DebtX, on behalf of SEBA Professional Services, has been selected to sell a $2.9 billion portfolio of nonperforming residential loans for the Department of Housing and Urban Development.
The residential loans in HUD’s SFLS 2013-1 portfolio will be sold at auction in two parts: a national offering pool and a neighborhood stabilization offering.
The national offering portfolio consists of approximately 12,500 loans with a $2.23 billion unpaid principal balance.
Meanwhile, the neighborhood stabilization offering includes more than 4,000 loans with a $639 million unpaid principal balance. The NSO pools contain loans in targeted distressed areas in California, Florida, Georgia and Ohio.
“This sale is another significant milestone for HUD in achieving its single family loan sale goals,” said Erhiuvie Abu, president and CEO of SEBA Professional Services, based in Washington.
This is not the first time SEBA and DebtX, headquartered in Boston, have sold HUD loans in bulk. Last September, the two financial advisory companies worked together
SEBA said the national offering to acquire the bulk sale of nonperforming loans will be held on March 20, from 11 a.m. to 2 p.m. A week later, the neighborhood stabilization outcome pool offering will be conducted during the same two-hour time block.
“Investors have expressed tremendous interest in HUD’s Distressed Asset Stabilization Program, which continues to represent the best opportunity to acquire assets in bulk,” said Kingsley Greenland, CEO of DebtX. “We anticipate excellent investor participation in this sale.”
