Fannie Mae Prices $763 Million Multifamily DUS REMIC Under Its GeMS Program

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News Release

January 17, 2012

Fannie Mae Prices $763 Million Multifamily DUS REMIC Under Its GeMS Program

Katherine Constantinou

202-752-5403

WASHINGTON, D.C. – Fannie Mae (FNMA/OTC) priced its first Multifamily DUS REMIC in 2012 totaling $763 million under its Fannie Mae Guaranteed Multifamily Structures (Fannie Mae GeMS) program on January 13, 2012.  

“A wide spectrum of investors came out of the gate with orders, and 2012-M1 was quickly oversubscribed.  Based on the origination volumes we have seen coming through the Agency execution, and the continued demand for GeMS, I anticipate larger deal sizes and monthly issuance this year.  Even as analysts are forecasting continued volatility in the broader CMBS space, there is clearly a strong appetite for Agency CMBS,” said Kimberly Johnson, Vice President of Multifamily Capital Markets.

All classes of FNA 2012-M1 are guaranteed by Fannie Mae with respect to the full and timely payment of interest and principal. Yield maintenance prepayment premiums apply to all underlying loans.  The structure details for the multi-tranche offering are included in the table below.

Class

Original Face

Weighted Average Life

 Coupon

Coupon Type

Spread

Offered Price

A1

$80,670,000

5.42

1.811

Fixed Rate

S+48

100.50

A2

$437,879,820

9.69

2.729

Fixed Rate

S+70

100.50

AB

$70,700,000

9.02

n/a

Fixed Rate

Not offered

Not offered

 

FA

 

$174,036,780

9.00

1mo

L+65

7.0% Cap

Floating Rate

L+65

100.00

 

SA

 

$174,036,780

9.00

n/a

Inverse Interest Only

Not

offered

Not

offered

X

$763,286,600

9.02

n/a

Interest Only

Not offered

Not offered

Total

$763,286,600

 

 

 

 

 

 

Collateral:                                                            118 Fannie Mae DUS MBS

Geographic Distribution:                                 CA (27%), TX (16%), NY (12%)

Weighted Average
Debt Service Coverage Ratio (DSCR):          1.70x

Weighted Average
Loan-to-Value (LTV):                                        65.04%

Settlement Date:                                               1/30/2012

Lead Manager:               Credit-Suisse  

Co-Managers:              J.P. Morgan and Wells Fargo

For additional information, please refer to the Fannie Mae GeMS REMIC Term Sheet (FNA 2012-M1) available on Fannie Mae’s GeMS Archives page at www.fanniemae.com.


Certain statements in this release may be considered forward-looking statements within the meaning of federal securities laws. In addition, not all securities will have the characteristics discussed in this release. Before investing in any Fannie Mae issued security, you should read the prospectus and prospectus supplement pursuant to which such security is offered. You should also read our most current Annual Report on Form 10-K and our reports on Form 10-Q and Form 8-K filed with the U.S. Securities and Exchange Commission ("SEC") available on the Investor Relations page of our Web site at www.fanniemae.com and on the SEC's Web site at www.sec.gov.

Fannie Mae exists to expand affordable housing and bring global capital to local communities in order to serve the U.S. housing market. Fannie Mae has a federal charter and operates in America's secondary mortgage market to enhance the liquidity of the mortgage market by providing funds to mortgage bankers and other lenders so that they may lend to home buyers. Our job is to help those who house America.