Exhibit 99.1
| Annual Loan/MSN Review | ||||||
| KDM Mortgage Secured Note: KDM 2018-N005 | ||||||
| KDM Loan: KDM 2018-L005 | ||||||
| Cusip: 50067AAG7 | ||||||
| Date | 9/13/2019 | Yearly IO Payment | $182,250 | |||
| Loan Amount | $2,700,000 | Loan Term | 5 Year IO | |||
| Interest Rate | 6.75% | Maturity Date | 10/25/2023 | |||
| Original Appraisal | $4,155,000 | Current Appraisal Estimate 09/19/19 | $4,595,000 | |||
| Original LTV | 64.98% | Current LTV | 58.76% | |||
| Property Address | Original EJR Rating: | A+ | ||||
| 1769 East Broadway Street, Northwood Ohio 43619 | Current EJR Rating: | Pending | ||||
| Consolidated Income Statement | Analysis | |||||
| Income | 2018 | 2019 | 2018 | 2019 | ||
| Rental Income | $650,498 | $548,552 | NOI | $452,384 | $299,904 | |
| Debt Service | $182,250 | $182,250 | ||||
| Total Income | $650,498 | $548,552 | Net Profit | $270,134 | $117,654 | |
| Expenses | DSCR | 2.48 | 1.65 | |||
| Debt Yield Ratio | 16.75% | 11.11% | ||||
| Operating Expenses | $102,487 | $144,917 | Expense Ratio | 30.46% | 45.33% | |
| Taxes | $23,314 | $24,000 | ||||
| Insurance | $13,337 | $13,337 | Review | |||
| Utilities | $42,714 | $52,680 | Trump Properties continues to provide positive cash flow as evidenced by the 2019 DSCR result of 1.65. This, however; has decreased from 2018 which is the nature of the heavy machinery warehouse storage industry. The decrease is mostly attributed to the loss of one tenant, Nexus Pipe. The outlook for 2020 is positive with additional space projected to be leased as well as increases in rent. An updated appraisal evaluation reveals an increase in value to $4,595,000.00 which, in turn improves the LTV to 58.76% from 64.98%. Therefore, KDM confirms its rating. | |||
| Management Fee 2.50% | $16,262 | $13,714 | ||||
| Total Expense | $198,114 | $248,648 | ||||
| NOI | $452,383 | $299,904 | ||||
Disclaimer: This report has been prepared for investors. It is based on information drawn from sources believed to be reliable; however, KDM cannot warrant the comprehensiveness, reliability, or accuracy of this report. The information contained herein is subject to change without notice. Any use of information contained herein is undertaken at the investor’s own risk, and KDM shall not be liable to any user, person, or entity, for any losses resulting from the use of any content herein. Nothing in this report should be construed as advice or recommendation.
