ATLANTA--(BUSINESS WIRE)--UC Asset closed the first deal in the company’s pandemic mortgage bailout program, a new business strategy the company announced last month, providing relief to property owners struggling with mortgage payments due to financial stress caused by the COVID-19 pandemic.
The first deal is a rental property with a market value of $850k. The current owner was earning a profit from the property prior to the pandemic but has not collected rent for 5 months and has a remaining balance of slightly over $400k. UC Asset will step in to absorb the remaining mortgage balance and make a cash payment to reimburse the initial down payment to the current owner, for the exclusive right to acquire the property at $1 when the mortgage is paid off.
“Under the current circumstance, the property owner is pleased their initial investment has been repaid and liability relieved. This is a much better outcome than selling the property in the current market,” explains Greg Bankston, managing partner of UC Asset. “On our end we are pleased to have acquired rights to the property using minimal cash and at a cost far below which we may have paid a few months ago.
“Our new business model is about: helping local property owners while making good investments,” says Larry Wu, UC Asset founder, “We believe if we choose wisely, with the right strategy, we will be able to help the community during this hard time and end up with a strong portfolio when this pandemic is over. We look forward to providing an impressive profit for our shareholders,” Wu states.
UC Asset plans to continue looking for similar opportunities to assist property owners in need. The company may raise more capital to amass a larger portfolio.
About UC Asset LP
UC Asset LP is a limited partnership formed for the purpose of investing in real estate for development and redevelopment, concentrating in metropolitan areas of Atlanta, GA and Dallas, TX. For more information about UC Asset, please visit: www.ucasset.com
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