Freddie Mac Prices $952 Million Multifamily K-Deal, K-F100

MCLEAN, Va., Feb. 24, 2021 (GLOBE NEWSWIRE) -- Freddie Mac (OTCQB: FMCC) has priced a new offering of Structured Pass-Through Certificates (K Certificates), which includes a class of floating rate bonds indexed to the Secured Overnight Financing Rate (SOFR). The approximately $952 million in K Certificates (K-F100 Certificates) are expected to settle on or about March 4, 2021. The K-F100 Certificates are backed by floating-rate multifamily mortgages with 7-year terms, which are SOFR-based.

“With the pricing of our landmark floating rate transaction, K-F100, Freddie Mac Multifamily continues to be the leader in multifamily credit risk transfer,” said Robert Koontz, senior vice president of multifamily capital markets at Freddie Mac. “Our KF-series supports our floating rate debt purchases while meeting a variety of investor needs. We are proud of our role supporting a stable and liquid multifamily market.”

K-F100 Pricing

Class	Principal/Notional Amount (mm)		Weighted Average Life (Years)	Discount Margin	Coupon	Dollar Price
AL	$258.426		6.20	13	1-Month LIBOR + 13	100.000
AS	$694.379		6.53	18	30-day SOFR avg + 18	100.000
XL	Non-Offered
XS	Non-Offered

Details

• Co-Lead Managers and Joint Bookrunners: J.P. Morgan Securities LLC and BofA Securities, Inc.
• Co-Managers: Amherst Pierpont Securities LLC, BMO Capital Markets Corp., Drexel Hamilton, LLC and Wells Fargo Securities, LLC

Related Links

• The K-F100 preliminary offering circular supplement: http://www.freddiemac.com/mbs/data/kf100oc.pdf
• Freddie Mac Multifamily Securitization Overview
• Multifamily Securities Investor Access database of post-securitization data from Investor Reporting Packages
  

The K-F100 Certificates will not be rated, and will include one senior principal and interest class and one interest-only class that is also entitled to static prepayment premiums. The K-F100 Certificates are backed by corresponding classes issued by the FREMF 2021-KF100 Mortgage Trust (KF100 Trust) and guaranteed by Freddie Mac. The KF100 Trust will also issue certificates consisting of the Class CS and R Certificates, which will be subordinate to the classes backing the K-F100 Certificates and will not be guaranteed by Freddie Mac.