NEWPORT BEACH, CA—Sabal Financial Group L.P. has been approved by Freddie Mac as a seller/servicer in its new small-balance loan offering, which offers debt solutions for multifamily acquisitions and refinancing. Sabal is one of only six eligible seller/servicers approved by the GSE for the new program and will offer non-recourse mortgages ranging from $1 million to $5 million to eligible borrowers nationwide.

According to Pat Jackson, founder and CEO of Sabal, “As a national commercial real estate lender and a company whose core business interests focus on the small-balance loan arena, Freddie Mac's new small-balance loan offering is a natural fit for us. Our expertise aligns well with Freddie Mac's goals for this new multifamily debt program.”

The firm is also the only participant in the program employing the proprietary SNAP web-based technology to ensure efficient processes during pricing, underwriting, closing and funding of loans through the program. SNAP generates live quotes and automates portions of the application and closing process, ensuring speed to finance.

“Sabal Financial has placed technology at the center of its business processes from the start as a means to enable efficiency, speed and scalability in operations,” says Jackson. “We created SNAP specifically for our lending businesses, and it has allowed us to dramatically reduce our funding cycle while also providing our broker clients with a number of additional benefits.

Freddie Mac's multifamily small-balance loan program is designed to enable liquidity, stability and certainty of execution in the country's affordable-rental-housing marketplace. Applicable properties include conventional multifamily housing of five units or more with 90% or more occupancy, including properties with tax abatements and Section 8 vouchers. Notable components of the program include full-term interest-only options, low interest rates, non-recourse, 80% loan-to-value and flexible pre-payment options. Competitive pricing and streamlined loan processes are also cornerstones of the new program.

David Brickman, EVP of Freddie Mac Multifamily, says, “Sabal Financial is a great seller/servicer addition for us. The firm was selected for its demonstrated expertise in commercial real estate, particularly in the small-balance finance market, as well as for its operational efficiency.”

Stay tuned for an in-depth interview with Pat Jackson on the current state of the multifamily lending market.