A filing with the Securities and Exchange Commission has been made in preparation for the securitization of non-agency loans originated by New Penn Financial LLC.
In June 2011, the Plymouth Meeting, Pa.-based lender expanded its program offering to include non-agency jumbo loans, second home financing and investor loans.
New Penn’s strategy involved holding the loans in a portfolio or securitizing them.
In conjunction with the expanded offerings, New Penn was acquired by Shellpoint Partners LLC, a venture between New Penn management and Ranieri Partners — a company founded by the godfather of mortgage-backed securities, Lewis S. Ranieri.
An announcement Tuesday from Shellpoint indicated that a shelf registration statement has been filed with the SEC. Once the SEC declares the registration effective, newly-formed depositor Shellpoint Mortgage Acceptance LLC — or “Shelly Mac” — will be able to issue public RMBS.
Issuance will initially be limited to New Penn originations of prime-quality non-agency loans, and no bulk acquisitions will be included.
“As the housing market begins to recover, we intend to be one of the first ‘re-entrants’ into the public non-agency RMBS market in the near future, which has seen only a handful of deals from a few issuers since the onset of the financial crisis,” Shellpoint’s co-chief executive officer, Bruce Williams, said in the announcement. “The return of private capital through non-agency securitizations – backed by quality loans and implementing the lessons learned from the housing crisis – should provide an enormous boost to the U.S. housing market. Housing is a vital part of the national economy and it needs private capital to return to a state of health.”
Just one other company, Redwood Trust Inc., has been active in the non-agency securitization market since the financial crisis.
