Commercial/Multifamily Briefs

MBA NewsLink Staff

September 20, 2018

Fannie Mae Prices $857M Multifamily Real Estate Mortgage Investment Conduit
Fannie Mae, Washington, D.C., priced its eighth multifamily Delegated Underwriting and Servicing real estate mortgage investment conduit this year, totaling $857.2 million.

"With the flattening of the yield curve, we have seen more borrower demand for longer-term lending, which has coincided with increased willingness in the investor community to seek higher yields further out on the curve," said Fannie Mae Vice President of Multifamily Capital Markets, Trading & Credit Pricing Dan Dresser. 

Fannie Mae guarantees all classes of the multi-tranche offering with respect to the full and timely payment of interest and principal.

Freddie Mac Prices $530M Small Balance Deal
Freddie Mac, McLean, Va., priced its SB53 offering, a multifamily mortgage-backed securitization backed by small balance loans underwritten by Freddie Mac and issued by a third-party trust.

The company expects to guarantee nearly $530 million in Multifamily SB Certificates, which will settle on or about Sept. 25. Freddie Mac Small Balance Loans generally range from $1 million to $6 million and are backed by properties with five or more units. This is the ninth SB Certificate transaction in 2018.

Wells Fargo Securities LLC and Credit Suisse Securities LLC served as Co-Lead Managers and Joint Bookrunners.

Urban Institute: Manufactured Homes Appreciate as Well as Site-Built Homes
The Urban Institute, Washington, D.C., said new evidence shows manufactured homes appreciate as well as site-built homes.

The Urban Institute's Housing Finance Policy Center look at new Federal Housing Finance Agency data to determine the prices of manufactured homes guaranteed by the government-sponsored enterprises perform similarly to those of site-built properties.

"This new evidence suggests a need to re-evaluate the presumption that manufactured homes do not appreciate at the same rate as site-built homes--a presumption that may be contributing to their low demand," The report said.

Carlyle Group Closes $5.5B Fund
Alternative asset manager The Carlyle Group, Washington, D.C., closed its eighth real estate fund, Carlyle Realty Partners VIII, at $5.5 billion.

The fund focuses on opportunistic investments across the U.S.

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