Kiavi closes $300 million rated securitization of residential transition loans, adding up to $1 billion of funding capacity
Tech-enabled lender's fourth rated securitization was significantly oversubscribed due to significant investor interest and strong brand reputation for consistent performance
PITTSBURGH, May 12, 2025 /PRNewswire/ -- Kiavi, a leading tech-enabled lender to residential real estate investors, today announced it closed a $300 million rated securitization of residential transition loans ("RTLs"). This is Kiavi's fourth rated securitization and 22nd transaction under its LHOME shelf, bringing its total to over $6 billion in offered notes since it began its securitization program in 2019.
Due to substantial interest from a broad set of institutional investors, including five first-time investors, the deal was significantly oversubscribed. The offered notes were in A1, A2, and M1 classes, which were all sold, as well as a M2 class, which was pre-placed. The deal includes a two-year revolving period, during which principal payoffs can be reinvested to purchase additional newly originated loans, creating a projected $1 billion in additional funding capacity.
"Kiavi's data advantage, technology platform, and AI-powered processes allow us to provide real estate investors with the fast, reliable capital they need to scale their businesses while delivering consistent risk-adjusted returns to our capital partners," said Arvind Mohan, CEO of Kiavi. "This transaction is yet another testament to the strength of Kiavi's brand and reputation, as our RTL assets continue to generate significant institutional investor demand despite the volatile macroeconomic climate. Adding an additional $1 billion of projected funding capacity will further bolster our growth so we can continue to empower real estate investors nationwide," he concluded.
Morningstar DBRS provided a credit rating on the deal. Nomura Securities International, Inc., ("Nomura") was the sole structuring agent. Nomura, Barclays Capital, Inc. and Performance Trust Capital Partners, LLC were joint bookrunners and co-lead managers on the transaction.
This deal comes on the heels of a record start to the year for Kiavi. In the first four months of 2025, Kiavi originated a record $2.5 billion in loan volume across its various products, a 36% increase over the same period last year, and set a monthly volume record in April with $730 million in loan originations. In addition, Kiavi recently expanded into 13 additional states, broadening its reach to serve real estate investors in 45 states and Washington, D.C., and launched an After Repair Value (ARV) and Cash-to-Close Estimator tool to help investors instantly assess the post-renovation value and ROI potential of a deal.
Kiavi is a top lender to residential 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.
About Kiavi
With more than $27 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.
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SOURCE Kiavi Inc.