Kiavi closes $300 million revolving securitization of residential transition loans

Tech-enabled lender's transaction was significantly oversubscribed due to strong interest from institutional investors 

SAN FRANCISCO, May 10, 2024 /PRNewswire/ -- Kiavi, a leading provider of capital to residential real estate investors, today announced it closed a $300 million unrated securitization of residential transition loans ("RTLs"). This marks Kiavi's 17th transaction under its LHOME shelf, bringing the company's total issuance to more than $4.3 billion in offered notes since it began its securitization program in 2019.

The transaction garnered significant interest from a broad set of institutional investors, resulting in oversubscription across all classes. The offered notes are in three classes, A1, A2, and M, all of which were sold. Consistent with prior LHOME transactions, the deal includes a two-year revolving period, during which principal payoffs can be reinvested to purchase additional newly originated loans.

"This additional capital fuels our continued growth, enabling us to help even more real estate investors scale their businesses," said Arvind Mohan, CEO of Kiavi. "Because of our advanced data models, technology platform, and consistent track record of performance, we continue to see significant institutional demand for Kiavi's RTL assets," he added.

Kiavi had a very strong start to the year. The tech-enabled lender originated $1.66 billion in fix-and-flip/bridge loans in the first four months of 2024, a 40% increase over the same period in 2023, and recently expanded into construction financing.

Kiavi is one of the top lenders to real estate investors in the United States. The company's technology platform, data-driven approach, and leading capital execution allow Kiavi to provide real estate investors with a transparent online experience, competitive pricing, and reliable capital to scale their businesses.

Barclays Capital, Inc. (Barclays) was the sole structuring agent of the deal. Barclays, Nomura Securities International, Inc., and Performance Trust Capital Partners, LLC were joint bookrunners and co-lead managers on the transaction.

About Kiavi
With $19.2 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 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. 

SOURCE Kiavi Inc.