MuniMae Announces Second Quarter Earnings
Company also purchases tax-credit syndicator
July 21, 2003
By MortgageDaily.com staff
Commercial lender MuniMae reported $212 million in taxable construction/permanent lending for the second quarter of 2003.
First quarter lending for the segment totaled $75.8 million, the company said.
“We are very pleased with the second quarter production activity. As is usually the case, our production volumes tend to increase as the year goes on because of cyclical issues unique to affordable housing,” said Mark K. Joseph, chairman of the board and chief executive officer in the press release.
The Baltimore-headquartered company, formally known as Baltimore Municipal Mortgage and Equity, LLC, reported tax-exempt construction/permanent bond volume at $65.7 million, up from $32.1 million in the prior quarter. Supplemental loans totaled $7.7 million, down from $16.8 million in the first quarter of 2003.
For equity investments, MuniMae reported $112.8 million in volume in the second quarter of 2003, up significantly over the first quarter’s reported $29.1 million.
The company also reiterated the importance of their July 1 aquisition of the Housing and Community Investing unit of Lend lease Real Estate Investments.
“With the recent purchase of HCI, a market leader in syndication of low income housing tax credit equity investments, and our existing pipeline showing healthy growth, we expect that our production will be stronger for the second half of the year. We look forward to the opportunity of servicing our clients as a one stop financing source,” Joseph said in the earnings statement.
Assets under management more than doubled for the company in the wake of the purchase. Before, they were reported as totaling $3.7 billion. Currently, post-purchase, the company boasts assets under management of $7.5 billion, consisting of about 2,044 properties, the statement said.
Munimae reported a drop in origination fees compared to second quarter 2002. The company said it received $2.21 million in origination fees for second quarter 2003 compared to $1.5 million in the second quarter of 2002. Loan servicing fees were reported higher for the quarter, year over year, with second quarter 2003 garnering $1.84 million for the company, the statement said.
