FREDDIE MAC AND HOLIDAY FENOGLIO FOWLER COMPLETE $85 MILLION TRANSACTION

Pool Of Mortgages Is Secured by 11 Properties in Texas, Louisiana and Arizona

McLean, VA – Freddie Mac and Holiday Fenoglio Fowler (HFF) announce the completion of an $85 million, cross-regional transaction on 11 properties, using Freddie Mac's standard Early Rate-Lock execution for the borrower, Tonti Properties, a real estate company based in Dallas, TX.

The pool of mortgages is secured by 11 properties comprising 2,440 units in Texas, Louisiana, and Arizona. One of the properties, Cypress Lake, is located on the Lake Pontchartrain Causeway, 30 minutes north of downtown New Orleans. This property sustained minimal damage resulting from minor flooding from Hurricane Katrina. Three buildings and a total of 16 units were affected. As of mid-September, all repairs had been completed. Freddie Mac rate-locked on this property and the other ten properties prior to Hurricane Katrina.

"We were able to delegate the inspection, and because the property had been repaired after suffering damage, we were able to complete the transaction on the original closing date. Overall, there was a lot of synergy involved, with all regions working well together in a timely manner to meet the borrower's needs," said Richard Martinez, Freddie Mac's Central Regional Office managing director.

"Freddie Mac did a fantastic job coordinating between three regions to facilitate this financing. They came up with a very flexible structure to accommodate a lot of the borrower's requests," said John Brownlee, a senior managing director of HFF.

"Not only did Freddie Mac offer flexibility, but they demonstrated it in personal meetings with the borrower, which made a big difference in securing the transaction," said Patrick Kinlan, a senior managing director of HFF. "I can't say enough about the folks in Freddie Mac's Central Region office, and how they took the lead in facilitating this transaction."

Since the introduction of the Freddie Mac Program Plus network of multifamily loan originators and servicers in 1993, Freddie Mac has provided financing for over 40,000 multifamily properties totaling more than $100 billion.

Freddie Mac is a stockholder-owned corporation established by Congress in 1970 to support homeownership and rental housing. Freddie Mac purchases single-family and multifamily residential mortgages and mortgage-related securities, which it finances primarily by issuing mortgage passthrough securities and debt instruments in the capital markets. Over the years, Freddie Mac has made home possible for one in six homebuyers and nearly four million renters.

###