Arbor has issued unfunded forward commitments on the projects under its Fannie Mae DUSTM affordable housing product line. A forward commitment is a lender's promise to make or assume a loan in the future. DUSTM stands for Fannie Mae's delegated underwriting and service lenders.
On the 176-unit Cove at Lady Lake Apartments in Lady Lake, Arbor is arranging a $9.8-million loan. The 128-unit Lakeside Pointe community in nearby Leesburg will be receiving $7.6 million.
According to the mortgage banker's prepared statement, Arbor will issue a Fannie Mae mortgage-backed security for each project "as credit enhancement for the tax-exempt bonds that will replace the conventional construction loans." The bonds will be 30-year, fully amortizing and will have variable rates.
The loans were originated and underwritten in Arbor's full-service New York City lending office.
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