Commercial/Multifamily Briefs from Freddie Mac, Canyon Partners

Freddie Mac Prices $938 Million Multifamily K-Deal, K-F112

Freddie Mac, McLean, Va., priced a new offering of Structured Pass-Through K Certificates that included a class of floating-rate bonds indexed to the Secured Overnight Financing Rate. The $938 million in K Certificates (K-F112 Certificates) should settle on or about May 27, 2021. The certificates are backed by floating-rate multifamily mortgages with 10-year terms that are SOFR-based.

Wells Fargo Securities LLC and Citigroup Global Markets Inc. served as co-lead managers and joint bookrunners. CastleOak Securities L.P., NatAlliance Securities LLC, Nomura Securities International Inc. and PNC Capital Markets LLC were co-managers.

Canyon Partners Announces $650+M for U.S. Real Estate Debt Strategy

Canyon Partners Real Estate LLC, Los Angeles, closed Canyon Laurel Fund II, a real estate debt vehicle with more than $650M of assets across the fund and related co-investments. This is Canyon’s largest U.S. real estate debt vehicle to date and a significant increase from the $530 million predecessor fund.

Robin Potts, Canyon’s Co-Head of Real Estate, said nearly 70 percent of the predecessor fund re-upped into the Canyon Laurel Fund II. “The COVID-19 pandemic has created an even more compelling environment for real estate debt as lenders, owners and developers have been faced with increasing liquidity needs, while Canyon’s positioning coming into the crisis allowed us to move quickly and capitalize on the growing opportunity set.”

CLF II’s investor base includes the U.S., Japan, Korea and Australia and institutional profiles including public and corporate pensions, endowments, financial institutions and family offices. The Fund targets senior and subordinate debt investments in the top U.S. markets spanning all major property types. Canyon has already deployed more than 60 percent of the fund’s capital across a combination of primary originations and secondary market purchases.