Freddie has funded an $11 million transaction that will finance 91 affordable single- family rental homes in Dallas, Fort Worth and Arlington Texas.

Working with its Seller-Servicer A10 Capital, the transaction is part of Freddie Mac’s affordable single-family rental pilot that is sunsetting in 2019. Of the 91 homes in the transaction, 66 percent are affordable to very low-income families earning 50 percent of area median income or less.

Fully 95 percent are affordable to low-income families earning 80 percent of AMI or below and all of the properties are affordable to families earning AMI or below. Moreover, nearly 70 percent of the homes already have a Section 8 Housing Assistance Program contract in place, which ensures continued affordability for those who need it most.

“We have used our limited capacity within the single-family rental pilot to provide liquidity to quality portfolios in areas with significant affordability needs, and this transaction is a great example,” said David Leopold, vice president of targeted affordable sales and investments at Freddie Mac Multifamily. “The result is that we have been able to deliver quality, affordable homes to low- and very low-income residents of these Texas communities.”

The properties are owned by Alex Hemani, an approved Section 8 landlord who has been investing in affordable housing in the Dallas area since 2006. He is committed to impact investing and providing affordable housing to help build strong communities. Hemani is a leader in the single-family rental market and has been successful due to his intimate involvement in the complete life cycle of his properties. A significant number of his properties are in the affordable housing space.

“We are pleased that Alex Hemani chose A10 Capital to deliver his portfolio financing needs. This transaction is an excellent example of the lending opportunities that A10 has been pioneering for over 10 years,” said Jerry Dunn, CEO of A10 Capital.