Conventional Structured Transactions

Offer an efficient form of execution for active multifamily investors Key Benefits
Three products: Revolving Credit Facility, Multi-Asset Flow Facility, and Multi-Asset Crossed Facility Built-in pricing and pre-negotiated loan documents Ability to lock credit terms and/or interest rates prior to identifying properties to be purchased Financing for the acquisition or refinancing of properties

At-a-Glance Comparison
Product Summary Product Description Revolving Credit Facility Secured line-of-credit; borrower can move assets in and out of the facility while adhering to the defined facility-level parameters Continuous funding as assets are moved in and out of the facility Conventional first lien mortgages (multifamily, seniors housing and/or student housing, except for cooperatives) for acquisition rehabilitation/upgrade, acquisition, or refinance; no minimum occupancy requirement No See next page Floating-rate Under one or more notes, assets will be cross-collateralized and crossdefaulted Non-assumable (facility and mortgage level) 5-year term plus 1-year extension; ability to ramp up and wind down the commitment Applicable Floating-rate, full-term interest-only over the 1-month or 3-month LIBOR; no interest rate cap or hedge requirements; additional fees for each asset after 2 years of seasoning Multi-Asset Flow Facility Borrower fills the facility with individual loans at defined credit parameters per the products selected, over a 12- to 24-month period Funding up to 15 days after closing use of funding over 12-24 months after origination Conventional first lien mortgages (multifamily, seniors housing, student housing) for acquisition rehabilitation/ upgrade, acquisition, or refinance Multi-Asset Crossed Facility Immediate funding for acquisition or refinance of portfolio of assets

Type of Funding

Funding is up to 15 days after lender closing Conventional first lien mortgages (multifamily, seniors housing, student housing) for acquisition rehabilitation/upgrade, acquisition, or refinance

Collateral

Available for Securitization Minimum DCR/ Maximum LTV Fixed- or Floating-Rate Cross-collateralization

Yes Per defined parameters of product selected Both available Individual loans will be non-crossed (noncoterminous) but will consider a crossed feature on an exception basis (coterminous) Underlying mortgages assumable if removed from facility; facility not assumable Substitutions, assumptions, and supplemental loan features may be available depending upon combination of products selected May be applicable Fixed-rate, floating-rate, capped floating-rate, acquisition rehabilitation, acquisition upgrade, acquisition, refinance, extended early rate-lock, or standard delivery

Yes Per defined parameters of product selected Both available Loans will be crosscollateralized/defaulted (coterminous)

Assumptions

Underlying mortgages assumable if removed from facility; facility not assumable Substitutions, assumptions and supplemental loan features may be available depending upon combination of products selected May be applicable depending on negotiated terms Floating-rate, or a combination of fixed- and floating-rate

Other Features

Annual Valuation Pricing

For more information, visit FreddieMac.com/multifamily

The information in this document is not a replacement or substitute for information found in the Freddie Mac Multifamily Seller/Servicer Guide. Terms set forth herein are subject to change without notice. Pub. Num. 779 December 2012

Conventional Structured Transactions (continued)

Product Summary Fees Revolving Credit Facility Transaction fee, mortgage review fee, collateral addition fee, substitution/release fee, unused facility fee, seasoning fee, termination fee, legal fee Multi-Asset Flow Facility Transaction fee, application fee, mortgage review fee, collateral addition fee, substitution/assumption/release fee, legal fee Multi-Asset Crossed Facility Transaction fee, mortgage review fee, substitution/ assumption/ release fee, legal fee

Borrower Profile

Active borrowers with regional and/or national presence, high net worth and liquidity (relative to the facility)

Loan-to-Value (LTV) Ratio and Interest-Only Debt Coverage Ratio (DCR)

REVOLVING CREDIT FACILITY
Multifamily Housing Student Housing Seniors Housing Independent Living Seniors Housing Assisted Living1
1

Floating-Rate Full-Term Interest-Only Maximum LTV / Minimum DCR 75% / 1.45x 75% / 1.50x 75% / 1.50x 75% / 1.60x

With no skilled nursing beds.

In addition to the above referenced products, the Structured Transactions team can execute efficiently on crossed or uncrossed bulk pools of loans that include the following features: Assets located in three or more regions Large aggregate balance pools that consist of at least ten or more loans All single-sponsor securitizations

With respect to these transactions, Sellers are encouraged to call either their Freddie Mac regional representative or one of our Structured Transactions specialists. Freddie Mac will always look to enhance the customer experience by offering the most efficient execution whether the loan opportunity comes to us through the regional offices or the Structured Transactions group, leveraging our core competencies and skill sets that exist across the organization.

For more information, visit FreddieMac.com/multifamily

The information in this document is not a replacement or substitute for information found in the Freddie Mac Multifamily Seller/Servicer Guide. Terms set forth herein are subject to change without notice. Pub. Num. 779 December 2012 Page 2