Freddie Mac said a multifamily mortgage-backed securitization backed by small balance loans has priced. The government-sponsored enterprise expects to guarantee roughly $454 million of these SB50 certificates.
The SB50 offering, expected to settle on or about June 26, includes six classes of securities issued by the FRESB 2018-SB50 Mortgage Trust. A third-party trust will also issue to private investors class B and class R certificates, which Freddie Mac will not guarantee.
The certificates are backed by 180 multifamily mortgages originated by Basis Multifamily Capital LLC, Capital One Multifamily Finance LLC, CBRE Capital Markets Inc., Greystone Servicing Corp. Inc., Hunt Mortgage Partners LLC, PennyMac Corp., Pinnacle Bank, RED Mortgage Capital LLC and The Community Preservation Corp.
Freddie Mac is the mortgage loan seller and master servicer to the trust. J.P. Morgan Securities LLC and Credit Suisse Securities (USA) LLC are co-lead managers and joint book runners for the offering, with CastleOak Securities LP, FTN Financial Capital Markets, Stifel Nicolaus & Co. Inc. and SunTrust Robinson Humphrey serving as co-managers.