Fix and flip private lender Kiavi has closed a $400 million rated securitization of residential transition loans, locking in up to $1.3 billion of funding capacity.
The tech-enabled lender’s fifth rated securitization was five times oversubscribed due to significant demand from both new and repeat institutional investors.
It was the 23rd transaction under Kiavi’s LHOME shelf, bringing its total to over $6.4 billion in offered notes since 2019.
The offered notes were in A1, A2, M1, and M2 classes, which were all sold. The deal includes a two-year revolving period, allowing principal payoffs to be reinvested by purchasing additional newly originated loans.
“Closing our largest deal in almost a year with such strong demand amid a challenging macroeconomic backdrop demonstrates the confidence investors have in Kiavi and our ability to generate risk-adjusted returns for our capital partners,” says Arvind Mohan, CEO of Kiavi, in a release. “Kiavi’s data advantage, technology platform, and AI-powered processes – paired with this additional $1.3 billion of projected funding capacity – will enable us to provide even more real estate inventors with the transparency, confidence, speed, and capital they need to combat the housing shortage by creating move-in ready homes across the nation.”
Photo: Pepi Stojanovski
