Commercial/Multifamily Briefs Oct. 8, 2020

Avison Young Acquires PropTech Company Truss

Avison Young, Toronto, acquired the intellectual property and other select assets of PropTech company Truss.

In addition to Truss’s intellectual property, Avison Young brought two dozen Truss software engineers, data scientists, digital analysts and brokers to its team. Truss Founder Bobby Goodman will join Avison Young as a Principal.

Avison Young said it plans to expand the Truss platform to further digitize the commercial real estate leasing and sales processes.

Green Street Sells Green Street Investors

Green Street, Newport Beach, Calif., sold investment manager subsidiary Green Street Investors.

Green Street said the decision reflects a plan to focus on its core offerings: research, news, data, analytics and advisory services.

Green Street Investors was purchased by Craig Leupold and Nicholas Tannura, who have managed the business for several years. Green Street Investors will now operate as GSI Capital Advisors. It will continue to invest in publicly traded real estate investment trusts.

Freddie Mac Prices $986 Million Multifamily K-Deal, K-F86

Freddie Mac, McLean, Va., priced a new offering of Structured Pass-Through K Certificates that includes a class of floating-rate bonds indexed to the Secured Overnight Financing Rate.

The nearly $986 million in K Certificates (K-F86 Certificates) should settle on or about October 13, 2020. The K-F86 Certificates are backed by floating-rate multifamily mortgages with 7-year terms, which are currently LIBOR-based.

K-F86 includes one class (Class AL) of senior bonds indexed to LIBOR and another class (Class AS) of senior bonds indexed to SOFR. Freddie Mac will provide a basis risk guarantee on Class AS that covers any floating interest rate basis risk if the value of SOFR exceeds the value of LIBOR.

Goldman Sachs & Co. LLC and BofA Securities Inc. served as Co-Lead Managers and Joint Bookrunners. CastleOak Securities L.P., Citigroup Global Markets Inc., Morgan Stanley & Co. LLC and PNC Capital Markets LLC co-managed the process.