Blackstone Mortgage and Walker & Dunlop partner for multifamily bridge loans

|About: Blackstone Mortgage Trus... (BXMT)|By:, SA News Editor

Walker & Dunlop (NYSE:WD) will contribute 15% of the JV's equity capital and Blackstone Mortgage (NYSE:BXMT) the rest.

The JV's floating rate, first mortgage loan product targets assets prior to their eligibility for permanent agency financing - an addressable market north of $20B.

It's a win-win, says JMP's Steve Delany thanks to Blackstone's $2.9B market cap and WD's position as the market's largest pure-play multifamily lender. Look for the JV to be discussed in greater detail in upcoming earnings calls.

KBW's Jade Rahmani is also thinking win-win, with WD seeing potential management fees, equity returns, and a free-up of capital, and BXMT getting additional originations sources.

Analyst reactions via Bloomberg