Freddie Mac plans to offer its second K deal backed exclusively by five-year multifamily collateral.
The transaction is expected to price on March 1 and settle on or about March 14.
The government-sponsored enterprise expects to offer about $900 million in K certificates in the offering, K-502, which will be its third K deal this year.
The K-502 certificates include two senior principal-and-interest classes, two senior interest-only classes and a junior interest-only class.
Moody’s and Standard & Poor’s Ratings Services expect to assign their respective top investment grade ratings to the four senior classes of certificates, subject to ongoing monitoring.
Forty-one recently originated loans guaranteed by Freddie back the deal. Lead managers for the offering are Barclays and JPMorgan. Co-managers are Credit Suisse, Jefferies, Merrill Lynch and Morgan Stanley.
Freddie Mac vice president Mitchell Resnick said in a press release that since Freddie offered its first K deal to the market in June 2009, the GSE has offered a total of $46 billion in securities through the structured pass-through securities program.
The agency said last month that its multifamily business surged to a
