New Jersey Community Capital (NJCC), a nonprofit community development financial institution, is the winning bidder on Fannie Mae’s recent auction of a community impact pool of nonperforming loans (NPLs).
NJCC – which was the winning bidder on the first community impact pool of NPLs auctioned by Fannie Mae in September 2015 – purchased the loans through its affiliate, the Community Loan Fund of New Jersey Inc.
Fannie Mae’s community impact pools are structured to attract diverse participation from nonprofits, smaller investors, and minority- and women-owned businesses.
The cover bid price for this pool was 50.51% of unpaid principal balance (69.00% of the broker’s price opinion). The average loan size was $250,209, and the average note rate was 5.83%. The average delinquency rate was more than five years (approximately 69 months), with an average broker’s price opinion loan-to-value ratio of 137%.
The transaction is expected to close on April 21 and includes 53 loans on properties in the Miami area with an unpaid principal balance of approximately $13.2 million, Fannie Mae says in a release.