News Release

September 15, 2017

Fannie Mae Prices $772.5 Million Multifamily DUS REMIC (FNA 2017-M11) Under Its GeMS Program

Matthew Classick

202-752-3662

WASHINGTON, DC – Fannie Mae (FNMA/OTC) priced its ninth Multifamily DUS® REMIC in 2017 totaling $772.5 million under its Fannie Mae Guaranteed Multifamily Structures (Fannie Mae GeMS) program on September 14, 2017.

"We are pleased with the execution of the M11 given the heavy issuance volumes of the week and the general market anxiety surrounding recent weather-related disasters," said Dan Dresser, Vice President, Multifamily Credit Pricing and Capital Markets. "Because of the DUS program’s single loan-single security execution, we were able to remove the Florida and Houston area securities from the M11 collateral group; in doing so, we hoped to give asset managers time to sort out the impact of the hurricanes and continue to provide the market with the ability to invest in Fannie Mae’s high quality, stable cash flow GeMS without the uncertainty of ongoing asset performance. Fannie Mae continues to work to find optimal outcomes for all of its stakeholders – from hurricane-impacted tenants in Fannie Mae-financed apartments to the end investors in its guaranteed CMBS."

Additional hurricane relief information and announcements can be found on the Fannie Mae website.

All classes of FNA 2017-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:

ClassOriginal FaceWeighted Average LifeCoupon (%)Coupon TypeSpreadOffered Price
FA $316,500,421 6.45 1.701 Floater/AFC L+47 99.89
FX $316,500,421 0.81 0.366 WAC IO Not Offered Not Offered
A1 $48,537,580 7.76 2.680 Fixed S+55 100.49
A2 $407,505,379 11.71 2.980 Fixed S+72 100.22
X $456,042,959 10.84 0.323 WAC IO Not Offered Not Offered
Total $772,543,380          

 

Group 1 Collateral

UPB $316,500,421
Collateral 48 Fannie Mae DUS MBS
Geographic Distribution GA (24.0%), CA (15.6%), TX (11.4%)
Weighted Average
Debt Service Coverage Ratio (DSCR)
2.13x
Weighted Average
Loan-to-Value (LTV)
70.3%

Group 2 Collateral

UPB $456,042,960
Collateral 33 Fannie Mae DUS MBS
Geographic Distribution PA (27.5%), TX (26.6%), CA (14.9%)
Weighted Average
Debt Service Coverage Ratio (DSCR)
1.45x
Weighted Average
Loan-to-Value (LTV)
71.6%
Settlement Date September 28, 2017
Lead Manager Nomura Securities
Co-Managers Morgan Stanley
Goldman Sachs
Loop Capital Markets

For additional information, please refer to the Fannie Mae GeMS REMIC Term Sheet (FNA 2017-M11) available on the Fannie Mae GeMS Archive page http://www.fanniemae.com/portal/jsp/mbs/mbsmultifamily/gems_archive.html.

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.