The Stonecrest Income & Opportunity Fund-1 had another solid quarter with profits derived mainly from our retail real estate and non-performing notes sales. We continue to create our own real estate inventory by either foreclosing or convincing borrowers to deed their properties over to us in lieu of foreclosure.
One of the most challenging parts of an asset manager’s job is being able to find and then communicate with borrowers. Many borrowers, regardless of whether or not we present them with advantageous solutions, refuse to communicate with us, the note holder. Stonecrest has access to sophisticated skip tracing software that helps us track down borrowers or their relatives. We also have a strong, national base of experienced Realtors that go to properties-in-question and, if no one answers the door, talk to neighbors to assess the situation. In most cases, once we locate borrowers and start a dialogue, we get a positive response and can move forward to implement win/win strategies.
In anticipation of the total liquidation of The Stonecrest Income & Opportunity Fund-1, we have been working for the last year to position the fund’s assets to garner the highest price. We have recently started to market a portion of our land contracts in order to gauge the level of interest in this market. We should know more shortly and will keep you informed.
3rd Quarter 2013 Total Fund Rate of Return: 8.88%
Total Fund Annualized Return Since Inception: 28.12%
|Performance Since Inception|
|Land Contracts Summary|
|Face Value of Notes||$17,727,720|
|Non-performing Notes Summary|
|Cost of Notes||$5,446,026|
|Modified Notes Summary|