C/MF Briefs: Transwestern, Freddie Mac

Transwestern Investment Group Closes Value-Add Real Estate Fund at Nearly $160 million
Transwestern Investment Group closed its TSP Value and Income Fund I with total commitments approaching $160 million.

Fund Manager Scott Fitzgerald said his guiding philosophy is to provide investors the least risky path to achieve value-add returns. He noted that with nearly 85 percent of fund capital invested to date, the fund generates current cash-on-cash returns exceeding 9 percent with a 16.5 percent expected gross internal rate of return.

TSP Value and Income Fund I is a diversified value-add fund that principally invests in industrial and office assets in major and secondary markets with strong economic drivers, supply constraints and liquidity. The fund has acquired more than 3.6 million square feet of industrial assets in Chicago; Indianapolis; Columbus, Ohio; Louisville, Ky. and Austin, Texas as well as more than 900,000 square feet of office assets in San Jose, Calif.; Scottsdale, Ariz. and Atlanta.

Freddie Mac Prices $233M Multifamily Small Balance Loan Securitization
Freddie Mac, McLean, Va., priced its SB24 offering, a multifamily mortgage-backed securitization backed by small-balance loans underwritten by Freddie Mac and issued by a third-party trust.

Freddie Mac expects to guarantee more than $230 million in Multifamily SB24 Certificates, which are anticipated to settle on or about November 17.

This represents the GSE’s fourteenth SB Certificate transaction in 2016.