INDIANA — Mortgage banking company Merchants Capital, along with Merchants Bank of Indiana (MBI), have secured $262 million in financing for 15 workforce housing properties through a Freddie Mac-sponsored Q-Series transaction. The Freddie Mac program provides increased liquidity to enable financial institutions to continue to support affordable and workforce housing. This transaction marks only the 15th deal completed under the Q platform. MBI will retain the equity and the interest-only securities from the transaction, and Merchants Capital will continue to sub-service the loans in the pool.
Of the portfolio of properties, 99.5 percent have units restricted to 80 percent of area median income (AMI), 70.5 percent of units are under 60 percent AMI and 42.3 percent of units are under 50 percent AMI. The 15 loans came from across the country but were concentrated around Indiana and the Midwest.