UNIONDALE, NY, Dec. 15, 2022 (GLOBE NEWSWIRE) — Arbor Realty Trust, Inc. (NYSE:ABR) (“Arbor” “ours” or “we”) today announced the completion of approximately $315 million in loan securitizations through Freddie Mac’s Series Q securitization program (“Securitization“). An affiliate of Arbor, Arbor Realty SR, Inc., originated the loans and was the loan salesperson for the securities. The Securitization is Arbor’s first Freddie Mac Q Series transaction.
The securitization is backed by 11 floating-rate loans secured by first-priority mortgage liens on 21 multifamily properties that qualify as mission-oriented under Federal Housing Finance Agency guidelines. Nearly 60% of owner-occupied units have rents affordable to households earning 60% of the area median income (“AMI”) and 95% is available to households earning 80% of AMI. Arbor’s servicing and asset management subsidiary, Arbor Multifamily Lending, LLC, will sub-service the loans.
“Like a well-formed Freddy Mac Optigo® A seller/servicer and one of the key contributors to the Freddie Mac SBL program, Arbor is honored to join Freddie Mac’s Q Series program and further build on our tremendous relationship with Freddie Mac,” said Ivan Kaufman, Arbor Realty Founder, Chairman and CEO. the weather. “This transaction demonstrates the strong social commitment we share with Freddie Mac to continue to provide liquidity to maintain affordable multifamily housing.” Our commitment to mission-driven business and fair lending practices is long-standing and best demonstrated by the financing we close through our agency lending partnerships. With our strong reputation as a leader in the securities market, the Freddie Mac Q Series program provides Arbor with another way to participate in low-cost securities financing options.
“This is another example of Freddie Mac and Arbor demonstrating our commitment to maintaining affordable housing,” said Lina Amin, Freddie Mac’s Director of Multifamily Structured Transactions. “Executing a Series Q securitization requires total commitment and an experienced skill set. When we work with a great Optigo vendor/service like Arbor, it paves the way for a successful performance.
The beneficial ownership interests in the securitization trust are represented by a series of multifamily mortgage transfer certificates (“certificates“). The certificates were issued pursuant to a pooling and servicing agreement governing the servicing and administration of the mortgage loans. At closing, the Arbor affiliate retained certain subordinated and interest-only classes of certificates.
JP Morgan Securities LLC served as lead manager and sole bookrunner, and Drexel Hamilton, LLC served as co-manager for the securitization. No nationally recognized statistical rating organization was involved in rating any of the certificate classes.
The Certificates have not been registered under the Securities Act of 1933, as amended, and may not be offered or sold in the United States without an applicable exemption from registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall it constitute a sale of these securities in any state or jurisdiction where such offer, solicitation or sale would be unlawful prior to registration or qualification. securities laws of such state or jurisdiction.
About Arbor Realty Trust, Inc.
Arbor Realty Trust, Inc. (NYSE: ABR) is a nationwide real estate investment trust and direct lender that provides loan origination and servicing for multifamily, single family rental (SFR) portfolios and other diverse commercial real estate assets. Headquartered in New York, Arbor manages a multi-billion dollar portfolio of services, specializing in government-sponsored enterprise products. Arbor is the leading Fannie Mae DUS® Lender, Freddie Mac Optigo® Seller/Servicer and approved FHA Multifamily Expedited Processing (MAP) Lender. Arbor’s product platform also includes a bridge, CMBS, mezzanine and preferred equity lending. Rated by Standard and Poor’s and Fitch Ratings, Arbor is committed to building on its reputation for service, quality and customized solutions, with an unmatched commitment to providing our clients with excellence throughout the life of the loan.
Safe Harbor Statement
Certain items in this press release may constitute forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. and uncertainties that could cause actual results to differ materially from those described in forward-looking statements. Arbor cannot guarantee that its expectations will be met. Factors that could cause actual results to differ materially from Arbor’s expectations include, but are not limited to, changes in economic conditions generally and the real estate markets in particular, and continued opportunities due to the uncertainty created by the COVID-19 pandemic in particular. New investments, changes in interest rates and/or credit spreads, and other sources of risk are detailed in Arbor’s Annual Report on Form 10-K for the year ended December 31, 2021 and its other reports filed with the SEC. Such forward-looking statements speak only as of the date of this press release. Arbor expressly disclaims any duty or obligation to publicly release any updates or revisions to these statements to reflect any changes in Arbor’s expectations with respect thereto or changes in the events, conditions or circumstances on which such statements are based.
Arbor Realty Trust, Inc.
Paul Elenio, Chief Financial Officer