This deal marks the first multi-contributor Q-Deal issued by Freddie Mac
Norfolk, Va. – September 4, 2024 – Harbor Group International, LLC (“HGI”), a privately owned international real estate investment and management firm, today announced that, through an affiliate, it has successfully completed a securitization of multifamily mortgage loans through Freddie Mac’s Q Series securitization program.
This deal marks the first multi-contributor Q-Deal issued by Freddie Mac and is HGI’s second Q-Deal issued together with Freddie Mac. HGI served as a co-contributor to the deal alongside Bridge Investment Group, contributing three out of seven loans in the securitization.
“This securitization further emphasizes HGI’s ability to find creative ways to support the affordable multifamily market, while making attractive credit investments on behalf of our investors amid volatile market conditions,” said Matt Jones, Chief Investment Officer – Credit at HGI. “We look forward to continuing to work with Freddie Mac in providing liquidity to the multifamily industry and appreciate their commitment to building on our strong, multi-decade relationship.”
“Freddie Mac Multifamily continues to innovate to meet the needs of the market and our mission," said Robert Koontz, Senior Vice President of Multifamily Capital Markets at Freddie Mac. "In securitizing our first ever multi-sponsor Q-Deal, we are proud to work with sponsors like Harbor Group International to transfer risk and unlock capital for affordable multifamily housing."
This securitization is a strong complement to HGI’s growing debt portfolio and adds to the firm’s work with Freddie Mac as a borrower, preferred equity partner and B-piece investor. HGI became a Freddie Mac K-Series B-piece buyer in 2015 and is among the most active Freddie Mac B-piece buyers globally. The firm was recently ranked in Commercial Mortgage Alert as the number one buyer of Freddie Mac B-Pieces in the first half of 2024. HGI established a formal whole loan bridge lending platform in 2020, and in September 2021 launched its first dedicated multi-strategy multifamily credit fund, the HGI Multifamily Credit Fund (“MFCF”). HGI’s flagship MFCF invests in senior mortgage loans, Freddie Mac K-series bonds, preferred equity, mezzanine loans and securitized multifamily mortgage products.
To learn more about Freddie Mac’s Q program, please click here.
About Harbor Group International
Harbor Group International, LLC, and its affiliates control an investment portfolio of approximately $19 billion, including 56,000 apartment units in the United States and 5.0 million square feet of commercial space throughout the United States and the United Kingdom. In addition to its corporate headquarters in Norfolk, Virginia, HGI maintains offices in New York, Baltimore, Los Angeles, and Tel Aviv. Follow HGI on LinkedIn.