QUARTER 3 PERFORMANCE REVIEW & INVESTOR … loves the challenge and excitement of the real ... Tony...
Transcript of QUARTER 3 PERFORMANCE REVIEW & INVESTOR … loves the challenge and excitement of the real ... Tony...
QUARTER 3 PERFORMANCE REVIEW
& INVESTOR NEWSLETTER
2016 Quarter 3 Review • Total # of loans closed: 51
• Average loan amount: $246,266.27
• Quarter 3 volume: $12,559,579.77
We are excited to report yet another record-setting Quarter
here at Washington Capital Partners. Our Q3 numbers continue
to increase across all key performance indicators compared to
2016, with a serious rise in our average loan amount, and our total
volume more than doubling. Our team did an outstanding job
capitalizing on the summer.
2017 Quarter 3 Review • Total # of loans closed: 69
• Average loan amount: $364,101.15
• Quarter 3 volume: $25,487,080.50
Q3 return for WCP’s capital fund: 12.16%
Net return of WCP’s capital fund since inception: 12.39%
SPOTLIGHT DEAL
337 54th Street NE, Washington, DC 1,184 square feet
4 bedroom, 2.5 bathroom
Purchase Price: $152,000
Loan Amount: $169,000
ARV: $310,000
Description: This Northeast Duplex features an added
bathroom and finished basement with its own kitchen.
The finishes throughout were chosen well and the final
product is a universally appreciated style that is both
clean and elegant.
QUARTER 3, 2017
Our August CAZA Investor Meetup was a huge success - we
hosted a panel of experts within the real estate industry to
field questions from our guests. Our food sponsor, Allied Title
& Escrow, LLC, was kind enough to provide refreshments for
all of our 45 attendees plus the representatives from each
organization. This Meetup marks our highest attendance to
date, and shows that more and more local investors are
growing their business by networking with others.
CAZA INVESTOR MEETUP
In the wake of Hurricane Maria, WCP has decided to donate
$15,000 to relief efforts in Puerto Rico. Our hearts and minds
are with all of the victims of the devastating storm and we
hope that our donation can make a real difference. Please
consider making a donation to relief efforts as well.
HURRICANE RELIEF
OUR NEWEST TEAM MEMBERS
Hailey Thomas Loan Processing Assistant
Hailey Thomas has lived in the City of Falls Church her
whole life. As a recent finance graduate of East Carolina
University, Hailey knew that WCP would be the perfect fit
for her. She loves the challenge and excitement of the real
estate business while assisting the accounting and
processing teams here at WCP. When she’s not working
you can find her hanging out with friends, playing tennis,
shopping, or taking her 100+ pound dog to the beach.
Conor Reilly Sales Associate
Conor Reilly is a Connecticut native who graduated from
Salisbury University before finding a new home in the DMV.
After focusing on advertising during college he decided to
instead focus on the real estate industry, specifically
building relationships with clients. This led him to join the
WCP team. He is always willing to be the first to try new
foods, and loves to cook. Conor is always doing something
so you can find him hiking, playing soccer, baseball or
taking a weekend road trip somewhere on a whim.
Stephanie Sejas-Castro Marketing Intern
Stephanie is a Northern Virginia native and a current
Senior at George Mason University. As a Marketing major,
Stephanie makes an excellent addition to our Marketing
Department with ideas and strategies straight out of the
classroom. In addition to interning at WCP and
completing her final semester of college, Stephanie still
finds time to pursue her passion of Bolivian folk dancing.
She is involved in several groups that perform in parades
and events across the DMV.
THE TONY ROBBINS EXPERIENCE
This past June, the entire WCP team went to New Jersey for
Tony Robbins’ Unleash the Power Within conference. The
event was 4 days of intensive training in the psychology of
breaking down barriers to success and utilizing your energy
to the fullest. Each day was filled with 12-15 hours straight of
training, introspective thought, and a heavy dose of pump-
up music and dancing. On the first night the whole team got
hyped up and walked across burning hot coals as a part of
Tony’s unique system of self-motivation. The entire experi-
ence was enlightening for each individual as well as a great
team-building event for WCP.
OUR FAVORITE Q3 PROJECTS
4816 Hayes Street NE, Washington, DC 1,134 square feet
4 bedroom, 3 bathroom
Purchase Price: $210,000
Loan Amount: $232,000
ARV: $360,000
Description: This 1938 Northeast home was in need of
some serious work when our borrower acquired it last
December. After a full-gut rehab, the home now features
classic styles throughout the interior, and a much-needed
paint job on the exterior.
914 N Chambliss Street, Alexandria, VA 3,326 square feet
After-Repair: 4 bedroom, 3 bathroom
Purchase Price: $335,000
Loan Amount: $300,000
ARV: $550,000
Description: This uniquely styled Alexandria home was
one of our most dramatic transformations this quarter.
The sprawling home features an open floorplan with tons
of natural light. The modern, high-end finishes and funky
accents give this home a sleek yet creative style.
OUR NEWEST LOAN PRODUCT This Quarter, WCP introduced our new “Flip-To-Rent” Hybrid
Loan Product. We created this product to allow an investor
to acquire, rehab, and rent out a property all under a single
hard money loan. Once the rehab is complete, the borrower
secures a tenant for the property, WCP confirms the
occupancy, and then modifies the borrower’s loan to a
lower rate and a longer term (typically 1 or 2 additional
years). This new loan product bring tremendous value to
investors, as it allows them to season a property with tenants
during their hard money loan term before refinancing out
through a big bank for an even lower rate. This provides a
win-win scenario for both the borrower and us as the lender.
STEP 1: BUY
STEP 2: REPAIR
STEP 3: RENT
STEP 4: MODIFY
STEP 5: REPEAT
A smarter way to grow your portfolio.
A LETTER FROM OUR CEO
Dear Valued Investor,
As we are fast approaching a new year, I wanted to give
a quick status update of WCP. This past Q3 was our most
successful quarter thus far. We closed 69 loans during the
months of July, August, and September for over $25 million in
funding. Our production during the same period in 2016 was
51 loans for $12.5 million. While our average loan amount has
increased due in large to our focus in gaining market share in
Washington DC proper, our success is heavily accredited to
the new expansion strategies in place by our marketing
team on the front end, and our sales team maximizing the
new opportunities presented to them on the back end.
The strength of the market is a major player as well. This time
of the year presents great opportunities as borrowers are
acquiring properties to have rehabbed and ready for sale
in time for the spring selling market. Historically, Quarter 4 has
been WCP’s strongest period of the year and with strong
market conditions we are on target for an additional $36
million in loans before the end of the year. This will keep us
on track for our overall 2017 goal of reaching $100 million in
originations. Even though everything feels right and the
market remains steady, we are being more and more
cautious by structuring our deals around higher down
payments and seasoned investors with great track records to
ensure that each of our clients are as committed to the
success of their projects as we are.
A LETTER FROM OUR CEO Since its reveal this past August, our new Flip-To-Rent Hybrid
Loan Product has been a big hit with investors looking to
expand their rental portfolio. In addition to new loan
products, we are now able to lend at interest rates as low as
9.5%. This was orchestrated in order to attract savvy real
estate investors and developers that now considering work-
ing with us as opposed to banks. All this is possible with the
partnerships established in a secondary market level and the
interest of institutional capital in the loans originated by WCP.
This is the third quarter that WCP FUND has been fully imple-
mented. Our last quarter saw a return of 12.19% annualized
return to our investors and we are projecting to close the
year with an overall return over 12%.
I’d like to thank you for making this all possible by placing
your trust in us to continue growing and in turn bringing value
to you and your family. We are maintaining the same
intensity as we enter Q4, and look forward to reporting back
to you as we close out an immensely successful year.
Sincerely,
Daniel Huertas
7115 Leesburg Pike, Suite 215
Falls Church, Virginia