The Top Freddie Mac Optigo Multifamily Lenders of 2021 Included Berkadia, CBRE, and JLL
Freddie Mac originated nearly $70 billion of multifamily loans in 2021 through a variety of multifamily loan programs, including conventional loans, small balance loans, targeted affordable housing, seniors housing, and manufactured housing lending programs.
This included $9.6 billion in Targeted Affordable Housing Loans, more than $5.9 billion in Small Balance Loans, and $2 billion in Seniors Housing Loans (including senior-living apartments).
The top Freddie Mac Optigo lenders of 2021 included Berkadia, CBRE, JLL, Walker and Dunlop, CapitalOne, Newmark, Keybank, Wells-Fargo, Greystone, and PGIM Real Estate. In this article, we'll review these Freddie Mac multifamily lenders and how they contributed to Fannie Mae's multifamily financing objectives. It should also be noted that most of these lenders are also among the top Freddie Mac SBL lenders of 2021.
1. Berkadia Commercial Mortgage, LLC: $10,5 Billion
Berkadia Commercial Mortgage ranked first on the list of largest Freddie Mac Optigo lenders of 2021, also originating more than $10 billion of Freddie Mac multifamily loans. Like many other lenders on this list, Berkadia also ranked among the top Fannie Mae multifamily lenders of 2021, scoring the number three spot with an impressive nearly $8 billion in Fannie Mae multifamily loan originations. Berkadia Commercial Mortgage was founded as a 50/50 venture between the companies Jeffries and Berkshire Hathaway. Berkadia was also ranked as the third-largest HUD multifamily lender of 2021.
In addition to its number one ranking for overall Freddie Mac multifamily lending, Berkadia also ranked as the number one conventional lender, the number one affordable housing lender, and the number one Freddie Mac seniors housing lender for 2021. In addition to agency and HUD lending, commercial real estate services the firm provides include investment sales and land services. Berkadia Commercial Mortgage is headquartered in New York City and is currently headed by CEO Justin Wheeler.
2. CBRE Multifamily Capital, Inc.: $9.2 Billion
CBRE Multifamily Capital ranked second on the list of largest Freddie Mac Optigo lenders of 2021, originating more than $9 billion of Freddie Mac multifamily loans. CBRE was also ranked as the largest Freddie Mac SBL lender for that year. In addition, the company ranked second on the list of top Fannie Mae multifamily lenders of 2021, originating $6.8 billion in Fannie Mae multifamily loans. While agency loans are a substantial part of CBRE’s multifamily lending practice, the lender also provides CMBS, HUD/FHA multifamily, and private equity real estate lending services.
In addition to lending, CBRE also offers a wide scope of services, including real estate development consulting, property and investment management, and leasing and appraisal services. The company is a member of the Fortune 500, ranking #122 in 2021. CBRE currently has more than 100,000 employees and announced 2020 revenues of $23.8 billion. CBRE is based in Los Angeles, California, and the company is currently led by CEO Robert Sulentic.
3. JLL Real Estate Capital, LLC: $7.2 Billion
JLL Real Estate Capital originated $7.3 billion in Fannie Mae DUS loans in 2021, placing it number three on this list. JLL was also a top Freddie Mac multifamily lender in 2021, originating $4.3 billion in Freddie Mac multifamily financing, placing it number seven on Fannie Mae’s list of top DUS lenders for that year. In addition to providing Fannie Mae and Freddie Mac multifamily loans, JLL offers other commercial real estate services, including loan sales, investment sales, leasing services, property management services, property marketing, appraisal services, and investment banking services for real estate mergers and acquisitions.
JLL is a publically traded company and a member of the Fortune 500. In 2020, the firm reported earnings of $16.6 billion. JLL is currently led by CEO Christian Ulbrich and is headquartered in Chicago.
4. Walker & Dunlop, LLC: $6.3 Billion
Walker & Dunlop, Inc., was the fourth Fannie Mae DUS lender of 2021, having originated $6.3 billion in Freddie Mac Multifamily loans. In addition to its impressive Freddie Mac lending record, the firm also originated $9.6 billion in Fannie Mae multifamily loans in 2021, making it the number one Fannie Mae DUS lender for that year. In addition to agency lending, Walker & Dunlop also originates HUD multifamily loans.
Walker and Dunlop is also a major servicer, with a current servicing portfolio of over $100 billion. In addition to lending and servicing, the company offers services including asset management, investment management, appraisals, and investment sales. Walker and Dunlop is a publically traded company and a member of the S&P 600. Walker and Dunlop is based in Bethesda, Maryland, and currently lead by chairman and CEO Willy Walker.
5. Capital One, National Association: $4.8 Billion
Capital One issued $4.8 billion in Freddie Mac Optigo loans in 2021, making it the fifth largest lender on this list. The company was also the fifth largest Fannie Mae DUS lender of 2021, originating $3.7 billion in Fannie Mae DUS loans for that year. In addition to its agency lending practice, Capital One is also a major HUD/FHA multifamily lender.
As the ninth-largest bank in the U.S, Capital One is a publically traded company and a member of the S&P 500. As of 2021, it had assets of approximately $220 billion. The company is based in McLean, Virginia, and is currently led by CEO Richard Fairbank.
6. Newmark: $4.6 Billion
Newmark issued $4.6 billion of Freddie Mac multifamily financing in 2021, taking sixth place on this list. The company also issued a substantial amount of Fannie Mae multifamily loans in 2021, originating $4.4 billion in DUS loans, making it the fifth largest DUS lender for that year. In addition to its agency lending practice, Newmark is also an active HUD/FHA multifamily lender.
Newmark was originally referred to as Newmark Knight Frank until it was renamed in October 2020. In addition to multifamily lending, the company also provides investment sales services, appraisal services, property management services, and affordable housing and tax credit advisory services. Newmark is based in New York City and is currently headed by CEO Barry M. Gosin.
7. KeyBank National Association: $3.4 Billion
KeyBank issued $3.4 billion in Freddie Mac Optigo loans in 2021, making it the seventh largest lender on this list by volume. In addition to providing Freddie Mac multifamily financing, KeyBank originates Fannie Mac multifamily loans, originating $3.6 billion in Fannie Mae apartment loans in 2021, making it the tenth largest lender by volume for that year.
KeyBank is the banking subsidiary of KeyCorp, a publically-traded company and a member of the S&P 500. KeyBank is currently led by CEO Chris Gorman and is headquartered in Cleaveland, Ohio.
8. Wells Fargo Multifamily Capital: $3.2 Billion
Wells Fargo Multifamily Capital issued $3.2 billion of Fannie Mae multifamily loans in 2021, ranking eighth by origination volume for that year. Wells Fargo also ranked second on the list of largest Freddie Mac manufactured housing lenders for 2021. The bank also issued $4.4 billion in Fannie Mae DUS loans that year, placing number four on their list of top DUS lenders. In addition to its agency lending practice, Wells Fargo is a HUD multifamily and healthcare lender, originating HUD 221(d)(4), HUD 223(f) loans, and HUD 232 and 232/223(f) loans.
Wells Fargo’s real estate banking division also provides mezzanine loans, bridge loans, and long-term balance sheet financing, as well as direct bond purchases. In addition to these products, the company also connects borrowers with CMBS financing and CRE CLOs from outside lenders.
Wells Fargo is one of the world’s largest banks. It is a publically traded company and a member of the S&P 500. Wells-Fargo is based in San Francisco, California, and is currently led by CEO C. Charles W. Scharf.
9. Greystone Servicing Company, LLC: $3.1 Billion
Greystone issued $3.1 billion in Freddie Mac Optigo loans in 2021, making it the ninth largest Freddie Mac Optigo lender on this list by origination volume. Greystone was also ranked the second largest Freddie Mac SBL lender for that year. In 2021, Greystone also issued $4.3 billion in Freddie Mac multifamily loans, making it the sixth largest lender by origination volume. Greystone also originates HUD multifamily loans, mezzanine loans, and bridge loans for a wide array of commercial real estate investors.
Other services offered by Greystone include investment sales, loan servicing (including special servicing), and structured finance advisory services. Greystone is based in New York City and is currently led by CEO Stephen Rosenberg.
10. PGIM Real Estate: $2.8 Billion
PGIM Real Estate issued $2.8 billion of Freddie Mac multifamily loans in 2021. Unlike every other lender on this list, PGIM did not reach the top ten list of Fannie Mae DUS lenders for 2021. In addition to its agency lending practice, PGIM issues HUD multifamily loans, mezzanine loans, and non-recourse transitional financing. The company which also has a large private equity investment division currently has $80 billion in assets under management and offers a wide scope of investment products offering publicly-traded REITs. PGIM is the investment management division of the financial services giant Prudential Financial, Inc.
PGIM is based in Newark, NJ, and is currently led by CEO David Hunt.