The commercial real estate finance Walker & Dunlop Inc. (NYSE: WD) has teamed with the investment firm Pretium on a $250 million strategic joint venture to provide bridge loans for affordable multifamily housing.
According to the companies, the newly launched Walker & Dunlop Affordable Bridge Capital will originate flexible, short-term first-mortgage bridge loans for properties that are being acquired, refinanced, or prepared for long-term government-affordable programs including LIHTC, Section 8, or tax-exempt bonds.
“This joint venture combines our deep affordable housing expertise with Pretium’s capital strength and highly experienced multifamily team, giving clients the ability to act quickly in competitive markets,” said Sheri Thompson, executive vice president and head of affordable housing at Walker & Dunlop. “It is a powerful new tool that offers flexible, interest-only bridge financing with loan sizes ranging from $10 million to $75 million and terms between six to 36 months. It is an impact-driven platform that will help clients accomplish their mission.”
“We designed this joint venture to help address the shortage of quality, affordable housing in communities across America,” added Jonathan Pruzan, co-president of Pretium. “We are proud to partner with Walker & Dunlop to deploy much-needed capital to multifamily owners and developers, leveraging the scale of Pretium’s platform and our expertise in creating innovative real estate financing solutions.”
