Fannie Mae Prices $1.07 Billion Multifamily DUS REMIC (FNA 2021-M4) Under Its GeMS Program

Rhea-AI Summary

Fannie Mae priced a $1.07 billion Multifamily DUS REMIC under its Fannie Mae Guaranteed Multifamily Structures (GeMS) program on February 10, 2021. The issuance, FNA 2021-M4, represents the third GeMS issuance of the year. Dan Dresser noted that the offering provided a low premium investment opportunity with a diverse investor base. All classes are backed by Fannie Mae, ensuring timely payment of interest and principal. The total original face amount for the issuance is $1,066,336,728, with key collateral features highlighted.

Positive

• Successful pricing of $1.07 billion Multifamily DUS REMIC.
• Diverse investor interest in the issuance.
• Guaranteed full payment of interest and principal by Fannie Mae.
• Favorable terms with low premium investment opportunities.

Negative

• None.

WASHINGTON, Feb. 11, 2021 /PRNewswire/ -- Fannie Mae (OTCQB: FNMA) priced a $1.07 billion Multifamily DUS^® REMIC under its Fannie Mae Guaranteed Multifamily Structures (Fannie Mae GeMS™) program on February 10, 2021. FNA 2021-M4 marks the third Fannie Mae GeMS issuance of 2021.

"This week's M4 is backed by call-protected DUS 10-year fixed-rate collateral and offered investors a tight window, low premium investment opportunity," said Dan Dresser, Senior Vice President, Multifamily Capital Markets & Pricing. "As Agency CMBS spreads continue to grind tighter this year, we were pleased with the diversity of investors in the order book."

All classes of FNA 2021-M4 are guaranteed by Fannie Mae with respect to the full and timely payment of interest and principal. The structure details for the multi-tranche offering can be found in the table below:

Class	Original Face	Weighted Average Life	Coupon (%)	Coupon Type	Spread	Offered
						Price
A1	$110,358,000	6.52	0.959	Fixed	S+14	100
A2	$855,978,728	9.87	1.466	WAC	S+20	100.77
A3	$100,000,000	9.92	1.386	Fixed/AFC	Not Available	Not Available
X	$110,358,000	6.49	0.507	WAC IO	Not Offered	Not Offered
X3	$100,000,000	9.42	0.08	WAC IO	Not Offered	Not Offered
Total	$1,066,336,728

 

Group 1 Collateral
UPB:	$1,066,336,728
Collateral:	120 Fannie Mae DUS MBS
Geographic Distribution:	TX (19.69%), CA (16.68%), FL (13.62%)
Weighted Average Debt Service Coverage Ratio (DSCR):	1.8x
Weighted Average Loan-to-Value (LTV):	64%

For additional information, please refer to the Fannie Mae GeMS REMIC Term Sheet (FNA 2021-M4) available on the Fannie Mae GeMS Archive page.

About Fannie Mae
Fannie Mae helps make the 30-year fixed-rate mortgage and affordable rental housing possible for millions of people in America. We partner with lenders to create housing opportunities for families across the country. We are driving positive changes in housing finance to make the home buying process easier, while reducing costs and risk. To learn more, visit:
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Certain statements in this release may be considered forward-looking statements within the meaning of federal securities laws. In addition, not all securities will have the characteristics discussed in this release. Before investing in any Fannie Mae issued security, you should read the prospectus and prospectus supplement pursuant to which such security is offered. You should also read our most current Annual Report on Form 10-K and our reports on Form 10-Q and Form 8-K filed with the U.S. Securities and Exchange Commission ("SEC") available on the Investor Relations page of our Web site at www.fanniemae.com and on the SEC's Web site at www.sec.gov.

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SOURCE Fannie Mae

FAQ

What is the amount priced for Fannie Mae's DUS REMIC FNA 2021-M4 issued on February 10, 2021?

The amount priced for Fannie Mae's DUS REMIC FNA 2021-M4 is $1.07 billion.

What does the Fannie Mae GeMS program entail regarding the REMIC issued?

The Fannie Mae GeMS program involves guaranteed multifamily securities, ensuring timely payment of interest and principal.

What notable features does the FNA 2021-M4 REMIC have?

FNA 2021-M4 includes call-protected DUS 10-year fixed-rate collateral and a diverse investor order book.

When was the FNA 2021-M4 REMIC priced?

The FNA 2021-M4 REMIC was priced on February 10, 2021.