PART II AND III 2 v471206_partiiandiii.htm PART II AND III

 

Post-Qualification Offering Circular Amendment No. 48

File No. 024-10496

 

PART II

OFFERING CIRCULAR

 Groundfloor Finance Inc.

 

Nineteen Series of Limited Recourse Obligations

Totaling $2,274,420

 

Dated: July 20, 2017

 

This Post-Qualification Offering Circular Amendment No. 48 (this “PQA”) amends the offering circular of Groundfloor Finance Inc, dated December 8, 2015, as qualified on December 15, 2015, and as may be amended and supplemented from time to time (the “Offering Circular”), to add additional securities to be offered pursuant to the Offering Circular. Unless otherwise defined below, capitalized terms used herein shall have the same meanings as set forth in the Offering Circular. See “Incorporation by Reference of Offering Circular” below.

 

This PQA relates to the offer and sale of up to an additional $2,274,420 in aggregate amount of Limited Recourse Obligations (the “LROs”) consisting of 19 separate series of LROs to be issued by Groundfloor Finance Inc. (the “Company,” “we,” “us,” or “our”).

 

We own and operate a web-based investment platform accessible at www.groundfloor.us (the “Platform”) on which we conduct our business. Our principal offices are located at 75 Fifth Street, NW, Suite 2170, Atlanta, GA 30308. The phone number for these offices is (404) 850-9225.  Our mailing address is PO Box 79346, Atlanta, GA 30357.

 

We will issue the LROs in distinct series, each corresponding to a real estate development project (each, a “Project”) financed by a commercial loan from us (each, a “Loan”). The borrower for each Project is a legal entity (the “Borrower”) that owns the underlying property and has been organized by one or more individuals (each, a “Principal”) that own and operate the Borrower.

 

The LROs will be unsecured special, limited obligations of the Company. The LROs are not listed on any national securities exchange or on the over-the-counter inter-dealer quotation system. There is no market for the LROs. Our obligation to make payments on a LRO is limited to an amount equal to each holder’s pro rata share of the amount of payments, if any, actually received as payments on the corresponding Loan, net of certain fees and expenses retained by us. See the sections titled “General Terms of the LROs,” “The LROS Covered by this Offering Circular,” and “Project Summaries” of the Offering Circular, as amended hereby, for the specific terms of the series of LROs covered by this PQA.

 

We do not guarantee payment of the LROs in the amount or on the time frame expected. The LROs are not obligations of the Borrowers or their Principals, and we do not guarantee payment on the corresponding Loans. We have the authority to modify the terms of the corresponding Loans which could, in certain circumstances, reduce (or eliminate) the expected return on your investment. See the section titled “General Terms of the LROs—Administration, Service, Collection and Enforcement of Loan Documents” of the Offering Circular.

 

The LROs are speculative securities. Investment in the LROs involves significant risk, and you may be required to hold your investment for an indefinite period of time. You should purchase these securities only if you can afford a complete loss of your investment. See the “Risk Factors” section on page 16 of the Offering Circular.

 

We will commence the offering of each series of LROs promptly after the date this PQA is qualified by posting on the Platform a separate landing page corresponding to each particular Loan and Project (each, a “Project Summary”). The offering of each series of LROs covered by this PQA will remain open until the earlier of (1) 30 days, unless extended, or (2) the date the offering of a particular series of LROs is fully subscribed with irrevocable funding commitments (the “Offering Period”); however, we may extend the Offering Period for a particular series of LROs in our sole discretion (with notice to potential investors), up to a maximum of 45 days. We will notify investors who have previously committed funds to purchase such series of LROs of any such extension by email and will post a notice of the extension on the corresponding Project Summary on the Platform.

 

This Offering is being conducted on a “best-efforts” basis, which means our officers will use their commercially reasonable best efforts in an attempt to sell the LROs. Such officers will not receive any commission or any other remuneration for these sales. In offering the LROs on our behalf, the officers will rely on the safe harbor from broker-dealer registration set out in Rule 3a4-1 under the Securities Exchange Act of 1934, as amended.

 

The LROs offered hereby may only be purchased by investors residing in California, Georgia, Illinois, Maryland, Massachusetts, Texas, Virginia, Washington, and the District of Columbia. We may also offer or sell LROs in other states by qualifying an offering statement covering the LROs in those states or in reliance on exemptions from registration requirements of the laws of those states. The Offering Circular shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sales of these securities in any state in which such offer, solicitation or sale would be, unlawful, prior to registration or qualification under the laws of any such state. In addition, the LROs are offered only to investors who meet certain financial suitability requirements. See the section titled “Investor Suitability Requirements” of the Offering Circular.

 

NO FEDERAL OR STATE SECURITIES COMMISSION HAS APPROVED, DISAPPROVED, ENDORSED, OR RECOMMENDED THIS OFFERING. YOU SHOULD MAKE AN INDEPENDENT DECISION WHETHER THIS OFFERING MEETS YOUR INVESTMENT OBJECTIVES AND FINANCIAL RISK TOLERANCE LEVEL. NO INDEPENDENT PERSON HAS CONFIRMED THE ACCURACY OR TRUTHFULNESS OF THIS DISCLOSURE, NOR WHETHER IT IS COMPLETE. ANY REPRESENTATION TO THE CONTRARY IS ILLEGAL.

 

THE UNITED STATES SECURITIES AND EXCHANGE COMMISSION DOES NOT PASS UPON THE MERITS OF OR GIVE ITS APPROVAL TO ANY SECURITIES OFFERED OR THE TERMS OF THE OFFERING, NOR DOES IT PASS UPON THE ACCURACY OR COMPLETENESS OF ANY OFFERING CIRCULAR OR OTHER SOLICITATION MATERIALS. THESE SECURITIES ARE OFFERED PURSUANT TO AN EXEMPTION FROM REGISTRATION WITH THE COMMISSION; HOWEVER, THE COMMISSION HAS NOT MADE AN INDEPENDENT DETERMINATION THAT THE SECURITIES OFFERED HEREUNDER ARE EXEMPT FROM REGISTRATION.

 

    Offering price
to the public
    Underwriting
discounts and
commissions
    Proceeds to
issuer(1)(2)
    Proceeds to other
persons
 
Per Unit   $ 10.00       N/A     $ 10.00       N/A  
Total Minimum   $ 52,090       N/A     $ 52,090       N/A  
Total Maximum   $ 2,274,420       N/A     $ 2,274,420       N/A  

 

(1) We estimate all expenses for this Offering to be approximately $4,500, which will not be financed with the proceeds of the Offering.

(2) Assumes no promotions or discounts applied to any offerings covered by this PQA.

 

 

 

  

Incorporation by Reference of Offering Circular

 

The Offering Circular, including this PQA, is part of an offering statement (File No. 024-10496) that we filed with the Securities and Exchange Commission (the “Commission”). We hereby incorporate by reference into this PQA the following:

 

1.Part II of the Offering Circular, including the form of LRO Agreement beginning on page LRO-1 thereof to the extent not otherwise modified or replaced by offering circular supplement and/or post-qualification amendment;
2.Post-Qualification Amendment No. 11 to the Offering Circular, including the Financial Statements beginning on page F-1 thereof;
3.Post-Qualification Amendment No. 34 to the Offering Circular;
4.Offering Circular Supplement No. 11 to the Offering Circular;
5.Post-Qualification Amendment No. 36 to the Offering Circular;
6.Post-Qualification Amendment No. 44 to the Offering Circular, including the Financial Statements beginning on page F-1 thereof; and
7.Offering Circular Supplement No. 17 to the Offering Circular.

 

Note that any statement that we make in this PQA (or have made in the Offering Circular) will be modified or superseded by any inconsistent statement made by us in a subsequent offering circular supplement or post-qualification amendment.

 

The LROS Covered by this Offering Circular

 

The following tabular information is added under “The LROs Covered by this Offering Circular” on page 10 and page 100 of the Offering Circular:

 

Series of LRO/Project Name: 616 East 148th Street, Dolton, IL 60419
Developer (borrowing entity): NRMT LLC
Aggregate Purchase Amount of the LRO: $52,090 Expected Return Rate of the LRO:  10.5% per annum
Final Payment Date: 9 months following issuance Extended Payment Date: maximum of two years following Final Payment Date
General Information on Project: Details of Loan:

·      Purpose for Loan: Renovation

·      Address/Location of Project:

616 East 148th Street, Dolton, IL 60419

·      Loan Principal: $52,090

·      Interest Rate: 10.5% and Grade: C

·      Term and Repayment Terms:

9 months – Balloon payment

·      Loan Position: First Lien

Financing Conditions: Receipt of clean title search.  Title insurance obtained in connection with closing the Loan.

 

 1 

 

  

Series of LRO/Project Name: 425 Breezeview Circle, Macon, GA 31220
Developer (borrowing entity): You 2 Own, Inc.
Aggregate Purchase Amount of the LRO: $54,230 Expected Return Rate of the LRO:  14.5% per annum
Final Payment Date: 12 months following issuance Extended Payment Date: maximum of two years following Final Payment Date
General Information on Project: Details of Loan:

·      Purpose for Loan: Acquisition & Renovation

·      Address/Location of Project:

425 Breezeview Circle, Macon, GA 31220

·      Loan Principal: $54,230

·      Interest Rate: 14.5% and Grade: D

·      Term and Repayment Terms:

12 months – Balloon payment

·      Loan Position: First Lien

Financing Conditions: Receipt of clean title search.  Title insurance obtained in connection with closing the Loan.

 

Series of LRO/Project Name: 2409 Colorado Trail Southwest, Atlanta, GA 30331
Developer (borrowing entity): Cash Sale Quick Close LLC
Aggregate Purchase Amount of the LRO: $57,860 Expected Return Rate of the LRO:  14.5% per annum
Final Payment Date: 12 months following issuance Extended Payment Date: maximum of two years following Final Payment Date
General Information on Project: Details of Loan:

·      Purpose for Loan: Acquisition & Renovation

·      Address/Location of Project:

2409 Colorado Trail Southwest, Atlanta, GA 30331

·      Loan Principal: $57,860

·      Interest Rate: 14.5% and Grade: D

·      Term and Repayment Terms:

12 months – Balloon payment

·      Loan Position: First Lien

Financing Conditions: Receipt of clean title search.  Title insurance obtained in connection with closing the Loan.

 

 2 

 

  

Series of LRO/Project Name: 148 Vista Circle, Easley, SC 29642
Developer (borrowing entity): Pendleton Capital Partners LLC
Aggregate Purchase Amount of the LRO: $64,280 Expected Return Rate of the LRO:  8.5% per annum
Final Payment Date: 12 months following issuance Extended Payment Date: maximum of two years following Final Payment Date
General Information on Project: Details of Loan:

·      Purpose for Loan: Acquisition & Renovation

·      Address/Location of Project:

148 Vista Circle, Easley, SC 29642

·      Loan Principal: $64,280

·      Interest Rate: 8.5% and Grade: B

·      Term and Repayment Terms:

12 months – Balloon payment

·      Loan Position: First Lien

Financing Conditions: Receipt of clean title search.  Title insurance obtained in connection with closing the Loan.

 

Series of LRO/Project Name: 306 Martha Street, Forest Park, GA 30297
Developer (borrowing entity): Bolden Capital Group, LLC
Aggregate Purchase Amount of the LRO: $67,320 Expected Return Rate of the LRO:  11.0% per annum
Final Payment Date: 12 months following issuance Extended Payment Date: maximum of two years following Final Payment Date
General Information on Project: Details of Loan:

·      Purpose for Loan: Acquisition & Renovation

·      Address/Location of Project:

306 Martha Street, Forest Park, GA 30297

·      Loan Principal: $67,320

·      Interest Rate: 11.0% and Grade: C

·      Term and Repayment Terms:

12 months – Balloon payment

·      Loan Position: First Lien

Financing Conditions: Receipt of clean title search.  Title insurance obtained in connection with closing the Loan.

 

 3 

 

  

Series of LRO/Project Name: 2443 Cecelia Avenue, Maryville, TN 37804
Developer (borrowing entity): Mountain Capital Solutions, LLC
Aggregate Purchase Amount of the LRO: $68,390 Expected Return Rate of the LRO:  11.0% per annum
Final Payment Date: 12 months following issuance Extended Payment Date: maximum of two years following Final Payment Date
General Information on Project: Details of Loan:

·      Purpose for Loan: Acquisition & Renovation

·      Address/Location of Project:

2443 Cecelia Avenue, Maryville, TN 37804

·      Loan Principal: $68,390

·      Interest Rate: 11.0% and Grade: C

·      Term and Repayment Terms:

12 months – Balloon payment

·      Loan Position: First Lien

Financing Conditions: Receipt of clean title search.  Title insurance obtained in connection with closing the Loan.

 

Series of LRO/Project Name: 4302 Garden Drive, Knoxville, TN 37918
Developer (borrowing entity): Mountain Capital Solutions, LLC
Aggregate Purchase Amount of the LRO: $91,630 Expected Return Rate of the LRO:  14.0% per annum
Final Payment Date: 12 months following issuance Extended Payment Date: maximum of two years following Final Payment Date
General Information on Project: Details of Loan:

·      Purpose for Loan: Acquisition & Renovation

·      Address/Location of Project:

4302 Garden Drive, Knoxville, TN 37918

·      Loan Principal: $91,630

·      Interest Rate: 14.0% and Grade: D

·      Term and Repayment Terms:

12 months – Balloon payment

·      Loan Position: First Lien

Financing Conditions: Receipt of clean title search.  Title insurance obtained in connection with closing the Loan.

 

 4 

 

  

Series of LRO/Project Name: 977 Gilbert Street, Columbus, OH 43206
Developer (borrowing entity): Hazley Business Solutions, LLC
Aggregate Purchase Amount of the LRO: $92,090 Expected Return Rate of the LRO:  11.0% per annum
Final Payment Date: 12 months following issuance Extended Payment Date: maximum of two years following Final Payment Date
General Information on Project: Details of Loan:

·      Purpose for Loan: Acquisition & Renovation

·      Address/Location of Project:

977 Gilbert Street, Columbus, OH 43206

·      Loan Principal: $92,090

·      Interest Rate: 11.0% and Grade: C

·      Term and Repayment Terms:

12 months – Balloon payment

·      Loan Position: First Lien

Financing Conditions: Receipt of clean title search.  Title insurance obtained in connection with closing the Loan.

 

Series of LRO/Project Name: 1655 Richland Road Southwest, Atlanta, GA 30311
Developer (borrowing entity): Trellis Properties
Aggregate Purchase Amount of the LRO: $92,830 Expected Return Rate of the LRO:  6.5% per annum
Final Payment Date: 12 months following issuance Extended Payment Date: maximum of two years following Final Payment Date
General Information on Project: Details of Loan:

·      Purpose for Loan: Renovation

·      Address/Location of Project:

1655 Richland Road Southwest, Atlanta, GA 30311

·      Loan Principal: $92,830

·      Interest Rate: 6.5% and Grade: A

·      Term and Repayment Terms:

12 months – Balloon payment

·      Loan Position: First Lien

Financing Conditions: Receipt of clean title search.  Title insurance obtained in connection with closing the Loan.

 

 5 

 

  

Series of LRO/Project Name: 325 Thurston Avenue, Thomaston, GA 30286
Developer (borrowing entity): Bolden Capital Group, LLC
Aggregate Purchase Amount of the LRO: $93,230 Expected Return Rate of the LRO:  8.5% per annum
Final Payment Date: 12 months following issuance Extended Payment Date: maximum of two years following Final Payment Date
General Information on Project: Details of Loan:

·      Purpose for Loan: Acquisition & Renovation

·      Address/Location of Project:

325 Thurston Avenue, Thomaston, GA 30286

·      Loan Principal: $93,230

·      Interest Rate: 8.5% and Grade: B

·      Term and Repayment Terms:

12 months – Balloon payment

·      Loan Position: First Lien

Financing Conditions: Receipt of clean title search.  Title insurance obtained in connection with closing the Loan.

 

Series of LRO/Project Name: 62 Cottage Lane, Templeton, MA 01468
Developer (borrowing entity): Property Rehab Solutions, LLC
Aggregate Purchase Amount of the LRO: $105,930 Expected Return Rate of the LRO:  11.0% per annum
Final Payment Date: 12 months following issuance Extended Payment Date: maximum of two years following Final Payment Date
General Information on Project: Details of Loan:

·      Purpose for Loan: Acquisition & Renovation

·      Address/Location of Project:

62 Cottage Lane, Templeton, MA 01468

·      Loan Principal: $105,930

·      Interest Rate: 11.0% and Grade: C

·      Term and Repayment Terms:

12 months – Balloon payment

·      Loan Position: First Lien

Financing Conditions: Receipt of clean title search.  Title insurance obtained in connection with closing the Loan.

 

 6 

 

  

Series of LRO/Project Name: 166 Mill Glen Road, Winchendon, MA 01475
Developer (borrowing entity): Purposeful Realty, LLC
Aggregate Purchase Amount of the LRO: $117,980 Expected Return Rate of the LRO:  11.0% per annum
Final Payment Date: 12 months following issuance Extended Payment Date: maximum of two years following Final Payment Date
General Information on Project: Details of Loan:

·      Purpose for Loan: Renovation

·      Address/Location of Project:

166 Mill Glen Road, Winchendon, MA 01475

·      Loan Principal: $117,980

·      Interest Rate: 11.0% and Grade: C

·      Term and Repayment Terms:

12 months – Balloon payment

·      Loan Position: First Lien

Financing Conditions: Receipt of clean title search.  Title insurance obtained in connection with closing the Loan.

 

Series of LRO/Project Name: 823 Gilbert Street, Columbus, OH 43206
Developer (borrowing entity): Hazley Business Solutions, LLC
Aggregate Purchase Amount of the LRO: $124,000 Expected Return Rate of the LRO:  11.0% per annum
Final Payment Date: 12 months following issuance Extended Payment Date: maximum of two years following Final Payment Date
General Information on Project: Details of Loan:

·      Purpose for Loan: Acquisition & Renovation

·      Address/Location of Project:

823 Gilbert Street, Columbus, OH 43206

·      Loan Principal: $124,000

·      Interest Rate: 11.0% and Grade: C

·      Term and Repayment Terms:

12 months – Balloon payment

·      Loan Position: First Lien

Financing Conditions: Receipt of clean title search.  Title insurance obtained in connection with closing the Loan.

 

 7 

 

  

Series of LRO/Project Name: 205 Algrave Way, Columbia, SC 29229
Developer (borrowing entity): Merrimack Enterprises LLC
Aggregate Purchase Amount of the LRO: $140,520 Expected Return Rate of the LRO:  10.0% per annum
Final Payment Date: 6 months following issuance Extended Payment Date: maximum of two years following Final Payment Date
General Information on Project: Details of Loan:

·      Purpose for Loan: Acquisition & Renovation

·      Address/Location of Project:

205 Algrave Way, Columbia, SC 29229

·      Loan Principal: $140,520

·      Interest Rate: 10.0% and Grade: C

·      Term and Repayment Terms:

6 months – Balloon payment

·      Loan Position: First Lien

Financing Conditions: Receipt of clean title search.  Title insurance obtained in connection with closing the Loan.

 

Series of LRO/Project Name: 311 Wood Ibis Avenue, Tarpon Springs, FL 34689
Developer (borrowing entity): J.B. Real Invest LLC
Aggregate Purchase Amount of the LRO: $163,900 Expected Return Rate of the LRO:  11.0% per annum
Final Payment Date: 12 months following issuance Extended Payment Date: maximum of two years following Final Payment Date
General Information on Project: Details of Loan:

·      Purpose for Loan: Acquisition & Renovation

·      Address/Location of Project:

311 Wood Ibis Avenue, Tarpon Springs, FL 34689

·      Loan Principal: $163,900

·      Interest Rate: 11.0% and Grade: C

·      Term and Repayment Terms:

12 months – Balloon payment

·      Loan Position: First Lien

Financing Conditions: Receipt of clean title search.  Title insurance obtained in connection with closing the Loan.

 

 8 

 

  

Series of LRO/Project Name: 116 93rd Avenue, Treasure Island, FL 33706
Developer (borrowing entity): RKC Realty Group
Aggregate Purchase Amount of the LRO: $208,090 Expected Return Rate of the LRO:  14.0% per annum
Final Payment Date: 9 months following issuance Extended Payment Date: maximum of two years following Final Payment Date
General Information on Project: Details of Loan:

·      Purpose for Loan: Acquisition & Renovation

·      Address/Location of Project:

116 93rd Avenue, Treasure Island, FL 33706

·      Loan Principal: $208,090

·      Interest Rate: 14.0% and Grade: D

·      Term and Repayment Terms:

9 months – Balloon payment

·      Loan Position: First Lien

Financing Conditions: Receipt of clean title search.  Title insurance obtained in connection with closing the Loan.

 

Series of LRO/Project Name: 341 Highland Avenue, City Of Orange, NJ 07050
Developer (borrowing entity): Seni Real Estate Holding I LLC
Aggregate Purchase Amount of the LRO: $214,050 Expected Return Rate of the LRO:  11.0% per annum
Final Payment Date: 12 months following issuance Extended Payment Date: maximum of two years following Final Payment Date
General Information on Project: Details of Loan:

·      Purpose for Loan: Renovation

·      Address/Location of Project:

341 Highland Avenue, City Of Orange, NJ 07050

·      Loan Principal: $214,050

·      Interest Rate: 11.0% and Grade: C

·      Term and Repayment Terms:

12 months – Balloon payment

·      Loan Position: First Lien

Financing Conditions: Receipt of clean title search.  Title insurance obtained in connection with closing the Loan.

 

 9 

 

  

Series of LRO/Project Name: 8250 Danubian Place, Trinity, FL 34655
Developer (borrowing entity): J.B. Real Invest LLC
Aggregate Purchase Amount of the LRO: $228,160 Expected Return Rate of the LRO:  11.0% per annum
Final Payment Date: 12 months following issuance Extended Payment Date: maximum of two years following Final Payment Date
General Information on Project: Details of Loan:

·      Purpose for Loan: Acquisition & Renovation

·      Address/Location of Project:

8250 Danubian Place, Trinity, FL 34655

·      Loan Principal: $228,160

·      Interest Rate: 11.0% and Grade: C

·      Term and Repayment Terms:

12 months – Balloon payment

·      Loan Position: First Lien

Financing Conditions: Receipt of clean title search.  Title insurance obtained in connection with closing the Loan.

 

Series of LRO/Project Name: 26 Hixon Court, North Attleborough, MA 02760
Developer (borrowing entity): Jones Development, LLC
Aggregate Purchase Amount of the LRO: $237,840 Expected Return Rate of the LRO:  11.0% per annum
Final Payment Date: 12 months following issuance Extended Payment Date: maximum of two years following Final Payment Date
General Information on Project: Details of Loan:

·      Purpose for Loan: Acquisition & Renovation

·      Address/Location of Project:

26 Hixon Court, North Attleborough, MA 02760

·      Loan Principal: $237,840

·      Interest Rate: 11.0% and Grade: C

·      Term and Repayment Terms:

12 months – Balloon payment

·      Loan Position: First Lien

Financing Conditions: Receipt of clean title search.  Title insurance obtained in connection with closing the Loan.

 

 10 

 

  

Plan of Distribution

 

The following disclosure is added on page 102 of the Offering Circular under the table included under “Plan of Distribution”:

 

The table below lists the additional Projects covered by this PQA for which we are offering separate series of LROs. Each series of LROs is denominated by the corresponding Project’s name.

 

Series of LROs/Project  Aggregate Purchase
Amount/Loan
Principal
 
616 East 148th Street, Dolton, IL 60419  $52,090 
425 Breezeview Circle, Macon, GA 31220   54,230 
2409 Colorado Trail Southwest, Atlanta, GA 30331   57,860 
148 Vista Circle, Easley, SC 29642   64,280 
306 Martha Street, Forest Park, GA 30297   67,320 
2443 Cecelia Avenue, Maryville, TN 37918   68,390 
4302 Garden Drive, Knoxville, TN 37918   91,630 
977 Gilbert Street, Columbus, OH 43206   92,090 
1655 Richland Road Southwest, Atlanta, GA 30311   92,830 
325 Thurston Avenue, Thomaston, GA 30286   93,230 
62 Cottage Lane, Templeton, MA 01468   105,930 
166 Mill Glen Road, Winchendon, MA 01475   117,980 
823 Gilbert Street, Columbus, OH 43206   124,000 
205 Algrave Way, Columbia, SC 29229   140,520 
311 Wood Ibis Avenue, Tarpon Springs, FL 34689   163,900 
116 93rd Avenue, Treasure Island, FL 33706   208,090 
341 Highland Avenue, City of Orange, NJ 07050   214,050 
8250 Danubian Place, Trinity, FL 34655   228,160 
26 Hixon Court, North Attleborough, MA 02760   237,840 
Total  $2,274,420 

 

Project Summaries

 

Each Project Summary attached below is included in the Offering Circular following page PS-281.

 

 11 

 

  

PROJECT SUMMARIES FOR OFFERING CIRCULAR AMENDMENT NO. 48

 

 

PROJECT SUMMARY | 616 EAST 148TH STEET, DOLTON, IL 60419 C Rate Projected Term Loan to ARV Loan Amount Investors 10.5% 9 months 61.3% $52,090 0 Purpose Loan Position Total Loan Amount Repayment Terms Renovation First Lien $52,090 Balloon payment - principal and interest returned on repayment / due at maturity. BORROWER NRMT LLC Michelle Rushing - principal Click here to view the LRO Agreement FINANCIAL OVERVIEW After Repair Value (ARV) $85,000 $13,794 Total Project Costs $71,206 GROUNDFLOOR $52,090 $19,116 0% Skin-in-the-Game First Lien Loan Cushion Purchase Price $46,116 Loan To ARV 61.3% Purchase Date 06/20/2017 Loan To Total Project Cost 73.2% GRADE FACTORS The following factors determine in part how the loan was graded: (in descending order of importance) Loan To ARV Score 4 10 Quality of Valuation Report 3 4 Skin-in-the-Game 7 10 Location 4 8 Borrower Experience 2 5 Borrower Commitment 1 1 VALUATION REPORTS As Complete (ARV) $85,000 Certified Independent Appraisal Broker’s Price Opinion Borrower Provided Appraisal Borrower Provided Comps PROPERTY DESCRIPTION Address: 616 EAST 148TH STREET, DOLTON, IL60419 The Borrower intends to use the loan proceeds to payoff an existing lien and complete a renovation to the property. Upon completion, the Borrower intends to sell the property to repay the Groundfloor loan. Click here to view the LRO Agreement PROPERTY PHOTOS MISCELLANEOUS PROJECT SPECIFIC RISK FACTORS The Borrower was advanced the money it needed to begin renovation of this property on june 20, 2017 by Groundfloor Finance Inc. (“Groundfloor”) or a wholly-owned subsidiary of Groundloor. The Borrower is now in possession of the property. If this offering is fully subscribed, Goundfloor Finance Inc. (“GFI” the “Company,” “we,” “us,” or “our”) will continue to administer and service the loan as further described in the Offering Circular. The renovation of the property may be extensive, and therefore subject to delays and other unexpected issues. The renovation will require permitting, and permits may not be obtained on time or may be denied. Borrower is using $18,109 of the loan proceeds to pay off an existing loan that was used to acquire the property. Groundfloor will assume the first lien position. The rest of the loan proceeds will be put towards the renovation of the property, much like an acquisition and renovation loan. Please consult the Offering Circular for further discussion of general risk factors. CLOSING CONDITIONS Loan is conditioned upon a clean title search and valid title insurance at the time of close. DEVELOPER FEES GROUNDFLOOR generally charges borrowers between 2% and 6% of the principal amount of the loan for our services. GROUNDFLOOR does not take a ‘spread’ on any part of the interest payments. Developers may capitalize the cost of closing into the principal amount of their request. These closing costs typically range from $500 to $1500. Unless otherwise limited by applicable law, GROUNDFLOOR will charge a penalty of 2% for any extension made to the borrower. See GROUNDFLOOR ‘Fees and Expenses’ in the Offering Circular. SEC FILING INFORMATION The series of LROs corresponding to this Project are offered pursuant to Post-Qualification Amendment No. 48 to the Offering Circular dated December 8, 2015 (each, as amended and supplemented from time to time), including the documents incorporated by reference therein. You may access and review these documents on the Internal Filings Directory located on our Platform. BORROWER SUMMARY UNLESS NOTED WITH A*, INFORMATION BELOW IS SUPPLIED BY THE BORROWER AND IS NOT VERIFIED. BORROWER’S REPRESENT AND WARRANT THAT INFORMATION SUPPLIED IS ACCURATE. NRMT LLC DATE OF FORMATION* 01/08/2015 FINANCIAL DATA PROJECTS / REVENUE Reporting date: 06/30/17 Reporting period: 2016 Value of Properties Total Debt Completed Projects Revenue $320K $160K 3 $340K Unsold Inventory Aged Inventory Gross Margin % 1 0 41.18% PRINCIPAL Michelle Rushing - principal FOCUS Fix & Flip GROUNDFLOOR HISTORY * HISTORICAL AVERAGES Reporting period: three years ending 2016 Loans Funded Loans Repaid Completed Projects Per Year Average Project Revenue 0 0 9 $170K On Time Repayment Average Project Time Average Total Project Costs N/A 6 months $105K THE COMPANY PLAYED NO ROLE IN THE PREPARATION OF ANY OF THE VALUATION SOURCES OR ANY OTHER MATERIALS PROVIDED BY THE BORROWER. WHILE WE BELIEVE THE DATA CONTAINED THEREIN IS HELPFUL, WE DO NOT USE IT AS THE SOLE BASIS FOR A FUNDING DECISION.

 

 PS-282 

 

 

 

PROJECT SUMMARY | 425 BREEZEVIEW CIRCLE, MACON, GA 31220 D Rate Projected Term Loan to ARV Loan Amount Investors 14.5% 12 months 67.8% $54,230 0 Purpose Loan Position Total Loan Amount Repayment Terms Acquisition & Renovation First Lien $54,230 Balloon payment - principal and interest returned on repayment / due at maturity. BORROWER You 2 Own, Inc. Thomas Hurd - principal Click here to view the LRO Agreement FINANCIAL OVERVIEW After Repair Value (ARV) $80,000 $16,690 Total Project Costs $63,310 GROUNDFLOOR $54,230 $9,080 0% Skin-in-the-Game First Lien Loan Cushion Purchase Price $40,000 Loan To ARV 67.8% Purchase Date 06/21/2017 Loan To Total Project Cost 85.7% GRADE FACTORS The following factors determine in part how the loan was graded: (in descending order of importance) Loan To ARV Score 4 10 Quality of Valuation Report 3 4 Skin-in-the-Game 2 10 Location 4 8 Borrower Experience 4 5 Borrower Commitment 1 1 VALUATION REPORTS As Complete (ARV) $80,000 Certified Independent Appraisal Broker’s Price Opinion Borrower Provided Appraisal Borrower Provided Comps PROPERTY DESCRIPTION Address: 425 BREEZEVIEW CIRCLE, MACON, GA 31220 The Borrower intends to use the loan proceeds to purchase and renovate the property. Upon completion, the Borrower intends to sell the property to sell the property to repay the Groundfloor loan. Click here to view the LRO Agreement PROPERTY PHOTOS MISCELLANEOUS PROJECT SPECIFIC RISK FACTORS The Borrower was advanced the money it needed to purchase this property on June 21, 2017 by Groundfloor Finance Inc. (“Groundfloor”) or a wholly-owned subsidiary of Groundfloor. The Borrower is now in possession of the property. If this offering is fully subscribed, Groundfloor Finance Inc. (“GFI” the “Company,” “we,” “us,” or “our”) will continue to administer and service the loan as further described in the Offering Circular. The renovation of the property may be extensive, and therefore subject to delays and other unexpected issues. The renovation will require permitting, and permits may not be obtained on time or may be denied. The Borrower has not undertaken any project in the past year. As such, the Borrower’s average revenue costs, and margins cannot be calculated. Please consult the Offering Circular for further discussion of general risk factors. CLOSING CONDITIONS Loan is conditioned upon a clean title search and valid title insurance at the time of close. DEVELOPER FEES GROUNDFLOOR generally charges borrowers between 2% and 6% of the principal amount of the loan for our services. GROUNDFLOOR does not take a ‘spread’ on any part of the interest payments. Developers may capitalize the cost of closing into the principal amount of their request. These closing costs typically range from $500 to $1500. Unless otherwise limited by applicable law, GROUNDFLOOR will charge a penalty of 2% for any extension made to the borrower. See GROUNDFLOOR ‘Fees and Expenses’ in the Offering Circular. SEC FILING INFORMATION The series of LROs corresponding to this Project are offered pursuant to Post Qualification Amendment No. 48 to the Offering Circular dated December 8, 2015 (each, as amended and supplemented from time to time), including the documents incorporated by reference therein. You may access and review these documents on the Internal Filings Directory located on our Platform. BORROWER SUMMARY UNLESS NOTED WITH A*, INFORMATION BELOW IS SUPPLIED BY THE BORROWER AND IS NOT VERIFIED. BORROWERS REPRESENT AND WARRANT THAT INFORMATION SUPPLIED IS ACCURATE. YOU 2 OWN, INC. DATE OF FORMATION* 01/24/2017 FINANCIAL DATA PROJECTS / REVENUE Reporting date: 06/30/17 Reporting period: 2016 Value of Properties Total Debt Completed Projects Revenue $40K $0 0 $0 Unsold Inventory Aged Inventory Gross Margin % 0 0 N/A PRINCIPAL Thomas Hurd FOCUS Fix & Flip GROUNDFLOOR HISTORY * HISTORICAL AVERAGES Reporting period: three years ending 2016 Loans Funded Loans Repaid Completed Projects Per Year Average Project Revenue 0 0 1 $$110K On Time Repayment Average Project Time Average Total Project Costs N/A 6 months $87K THE COMPANY PLAYED NO ROLE IN THE PREPARATION OF ANY OF THE VALUATION SOURCES OR ANY OTHER MATERIALS PROVIDED BY THE BORROWER. WHILE WE BELIEVE THE DATA CONTAINED THEREIN IS HELPFUL, WE DO NOT USE IT AS THE SOLE BASIS FOR A FUNDING DECISION.

 

 PS-283 

 

 

 

PROJECT SUMMARY | 2409 COLORADO TRAIL SOUTHWEST, ATLANTA, GA 30331 D Rate Projected Term Loan to ARV Loan Amount Investors 14.5% 12 months 70.6% $57,860 0 Purpose Loan Position Total Loan Amount Repayment Terms Acquisition & Renovation First Lien $57,860 Balloon payment - principal and interest returned on repayment / due at maturity. BORROWER Cash Sale Quick Close LLC Kenneth Reed - principal Click here to view the LRO Agreement FINANCIAL OVERVIEW After Repair Value (ARV) $82,000 $14,390 Total Project Costs $67,610 GROUNDFLOOR $57,860 $9,750 0% Skin-in-the-Game First Lien Loan Cushion Purchase Price $41,000 Loan To ARV 70.6% Purchase Date 06/28/2017 Loan To Total Project Cost 85.6% GRADE FACTORS The following factors determine in part how the loan was graded: (in descending order of importance) Loan To ARV Score 4 10 Quality of Valuation Report 3 4 Skin-in-the-Game 2 10 Location 4 8 Borrower Experience 3 5 Borrower Commitment 1 1 VALUATION REPORTS As Complete (ARV) $82,000 Certified Independent Appraisal Broker’s Price Opinion Borrower Provided Appraisal Borrower Provided Comps PROPERTY DESCRIPTION Address: 2409 COLORADO TRAIL SOUTHWEST, ATLANTA, GA 30331 The Borrower intends to use the loan proceeds to purchase and renovate the property. Upon completion, the Borrower plans to refinance the property to repay the Groundfloor loan. Click here to view the LRO Agreement PROPERTY PHOTOS MISCELLANEOUS PROJECT SPECIFIC RISK FACTORS The Borrower was advanced the money it need to purchase this property on June 28, 2017 by Groundfloor Finance Inc. (“Groundfloor”) or a wholly-owned subsidiary of Groundfloor. The Borrower is now in possession of the property. If this offering is fully subscribed, Groundfloor Finance Inc. (“GFI” the “Company,” “we,” “us” or “our”) will continue to administer and service the loan as further described in the Offering Circular. The renovation of the property may be extensive, and therefore subject to delays and other unexpected issues. The renovation will require permitting, and permits may not be obtained on time or may be denied. The Borrower has not completed any project in the past year. As such, the Borrower’s average revenue, costs, and margins cannot be calculated. Please consult the Offering Circular for further discussion of general risk factors. CLOSING CONDITIONS Loan is conditioned upon a clean title search and valid title insurance at the time of close. DEVELOPER FEES GROUNDFLOOR generally charges borrowers between 2% and 6% of the principal amount of the loan for our services. GROUNDFLOOR does not take a ‘spread’ on any part of the interest payments. Developers may capitalize the cost of closing into the principal amount of their request. These closing costs typically range from $500 to $1500. Unless otherwise limited by applicable law, GROUNDFLOOR will charge a penalty of 2% for any extension made to the borrower. See GROUNDFLOOR ‘Fees and Expenses’ in the Offering Circular. SEC FILING INFORMATION The series of LROs corresponding to this Project are offered pursuant to Post Qualification Amendment No. 48 to the Offering Circular dated December 8, 2015 (each, as amended and supplemented from time to time), including the documents incorporated by reference therein. You may access and review these documents on the Internal Filings Directory located on our Platform. BORROWER SUMMARY UNLESS NOTED WITH A*, INFORMATION BELOW IS SUPPLIED BY THE BORROWER AND IS NOT VERIFIED. BORROWERS REPRESENT AND WARRANT THAT INFORMATION SUPPLIED IS ACCURATE. CASH SALE QUICK CLOSE LLC DATE OF FORMATION* 01/08/2017 FINANCIAL DATA PROJECTS / REVENUE Reporting date: 06/30/17 Reporting period: 2016 Value of Properties Total Debt Completed Projects Revenue $41k $0 0 $0 Unsold Inventory Aged Inventory Gross Margin % 0 0 N/A PRINCIPAL Kenneth Reed FOCUS Fix & Flip GROUNDFLOOR HISTORY * HISTORICAL AVERAGES Reporting period: three years ending 2016 Loans Funded Loans Repaid Completed Projects Per Year Average Project Revenue 0 0 5 $310K On Time Repayment Average Project Time Average Total Project Costs N/A 8 months $230K THE COMPANY PLAYED NO ROLE IN THE PREPARATION OF ANY OF THE VALUATION SOURCES OR ANY OTHER MATERIALS PROVIDED BY THE BORROWER. WHILE WE BELIEVE THE DATA CONTAINED THEREIN IS HELPFUL, WE DO NOT USE IT AS THE SOLE BASIS FOR A FUNDING DECISION.

 

 PS-284 

 

 

 

PROJECT SUMMARY | 148 VISTA CIRCLE, EASLEY, SC 29642 B Rate Projected Term Loan to ARV Loan Amount Investors 8.5% 12 months 57.2% $64,280 0 Purpose Loan Position Total Loan Amount Repayment Terms Acquisition & Renovation First Lien $64,280 Balloon payment - principal and interest returned on repayment / due at maturity. BORROWER Pendleton Capital Partners LLC James Ebert- principal Click here to view the LRO Agreement FINANCIAL OVERVIEW After Repair Value (ARV) $112,447 $41,023 Total Project Costs $71,424 GROUNDFLOOR $64,280 $7,144 0% Skin-in-the-Game First Lien Loan Cushion Purchase Price $35,000 Loan To ARV 57.2% Purchase Date 07/07/2017 Loan To Total Project Cost 90.0% GRADE FACTORS The following factors determine in part how the loan was graded: (in descending order of importance) Loan To ARV Score 5 10 Quality of Valuation Report 3 4 Skin-in-the-Game 2 10 Location 4 8 Borrower Experience 5 5 Borrower Commitment 1 1 VALUATION REPORTS As Complete (ARV) $112,447 Certified Independent Appraisal Broker’s Price Opinion Borrower Provided Appraisal Borrower Provided Comps PROPERTY DESCRIPTION Address: 148 VISTA CIRCLE, EASLEY, SC 29642 The Borrower intends to use the loan proceeds to purchase and renovate the property. Upon completion, the Borrower intends to sell the property to repay the Groundfloor loan. Click here to view the LRO Agreement PROPERTY PHOTOS MISCELLANEOUS PROJECT SPECIFIC RISK FACTORS The Borrower was advanced the money it needed to purchase this property on July 7, 2017 by Groundfloor Finance Inc. (“Groundfloor”) or a wholly-owned subsidiary of Groundfloor. The Borrower is now in possession of the property. If this offering is fully subscribe, Groundfloor Finance Inc. (“GFI” the “Company,” “we,” “us,” o “our”) will continue to administer and service the loan as further described in the Offering Circular. The renovation of the property may be extensive, and therefore subject to delays and other unexpected issues. The renovation will require permitting, and permits may not be obtained on time or may be denied. Please consult the Offering Circular for further discussion of general risk factors. CLOSING CONDITIONS Loan is conditioned upon a clean title search and valid title insurance at the time of close. DEVELOPER FEES GROUNDFLOOR generally charges borrowers between 2% and 6% of the principal amount of the loan for our services. GROUNDFLOOR does not take a ‘spread’ on any part of the interest payments. Developers may capitalize the cost of closing into the principal amount of their request. These closing costs typically range from $500 to $1500. Unless otherwise limited by applicable law, GROUNDFLOOR will charge a penalty of 2% for any extension made to the borrower. See GROUNDFLOOR ‘Fees and Expenses’ in the Offering Circular. SEC FILING INFORMATION The series of LROs corresponding to this Project are offered pursuant to Post-Qualification Amendment No. 48 to the Offering Circular dated December 8, 2015 (each, as amended and supplemented from time to time), including the documents incorporated by reference therein. You may access and review these documents on the Internal Filings Directory located on our Platform. BORROWER SUMMARY UNLESS NOTED WITH A*, INFORMATION BELOW IS SUPPLIED BY THE BORROWER AND IS NOT VERIFIED. BORROWERS REPRESENT AND WARRANT THAT INFORMATION SUPPLIED IS ACCURATE. PENDLETON CAPITAL PARTNERS LLC DATE OF FORMATION* 01/21/2016 FINANCIAL DATA PROJECTS / REVENUE Reporting date: 06/30/17 Reporting period: 2016 Value of Properties Total Debt Completed Projects Revenue $35K $0 3 $375K Unsold Inventory Aged Inventory Gross Margin % 1 0 20.0% PRINCIPAL James Ebert FOCUS Fix & Flip GROUNDFLOOR HISTORY * HISTORICAL AVERAGES Reporting period: three years ending 2016 Loans Funded Loans Repaid Completed Projects Per Year Average Project Revenue 1 0 4 $280K On Time Repayment Average Project Time Average Total Project Costs N/A 4 months $200K THE COMPANY PLAYED NO ROLE IN THE PREPARATION OF ANY OF THE VALUATION SOURCES OR ANY OTHER MATERIALS PROVIDED BY THE BORROWER. WHILE WE BELIEVE THE DATA CONTAINED THEREIN IS HELPFUL, WE DO NOT USE IT AS THE SOLE BASIS FOR A FUNDING DECISION.

 

 PS-285 

 

 

 

PROJECT SUMMARY | 306 MARTHA STREET, FOREST PARK, GA 30297 C Rate Projected Term Loan to ARV Loan Amount Investors 11% 12 months 63.5% $67,320 0 Purpose Loan Position Total Loan Amount Repayment Terms Acquisition & Renovation First Lien $67,320 Balloon payment - principal and interest returned on repayment / due at maturity. BORROWER Bolden Capital Group, LLC Edward Bolden - principal Click here to view the LRO Agreement FINANCIAL OVERVIEW After Repair Value (ARV) $106,000 $31,500 Total Project Costs $74,500 GROUNDFLOOR $67,320 $7,180 0% Skin-in-the-Game First Lien Loan Cushion Purchase Price $65,000 Loan To ARV 63.5% Purchase Date 06/29/2017 Loan To Total Project Cost 90.4% GRADE FACTORS The following factors determine in part how the loan was graded: (in descending order of importance) Loan To ARV Score 4 10 Quality of Valuation Report 3 4 Skin-in-the-Game 2 10 Location 4 8 Borrower Experience 5 5 Borrower Commitment 1 1 VALUATION REPORTS As Complete (ARV) $106,000 Certified Independent Appraisal Broker’s Price Opinion Borrower Provided Appraisal Borrower Provided Comps PROPERTY DESCRIPTION Address: 306 MARTHA STREET, FOREST PARK, GA 30297 The Borrower intends to use the loan proceeds to purchase and renovate the property. Upon completion, the Borrower plans to refinance the property to repay the Groundfloor loan. Click here to view the LRO Agreement PROPERTY PHOTOS MISCELLANEOUS PROJECT SPECIFIC RISK FACTORS The Borrower was advanced the money it needed to purchase this property on June 29, 2017 by Groundfloor Finance Inc. (“Groundfloor”) or a wholly-owned subsidiary of Groundfloor. The Borrower is now in possession of the property. If this offering is fully subscribed, Groundfloor Finance Inc. (“GFI” the “Company”, “we”, “us”, or “our”) will continue to administer and service the loan as further described in the Offering Circular. The renovation of the property may be extensive, and therefore subject to delays and other unexpected issues. The renovation will require permitting, and permits may not be obtained on time or may be denied. Please consult the Offering Circular for further discussion of general risk factors. CLOSING CONDITIONS Loan is conditioned upon a clean title search and valid title insurance at the time of close. DEVELOPER FEES GROUNDFLOOR generally charges borrowers between 2% and 6% of the principal amount of the loan for our services. GROUNDFLOOR does not take a ‘spread’ on any part of the interest payments. Developers may capitalize the cost of closing into the principal amount of their request. These closing costs typically range from $500 to $1500. Unless otherwise limited by applicable law, GROUNDFLOOR will charge a penalty of 2% for any extension made to the borrower. See GROUNDFLOOR ‘Fees and Expenses’ in the Offering Circular. SEC FILING INFORMATION The series of LROs corresponding to this Project are offered pursuant to Post Qualification Amendment No.48 to the Offering Circular dated December 8, 2015 (each, as amended and supplemented from time to time), including the documents incorporated by reference therein. You may access and review these documents on the Internal Filings Directory located on our Platform. BORROWER SUMMARY UNLESS NOTED WITH A*, INFORMATION BELOW IS SUPPLIED BY THE BORROWER AND IS NOT VERIFIED. BORROWERS REPRESENT AND WARRANT THAT INFORMATION SUPPLIED IS ACCURATE. BOLDEN CAPITAL GROUP, LLC DATE OF FORMATION* 01/15/2016 FINANCIAL DATA PROJECTS / REVENUE Reporting date: 06/30/17 Reporting period: 2016 Value of Properties Total Debt Completed Projects Revenue $600K $0 3 $205.4K Unsold Inventory Aged Inventory Gross Margin % 0 0 34.27% PRINCIPAL Edward Bolden FOCUS Buy & Hold GROUNDFLOOR HISTORY * HISTORICAL AVERAGES Reporting period: three years ending 2016 Loans Funded Loans Repaid Completed Projects Per Year Average Project Revenue 4 4 3 $143K On Time Repayment Average Project Time Average Total Project Costs 100% 3 months $100K THE COMPANY PLAYED NO ROLE IN THE PREPARATION OF ANY OF THE VALUATION SOURCES OR ANY OTHER MATERIALS PROVIDED BY THE BORROWER. WHILE WE BELIEVE THE DATA CONTAINED THEREIN IS HELPFUL, WE DO NOT USE IT AS THE SOLE BASIS FOR A FUNDING DECISION.

 

 PS-286 

 

 

 

PROJECT SUMMARY | 2443 CECELIA AVENUE, MARYVILLE, TN 37804 C Rate Projected Term Loan to ARV Loan Amount Investors 11% 12 months 63.3% $68,390 0 Purpose Loan Position Total Loan Amount Repayment Terms Acquisition & Renovation First Lien $68,390 Balloon payment - principal and interest returned on repayment / due at maturity. BORROWER Mountain Capital Solution, LLC Billie Hendrick - principal Click here to view the LRO Agreement FINANCIAL OVERVIEW After Repair Value (ARV) $108,000 $18,360 Total Project Costs $89,640 GROUNDFLOOR $68,390 $21,250 0% Skin-in-the-Game First Lien Loan Cushion Purchase Price $62,000 Loan To ARV 63.3% Purchase Date 07/14/2017 Loan To Total Project Cost 76.3% GRADE FACTORS The following factors determine in part how the loan was graded: (in descending order of importance) Loan To ARV Score 4 10 Quality of Valuation Report 3 4 Skin-in-the-Game 4 10 Location 4 8 Borrower Experience 3 5 Borrower Commitment 1 1 VALUATION REPORTS As Complete (ARV) $108,000 Certified Independent Appraisal Broker’s Price Opinion Borrower Provided Appraisal Borrower Provided Comps PROPERTY DESCRIPTION Address: 2443 CECELIA AVENUE, MARYVILLE, TN 37804 The Borrower intends to use the loan proceeds to purchase and renovate the property. Upon completion, the Borrower intends to sell the property to repay the Groundfloor loan. Click here to view the LRO Agreement PROPERTY PHOTOS MISCELLANEOUS PROJECT SPECIFIC RISK FACTORS The Borrower was advanced the money it needed to purchase this property on July 14, 2017 by Groundfloor Finance Inc. (“Groundfloor”) or a wholly-owned subsidiary of Groundloor. The Borrower is now in possession of the property. If this offering is fully subscribed, Goundfloor Finance Inc. (“GFI” the “Company,” “we,” “us,” or “our”) will continue to administer and service the loan as further described in the Offering Circular. The renovation of the property may be extensive, and therefore subject to delays and other unexpected issues. The renovation will require permitting, and permits may not be obtained on time or may be denied. The Borrower has not undertaken any projects since its inception. As such, the Borrower does not have any Financial Data or Projects/Revenue to report for the applicable reporting periods. Please consult the Offering Circular for further discussion of general risk factors. CLOSING CONDITIONS Loan is conditioned upon a clean title search and valid title insurance at the time of close. DEVELOPER FEES GROUNDFLOOR generally charges borrowers between 2% and 6% of the principal amount of the loan for our services. GROUNDFLOOR does not take a ‘spread’ on any part of the interest payments. Developers may capitalize the cost of closing into the principal amount of their request. These closing costs typically range from $500 to $1500. Unless otherwise limited by applicable law, GROUNDFLOOR will charge a penalty of 2% for any extension made to the borrower. See GROUNDFLOOR ‘Fees and Expenses’ in the Offering Circular. SEC FILING INFORMATION The series of LROs corresponding to this Project are offered pursuant to Post Qualification Amendment No. 48 to the Offering Circular dated December 8, 2015 (each, as amended and supplemented from time to time), including the documents incorporated by reference therein. You may access and review these documents on the Internal Filings Directory located on our Platform. BORROWER SUMMARY UNLESS NOTED WITH A*, INFORMATION BELOW IS SUPPLIED BY THE BORROWER AND IS NOT VERIFIED. BORROWER’S REPRESENT AND WARRANT THAT INFORMATION SUPPLIED IS ACCURATE. MOUNTAIN CAPITAL SOLUTIONS, LLC DATE OF FORMATION* 03/29/2016 FINANCIAL DATA PROJECTS / REVENUE Reporting date: 06/30/17 Reporting period: 2016 Value of Properties Total Debt Completed Projects Revenue $0 $0 0 $0 Unsold Inventory Aged Inventory Gross Margin % 0 0 N/A PRINCIPAL Billie Hendrick FOCUS Fix & Flip GROUNDFLOOR HISTORY * HISTORICAL AVERAGES Reporting period: three years ending 2016 Loans Funded Loans Repaid Completed Projects Per Year Average Project Revenue 1 1 2 $125K On Time Repayment Average Project Time Average Total Project Costs 100% 6 months $100K THE COMPANY PLAYED NO ROLE IN THE PREPARATION OF ANY OF THE VALUATION SOURCES OR ANY OTHER MATERIALS PROVIDED BY THE BORROWER. WHILE WE BELIEVE THE DATA CONTAINED THEREIN IS HELPFUL, WE DO NOT USE IT AS THE SOLE BASIS FOR A FUNDING DECISION.

 

 PS-287 

 

 

 

PROJECT SUMMARY | 4302 GAREN DRIVE, KNOXVILLE, TN 37918 D Rate Projected Term Loan to ARV Loan Amount Investors 14% 12 months 63.2% $91,630 0 Purpose Loan Position Total Loan Amount Repayment Terms Acquisition & Renovation First Lien $91,630 Balloon payment - principal and interest returned on repayment / due at maturity. BORROWER Mountain Capital Solutions, LLC Billie Hendrick - principal INVEST NOW Click here to view the LRO Agreement FINANCIAL OVERVIEW After Repair Value (ARV) $145,000 $37,370 Total Project Costs $107,630 GROUNDFLOOR $91,630 $16,000 0% Skin-in-the-Game First Lien Loan Cushion Purchase Price $68,500 Loan To ARV 63.2% Purchase Date 07/07/2017 Loan To Total Project Cost 85.1% GRADE FACTORS The following factors determine in part how the loan was graded: (in descending order of importance) Loan To ARV Score 4 10 Quality of Valuation Report 3 4 Skin-in-the-Game 2 10 Location 4 8 Borrower Experience 3 5 Borrower Commitment 1 1 VALUATION REPORTS As Complete (ARV) $145,000 Certified Independent Appraisal Broker’s Price Opinion Borrower Provided Appraisal Borrower Provided Comps PROPERTY DESCRIPTION Address: 4302 GAREN DRIVE, KNOXVILLE, TN 37918 The Borrower intends to use the loan proceeds to purchase and renovate the property. Upon completion, the Borrower intends to sell the property to repay the Groundfloor loan. INVEST NOW Click here to view the LRO Agreement PROPERTY PHOTOS MISCELLANEOUS PROJECT SPECIFIC RISK FACTORS The Borrower was advanced the money it needed to purchase this property on July 7, 2017 by Groundfloor Finance Inc. (“Groundfloor”) or a wholly-owned subsidiary of Groundfloor. The Borrower is now in possession of the property. If this offering is fully subscribed, Goundfloor Finance Inc. (“GFI” the “Company,” “we,” “us,” or “our”) will continue to administer and service the loan as further described in the Offering Circular. The renovation of the property may be extensive, and therefore subject to delays and other unexpected issues. The renovation will require permitting, and permits may not be obtained on time or may be denied. The Borrower has not undertaken any project since its inception. As such, the Borrower does not any Financial Data or Project/Revenue to report for the applicable reporting periods. Please consult the Offering Circular for further discussion of general risk factors. CLOSING CONDITIONS Loan is conditioned upon a clean title search and valid title insurance at the time of close. DEVELOPER FEES GROUNDFLOOR generally charges borrowers between 2% and 6% of the principal amount of the loan for our services. GROUNDFLOOR does not take a ‘spread’ on any part of the interest payments. Developers may capitalize the cost of closing into the principal amount of their request. These closing costs typically range from $500 to $1500. Unless otherwise limited by applicable law, GROUNDFLOOR will charge a penalty of 2% for any extension made to the borrower. See GROUNDFLOOR ‘Fees and Expenses’ in the Offering Circular. SEC FILING INFORMATION The series of LROs corresponding to this Project are offered pursuant to Post Qualification Amendment No. 48 to the Offering Circular dated December 8, 2015 (each, as amended and supplemented from time to time), including the documents incorporated by reference therein. You may access and review these documents on the Internal Filings Directory located on our Platform. BORROWER SUMMARY UNLESS NOTED WITH A*, INFORMATION BELOW IS SUPPLIED BY THE BORROWER AND IS NOT VERIFIED. BORROWER’S REPRESENT AND WARRANT THAT INFORMATION SUPPLIED IS ACCURATE. MOUNTAIN CAPITAL SOLUTIONS, LLC DATE OF FORMATION* 03/29/2016 FINANCIAL DATA PROJECTS / REVENUE Reporting date: 06/30/17 Reporting period: 2016 Value of Properties Total Debt Completed Projects Revenue $0 $0 0 $0 Unsold Inventory Aged Inventory Gross Margin % 0 0 N/A PRINCIPAL Billie Hendrick FOCUS Fix & Flip GROUNDFLOOR HISTORY * HISTORICAL AVERAGES Reporting period: three years ending 2016 Loans Funded Loans Repaid Completed Projects Per Year Average Project Revenue 1 1 2 $125K On Time Repayment Average Project Time Average Total Project Costs 100% 6 months $100K THE COMPANY PLAYED NO ROLE IN THE PREPARATION OF ANY OF THE VALUATION SOURCES OR ANY OTHER MATERIALS PROVIDED BY THE BORROWER. WHILE WE BELIEVE THE DATA CONTAINED THEREIN IS HELPFUL, WE DO NOT USE IT AS THE SOLE BASIS FOR A FUNDING DECISION.

 

 PS-288 

 

 

 

PROJECT SUMMARY | 977 GILBERT STREET, COLUMBUS, OH 43206 C Rate Projected Term Loan to ARV Loan Amount Investors 11% 12 months 60.9% $92,090 0 Purpose Loan Position Total Loan Amount Repayment Terms Acquisition & Renovation First Lien $92,090 Balloon payment - principal and interest returned on repayment / due at maturity. BORROWER Hazley Business Solutions, LLC Justin Hazley - principal Click here to view the LRO Agreement FINANCIAL OVERVIEW After Repair Value (ARV) $151,122 $43,432 Total Project Costs $107,690 GROUNDFLOOR $92,090 $15,600 0% Skin-in-the-Game First Lien Loan Cushion Purchase Price $48,000 Loan To ARV 60.9% Purchase Date 07/14/2017 Loan To Total Project Cost 85.5% GRADE FACTORS The following factors determine in part how the loan was graded: (in descending order of importance) Loan To ARV Score 5 10 Quality of Valuation Report 3 4 Skin-in-the-Game 2 10 Location 4 8 Borrower Experience 3 5 Borrower Commitment 1 1 VALUATION REPORTS As Complete (ARV) $151,122 Certified Independent Appraisal Broker’s Price Opinion Borrower Provided Appraisal Borrower Provided Comps PROPERTY DESCRIPTION Address: 977 GILBERT STREET, COLUMBUS, OH 43206 The Borrower intends to use the loan proceeds to purchase and renovate the property. Upon completion, the Borrower intends to sell the property to repay the Groundfloor loan. Click here to view the LRO Agreement PROPERTY PHOTOS MISCELLANEOUS PROJECT SPECIFIC RISK FACTORS The Borrower was advanced the money it needed to purchase this property on July 14, 2017 by Groundfloor Finance Inc. (“Groundfloor”) or a wholly-owned subsidiary of Groundfloor. The Borrower is now in possession of the property. If this offering is fully subscribed, Goundfloor Finance Inc. (“GFI” the “Company,” “we,” “us,” or “our”) will continue to administer and service the loan as further described in the Offering Circular. The renovation of the property may be extensive, and therefore subject to delays and other unexpected issues. The renovation will require permitting, and permits may not be obtained on time or may be denied. Please consult the Offering Circular for further discussion of general risk factors. CLOSING CONDITIONS Loan is conditioned upon a clean title search and valid title insurance at the time of close. DEVELOPER FEES GROUNDFLOOR generally charges borrowers between 2% and 6% of the principal amount of the loan for our services. GROUNDFLOOR does not take a ‘spread’ on any part of the interest payments. Developers may capitalize the cost of closing into the principal amount of their request. These closing costs typically range from $500 to $1500. Unless otherwise limited by applicable law, GROUNDFLOOR will charge a penalty of 2% for any extension made to the borrower. See GROUNDFLOOR ‘Fees and Expenses’ in the Offering Circular. SEC FILING INFORMATION The series of LROs corresponding to this Project are offered pursuant to Post Qualification Amendment No. 48 to the Offering Circular dated December 8, 2015 (each, as amended and supplemented from time to time), including the documents incorporated by reference therein. You may access and review these documents on the Internal Filings Directory located on our Platform. BORROWER SUMMARY UNLESS NOTED WITH A*, INFORMATION BELOW IS SUPPLIED BY THE BORROWER AND IS NOT VERIFIED. BORROWERS REPRESENT AND WARRANT THAT INFORMATION SUPPLIED IS ACCURATE. HAZLEY BUSINESS SOLUTIONS, LLC DATE OF FORMATION* 06/01/2013 FINANCIAL DATA PROJECTS / REVENUE Reporting date: 06/30/17 Reporting period: 2016 Value of Properties Total Debt Completed Projects Revenue $105K $0 10 $900K Unsold Inventory Aged Inventory Gross Margin % 1 0 22.0% PRINCIPAL Justin Hazley FOCUS Fix & Flip GROUNDFLOOR HISTORY * HISTORICAL AVERAGES Reporting period: three years ending 2016 Loans Funded Loans Repaid Completed Projects Per Year Average Project Revenue 1 1 12 $170K On Time Repayment Average Project Time Average Total Project Costs 100% 5 months $125K THE COMPANY PLAYED NO ROLE IN THE PREPARATION OF ANY OF THE VALUATION SOURCES OR ANY OTHER MATERIALS PROVIDED BY THE BORROWER. WHILE WE BELIEVE THE DATA CONTAINED THEREIN IS HELPFUL, WE DO NOT USE IT AS THE SOLE BASIS FOR A FUNDING DECISION.

 

 PS-289 

 

 

 

PROJECT SUMMARY | 1655 RICHLAND ROAD SOUTHWEST, ATLANTA, GA 30311 A Rate Projected Term Loan to ARV Loan Amount Investors 6.5% 12 months 45.5% $92,830 0 Purpose Loan Position Total Loan Amount Repayment Terms Renovation First Lien $92,830 Balloon payment - principal and interest returned on repayment / due at maturity. BORROWER Trellis Properties James Wehner - principal INVEST NOW Click here to view the LRO Agreement FINANCIAL OVERVIEW After Repair Value (ARV) $204,000 $54,892 Total Project Costs $149,108 GROUNDFLOOR $92,830 $56,278 0% Skin-in-the-Game First Lien Loan Cushion Purchase Price $61,000 Loan To ARV 45.5% Purchase Date 06/03/2017 Loan To Total Project Cost 62.3% GRADE FACTORS The following factors determine in part how the loan was graded: (in descending order of importance) Loan To ARV Score 6 10 Quality of Valuation Report 4 4 Skin-in-the-Game 7 10 Location 4 8 Borrower Experience 4 5 Borrower Commitment 1 1 VALUATION REPORTS As Complete (ARV) $204,000 Certified Independent Appraisal Broker’s Price Opinion Borrower Provided Appraisal Borrower Provided Comps PROPERTY DESCRIPTION Address: 1655 RICHARD ROAD SOUTHWEST, ATLANTA, GA 30311 The Borrower intends to use the loan proceeds to complete a renovation to the property. Upon completion, the Borrower intends to sell the property to repay Groundfloor loan. INVEST NOW Click here to view the LRO Agreement PROPERTY PHOTOS MISCELLANEOUS PROJECT SPECIFIC RISK FACTORS The Borrower was advanced the money it needed to purchase this property on June 26, 2017 by Groundfloor Finance Inc. (“Groundfloor”) or a wholly-owned subsidiary of Groundfloor. The Borrower is now in possession of the property. If this offering is fully subscribed, Groundfloor Finance Inc. (“GFI” the “Company”, “we”, “us”, or “our”) will continue to administer and service the loan as further described in the Offering Circular. The renovation of the property may be extensive, and therefore subject to delays and other unexpected issues. The renovation will require permitting, and permits may not be obtained on time or may be denied. The Borrower has not completed any project in the past year. As such, the Borrower’s average revenue, cost, and margins cannot be calculated. The total project cost including the purchase price is $149,108. The Borrower intends to use $92,830 of the proceeds from our loan to offset that amount of the total project cost. Therefore, the Borrower is only receiving a “Skin-in-the-Game” score for the remaining $56,278 that is tied up in the project after completion of our loan. Please consult the Offering Circular for further discussion of general risk factors. CLOSING CONDITIONS Loan is conditioned upon a clean title search and valid title insurance at the time of close. DEVELOPER FEES GROUNDFLOOR generally charges borrowers between 2% and 6% of the principal amount of the loan for our services. GROUNDFLOOR does not take a ‘spread’ on any part of the interest payments. Developers may capitalize the cost of closing into the principal amount of their request. These closing costs typically range from $500 to $1500. Unless otherwise limited by applicable law, GROUNDFLOOR will charge a penalty of 2% for any extension made to the borrower. See GROUNDFLOOR ‘Fees and Expenses’ in the Offering Circular. SEC FILING INFORMATION The series of LROs corresponding to this Project are offered pursuant to Post Qualification Amendment No. 48 to the Offering Circular dated December 8, 2015 (each, as amended and supplemented from time to time), including the documents incorporated by reference therein. You may access and review these documents on the Internal Filings Directory located on our Platform. BORROWER SUMMARY UNLESS NOTED WITH A*, INFORMATION BELOW IS SUPPLIED BY THE BORROWER AND IS NOT VERIFIED. BORROWERS REPRESENT AND WARRANT THAT INFORMATION SUPPLIED IS ACCURATE. TRELLIS PROPERTIES DATE OF FORMATION* 08/25/2016 FINANCIAL DATA PROJECTS / REVENUE Reporting date: 06/30/17 Reporting period: 2016 Value of Properties Total Debt Completed Projects Revenue $61K $0 0 $0 Unsold Inventory Aged Inventory Gross Margin % 0 0 N/A PRINCIPAL James Wehner FOCUS Fix & Flip GROUNDFLOOR HISTORY * HISTORICAL AVERAGES Reporting period: three years ending 2016 Loans Funded Loans Repaid Completed Projects Per Year Average Project Revenue 0 0 8 $165K On Time Repayment Average Project Time Average Total Project Costs N/A 5 months $125K THE COMPANY PLAYED NO ROLE IN THE PREPARATION OF ANY OF THE VALUATION SOURCES OR ANY OTHER MATERIALS PROVIDED BY THE BORROWER. WHILE WE BELIEVE THE DATA CONTAINED THEREIN IS HELPFUL, WE DO NOT USE IT AS THE SOLE BASIS FOR A FUNDING DECISION.

 

 PS-290 

 

 

 

PROJECT SUMMARY | 325 THURSTON AVENUE, THOMASTON, GA 30286 B Rate Projected Term Loan to ARV Loan Amount Investors 8.5% 12 months 59.7% $93,230 0 Purpose Loan Position Total Loan Amount Repayment Terms Acquisition & Renovation First Lien $93,230 Balloon payment - principal and interest returned on repayment / due at maturity. BORROWER Bolden Capital Group, LLC Edward Bolden - principal INVEST NOW Click here to view the LRO Agreement FINANCIAL OVERVIEW After Repair Value (ARV) $156,050 $52,320 Total Project Costs $103,730 GROUNDFLOOR $93,230 $10,500 0% Skin-in-the-Game First Lien Loan Cushion Purchase Price $95,000 Loan To ARV 59.7% Purchase Date TBD Loan To Total Project Cost 89.9% GRADE FACTORS The following factors determine in part how the loan was graded: (in descending order of importance) Loan To ARV Score 5 10 Quality of Valuation Report 3 4 Skin-in-the-Game 2 10 Location 4 8 Borrower Experience 5 5 Borrower Commitment 1 1 VALUATION REPORTS As Complete (ARV) $156,050 Certified Independent Appraisal Broker’s Price Opinion Borrower Provided Appraisal Borrower Provided Comps PROPERTY DESCRIPTION Address: 325 THURSTON AVENUE, THOMASTON, GA 30286 The Borrower intends to use the loan proceeds to purchase and renovate the property. Upon completion, the Borrower plans to refinance property to repay the Groundfloor loan. INVEST NOW Click here to view the LRO Agreement PROPERTY PHOTOS MISCELLANEOUS PROJECT SPECIFIC RISK FACTORS The Borrower was advanced the money it needed to purchase this property on July 14, 2017 by Groundfloor Finance Inc. (“Groundfloor”) or a wholly-owned subsidiary of Groundloor. The Borrower is now in possession of the property. If this offering is fully subscribed, Goundfloor Finance Inc. (“GFI” the “Company,” “we,” “us,” or “our”) will continue to administer and service the loan as further described in the Offering Circular. The renovation of the property may be extensive, and therefore subject to delays and other unexpected issues. The renovation will require permitting, and permits may not be obtained on time or may be denied. Please consult the Offering Circular for further discussion of general risk factors. CLOSING CONDITIONS Loan is conditioned upon a clean title search and valid title insurance at the time of close. DEVELOPER FEES GROUNDFLOOR generally charges borrowers between 2% and 6% of the principal amount of the loan for our services. GROUNDFLOOR does not take a ‘spread’ on any part of the interest payments. Developers may capitalize the cost of closing into the principal amount of their request. These closing costs typically range from $500 to $1500. Unless otherwise limited by applicable law, GROUNDFLOOR will charge a penalty of 2% for any extension made to the borrower. See GROUNDFLOOR ‘Fees and Expenses’ in the Offering Circular. SEC FILING INFORMATION The series of LROs corresponding to this Project are offered pursuant to Post Qualification Amendment No. 48 to the Offering Circular dated December 8, 2015 (each, as amended and supplemented from time to time), including the documents incorporated by reference therein. You may access and review these documents on the Internal Filings Directory located on our Platform. BORROWER SUMMARY UNLESS NOTED WITH A*, INFORMATION BELOW IS SUPPLIED BY THE BORROWER AND IS NOT VERIFIED. BORROWERS REPRESENT AND WARRANT THAT INFORMATION SUPPLIED IS ACCURATE. BOLDEN CAPITAL GROUP, LLC DATE OF FORMATION* 01/15/2016 FINANCIAL DATA PROJECTS / REVENUE Reporting date: 06/30/17 Reporting period: 2016 Value of Properties Total Debt Completed Projects Revenue $600K $0 3 $205.4K Unsold Inventory Aged Inventory Gross Margin % 0 0 34.27% PRINCIPAL Edward Bolden FOCUS Buy & Hold GROUNDFLOOR HISTORY * HISTORICAL AVERAGES Reporting period: three years ending 2016 Loans Funded Loans Repaid Completed Projects Per Year Average Project Revenue 4 4 3 $143K On Time Repayment Average Project Time Average Total Project Costs 100% 3 months $100K THE COMPANY PLAYED NO ROLE IN THE PREPARATION OF ANY OF THE VALUATION SOURCES OR ANY OTHER MATERIALS PROVIDED BY THE BORROWER. WHILE WE BELIEVE THE DATA CONTAINED THEREIN IS HELPFUL, WE DO NOT USE IT AS THE SOLE BASIS FOR A FUNDING DECISION.

 

 PS-291 

 

 

 

PROJECT SUMMARY | 62 COTTAGE LANE, TEMPLETON, MA 01468 C Rate Projected Term Loan to ARV Loan Amount Investors 11% 12 months 62.3% $105,930 0 Purpose Loan Position Total Loan Amount Repayment Terms Acquisition & Renovation First Lien $105,930 Balloon payment - principal and interest returned on repayment / due at maturity. BORROWER Property Rehab Solutions, LLC Chad King- principal Click here to view the LRO Agreement FINANCIAL OVERVIEW After Repair Value (ARV) $170,000 $29,820 Total Project Costs $140,180 GROUNDFLOOR $105,930 $34,250 0% Skin-in-the-Game First Lien Loan Cushion Purchase Price $95,000 Loan To ARV 62.3% Purchase Date 06/23/2017 Loan To Total Project Cost 75.6% GRADE FACTORS The following factors determine in part how the loan was graded: (in descending order of importance) Loan To ARV Score 4 10 Quality of Valuation Report 3 4 Skin-in-the-Game 4 10 Location 4 8 Borrower Experience 2 5 Borrower Commitment 1 1 VALUATION REPORTS As Complete (ARV) $170,000 Certified Independent Appraisal Broker’s Price Opinion Borrower Provided Appraisal Borrower Provided Comps PROPERTY DESCRIPTION Address: 62 COTTAGE LANE, TEMPLETON, MA 01468 The Borrower intends to use the loan proceeds to purchase and renovate the property. Upon completion, the Borrower intends to sell the property to repay the Groundfloor loan. Click here to view the LRO Agreement PROPERTY PHOTOS MISCELLANEOUS PROJECT SPECIFIC RISK FACTORS The Borrower was advanced the money it needed to purchase this property on July 23, 2017 by Groundfloor Finance Inc. (“Groundfloor”) or a wholly-owned subsidiary of Groundfloor. The Borrower is now in possession of the property. If this offering is fully subscribed, Goundfloor Finance Inc. (“GFI” the “Company,” “we,” “us,” or “our”) will continue to administer and service the loan as further described in the Offering Circular. The renovation of the property may be extensive, and therefore subject to delays and other unexpected issues. The renovation will require permitting, and permits may not be obtained on time or may be denied. Please consult the Offering Circular for further discussion of general risk factors. CLOSING CONDITIONS Loan is conditioned upon a clean title search and valid title insurance at the time of close. DEVELOPER FEES GROUNDFLOOR generally charges borrowers between 2% and 6% of the principal amount of the loan for our services. GROUNDFLOOR does not take a ‘spread’ on any part of the interest payments. Developers may capitalize the cost of closing into the principal amount of their request. These closing costs typically range from $500 to $1500. Unless otherwise limited by applicable law, GROUNDFLOOR will charge a penalty of 2% for any extension made to the borrower. See GROUNDFLOOR ‘Fees and Expenses’ in the Offering Circular. SEC FILING INFORMATION The series of LROs corresponding to this Project are offered pursuant to Post Qualification Amendment No. 48 to the Offering Circular dated December 8, 2015 (each, as amended and supplemented from time to time), including the documents incorporated by reference therein. You may access and review these documents on the Internal Filings Directory located on our Platform. BORROWER SUMMARY UNLESS NOTED WITH A*, INFORMATION BELOW IS SUPPLIED BY THE BORROWER AND IS NOT VERIFIED. BORROWERS REPRESENT AND WARRANT THAT INFORMATION SUPPLIED IS ACCURATE. PROPERTY REHAB SOLUTIONS, LLC DATE OF FORMATION* 08/22/2016 FINANCIAL DATA PROJECTS / REVENUE Reporting date: 06/30/17 Reporting period: 2016 Value of Properties Total Debt Completed Projects Revenue $95K $0 1 $270K Unsold Inventory Aged Inventory Gross Margin % 1 0 22.0% PRINCIPAL Chad King FOCUS Fix & Flip GROUNDFLOOR HISTORY * HISTORICAL AVERAGES Reporting period: three years ending 2016 Loans Funded Loans Repaid Completed Projects Per Year Average Project Revenue 0 0 1 $220K On Time Repayment Average Project Time Average Total Project Costs N/A 4 months $165K THE COMPANY PLAYED NO ROLE IN THE PREPARATION OF ANY OF THE VALUATION SOURCES OR ANY OTHER MATERIALS PROVIDED BY THE BORROWER. WHILE WE BELIEVE THE DATA CONTAINED THEREIN IS HELPFUL, WE DO NOT USE IT AS THE SOLE BASIS FOR A FUNDING DECISION.

 

 PS-292 

 

 

 

PROJECT SUMMARY | 166 MILL GLEN ROAD, WINCHENDON, MA 01475 C Rate Projected Term Loan to ARV Loan Amount Investors 11% 12 months 60.1% $117,980 0 Purpose Loan Position Total Loan Amount Repayment Terms Renovation First Lien $117,980 Balloon payment - principal and interest returned on repayment / due at maturity. BORROWER Purposeful Realty, LLC Robert Matewsky - principal Click here to view the LRO Agreement FINANCIAL OVERVIEW After Repair Value (ARV) $196,440 $40,460 Total Project Costs $155,980 GROUNDFLOOR $117,980 $38,000 0% Skin-in-the-Game First Lien Loan Cushion Purchase Price $76,000 Loan To ARV 60.1% Purchase Date 05/12/2017 Loan To Total Project Cost 75.6% GRADE FACTORS The following factors determine in part how the loan was graded: (in descending order of importance) Loan To ARV Score 5 10 Quality of Valuation Report 3 4 Skin-in-the-Game 4 10 Location 4 8 Borrower Experience 2 5 Borrower Commitment 1 1 VALUATION REPORTS As Complete (ARV) $196,440 Certified Independent Appraisal Broker’s Price Opinion Borrower Provided Appraisal Borrower Provided Comps PROPERTY DESCRIPTION Address: 166 MILL GLEN ROAD, WINCHENDON, MA 01475 The Borrower intends to use the loan proceeds to complete a renovation to the property. Upon completion, the Borrower intends to sell the property to repay Groundfloor loan. Click here to view the LRO Agreement PROPERTY PHOTOS MISCELLANEOUS PROJECT SPECIFIC RISK FACTORS The Borrower was advanced the money it needed to begin renovation of this property on June 23, 2017 by Groundfloor Finance Inc. (“Groundfloor”) or a wholly-owned subsidiary of Groundfloor. The Borrower is now in possession of the property. If this offering is fully subscribed, Groundfloor Finance Inc. (“GFI” the “Company”, “we”, “us”, or “our”) will continue to administer and service the loan as further described in the Offering Circular. The renovation of the property may be extensive, and therefore subject to delays and other unexpected issues. The renovation will require permitting, and permits may not be obtained on time or may be denied. The property was purchased for $76,000. The Borrower intends to use $38,000 of the proceeds from our loan to offset that amount of the purchase price of the property. Therefore, the Borrower is only receiving a “Skin-in-the-Game” score for the remaining $38,000 that is tied up in the project after completion of our loan. The Borrower has not undertaken any project in the past year. As such, the Borrower’s average revenue, cost, and margins cannot be calculated. Please consult the Offering Circular for further discussion of general risk factors. CLOSING CONDITIONS Loan is conditioned upon a clean title search and valid title insurance at the time of close. DEVELOPER FEES GROUNDFLOOR generally charges borrowers between 2% and 6% of the principal amount of the loan for our services. GROUNDFLOOR does not take a ‘spread’ on any part of the interest payments. Developers may capitalize the cost of closing into the principal amount of their request. These closing costs typically range from $500 to $1500. Unless otherwise limited by applicable law, GROUNDFLOOR will charge a penalty of 2% for any extension made to the borrower. See GROUNDFLOOR ‘Fees and Expenses’ in the Offering Circular. SEC FILING INFORMATION The series of LROs corresponding to this Project are offered pursuant to Post Qualification Amendment No. 48 to the Offering Circular dated December 8, 2015 (each, as amended and supplemented from time to time), including the documents incorporated by reference therein. You may access and review these documents on the Internal Filings Directory located on our Platform. BORROWER SUMMARY UNLESS NOTED WITH A*, INFORMATION BELOW IS SUPPLIED BY THE BORROWER AND IS NOT VERIFIED. BORROWERS REPRESENT AND WARRANT THAT INFORMATION SUPPLIED IS ACCURATE. PURPOSEFUL REALTY, LLC DATE OF FORMATION* 05/08/2017 FINANCIAL DATA PROJECTS / REVENUE Reporting date: 06/30/17 Reporting period: 2016 Value of Properties Total Debt Completed Projects Revenue $76K $0 0 $0 Unsold Inventory Aged Inventory Gross Margin % 0 0 N/A PRINCIPAL Robert Matewsky FOCUS Fix & Flip GROUNDFLOOR HISTORY * HISTORICAL AVERAGES Reporting period: three years ending 2016 Loans Funded Loans Repaid Completed Projects Per Year Average Project Revenue 0 0 2 $170K On Time Repayment Average Project Time Average Total Project Costs N/A 3 months $105K THE COMPANY PLAYED NO ROLE IN THE PREPARATION OF ANY OF THE VALUATION SOURCES OR ANY OTHER MATERIALS PROVIDED BY THE BORROWER. WHILE WE BELIEVE THE DATA CONTAINED THEREIN IS HELPFUL, WE DO NOT USE IT AS THE SOLE BASIS FOR A FUNDING DECISION.

 

 PS-293 

 

 

 

PROJECT SUMMARY | 823 GILBERT STREET, COLUMBUS, OH 43206 C Rate Projected Term Loan to ARV Loan Amount Investors 11% 12 months 62.0% $124,000 0 Purpose Loan Position Total Loan Amount Repayment Terms Acquisition & Renovation First Lien $124,000 Balloon payment - principal and interest returned on repayment / due at maturity. BORROWER Hazley Business Solutions, LLC Justin Hazley - principal INVEST NOW Click here to view the LRO Agreement FINANCIAL OVERVIEW After Repair Value (ARV) $200,000 $54,775 Total Project Costs $145,225 GROUNDFLOOR $124,000 $21,225 0% Skin-in-the-Game First Lien Loan Cushion Purchase Price $47,000 Loan To ARV 62.0% Purchase Date 07/14/2017 Loan To Total Project Cost 85.4% GRADE FACTORS The following factors determine in part how the loan was graded: (in descending order of importance) Loan To ARV Score 5 10 Quality of Valuation Report 3 4 Skin-in-the-Game 2 10 Location 4 8 Borrower Experience 3 5 Borrower Commitment 1 1 VALUATION REPORTS As Complete (ARV) $200,000 Certified Independent Appraisal Broker’s Price Opinion Borrower Provided Appraisal Borrower Provided Comps PROPERTY DESCRIPTION Address: 823 GILBERT STREET, COLUMBUS, OH 43206 The Borrower intends to use the loan proceeds to purchase and renovate the property. Upon completion, the Borrower intends to sell the property to repay the Groundfloor loan. INVEST NOW Click here to view the LRO Agreement PROPERTY PHOTOS MISCELLANEOUS PROJECT SPECIFIC RISK FACTORS The Borrower was advanced the money it needed to purchase this property on July 14, 2017 by Groundfloor Finance Inc. (“Groundfloor”) or a wholly-owned subsidiary of Groundloor. The Borrower is now in possession of the property. If this offering is fully subscribed, Goundfloor Finance Inc. (“GFI” the “Company,” “we,” “us,” or “our”) will continue to administer and service the loan as further described in the Offering Circular. The renovation of the property may be extensive, and therefore subject to delays and other unexpected issues. The renovation will require permitting, and permits may not be obtained on time or may be denied. Please consult the Offering Circular for further discussion of general risk factors. CLOSING CONDITIONS Loan is conditioned upon a clean title search and valid title insurance at the time of close. DEVELOPER FEES GROUNDFLOOR generally charges borrowers between 2% and 6% of the principal amount of the loan for our services. GROUNDFLOOR does not take a ‘spread’ on any part of the interest payments. Developers may capitalize the cost of closing into the principal amount of their request. These closing costs typically range from $500 to $1500. Unless otherwise limited by applicable law, GROUNDFLOOR will charge a penalty of 2% for any extension made to the borrower. See GROUNDFLOOR ‘Fees and Expenses’ in the Offering Circular. SEC FILING INFORMATION The series of LROs corresponding to this Project are offered pursuant to Post Qualification Amendment No. 48 to the Offering Circular dated December 8, 2015 (each, as amended and supplemented from time to time), including the documents incorporated by reference therein. You may access and review these documents on the Internal Filings Directory located on our Platform. BORROWER SUMMARY UNLESS NOTED WITH A*, INFORMATION BELOW IS SUPPLIED BY THE BORROWER AND IS NOT VERIFIED. BORROWERS REPRESENT AND WARRANT THAT INFORMATION SUPPLIED IS ACCURATE. HAZLEY BUSINESS SOLUTIONS, LLC DATE OF FORMATION* 06/01/2013 FINANCIAL DATA PROJECTS / REVENUE Reporting date: 06/30/17 Reporting period: 2016 Value of Properties Total Debt Completed Projects Revenue $105K $0 10 $900K Unsold Inventory Aged Inventory Gross Margin % 1 0 22.0% PRINCIPAL Justin Hazley FOCUS Fix & Flip GROUNDFLOOR HISTORY * HISTORICAL AVERAGES Reporting period: three years ending 2016 Loans Funded Loans Repaid Completed Projects Per Year Average Project Revenue 1 1 12 $170K On Time Repayment Average Project Time Average Total Project Costs 100% 5 months $125K THE COMPANY PLAYED NO ROLE IN THE PREPARATION OF ANY OF THE VALUATION SOURCES OR ANY OTHER MATERIALS PROVIDED BY THE BORROWER. WHILE WE BELIEVE THE DATA CONTAINED THEREIN IS HELPFUL, WE DO NOT USE IT AS THE SOLE BASIS FOR A FUNDING DECISION.

 

 PS-294 

 

 

 

PROJECT SUMMARY | 205 ALGRAVE WAY, COLUMBIA, SC 29229 C Rate Projected Term Loan to ARV Loan Amount Investors 10% 6 months 70.6% $140,520 0 Purpose Loan Position Total Loan Amount Repayment Terms Acquisition & Renovation First Lien $140,520 Balloon payment - principal and interest returned on repayment / due at maturity. BORROWER Merrimack Enterprises LLC Khaled Abdel-Fattah - principal Click here to view the LRO Agreement FINANCIAL OVERVIEW After Repair Value (ARV) $199,000 $16,480 Total Project Costs $182,520 GROUNDFLOOR $140,520 $42,000 0% Skin-in-the-Game First Lien Loan Cushion Purchase Price $167,499 Loan To ARV 70.6% Purchase Date 06/30/2017 Loan To Total Project Cost 77.0% GRADE FACTORS The following factors determine in part how the loan was graded: (in descending order of importance) Loan To ARV Score 3 10 Quality of Valuation Report 3 4 Skin-in-the-Game 3 10 Location 4 8 Borrower Experience 5 5 Borrower Commitment 1 1 VALUATION REPORTS As Complete (ARV) $199,000 Certified Independent Appraisal Broker’s Price Opinion Borrower Provided Appraisal Borrower Provided Comps PROPERTY DESCRIPTION Address: 205 ALGRAVE WAY, COLUMBIA, SC 29229 The Borrower intends to use the loan proceeds to purchase and renovate the property. Upon completion, the Borrower intends to sell the property to repay the Groundfloor loan. Click here to view the LRO Agreement PROPERTY PHOTOS MISCELLANEOUS PROJECT SPECIFIC RISK FACTORS The Borrower was advanced the money it needed to purchase this property on June 30, 2017 by Groundfloor Finance Inc. (“Groundfloor”) or a wholly-owned subsidiary of Groundfloor. The Borrower is now in possession of the property. If this offering is fully subscribed, Goundfloor Finance Inc. (“GFI” the “Company,” “we,” “us,” or “our”) will continue to administer and service the loan as further described in the Offering Circular. The renovation of the property may be extensive, and therefore subject to delays and other unexpected issues. The renovation will require permitting, and permits may not be obtained on time or may be denied. Please consult the Offering Circular for further discussion of general risk factors. CLOSING CONDITIONS Loan is conditioned upon a clean title search and valid title insurance at the time of close. DEVELOPER FEES GROUNDFLOOR generally charges borrowers between 2% and 6% of the principal amount of the loan for our services. GROUNDFLOOR does not take a ‘spread’ on any part of the interest payments. Developers may capitalize the cost of closing into the principal amount of their request. These closing costs typically range from $500 to $1500. Unless otherwise limited by applicable law, GROUNDFLOOR will charge a penalty of 2% for any extension made to the borrower. See GROUNDFLOOR ‘Fees and Expenses’ in the Offering Circular. SEC FILING INFORMATION The series of LROs corresponding to this Project are offered pursuant to Post Qualification Amendment No. 48 to the Offering Circular dated December 8, 2015 (each, as amended and supplemented from time to time), including the documents incorporated by reference therein. You may access and review these documents on the Internal Filings Directory located on our Platform. BORROWER SUMMARY UNLESS NOTED WITH A*, INFORMATION BELOW IS SUPPLIED BY THE BORROWER AND IS NOT VERIFIED. BORROWERS REPRESENT AND WARRANT THAT INFORMATION SUPPLIED IS ACCURATE. MERRIMACK ENTERPRISES LLC DATE OF FORMATION* 05/26/2016 FINANCIAL DATA PROJECTS / REVENUE Reporting date: 06/30/17 Reporting period: 2016 Value of Properties Total Debt Completed Projects Revenue $167.5K $0 1 $160K Unsold Inventory Aged Inventory Gross Margin % 0 0 37.5% PRINCIPAL Khaled Abdel-Fattah FOCUS Fix & Flip GROUNDFLOOR HISTORY * HISTORICAL AVERAGES Reporting period: three years ending 2016 Loans Funded Loans Repaid Completed Projects Per Year Average Project Revenue 0 0 3 $210K On Time Repayment Average Project Time Average Total Project Costs N/A 6 months $175K THE COMPANY PLAYED NO ROLE IN THE PREPARATION OF ANY OF THE VALUATION SOURCES OR ANY OTHER MATERIALS PROVIDED BY THE BORROWER. WHILE WE BELIEVE THE DATA CONTAINED THEREIN IS HELPFUL, WE DO NOT USE IT AS THE SOLE BASIS FOR A FUNDING DECISION.

 

 PS-295 

 

 

 

PROJECT SUMMARY | 311 WOOD IBIS AVENUE, TARPON SPRINGS, FL 34689 C Rate Projected Term Loan to ARV Loan Amount Investors 11% 12 months 69.7% $163,900 0 Purpose Loan Position Total Loan Amount Repayment Terms Acquisition & Renovation First Lien $163,900 Balloon payment - principal and interest returned on repayment / due at maturity. BORROWER J.B. Real Invest LLC Roxana Bello - principal Click here to view the LRO Agreement FINANCIAL OVERVIEW After Repair Value (ARV) $235,000 $49,600 Total Project Costs $185,400 GROUNDFLOOR $163,900 $21,500 0% Skin-in-the-Game First Lien Loan Cushion Purchase Price $152,250 Loan To ARV 69.7% Purchase Date 06/29/2017 Loan To Total Project Cost 88.4% GRADE FACTORS The following factors determine in part how the loan was graded: (in descending order of importance) Loan To ARV Score 4 10 Quality of Valuation Report 3 4 Skin-in-the-Game 2 10 Location 4 8 Borrower Experience 5 5 Borrower Commitment 1 1 VALUATION REPORTS As Complete (ARV) $235,500 Certified Independent Appraisal Broker’s Price Opinion Borrower Provided Appraisal Borrower Provided Comps PROPERTY DESCRIPTION Address: 311 WOOD IBIS AVENUE, TARPON SPRINGS, FL 34689 The Borrower intends to use the loan proceeds to purchase and renovate the property. Upon completion, the Borrower intends to sell the property to repay the Groundfloor loan. Click here to view the LRO Agreement PROPERTY PHOTOS MISCELLANEOUS PROJECT SPECIFIC RISK FACTORS The Borrower was advanced the money it needed to purchase this property on June 29, 2017 by Groundfloor Finance Inc. (“Groundfloor”) or a wholly-owned subsidiary of Groundfloor. The Borrower is now in possession of the property. If this offering is fully subscribed, Goundfloor Finance Inc. (“GFI” the “Company,” “we,” “us,” or “our”) will continue to administer and service the loan as further described in the Offering Circular. The renovation of the property may be extensive, and therefore subject to delays and other unexpected issues. The renovation will require permitting, and permits may not be obtained on time or may be denied. Please consult the Offering Circular for further discussion of general risk factors. CLOSING CONDITIONS Loan is conditioned upon a clean title search and valid title insurance at the time of close. DEVELOPER FEES GROUNDFLOOR generally charges borrowers between 2% and 6% of the principal amount of the loan for our services. GROUNDFLOOR does not take a ‘spread’ on any part of the interest payments. Developers may capitalize the cost of closing into the principal amount of their request. These closing costs typically range from $500 to $1500. Unless otherwise limited by applicable law, GROUNDFLOOR will charge a penalty of 2% for any extension made to the borrower. See GROUNDFLOOR ‘Fees and Expenses’ in the Offering Circular. SEC FILING INFORMATION The series of LROs corresponding to this Project are offered pursuant to Post Qualification Amendment No. 48 to the Offering Circular dated December 8, 2015 (each, as amended and supplemented from time to time), including the documents incorporated by reference therein. You may access and review these documents on the Internal Filings Directory located on our Platform. BORROWER SUMMARY UNLESS NOTED WITH A*, INFORMATION BELOW IS SUPPLIED BY THE BORROWER AND IS NOT VERIFIED. BORROWERS REPRESENT AND WARRANT THAT INFORMATION SUPPLIED IS ACCURATE. J.B. REAL INVEST LLC DATE OF FORMATION* 07/01/2013 FINANCIAL DATA PROJECTS / REVENUE Reporting date: 06/30/17 Reporting period: 2016 Value of Properties Total Debt Completed Projects Revenue $2.5M $600K 13 $7M Unsold Inventory Aged Inventory Gross Margin % 6 0 22.0% PRINCIPAL Roxana Bello FOCUS Fix & Flip GROUNDFLOOR HISTORY * HISTORICAL AVERAGES Reporting period: three years ending 2016 Loans Funded Loans Repaid Completed Projects Per Year Average Project Revenue 0 0 25 $290K On Time Repayment Average Project Time Average Total Project Costs N/A 6 months $220K THE COMPANY PLAYED NO ROLE IN THE PREPARATION OF ANY OF THE VALUATION SOURCES OR ANY OTHER MATERIALS PROVIDED BY THE BORROWER. WHILE WE BELIEVE THE DATA CONTAINED THEREIN IS HELPFUL, WE DO NOT USE IT AS THE SOLE BASIS FOR A FUNDING DECISION.

 

 PS-296 

 

 

 

PROJECT SUMMARY | 116 93RD AVENUE, TREASURE ISLAND, FL 33706 D Rate Projected Term Loan to ARV Loan Amount Investors 14% 9 months 69.4% $208,090 0 Purpose Loan Position Total Loan Amount Repayment Terms Acquisition & Renovation First Lien $208,090 Balloon payment - principal and interest returned on repayment / due at maturity. BORROWER RKC Realty Group Roberto Camejo - principal Click here to view the LRO Agreement FINANCIAL OVERVIEW After Repair Value (ARV) $300,000 $41,910 Total Project Costs $258,090 GROUNDFLOOR $208,090 $50,000 0% Skin-in-the-Game First Lien Loan Cushion Purchase Price $210,000 Loan To ARV 69.4% Purchase Date TBD Loan To Total Project Cost 80.6% GRADE FACTORS The following factors determine in part how the loan was graded: (in descending order of importance) Loan To ARV Score 4 10 Quality of Valuation Report 4 4 Skin-in-the-Game 3 10 Location 4 8 Borrower Experience 3 5 Borrower Commitment 1 1 VALUATION REPORTS As Complete (ARV) $300,000 Certified Independent Appraisal Broker’s Price Opinion Borrower Provided Appraisal Borrower Provided Comps PROPERTY DESCRIPTION Address: 116 93RD AVENUE, TREASURE ISLAND, FL 33706 The Borrower intends to use the loan proceeds to purchase and renovate the property. Upon completion, the Borrower plans to refinance property to repay the Groundfloor loan. Click here to view the LRO Agreement PROPERTY PHOTOS MISCELLANEOUS PROJECT SPECIFIC RISK FACTORS The Borrower was advanced the money it needed to purchase this property on June 23, 2017 by Groundfloor Finance Inc. (“Groundfloor”) or a wholly-owned subsidiary of Groundloor. The Borrower is now in possession of the property. If this offering is fully subscribed, Goundfloor Finance Inc. (“GFI” the “Company,” “we,” “us,” or “our”) will continue to administer and service the loan as further described in the Offering Circular. The renovation of the property may be extensive, and therefore subject to delays and other unexpected issues. The renovation will require permitting, and permits may not be obtained on time or may be denied. Please consult the Offering Circular for further discussion of general risk factors. CLOSING CONDITIONS Loan is conditioned upon a clean title search and valid title insurance at the time of close. DEVELOPER FEES GROUNDFLOOR generally charges borrowers between 2% and 6% of the principal amount of the loan for our services. GROUNDFLOOR does not take a ‘spread’ on any part of the interest payments. Developers may capitalize the cost of closing into the principal amount of their request. These closing costs typically range from $500 to $1500. Unless otherwise limited by applicable law, GROUNDFLOOR will charge a penalty of 2% for any extension made to the borrower. See GROUNDFLOOR ‘Fees and Expenses’ in the Offering Circular. SEC FILING INFORMATION The series of LROs corresponding to this Project are offered pursuant to Post Qualification Amendment No. 48 to the Offering Circular dated December 8, 2015 (each, as amended and supplemented from time to time), including the documents incorporated by reference therein. You may access and review these documents on the Internal Filings Directory located on our Platform. BORROWER SUMMARY UNLESS NOTED WITH A*, INFORMATION BELOW IS SUPPLIED BY THE BORROWER AND IS NOT VERIFIED. BORROWERS REPRESENT AND WARRANT THAT INFORMATION SUPPLIED IS ACCURATE. RKC REALTY GROUP DATE OF FORMATION* 04/01/2015 FINANCIAL DATA PROJECTS / REVENUE Reporting date: 06/30/17 Reporting period: 2016 Value of Properties Total Debt Completed Projects Revenue $210K $0 5 $890K Unsold Inventory Aged Inventory Gross Margin % 0 0 20.78% PRINCIPAL Roberto Camejo FOCUS Buy & Hold GROUNDFLOOR HISTORY * HISTORICAL AVERAGES Reporting period: three years ending 2016 Loans Funded Loans Repaid Completed Projects Per Year Average Project Revenue 0 0 2 $170K On Time Repayment Average Project Time Average Total Project Costs N/A 6 months $130K THE COMPANY PLAYED NO ROLE IN THE PREPARATION OF ANY OF THE VALUATION SOURCES OR ANY OTHER MATERIALS PROVIDED BY THE BORROWER. WHILE WE BELIEVE THE DATA CONTAINED THEREIN IS HELPFUL, WE DO NOT USE IT AS THE SOLE BASIS FOR A FUNDING DECISION.

 

 PS-297 

 

 

 

PROJECT SUMMARY | 341 HIGHLAND AVENUE, CITY OF ORANGE, NJ 07050 C Rate Projected Term Loan to ARV Loan Amount Investors 11% 12 months 65.9% $214,050 0 Purpose Loan Position Total Loan Amount Repayment Terms Renovation First Lien $214,050 Balloon payment - principal and interest returned on repayment / due at maturity. BORROWER Seni Real Estate Holding I LLC Wilfredo Rodriguez - principal Click here to view the LRO Agreement FINANCIAL OVERVIEW After Repair Value (ARV) $325,000 $74,300 Total Project Costs $250,700 GROUNDFLOOR $214,050 $36,650 0% Skin-in-the-Game First Lien Loan Cushion Purchase Price $160,000 Loan To ARV 65.9% Purchase Date 06/23/2017 Loan To Total Project Cost 85.4% GRADE FACTORS The following factors determine in part how the loan was graded: (in descending order of importance) Loan To ARV Score 4 10 Quality of Valuation Report 4 4 Skin-in-the-Game 2 10 Location 4 8 Borrower Experience 4 5 Borrower Commitment 1 1 VALUATION REPORTS As Complete (ARV) $325,000 Certified Independent Appraisal Broker’s Price Opinion Borrower Provided Appraisal Borrower Provided Comps PROPERTY DESCRIPTION Address: 341 HIGHLAND AVENUE,CITY OF ORANGE, NJ 07050 The Borrower intends to use the loan proceeds to complete a renovation to the property. Upon completion, the Borrower intends to sell the property to repay the Groundfloor loan. Click here to view the LRO Agreement PROPERTY PHOTOS MISCELLANEOUS PROJECT SPECIFIC RISK FACTORS The Borrower was advanced the money it needed to begin renovation of this property on June 23, 2017 by Groundfloor Finance Inc. (“Groundfloor”) or a wholly-owned subsidiary of Groundfloor. The Borrower is now in possession of the property. If this offering is fully subscribed, Goundfloor Finance Inc. (“GFI” the “Company,” “we,” “us,” or “our”) will continue to administer and service the loan as further described in the Offering Circular. The renovation of the property may be extensive, and therefore subject to delays and other unexpected issues. The renovation will require permitting, and permits may not be obtained on time or may be denied. The property was purchased for $160,000. The Borrower intends to use $123,350 of the proceeds from our loan to offset that amount of the purchase price of the property. Therefore, the Borrower is only receiving a “Skin-in-the-Game” score for the remaining $36,650 that is tied up in the project after completion of our loan. Please consult the Offering Circular for further discussion of general risk factors. CLOSING CONDITIONS Loan is conditioned upon a clean title search and valid title insurance at the time of close. DEVELOPER FEES GROUNDFLOOR generally charges borrowers between 2% and 6% of the principal amount of the loan for our services. GROUNDFLOOR does not take a ‘spread’ on any part of the interest payments. Developers may capitalize the cost of closing into the principal amount of their request. These closing costs typically range from $500 to $1500. Unless otherwise limited by applicable law, GROUNDFLOOR will charge a penalty of 2% for any extension made to the borrower. See GROUNDFLOOR ‘Fees and Expenses’ in the Offering Circular. SEC FILING INFORMATION The series of LROs corresponding to this Project are offered pursuant to Post Qualification Amendment No. 48 to the Offering Circular dated December 8, 2015 (each, as amended and supplemented from time to time), including the documents incorporated by reference therein. You may access and review these documents on the Internal Filings Directory located on our Platform. BORROWER SUMMARY UNLESS NOTED WITH A*, INFORMATION BELOW IS SUPPLIED BY THE BORROWER AND IS NOT VERIFIED. BORROWERS REPRESENT AND WARRANT THAT INFORMATION SUPPLIED IS ACCURATE. SENI REAL ESTATE HOLDING I LLC DATE OF FORMATION* 03/11/2016 FINANCIAL DATA PROJECTS / REVENUE Reporting date: 06/30/17 Reporting period: 2016 Value of Properties Total Debt Completed Projects Revenue $160k $13.5K 1 $180K Unsold Inventory Aged Inventory Gross Margin % 0 0 26.67% PRINCIPAL Wilfredo Rodriguez FOCUS Fix & Flip GROUNDFLOOR HISTORY * HISTORICAL AVERAGES Reporting period: three years ending 2016 Loans Funded Loans Repaid Completed Projects Per Year Average Project Revenue 0 0 3 $190K On Time Repayment Average Project Time Average Total Project Costs N/A 7 months $140K THE COMPANY PLAYED NO ROLE IN THE PREPARATION OF ANY OF THE VALUATION SOURCES OR ANY OTHER MATERIALS PROVIDED BY THE BORROWER. WHILE WE BELIEVE THE DATA CONTAINED THEREIN IS HELPFUL, WE DO NOT USE IT AS THE SOLE BASIS FOR A FUNDING DECISION.

 

 PS-298 

 

 

 

PROJECT SUMMARY | 8250 DANUBIAN PLACE, TRINITY, FL 34655 C Rate Projected Term Loan to ARV Loan Amount Investors 11% 12 months 65.2% $228,160 0 Purpose Loan Position Total Loan Amount Repayment Terms Acquisition & Renovation First Lien $228,160 Balloon payment - principal and interest returned on repayment / due at maturity. BORROWER J.B. Real Invest LLC Roxana Bello- principal Click here to view the LRO Agreement FINANCIAL OVERVIEW After Repair Value (ARV) $350,000 $67,340 Total Project Costs $282,660 GROUNDFLOOR $228,160 $54,500 0% Skin-in-the-Game First Lien Loan Cushion Purchase Price $241,605 Loan To ARV 65.2% Purchase Date 07/14/2017 Loan To Total Project Cost 80.7% GRADE FACTORS The following factors determine in part how the loan was graded: (in descending order of importance) Loan To ARV Score 4 10 Quality of Valuation Report 4 4 Skin-in-the-Game 3 10 Location 4 8 Borrower Experience 3 5 Borrower Commitment 1 1 VALUATION REPORTS As Complete (ARV) $350,000 Certified Independent Appraisal Broker’s Price Opinion Borrower Provided Appraisal Borrower Provided Comps PROPERTY DESCRIPTION Address: 8250 DANUBIAN PLACE, TRINITY, FL 34655 The Borrower intends to use the loan proceeds to purchase and renovate the property. Upon completion, the Borrower intends to sell the property to repay the Groundfloor loan. Click here to view the LRO Agreement PROPERTY PHOTOS MISCELLANEOUS PROJECT SPECIFIC RISK FACTORS The Borrower was advanced the money it needed to purchase this property on July 14, 2017 by Groundfloor Finance Inc. (“Groundfloor”) or a wholly-owned subsidiary of Groundfloor. The Borrower is now in possession of the property. If this offering is fully subscribed, Goundfloor Finance Inc. (“GFI” the “Company,” “we,” “us,” or “our”) will continue to administer and service the loan as further described in the Offering Circular. The renovation of the property may be extensive, and therefore subject to delays and other unexpected issues. The renovation will require permitting, and permits may not be obtained on time or may be denied. Please consult the Offering Circular for further discussion of general risk factors. CLOSING CONDITIONS Loan is conditioned upon a clean title search and valid title insurance at the time of close. DEVELOPER FEES GROUNDFLOOR generally charges borrowers between 2% and 6% of the principal amount of the loan for our services. GROUNDFLOOR does not take a ‘spread’ on any part of the interest payments. Developers may capitalize the cost of closing into the principal amount of their request. These closing costs typically range from $500 to $1500. Unless otherwise limited by applicable law, GROUNDFLOOR will charge a penalty of 2% for any extension made to the borrower. See GROUNDFLOOR ‘Fees and Expenses’ in the Offering Circular. SEC FILING INFORMATION The series of LROs corresponding to this Project are offered pursuant to Post Qualification Amendment No. 48 to the Offering Circular dated December 8, 2015 (each, as amended and supplemented from time to time), including the documents incorporated by reference therein. You may access and review these documents on the Internal Filings Directory located on our Platform. BORROWER SUMMARY UNLESS NOTED WITH A*, INFORMATION BELOW IS SUPPLIED BY THE BORROWER AND IS NOT VERIFIED. BORROWERS REPRESENT AND WARRANT THAT INFORMATION SUPPLIED IS ACCURATE. J.B. REAL INVEST LLC DATE OF FORMATION* 07/01/2013 FINANCIAL DATA PROJECTS / REVENUE Reporting date: 06/30/17 Reporting period: 2016 Value of Properties Total Debt Completed Projects Revenue $2.5M $600K 13 $7M Unsold Inventory Aged Inventory Gross Margin % 6 0 22.0% PRINCIPAL Roxana Bello FOCUS Fix & Flip GROUNDFLOOR HISTORY * HISTORICAL AVERAGES Reporting period: three years ending 2016 Loans Funded Loans Repaid Completed Projects Per Year Average Project Revenue 0 0 25 $290K On Time Repayment Average Project Time Average Total Project Costs N/A 6 months $220K THE COMPANY PLAYED NO ROLE IN THE PREPARATION OF ANY OF THE VALUATION SOURCES OR ANY OTHER MATERIALS PROVIDED BY THE BORROWER. WHILE WE BELIEVE THE DATA CONTAINED THEREIN IS HELPFUL, WE DO NOT USE IT AS THE SOLE BASIS FOR A FUNDING DECISION.

 

 PS-299 

 

 

 

PROJECT SUMMARY | 26 HIXON COURT, NORTH ATTLEBOROUGH, MA 02760 C Rate Projected Term Loan to ARV Loan Amount Investors 11% 12 months 68.9% $237,840 0 Purpose Loan Position Total Loan Amount Repayment Terms Acquisition & Renovation First Lien $237,840 Balloon payment - principal and interest returned on repayment / due at maturity. BORROWER Jones Development, LLC Richard Jones - principal Click here to view the LRO Agreement FINANCIAL OVERVIEW After Repair Value (ARV) $345,000 $43,235 Total Project Costs $301,765 GROUNDFLOOR $237,840 $63,925 0% Skin-in-the-Game First Lien Loan Cushion Purchase Price $194,000 Loan To ARV 68.9% Purchase Date 07/14/2017 Loan To Total Project Cost 78.8% GRADE FACTORS The following factors determine in part how the loan was graded: (in descending order of importance) Loan To ARV Score 4 10 Quality of Valuation Report 4 4 Skin-in-the-Game 3 10 Location 4 8 Borrower Experience 3 5 Borrower Commitment 1 1 VALUATION REPORTS As Complete (ARV) $345,000 Certified Independent Appraisal Broker’s Price Opinion Borrower Provided Appraisal Borrower Provided Comps PROPERTY DESCRIPTION Address: 26 HIXON COURT, NOTH ATTLEBOROUGH, MA 02760 The Borrower intends to use the loan proceeds to purchase and renovate the property. Upon completion, the Borrower intends to sell the property to repay the Groundfloor loan. Click here to view the LRO Agreement PROPERTY PHOTOS MISCELLANEOUS PROJECT SPECIFIC RISK FACTORS The Borrower was advanced the money it needed to purchase this property on July 14, 2017 by Groundfloor Finance Inc. (“Groundfloor”) or a wholly-owned subsidiary of Groundloor. The Borrower is now in possession of the property. If this offering is fully subscribed, Goundfloor Finance Inc. (“GFI” the “Company,” “we,” “us,” or “our”) will continue to administer and service the loan as further described in the Offering Circular. The renovation of the property may be extensive, and therefore subject to delays and other unexpected issues. The renovation will require permitting, and permits may not be obtained on time or may be denied. Please consult the Offering Circular for further discussion of general risk factors. CLOSING CONDITIONS Loan is conditioned upon a clean title search and valid title insurance at the time of close. DEVELOPER FEES GROUNDFLOOR generally charges borrowers between 2% and 6% of the principal amount of the loan for our services. GROUNDFLOOR does not take a ‘spread’ on any part of the interest payments. Developers may capitalize the cost of closing into the principal amount of their request. These closing costs typically range from $500 to $1500. Unless otherwise limited by applicable law, GROUNDFLOOR will charge a penalty of 2% for any extension made to the borrower. See GROUNDFLOOR ‘Fees and Expenses’ in the Offering Circular. SEC FILING INFORMATION The series of LROs corresponding to this Project are offered pursuant to Post Qualification Amendment No. 48 to the Offering Circular dated December 8, 2015 (each, as amended and supplemented from time to time), including the documents incorporated by reference therein. You may access and review these documents on the Internal Filings Directory located on our Platform. BORROWER SUMMARY UNLESS NOTED WITH A*, INFORMATION BELOW IS SUPPLIED BY THE BORROWER AND IS NOT VERIFIED. BORROWERS REPRESENT AND WARRANT THAT INFORMATION SUPPLIED IS ACCURATE. JONES DEVELOPMENT, LLC DATE OF FORMATION* 06/05/2015 FINANCIAL DATA PROJECTS / REVENUE Reporting date: 06/30/17 Reporting period: 2016 Value of Properties Total Debt Completed Projects Revenue $0 $0 2 $350K Unsold Inventory Aged Inventory Gross Margin % 0 N/A 31.42% PRINCIPAL Richard Jones FOCUS Fix & Flip GROUNDFLOOR HISTORY * HISTORICAL AVERAGES Reporting period: three years ending 2016 Loans Funded Loans Repaid Completed Projects Per Year Average Project Revenue 0 0 1 $330K On Time Repayment Average Project Time Average Total Project Costs N/A 5 months $210K THE COMPANY PLAYED NO ROLE IN THE PREPARATION OF ANY OF THE VALUATION SOURCES OR ANY OTHER MATERIALS PROVIDED BY THE BORROWER. WHILE WE BELIEVE THE DATA CONTAINED THEREIN IS HELPFUL, WE DO NOT USE IT AS THE SOLE BASIS FOR A FUNDING DECISION.

 

 PS-300 

 

   

PART III — EXHIBITS

 

Exhibit Index

 

            Incorporated by Reference
Exhibit
Number
 

Exhibit Description

(hyperlink)

 

Filed

Herewith

  Form   File No.   Exhibit

 

 

Filing Date
                         
2.1   Groundfloor Finance Inc. Second Amended and Restated Articles of Incorporation       1-A/A   024-10496   2.1   November 25, 2015
                         
2.2   Groundfloor Finance Inc. Bylaws       1-A/A   024-10440   2.2   July 1, 2015
                         
3.1   Amended and Restated Investors’ Rights Agreement       1-A/A   024-10496   3.1   November 25, 2015
                         
3.2   Form of Investor Agreement       1-A/A   024-10440   3.3   August 21, 2015
                         
4.1   Standard Form of LRO Agreement       1-A/A   024-10496   N/A   December 8, 2015
                         
6.1   Executive Employment Agreement with Brian Dally dated November 19, 2014       1-A/A   024-10440   6.1   July 1, 2015
                         
6.2   Executive Employment Agreement with Nikhil Bhargava dated November 19, 2014       1-A/A   024-10440   6.2   July 1, 2015
                         
6.3   Offer Letter for Chris Schmitt dated February 24, 2014       1-A/A   024-10440   6.5   July 1, 2015
                         
6.4   2013 Stock Option Plan       1-A/A   024-10440   6.6   July 1, 2015
                         
6.5   Option Award Agreement for Michael Olander Jr.       1-A/A   024-10440   6.8   July 1, 2015
                         
6.6   Option Award Agreement for Chris Schmitt       1-A/A   024-10440   6.9   July 1, 2015
                         
6.7   Option Award Agreement for Richard Tuley        1-A    024-10488    6.11    October 7, 2015
                         
6.8   Option Award Agreement for Bruce Boehm        1-A   024-10488     6.12    October 7, 2015
                         
6.9   Stock Repurchase Agreement for Nikhil Bhargava       1-A/A   024-10440   6.11   July 1, 2015
                         
6.10   Stock Repurchase Agreement for Brian Dally       1-A/A   024-10440   6.12   July 1, 2015
                         
6.11   Stock Repurchase Agreement for Chris Schmitt       1-A/A   024-10440   6.13   July 1, 2015
                         
6.12   Series Seed Preferred Stock Purchase Agreement       1-A/A   024-10440   3.1   July 1, 2015

 

 

 

  

            Incorporated by Reference
Exhibit
Number
 

Exhibit Description

(hyperlink)

 

Filed

Herewith

  Form   File No.   Exhibit

 

 

Filing Date
                         
6.13   Series A Preferred Stock Purchase Agreement       1-A/A   024-10496   6.18   November 25, 2015
                         
6.14   Right of First Refusal and Co-Sale Agreement       1-A/A   024-10496   6.19   November 25, 2015
                         
6.15   Form of Loan Agreement       1-A/A   024-10440   6.14   July 1, 2015
                         
6.16   Form of Promissory Note       1-A/A   024-10440   6.15   July 1, 2015
                         
10.1   Power of attorney       1-A   024-10496   N/A   November 19, 2015
                         
10.2   Power of attorney with new director       1-A/A   024-10496   N/A   November 25, 2015
                         
11.1   Consent of Hughes Pitman & Gupton, LLP       1-A POS   024-10496   11.1   April 18, 2017
                         
11.2   Consent of Robbins Ross Alloy Belinfante Littlefield LLC (included as part of Exhibit 12.1)   X                
                         
12.1   Opinion of Robbins Ross Alloy Belinfante Littlefield LLC   X                

 

 

 

  

SIGNATURES

 

Pursuant to the requirements of Regulation A, the issuer certifies that it has reasonable grounds to believe that it meets all of the requirements for filing on Form 1-A and has duly caused this offering statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Atlanta, State of Georgia, on July 20, 2017.

 

  GROUNDFLOOR FINANCE INC.
     
  By: /s/ Nick Bhargava
  Name:  Nick Bhargava
  Title: Executive Vice President, Secretary and Acting Chief Financial Officer

 

This offering statement has been signed by the following persons in the capacities and on the dates indicated.

 

Signature   Title   Date
         
*  

President, Chief Executive Officer and Director (Principal Executive Officer)

 

  July 20, 2017
Brian Dally      
         
/s/ Nick Bhargava  

Executive Vice President, Secretary, Acting Chief Financial Officer and Director (Principal Financial and Accounting Officer)

  July 20, 2017
Nick Bhargava      
         
*   Director   July 20, 2017
Sergei Kouzmine        
         
*   Director   July 20, 2017
Bruce Boehm        
         
*   Director   July 20, 2017
Michael Olander Jr.        
         
*   Director   July 20, 2017
Richard Tuley Jr.        

 

*By: /s/ Nick Bhargava  
Nick Bhargava  
Attorney-in-fact