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Posts Tagged ‘Costar’

NorthStar Selling Manufactured Home Community Portfolio for $2.04B

May 13th, 2016 Comments off

TriStar Estates mhc

Following a story MHProNews posted May 11, 2016 regarding manufactured home community (MHC) owner NorthStar Realty Finance Corp., costar reports NorthStar is selling its portfolio of 135 manufactured home communities to a fund managed by Brookfield Asset Management Inc. for $2.04 billion, 33,010 home sites, the equivalent of $61,800 per site.

Brookfield is also assuming $1.27 billion of outstanding mortgage notes saddling the portfolio. The portfolio also includes manufactured homes as well as receivables for MH sold to residents. Brookfield has paid a non-refundable deposit of $50 million to seal the agreement, which should be finalized in the second half of 2016. The sale will net NorthStar $620 million.

In Q1 2016 NorthStar divested itself of a $900 million portfolio of senior housing assets, netting $150 million. Additionally, NorthStar is in various stages of negotiations to sell 10 multifamily properties, its health care real estate portfolio, and a portion of its medical office building portfolio. ##

(Photo credit: Tri-Star manufactured home community)

matthew-silver-daily-business-news-mhpronews-comArticle submitted by Matthew J Silver to Daily Business News-MHPronews.

NorthStar Spinning off Manufactured Home Community Portfolio

May 11th, 2016 Comments off

colony_capitalMHProNews has learned that Colony Capital Inc., a Los Angeles-based international investment and asset management firm, is negotiating to acquire NorthStar Asset Management Group, Inc. which split off from NorthStar Realty nearly two years ago, resulting in the decline of both stocks. NorthStar Realty is a real estate investment trust (REIT). Colony intends to merge the two entities back together, saying the combination would generate “substantial revenue and expense synergies,” according to costar.

NorthStar Realty invested $1.8 billion in 136 manufactured home communities (MHC), among other investments, and is a stock MHProNews follows in our daily stock report. However, NorthStar trimmed its assets during the first quarter of 2016, selling a $900 million portfolio of senior housing assets to repurchase its common stock and reduce debt.

Additionally, following the end of Q1, NorthStar reached an agreement to unload its manufactured housing communities portfolio for $2.04 billion, which will bring net proceeds of $620 million. ##

(Image credit: Colony Capital)

matthew-silver-daily-business-news-mhpronews-comArticle submitted by Matthew J. Silver to Daily Business News-MHProNews.

Manufactured Housing Included in GSE Lending

February 2nd, 2016 Comments off

mortgage app  housingwire creditHitting a record high of nearly $90 billion in multifamily lending in 2015, the government sponsored enterprises (GSEs), Fannie Mae and Freddie Mac, are poised to hit another new lending record this year as their volume lending caps are adjusted by the government.

Freddie Mac topped the two multifamily lenders with $47.3 billion in loan purchase volume, spiking from $28.3 billion in 2014, according to what costar tells MHProNews. Ninety percent of the $42.3 billion in financing provided by Fannie Mae to the multifamily market in 2015 supported 569,000 units of multifamily housing.

Said David Brickman, executive vice president of Freddie Mac Multifamily: Our financing is in every corner of the multifamily market and more diverse than ever, reaching into small balance loans, manufactured housing communities, seniors, student and government subsidized properties. We are focused on increasing the availability of mortgage capital, especially to the affordable and workforce housing sectors where demand continues to far outstrip supply.”

Roughly $17 billion was not subject to the Federal Housing Finance Agency’s $30 billion cap and included loans for manufactured housing, senior housing, affordable housing and smaller multifamily housing.

Of the total 2015 multifamily production, manufactured housing communities accounted for $786 million, an increase of 58 percent over the $496 million in 2014.

Melvin L. Watt, director of the FHFA, says the agency will maintain the $30 billion cap for the GSEs in 2016, and will perform a quarterly review of the market to determine if adjustments are necessary. He said, “We will continue to exclude from the cap loans for affordable properties, including those in higher-cost areas. We will also continue to exclude certain loans for manufactured housing communities, as well as seniors housing and small multifamily properties affordable to low-income tenants.” ##

(Image credit: housingwire)

matthew-silver-daily-business-news-mhpronews-comArticle submitted by Matthew J. Silver to Daily Business News-MHProNews.

Final “Duty to Serve” Rule Planned; Average MHC Site Cost Nearly Doubles in 18 Months

October 22nd, 2015 Comments off

federal_housing_finance_agency__logoRecalling a story MHProNews posted Sept. 5, 2014 regarding Mel Watt, then the new FHFA head, who said the “duty to serve” (DTS) rule as it impacts manufactured housing will be “revisited,” now says, In 2016, we also plan to finalize a Duty to Serve rule, which will encourage Fannie Mae and Freddie Mac to innovate responsibly in the areas of affordable housing preservation, housing in rural areas, and manufactured housing.

The sector has seen an upward trend in occupancy and improvement in rent growth since 2012. The trend is likely to continue in the near to mid-term as demand for affordable housing is expected to increase,” according to Watt.

MHPronews reported Oct. 16, 2015 that Freddie Mac multifamily has financed $1 billion in MHC loans in 18 months, representing over 25,000 home sites. During those 18 months, according to costar, “The average sale price per manufactured home site has jumped from $19,144 to $32,092 per pad site,” according to CoStar COMPs data.

Kelly Brady, Freddie Mac’s multifamily vice president, stated “MHC loans are an example of how we are serving new geographic markets where added liquidity is critical and where manufactured housing provides an important source of affordable rental housing, especially in rural and non-metro areas.

Freddie Mac’s research indicates occupancy in MHCs has increased in the last six years. In last month’s multi-family outlook, Freddie noted MH offers a less expensive alternative to most conventional multifamily and single-family rental units. ##

(Image credit: Federal Housing Finance Agency)

matthew-silver-daily-business-news-mhpronews-comArticle submitted by Matthew J. Silver to Daily Business News-MHProNews.

Single-family Renter Households more Likely to Buy

September 28th, 2015 Comments off

buy_vs_rent__photobucket__creditA June 2015 Freddie Mac survey reveals that 55 percent of renters of both single-family homes and multifamily homes plan to continue renting in the next three years, although 67 percent of multifamily renters and 60 percent of single-family renters say they are satisfied with their rental experience.

However, 53 percent of single-family renters expect to buy a home within the next three years as opposed to 36 percent of multifamily renters, according to CoStar‘s Mark Heschmeyer, as reported in multifamilyexecutive.

MHProNews has learned that according to U. S. Census Bureau data, there are 15 million household renters and 25 million apartment renters.

As we gather data each quarter, we are finding the old perception that renting is something people do until they buy is not always true. The trend shows that satisfied renters are more likely to continue renting, even as we are seeing rising rents in the market,” said David Brickman, executive vice president of Freddie Mac Multifamily. “Dissatisfaction may drive renters to buy, and we are seeing a slight decrease in satisfaction among single-family renters. We will continue to monitor this for stronger indicators and trends, but for now, the single-family rental home market may be a good place to look to find potential home buyers.

Noting that renter households have increased for the tenth straight year, Brickman adds that households of all ages, sizes and income levels are now renting, and he expects this household formation trend to continue due to the improving economy, Millennials moving into their own homes and immigration. ##

(Image credit: photobucket)

matthew-silver-daily-business-news-mhpronews-comArticle submitted by Matthew J. Silver to Daily business News-MHProNews.

FHFA Stretches Multifamily Affordable Housing Lending Categories

May 15th, 2015 Comments off

housing market  costar  credit    5 2015Both of the government-sponsored enterprises (GSEs), Fannie Mae and Freddie Mac, operate under a $30 billion cap for purchases of multifamily loans, according to costar. Since they each hit $10 billion in the first quarter, they would max out by the third quarter, leaving no available funds to finance deals in the latter half of the year.

Fortunately, the Federal Housing Finance Agency (FHFA), while not raising those caps, adjusted the affordable housing lending exclusions so that multifamily loan amounts purchased by the GSEs will cover the percentage of units in a property that are considered affordable to renters at 60 percent of the area median income.

In addition to continue excluding manufactured housing rental communities from the caps, as MHProNews reported April 21, 2015, the FHFA also excluded assisted living units for seniors providing they are affordable at 80 percent of the area’s median income. In very higher cost areas, the threshold will be raised to 80 percent of the area’s median income, and even to 100 percent in areas where renters spend a higher percentage of their income on rent.

FHFA Director Melvin L. Watt says, “By responding to continued strong growth in the overall multifamily finance market and making these adjustments, we have sought to achieve two objectives – facilitating ongoing liquidity in the multifamily market and further encouraging the enterprises’ involvement in affordable rental housing.

Additionally, exclusions from the previous caps only covered government subsidized rental units, but under the revisions, some conventional market-rate units may also be considered “affordable.” ##

(Image credit: costar)

matthew-silver-daily-business-news-mhpronews-comArticle submitted by Matthew J. Silver to Daily Business News-MHProNews.

Freddie Mac to Work with Experienced MHC Lenders

May 16th, 2014 Comments off

Regarding Freddie Mac’s decision to begin purchasing and securitizing manufactured housing community (MHC) loans as MHProNews.com posted here May 1, 2014, costar.com reports these will be commercial loans made to the community owners. David Brickman, Freddie Mac Multifamily executive vice president, said, “Manufactured housing communities are an affordable housing option for many low-income individuals, especially in rural communities where affordable apartments are less prevalent. Our financing can help to increase debt capital to rural areas and help provide housing options for underserved populations. Nearly half of nation’s manufactured homes are located in rural, non-metropolitan areas.” Initially the government-sponsored enterprise (GSE) will work with experienced MHC lenders and add other lenders farther along. As MHProNews understands, it plans to deal with professionally-managed communities. ##

(Photo credit: TriStar Estates)

UMH bags 3 in Tennessee, MHCs that is

September 9th, 2011 Comments off

UMH_Properties_LogoCostar reports that UMH Properties, Inc. acquired three manufactured home communities.  Trailmont is located at 1341 Dickerson Pike in Goodlettsville, TN; Shady Hill located at 1508 Dickerson Pike in Nashville, TN; and Countryside Village at 200 Early Rd. in Columbia, TN, for $13.3 million, or about $19,200 per home site. The three manufactured home communities consist of 110 acres and total 693 combined home sites. The properties are located in the West, Rivergate/Hendersonville, and Maury County submarkets.

(Editor’s note: UMH Properties is a publicly traded company tracked by the market reports in our Daily Business News here at MHProNews.com.)

(Graphic credit: UMH Logo)