Freddie Mac Offers $1 Billion in Multifamily Securities

McLean, Va.–Freddie Mac has announced a new offering of Structured Pass-Through Certificates (“K Certificates”), multifamily mortgage-backed securities. The company expects to offer approximately $1.1 billion in K Certificates (“K-013 Certificates”), which are expected to price the week of May 16 and settle on or about May 26.

The K-013 Certificates will be offered to the market by a syndicate of dealers led by Bank of America Merrill Lynch and Barclays Capital Inc. as co-lead managers and joint bookrunners for the transaction. Citigroup Global Capital Markets Inc., Goldman Sachs & Co., Morgan Stanley & Co. Incorporated and Wells Fargo Securities, LLC have been named as co-managers for the transaction.

The K-013 Certificates are backed by 81 recently originated multifamily mortgages and are guaranteed by Freddie Mac. This is the fifth K Certificate offering this year.

K Certificates provide Freddie Mac with an efficient vehicle to securitize multifamily loans. The certificates provide investors with stable cash flows, structured credit enhancement and the Freddie Mac guarantee.

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