Harbor Group International (HGI), a privately-owned international real estate investment and management firm, has secured a $180 million commitment from CPPIB Credit Investments Inc., a subsidiary of Canada Pension Plan Investment Board (CPPIB), to support Freddie Mac’s Supplemental Loan, or “KJ” program.
CPPIB, a C$400.6 billion ($300.2 billion) global investment management organization, together with HGI affiliates and HGI third-party investors, will invest an estimated $250 million into the subordinated class B tranche of certain future Freddie Mac supplemental loan securitizations, known as the KJ series.
“This investment in the Freddie Mac KJ program gives CPPIB additional access to the strong underlying fundamentals of the multifamily real estate sector in the United States,” said Geoff Souter, managing director and head of real assets credit at CPPIB.
HGI has been granted the exclusive rights to purchase the B-piece for any securitized fixed-rat
