InvestorsHub Logo
Boards
News
Market Data
Markets
Discover
Discover
Subscribe Login/Register
S&P 500
5,487.03
(
0.25%
)
US TECH 100
19,412.00
(
0.05%
)
Dow Jones
38,834.86
(
0.15%
)
Brent Oil
84.86
(
1.14%
)
Bitcoin
65,009.74
(
-2.22%
)
Post# of 87366
Next 10
Reply Private New
Public Reply Private Reply New Post
Keep Last Read
Keep Next 10 Report Keyboard Shortcuts
Next 10 Prev Next

soupoftheday

Send PM Follow Ignore
Followers 472
Posts 37018
Boards Moderated 0
Alias Born 01/11/2004

soupoftheday

Re: None

Thursday, 12/13/2007 5:14:36 PM

Thursday, December 13, 2007 5:14:36 PM

Post# of 87366

The BCLOC is a credit facility for newly created corporations for the purpose of acquiring revenue generating real property assets. Once the assets have been identified, each project is initially underwritten by Access Channel © software, which uses the projected cash flow to determine if the project can support the debt service. Once the assets are qualified, the facility begins with the creation of a new Special Limited Purpose Corporation ("SLPC" or "Corporation") which is placed in a trust and under the control of a trustee for the specific purpose of acquiring and owning the revenue generating real property assets.

The Corporation then issues corporate debt for sale. The corporate debt is used as collateral for bonds that are sold in the capital markets. The proceeds from the sale of the bonds fund the corporation for the specific purpose of acquiring and operating the revenue generating real property assets. A portion of the proceeds from the sale of the bonds is used to fund a Credit Enhancement Account ("CEA"). The CEA serves as a reserve account that pays principal and interest on the corporate debt if and when the corporation cannot.

The bonds are insured and protected from default by a financial guaranty rated "AAA" that guarantees both the Corporation's payment of principal and interest on its corporate debt and the investor's repayment of principal and interest from his/her/its investment in the bonds.


The minimum loan request amount is $10 million.
Public Reply Private Reply New Post
Keep Last Read
Keep Last Read Next 10 Report Keyboard Shortcuts
Next 10 Prev Next

Join the InvestorsHub Community

Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.

Sign Up