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Arbor’s Servicer Ratings Affirmed and Positive Outlook Rating Assigned by Fitch

Fitch Ratings Recognizes Arbor’s Commitment to Excellence and Innovation Arbor Realty Trust (NYSE:ABR) NEW YORK, NEW YORK – November 29, 2023: Fitch Ratings has reaffirmed Arbor Multifamily Lending, LLC’s (Arbor) commercial primary and special servicer ratings, further solidifying Arbor’s position as a trusted partner in the multifamily lending industry. Concurrently, they have assigned a Positive Outlook to each rating, reflecting an unwavering commitment to excellence and innovation. Commercial primary servicer rating at ‘CPS2’; Outlook Positive; Commercial special servicer rating at ‘CSS3+’; Outlook Positive. “The assignment of the Positive Outlook reflects Fitch’s 12–24 month view on the trajectory of Arbor’s primary servicer rating, noting that as the new borrower website is fully realized and deployed and turnover within the primary servicing function continues to stabilize, positive rating movement is possible.” – Fitch Ratings Read more from Fitch about the key rating drivers behind this announcement. Direct inquiries to [email protected]. About Arbor Arbor Realty Trust, Inc. (NYSE: ABR) is a nationwide real estate investment trust and direct lender, providing loan origination and servicing for multifamily, single-family rental (SFR) portfolios, and other diverse commercial Read the full article…

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Video: Special Report Fall 2023 Key Takeaways

In this video, Dr. Sam Chandan, Founding Director of the C.H. Chen Institute for Global Real Estate Finance at the NYU Stern School of Business and non-executive chairman of Chandan Economics, details the key takeaways of Arbor’s Special Report Fall 2023, which he co-authored with Ivan Kaufman, Chairman and CEO of Arbor Realty Trust.

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FHFA Loan Caps for 2024: What Multifamily Borrowers Need to Know

The Federal Housing Finance Agency (FHFA) announced a $10 billion rollback of Fannie Mae and Freddie Mac’s volume cap for loan purchases for 2023 to $140 billion ($70 billion for each agency). This move aligns with industry expectations, given the anticipation of continued headwinds for the multifamily in 2024. Next year’s cap for the Government-Sponsored Entities (GSEs) is a reduction of approximately 7% from the $150 billion limit set for 2023 and a return to the level it was in 2021.

Current Reports

Affordable Housing Trends Report Fall 2023

With the cost of living climbing, the need for affordable housing has become more urgent. Although demand continues to outpace available supply, multifamily investment in affordable housing is fortified by Low-Income Housing Tax Credits (LIHTC), Project-Based Section 8, and the Housing Choice Voucher (HCV) programs. Arbor’s Affordable Housing Trends Report Fall 2023, developed in partnership with Chandan Economics, examines the supply-driven programs and policies designed to improve supply at a point in time when federal gridlock has stalled many funding increases.

Current Reports

Small Multifamily Investment Trends Report Q4 2023

Arbor’s Small Multifamily Investment Trends Report Q4 2023, developed in partnership with Chandan Economics, is a snapshot of a strong and resilient subsector continuing to navigate ongoing market dislocation. The report shows that distress has remained limited, even with valuations and measures of risk pricing in flux. As conditions start to stabilize, there are signs that deal activity is picking up.

GENERAL: 800.ARBOR.10

Home | Resources & Press | Arbor Realty Trust, Inc. Completes $315 Million Freddie Mac Q Series Securitization

Arbor Realty Trust, Inc. Completes $315 Million Freddie Mac Q Series Securitization

UNIONDALE, NY, December 15, 2022 (GLOBE NEWSWIRE) – Arbor Realty Trust, Inc. (NYSE:ABR) (“Arbor,” “our,” or “we”) today announced the completion of an approximately $315 million loan securitization through Freddie Mac’s Q Series securitization program (the “Securitization”). Arbor’s affiliated entity Arbor Realty SR, Inc. originated the loans and was the loan seller for the Securitization. The Securitization is Arbor’s first Freddie Mac Q Series transaction.

The Securitization is backed by a pool of 11 floating rate loans secured by first priority mortgage liens on 21 multifamily properties that qualify as mission-driven under the Federal Housing Finance Agency guidelines. Nearly 60% of the units at the properties have rents affordable to households that earn 60% of Area Median Income (“AMI”) and 95% are affordable to households that earn 80% of AMI. Arbor’s servicing and asset management affiliate, Arbor Multifamily Lending, LLC, will be the sub-servicer of the loans.

“As a well-established Freddie Mac Optigo® seller/servicer and one of the top contributors to the Freddie Mac SBL Program, Arbor is honored to join Freddie Mac’s Q Series program and further build on our tremendous relationship with Freddie Mac,” said Ivan Kaufman, Founder, Chairman and CEO of Arbor Realty Trust. “This transaction demonstrates the strong social commitment we share with Freddie Mac in continuing to provide liquidity for the preservation of affordable multifamily housing. Our commitment to mission-driven business and equitable lending practices is longstanding and best evidenced through the fundings we close through our agency lending partnerships. With our strong reputation as a leader in the securitization market, the Freddie Mac Q Series program provides yet another avenue for Arbor to participate in low-cost securitization financing options.”

“This is yet another example of Freddie Mac and Arbor demonstrating our commitment to affordable housing preservation,” said Leena Amin, Director of Multifamily Structured Transactions for Freddie Mac. “It takes total commitment and seasoned skill sets to execute a Q Series Securitization. When we work with excellent Optigo seller/servicers like Arbor, it paves the way for a successful execution.”

Beneficial ownership interests in the Securitization trust are represented by a series of multifamily mortgage pass-through certificates (the “Certificates”). The Certificates were issued under a pooling and servicing agreement, which will govern the servicing and administration of the mortgage loans. At closing, an Arbor affiliate retained certain subordinate and interest-only classes of Certificates.

J.P. Morgan Securities LLC served as the lead manager and sole bookrunner, and Drexel Hamilton, LLC served as the co-manager on the Securitization. No nationally recognized statistical rating organizations were engaged to rate any classes of the Certificates.

The Certificates are not registered under the Securities Act of 1933, as amended, and may not be offered or sold in the United States absent an applicable exemption from registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such state or jurisdiction.

Safe Harbor Statement
Certain items in this press release may constitute forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. These statements are based on management’s current expectations and beliefs and are subject to a number of trends and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. Arbor can give no assurance that its expectations will be attained. Factors that could cause actual results to differ materially from Arbor’s expectations include, but are not limited to, changes in economic conditions generally, and the real estate markets specifically, in particular, due to the uncertainties created by the COVID-19 pandemic, continued ability to source new investments, changes in interest rates and/or credit spreads, and other risks detailed in Arbor’s Annual Report on Form 10-K for the year ended December 31, 2021 and its other reports filed with the SEC. Such forward-looking statements speak only as of the date of this press release. Arbor expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in Arbor’s expectations with regard thereto or change in events, conditions, or circumstances on which any such statement is based.

About Us
Arbor Realty Trust, Inc. (NYSE:ABR) is a nationwide real estate investment trust and direct lender, providing loan origination and servicing for multifamily, single-family rental (SFR) portfolios, and other diverse commercial real estate assets. Headquartered in Uniondale, New York, Arbor manages a multibillion-dollar servicing portfolio, specializing in government-sponsored enterprise products. Arbor is a leading Fannie Mae DUS® lender, Freddie Mac Optigo® Seller/Servicer, and an approved FHA Multifamily Accelerated Processing (MAP) lender. Arbor’s product platform also includes bridge, CMBS, mezzanine, and preferred equity loans. Rated by Standard and Poor’s and Fitch Ratings, Arbor is committed to building on its reputation for service, quality and customized solutions with an unparalleled dedication to providing our clients excellence over the entire life of a loan.

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