News Release

October 12, 2016

Fannie Mae Prices $1.08 Billion Multifamily DUS REMIC (FNA 2016-M11) Under Its GeMS Program

Katie Penote

202-752-2261

WASHINGTON, DC – Fannie Mae (FNMA/OTC) priced its ninth Multifamily DUS® REMIC in 2016 totaling $1.08 billion under its Fannie Mae Guaranteed Multifamily Structures (Fannie Mae GeMS™) program on October 4, 2016.

“Ten-year fixed-rate loans continue to be the workhorse of the Fannie Mae DUS MBS program, for borrowers of all sizes in all markets,” said Josh Seiff, Fannie Mae’s Vice President of Capital Markets and Trading. “The $615 million of MBS that made up the collateral for Group 1 had a median loan size of $9.6 million. The loans came from 23 different states, had a loan-to-value ratio of 69 percent, and a debt service coverage ratio of 1.48. The GeMS program helps Fannie Mae provide best-in-class liquidity to our borrowers and quality investment opportunities to a growing group of Agency CMBS investors.”

All classes of FNA 2016-M11 are guaranteed by Fannie Mae with respect to the full and timely payment of interest and principal. The structure details for the multi-tranche offering are in the table below:

Class

Original Face

Weighted Average Life

Coupon (%)

Coupon Type

Spread

Offered
Price

A1

$67,857,000

6.01

2.080

Fixed

S+58

101.00

A2

$473,700,000

9.69

2.369

AFC

S+73

101.00

AB1

$9,253,000

6.01

1.886

Fixed

Not Available

Not Available

AB2

$64,595,739

9.69

2.254

Fixed

S+76

99.74

X1

$615,405,739

8.79

0.501

WAC IO

Not Offered

Not Offered

AL

$463,932,612

10.91

2.944

Fixed

S+120

101.50

X2

$463,932,612

3.31

2.727

WAC IO

Not Offered

Not Offered

Total

$1,079,338,351

 

 

 

 

 

 

Group 1 Collateral

UPB $615,405,740
Collateral 56 Fannie Mae DUS MBS
Geographic Distribution TX (25.5%), CA (16.6%), FL (11.0%)
Weighted Average
Debt Service Coverage Ratio (DSCR)
1.48x
Weighted Average
Loan-to-Value (LTV)
69.0%

 

Group 2 Collateral

UPB $463,932,613
Collateral 102 Fannie Mae DUS MBS
Geographic Distribution CA (19.5%), PA (14.3%), NY (14.3%)
Weighted Average
Debt Service Coverage Ratio (DSCR)
1.72x
Weighted Average
Loan-to-Value (LTV)
63.9%

 

Settlement Date October 28, 2016
Lead Manager Credit Suisse
Co-Managers Amherst Pierpont Securities
BofA Merrill Lynch
Ramirez & Co.

 

For additional information, please refer to the Fannie Mae GeMS REMIC Term Sheet (FNA 2016-M11) available on the Fannie Mae GeMS Archive page on 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 helps make the 30-year fixed-rate mortgage and affordable rental housing possible for millions of Americans. We partner with lenders to create housing opportunities for families across the country. We are driving positive changes in housing finance to make the home buying process easier, while reducing costs and risk. To learn more, visit fanniemae.com and follow us on twitter.com/fanniemae.