. Additionally, the Sponsor and/or Guarantor are obligated to contribute monthly payments to maintain a tax and insurance reserve. Failure to adhere to reserve contribution requirements would lead to the triggering of a debt service and operating expense/shortfall guarantee.

What Should I Consider When Investing in St. Pete Beach, FL?

Borrower Risk

The Borrower may not have represented itself accurately.

Risk Mitigation

  • The Originator checks the Borrower's credit history via a third-party credit reporting company.  The Borrower has a 700 credit score.
  • The Originator considers the underlying asset to be the primary source of security.
  • If the Loans are not fully repaid after the Lender has exhausted other sources of repayment, the Borrower has provided a personal guaranty to fulfill any deficiency.

Default Risk

The Borrower may default on his financial obligations.

Risk Mitigation

  • If the Loans are not fully repaid after the Lender has exhausted other sources of repayment, the Sponsor has provided a personal guaranty to fulfill any deficiency.
  • In the event of a default, a direction letter signed at closing by the Borrower will be sent redirecting the Tenant to make rent payments into an account controlled by the Originator.

Investment Summary Of St. Pete Beach, FL

Investors have an opportunity to invest in borrower payment dependent notes, the cash flow of which is dependent on the payment of interest and principal repayment on the Loans. Investors are scheduled to receive an annualized monthly interest payment of Login for details over the Loans' estimated remaining term of 12 Months. Principal is expected to be returned on or before maturity through a refinancing with a traditional bank loan. It is important to note that the Loans are eligible for prepayment, and principal may be repaid prior to the 12 Months estimated remaining term. If the Loans are paid off before maturity, investors are expected to receive at least three months of interest payments in addition to return of principal.

How Do I Get Paid?

This loan had an initial term of 12 Months with an option at Yieldi's discretion to extend. As of May 5, 2023 there are 12 Months remaining. Investors will immediately receive monthly interest payments at an annualized rate of Login for details on the principal balance over the life of the loan. If you invest in this loan in the middle of a month, you will receive a prorated interest payment for your investment for your first investment month and then full monthly payments thereafter. All payments are made automatically via ACH on the 1st of each month and investors all paid by the 10th of the month.

Additional Resources

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