Kiavi closes $200 million revolving securitization of residential transition loans
Transaction illustrates continual investor confidence in Kiavi and RTL asset class performance
SAN FRANCISCO – Aug. 7, 2023 – Kiavi, a leading provider of financing to real estate investors, today announced it closed an approximately $200 million, 24-month-term revolving securitization of unrated residential transition loans (“RTLs”). This is Kiavi’s 13th RTL transaction under its LHOME shelf since it began its securitization program in 2019, bringing the company’s total issuance to more than $3 billion in offered notes.
The securitization includes offered notes in three classes, A1, A2, and M, all of which were sold. The deal includes a two-year revolving period, during which principal payoffs can be reinvested in purchasing additional newly originated loans.
“In a year of macroeconomic uncertainty, underscored by the dynamic interest rate environment and tight housing market, we’re thrilled to announce yet another securitization,” said Arvind Mohan, Chief Executive Officer, Kiavi. “Deals like this not only demonstrate our leadership position in the private lending space, but also highlight our track record and partnership with institutional investors as well as their continual confidence in Kiavi’s underwriting and loan management capabilities,” he added.
In the first half of 2023, Kiavi funded more than $2 billion in loan volume to real estate investors. This included more than 7,300 fix-and-flip and rental property loans to 2,500 customers. Kiavi continues to scale its product suite, most recently by significantly growing its rental portfolio loan product and expanding into financing rental condominium units.
“Kiavi remains committed to supporting our customers as they do the important work of creating move-in ready homes and rental housing for millions of Americans. We look forward to continuing to expand our products and innovate our platform to serve the evolving needs of real estate investors across the nation,” Mohan concluded.
Kiavi has rapidly become one of the top destinations for real estate investors who are looking to buy, renovate, and sell or rent a home. The company's technology-enabled platform, data-driven credit underwriting, and leading capital execution allow Kiavi to provide real estate investors with competitive pricing and reliable capital to scale their businesses.
Nomura Securities International, Inc. (Nomura) was the sole structuring agent of the deal. Nomura, Barclays Capital, Inc. and Performance Trust Capital Partners, LLC were joint bookrunners and co-lead managers on the transaction.
About Kiavi
With $16 billion in funded loans, Kiavi is one of the nation's largest private lenders to residential real estate investors (“REIs”). Kiavi harnesses the power of data & technology to offer REIs a simpler, more reliable, and faster way to access the capital they need to scale their businesses. Formerly known as LendingHome, Kiavi is committed to helping its customers revitalize the approximately $25 trillion worth of aged U.S. housing stock to provide move-in ready homes and rental housing for millions of Americans across the country. For more information, visit www.kiavi.com.
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