- PGIM provided $619M in agency-backed fixed-rate financing through a two-part portfolio structure for HHHunt Corporation’s 15 multifamily properties.
- The deal was split into two tranches — a $412.8M Freddie Mac-backed “10-Pack” and a $206.2M Fannie Mae-backed “5-Pack” — enabling HHHunt to re-lever its portfolio while securing a cash-out at closing.
- The portfolio includes 4,237 units across six states, ranging from mid-rise to garden-style assets, with construction vintages spanning from 2001 to 2023.
Innovative Deal Structuring
PGIM’s real estate lending arm has arranged a $619M financing package for HHHunt Corporation, per PGIM’s website. The borrower is a regional multifamily owner-operator. The deal was structured creatively in two parts, utilizing both Freddie Mac and Fannie Mae. The financing helped the borrower unlock equity while maintaining long-term fixed-rate stability.
The deal was executed in two phases. First, a larger Freddie Mac 10-asset portfolio closed, generating cash-out proceeds. Those proceeds supported the closing of the Fannie Mae 5-asset portfolio, which occurred one week later. This sequencing provided HHHunt with optimized portfolio leverage and liquidity.
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The Properties
The 15 properties span across North Carolina, South Carolina, Virginia, Maryland, Tennessee, and Georgia. Combined, they total over 4,200 apartment units, featuring both garden-style and mid-rise formats. Developers built the communities between 2001 and 2023. This range reflects a mix of stabilized properties and newer assets within the portfolio.
What They Said
PGIM Real Estate underscored its strategic expertise in executing complex financings through agency platforms. Lee McNeer, Executive Director at PGIM, highlighted the firm’s ability to create value through creative structuring: “This transaction showcases the power of PGIM Real Estate’s Agency platform… The two-step structure allowed us to unlock significant value for the borrower.”
From the borrower’s side, HHHunt praised the execution and outcomes. Brian Myers, Vice President of Finance, said the dual-agency structure provided the flexibility and stability they were aiming for: “The Freddie Mac and Fannie Mae solutions let us unlock portfolio equity, secure long-term stability, and hit our risk targets — all on schedule.”
The deal succeeded thanks to strong collaboration between both firms and their shared focus on strategic outcomes. As a result, both teams executed the financing smoothly and ensured it aligned with the borrower’s long-term goals.
Why It Matters
This financing highlights ongoing investor demand for stabilized multifamily assets in the Southeast US Institutional players, in particular, continue to favor these assets. Many are leveraging agency debt strategies to capitalize on long-term stability. It also reflects growing sophistication in portfolio financing structures as owners seek to re-lever amid shifting capital markets.
Looking Ahead
As multifamily operators seek capital-efficient growth, deals like PGIM’s financing for HHHunt may become a template for portfolio recapitalizations. The firm’s dual-agency approach could see increased use as borrowers look to blend liquidity with long-term debt security.
