Freddie Mac priced an offering of structured pass-through certificates backed by multifamily mortgages at about $691 million.
The K-LU2 certificates are backed by two groups of loans. One group consists of 11 floating-rate mortgages backed by 11 properties and the other group consists of six fixed-rate mortgages backed by six properties.
The K-LU2 certificates are expected to settle around Oct. 17.
Morgan Stanley & Co. LLC and Credit Suisse Securities (USA) LLC are the co-lead managers and joint book runners for the offering. Bancroft Capital LLC, Citigroup Global Markets Inc., J.P. Morgan Securities LLC and PNC Capital Markets LLC are the co-managers.