WASHINGTON, DC-Fannie Mae has priced its seventh Multifamily DUS REMIC this year for a total of $913.6 million. The deal is noteworthy as it is the GSE's first to feature a 7/4 ARM -- that is, a seven-year floating rate mortgage-backed security with a 4% interest rate cap. This is a product that is offered exclusively for affordable and workforce housing, according to Josh Seiff, Fannie Mae's Vice President of Capital Markets and Trading. “That group was really the highlight of the deal, and it was oversubscribed immediately on being announced,” he said.
The 7/4 ARM program, which is for the refinancing or acquisition of stable, affordable housing projects, is indeed a favorite of affordable housing owners. With the embedded interest rate cap, it is considered one of the easiest variable rate program as there are no external caps or swaps to be purchased. Loans under this program qualify
Pillars Development Group Secures Construction Loan for Columbia Pike Project
ARLINGTON, VA-Locally-based Pillars Development Group has secured construction financing from a regional bank for the development of 4707 Columbia Pike, a 78-unit luxury condominium development that also includes 8,000 square feet of first floor, street level retail. The proposed 4-story mixed-use building will be sited on 38,000 square feet of land that currently is home to El Tutumaso restaurant. Mac Realty Advisors placed the $17.5 million loan for the project, which is expected to deliver in 2018.
Ellisdale Construction & Development will be the general contractor.
WASHINGTON, DC-Fannie Mae has priced its seventh Multifamily DUS REMIC this year for a total of $913.6 million. The deal is noteworthy as it is the GSE's first to feature a 7/4 ARM -- that is, a seven-year floating rate mortgage-backed security with a 4% interest rate cap. This is a product that is offered exclusively for affordable and workforce housing, according to Josh Seiff,
The 7/4 ARM program, which is for the refinancing or acquisition of stable, affordable housing projects, is indeed a favorite of affordable housing owners. With the embedded interest rate cap, it is considered one of the easiest variable rate program as there are no external caps or swaps to be purchased. Loans under this program qualify
Pillars Development Group Secures Construction Loan for Columbia Pike Project
ARLINGTON, VA-Locally-based Pillars Development Group has secured construction financing from a regional bank for the development of 4707 Columbia Pike, a 78-unit luxury condominium development that also includes 8,000 square feet of first floor, street level retail. The proposed 4-story mixed-use building will be sited on 38,000 square feet of land that currently is home to El Tutumaso restaurant. Mac Realty Advisors placed the $17.5 million loan for the project, which is expected to deliver in 2018.
Ellisdale Construction & Development will be the general contractor.
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