2014 was another strong year for affordable housing lending as multifamily properties, with their strong occupancy levels, continue to be seen as strong investments.

ROEM Development Corp.'s Jasmine Garden Apartments in Compton, Calif., offers 164 one-, two-, three-, and four-bedroom apartments for families earning no more than 60% of the area median income. The community has undergone a $13 million occupied renovation, with Citi Community Capital originating a $25 million cash mortgage through the Freddie Mac Mod Rehab Program and directly purchasing $19 million in short-term escrow to secure private-activity tax-exempt bonds that enabled the project to qualify for over $10.5 million in 4% low-income housing tax credits.
Tali Litmanovitz ROEM Development Corp.'s Jasmine Garden Apartments in Compton, Calif., offers 164 one-, two-, three-, and four-bedroom apartments for families earning no more than 60% of the area median income. The community has undergone a $13 million occupied renovation, with Citi Community Capital originating a $25 million cash mortgage through the Freddie Mac Mod Rehab Program and directly purchasing $19 million in short-term escrow to secure private-activity tax-exempt bonds that enabled the project to qualify for over $10.5 million in 4% low-income housing tax credits.

Affordable Housing Finance’s Top 25 lenders of 2014 provided more than $17.7 billion in construction loans for affordable housing and permanent loans for 9 percent low-income housing tax credit projects, Sec. 8 housing, and bond credit enhancements. The volume is up from the $17.3 billion reported by the Top 25 lenders of 2013. The annual list was compiled through surveys submitted by lenders in January.

Citi Community Capital continued its reign in the No. 1 spot for its sixth consecutive year, lending $3.2 billion in 2014, which is up from $2.6 billion the previous year.

Wells Fargo also had a strong year, reporting $2.8 billion in lending, up from $1.7 billion in 2013.

Rounding out the Top 5 are Bank of America Merrill Lynch with $1.7 billion, JPMorgan Chase Bank with $1.3 billion, and Capital One Bank with $785 million.

“Lenders view the multifamily market as being low risk and continue to ramp up production goals,” says Edward J. Sigler, senior vice president at JPMorgan Chase Bank.

The Top 25 lenders for 2014 are:

  1. Citi Community Capital: $3,222.4 million
  2. Wells Fargo: $2,788.4 million
  3. Bank of America Merrill Lynch: $1,750.0 million
  4. JPMorgan Chase Bank: $1,287.0 million
  5. Capital One Bank: $785.0 million
  6. Oak Grove Capital: $748.5 million
  7. U.S. Bank: $690.0 million
  8. Walker & Dunlop: $588.1 million
  9. Prudential: $518.8 million
  10. Red Stone Tax Exempt Funding: $510.0 million
  11. Greystone Servicing Corp. : $505.0 million
  12. PNC Real Estate: $497.9 million
  13. Stifel, Nicolaus & Co., Merchant Capital Division: $469.4 million
  14. Hunt Mortgage Group: $466.8 million
  15. SunTrust Community Capital: $437.0 million
  16. RBC Capital Markets: $416.3 million
  17. Red Capital Group: $375.1 million
  18. Pillar Finance: $349.4 million
  19. Rockport Mortgage Corp.: $340.1 million
  20. PR Mortgage & Investments: $215.9 million
  21. Dougherty Mortgage: $204.2 million
  22. Lancaster Pollard: $186.3 million
  23. Love Funding: $165.3 million
  24. Bellwether Enterprise Real Estate Capital: $123.2 million
  25. Century Housing Corp.: $118.9 million

The top lenders’ forecast for 2015 is featured in the March issue of Affordable Housing Finance.