Marcus & Millichap, M&T Realty Form Strategic Alliance

In this new relationship, MMCC will rank as M&T Realty’s largest origination partner.
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Commercial real estate brokerage firm Marcus & Millichap’s financing subsidiary Marcus & Millichap Capital Corp. (MMCC) has entered into a strategic alliance with M&T Realty Capital Corp. (M&T Realty Capital).

As a result of the alliance, MMCC will be able to furnish clients with greater access to M&T Realty Capital’s affordable and conventional multifamily financing. That will take place through a streamlined process featuring dedicated resources. 

MMCC’s ongoing expansion enables the alliance to include a preferred stock investment in M&T Realty Capital, as well as the ability for MMCC to indemnify M&T Realty for 50 percent of the credit risk losses for certain loans originated by MMCC through M&T Realty Capital’s Fannie Mae DUS platform.

Under the agreement, MMCC originators will continue to have the ability to clear the market on behalf of each client. In addition, they will be able to access M&T Realty Capital’s dedicated tools, resources and expansive lending capacity.

Largest partner

In the first six months of 2021, MMCC closed $2.7 billion of multifamily financing. The alliance will make MMCC M&T Realty Capital’s largest origination partner by loan volume. The alliance will also let both companies offer their clients the most competitive capital markets solutions secured by multifamily properties throughout the U.S.

MMCC originators will work directly with M&T Realty Capital’s origination and credit teams. Paul Lewis, who logged nearly two decades at Fannie Mae and joined MMCC in January as a senior vice president & director of agency programs, will co-manage the venture with M&T Realty Capital’s Mark Gould.

In late August, Marcus & Millichap closed a $58 million manufactured housing community deal in Orange County, Calif., in which Investment Property Group acquired Skandia Mobile Country Club.