Kiavi, a San Francisco-based lender to residential real estate investors, said Tuesday it has completed a $400 million rated residential transition loan (RTL) securitization in an “oversubscribed” transaction.
The transaction marks Kiabi's 19th securitization, bringing total issuance to over $5 billion since the launch of its securitization program in 2019, with $1.4 billion in 2024 alone.
The loans in the securitization were primarily investment real estate loans intended to be used to renovate and resell the properties. Like previous transactions, the transaction included a two-year revolving period during which principal payments could be reinvested into new loans.
Kiavi CEO Arvind Mohan said in a statement that the Morningstar DBRS rating will enable the company to attract a “wider range of institutional investors,” including first-time investors.
Ultimately, the securitization was oversized by $100 million and “multiple times oversubscribed,” the company said. The notes are backed by 659 mortgages with an aggregate principal balance of approximately $168 million.
Nomura Securities International acted as lead manager for the transaction. Nomura, Barclays Capital and Performance Trust Capital Partners acted as joint bookrunners and joint lead managers.
In terms of previous securitizations, the company announced a $350 million bundle of RTL in February, a $300 million deal in May, followed by a $350 million deal in July.
The company said it has provided more than $21 billion in loans.
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