Freddie Mac priced an offering of approximately $925 million in structured pass-through certificates, which are multifamily mortgage-backed securities.
The K-060 certificates are backed by underlying collateral consisting of supplemental multifamily mortgages with predominantly 10-year terms. The certificates are expected to settle on or about Dec. 22.
The certificates are backed by corresponding classes issued by the FREMF 2016-K60 mortgage trust and are guaranteed by Freddie Mac. The trust will also issue certificates consisting of the Class X2-A, X2-B, B, C, D and R certificates, which will not be guaranteed by Freddie Mac and will not back any class of K-060 certificates.
Wells Fargo Securities LLC and Citigroup Global Markets Inc. will serve as co-lead managers and joint book runners. Barclays Capital Inc., Cantor Fitzgerald & Co., J.P. Morgan Securities LLC and The Williams Capital Group LP are acting as co-managers.