Freddie Mac expects to price approximately $1.1 billion multifamily structured pass-through certificates in a transaction known as K-036 this week, its second so-called K-deal this year.
The deal will settle on or about Feb. 20.
Seventy-six recently originated multifamily mortgages guaranteed by Freddie Mac back the certificates.
JPMorgan Securities and Jefferies are co-lead managers and joint book-runners. Guggenheim Securities, Merrill Lynch, Wells Fargo Securities and The Williams Capital Group will serve as co-managers.
The K-036 Certificates include two senior principal and interest classes, one senior interest-only class and one junior IO class.
Fitch Ratings and Moody's Investors Service
are rating the three senior classes of K-036 Certificates and anticipated giving them their respective top ratings subject to ongoing monitoring.
K-deals transfer a portion of multifamily mortgages' risk away from taxpayers and to private investors who purchase the unguaranteed subordinate bonds in transactions.
