A portfolio of commercial mortgages has been securitized by the Federal Deposit Insurance Corp.
The FDIC said in a statement that it closed a $394 million unregistered securitization Tuesday. The agency said it was the first time that it has sold commercial mortgage loans in a securitization since the beginning of the financial crisis.
The deal includes performing commercial and multifamily mortgages. The loans represent assets that the FDIC couldn’t unload after it was named receiver for 13 failed banks.
The $315 million class-A piece of the transaction was acquired by a variety of organizations including banks, insurance companies and money managers. This group has a fixed-rate coupon of 1.84 percent and an FDIC guarantee.
Class-B mezzanine certificates, which amounted to $39 million, sold at a fixed-rate coupon of 5.00 percent, while another $39.4 billion in class-C subordinate class certificates also sold at a 5.00 percent coupon. Both the mezzanine and the subordinate certificates, which are not guaranteed by the FDIC, where acquired by an affiliate of LNR Partners LLC.
Wells Fargo Securities was the lead underwriter and bookrunner in the securitization, and the co-underwriters were Barclays Capital Inc. and CastleOak Securities L.P.
