J.P. Morgan announced that its Commercial Real Estate Agency & Institutional Capital team has received its Freddie Mac Targeted Affordable Housing (TAH) Optigo lender license.
“Affordable housing is essential to strong communities,” said Michelle Herrick, head of commercial real estate for J.P. Morgan. “This license is a reflection of our shared commitment with Freddie to creating and preserving more affordable housing in our local communities, and reinforces the financial strength, underwriting expertise, and servicing capabilities that are synonymous with the J.P. Morgan name.”
The move expands the firm’s portfolio of long-term financing options for affordable housing and conventional projects.
“We’re really excited about the entire expanded suite of financing options we can now offer under the TAH Optigo license,” John Hofmann, head of agency and institutional capital, told Affordable Housing Finance. “Our partnership with the GSEs [government-sponsored enterprises] means we can provide more tailored solutions to meet the needs of developers and investors focused on affordable housing. Our agency license options, combined with our institutional capital platform, give clients an array of choices to support their projects. For example, we’re able to help clients navigate the complexities of creating and preserving affordable housing by pairing the right capital with their business plans—whether that’s through permanent loans, construction financing, or innovative structures that fit their needs. Ultimately, it’s about helping our clients create and preserve affordable housing and strengthen communities nationwide.”
According to Hofmann, the creation of affordable housing is a firmwide priority and one of the ways J.P. Morgan measures its impact in commercial real estate.
“Last year, we deployed more than $6 billion in debt and equity to create or preserve more than 45,000 affordable housing and rental units across the country,” he said. “… We’re focused on expanding our reach, serving more clients in more communities, and deepening our impact. Our goal is to be a major force in increasing the supply of affordable housing and our ability to pair capital and put clients in the right debt solutions—using both our balance sheet and the capital markets—is what sets us apart. At the end of the day, our mission is clear: expand the housing supply and serve as a cornerstone partner for clients, communities, and the industry.”
Since 2022, J.P. Morgan’s agency lending business has more than doubled. The firm has held its Freddie Mac conventional license since 2022 and serves as a Freddie Mac Optigo lender, providing loans across the country for multifamily property acquisitions, refinancing, or renovations. The firm is also a Fannie Mae Delegated Underwriting and Servicing lender.