Walker & Dunlop announced that it originated a $1.719 billion loan to refinance workforce and affordable‑housing units owned by Starwood Capital Group. The financing, structured through Freddie Mac, provides Starwood with fresh capital to support its portfolio of 15,460 units across 62 multifamily communities in 10 states, including Georgia, North Carolina and Tennessee.
The deal underscores Walker & Dunlop’s ability to secure large, long‑term debt for sophisticated institutional clients. In 2025 the firm originated nearly $19 billion in agency volume, positioning it as a top capital provider in the U.S. multifamily market. The $1.719 billion transaction is the largest single financing the firm has arranged for Starwood to date and demonstrates the firm’s continued strength in GSE‑backed multifamily deals.
Willy Walker, Chairman and CEO of Walker & Dunlop, said the financing “reflects Walker & Dunlop’s ability to structure and execute large‑scale financing solutions for the world’s largest and most sophisticated institutional clients. Financings of this size and complexity require a coordinated and collaborative team of bankers and underwriters. Led by senior managing director Dustin Stolly, the Walker & Dunlop team, working with Freddie Mac, executed flawlessly.” Jonathan Pollack, president of Starwood Capital, added that the firm “is proud to own and support workforce housing communities. With a large majority of units in high‑growth, high‑migration markets, we believe the fundamentals are strong for the long term for our lenders and investors.”
Walker & Dunlop’s recent financial performance highlights the significance of the deal. In Q4 2025 the company reported a net loss of $13.9 million and a diluted loss per share of $0.41, with an adjusted core EPS of $0.28. In Q1 2025 it posted a net income of $2.8 million and a diluted EPS of $0.08, with an adjusted core EPS of $0.85. The refinancing provides a steady source of capital that can help offset the company’s quarterly earnings volatility and support its capital‑markets growth strategy.
The financing also aligns with broader trends in affordable housing. Starwood’s Strata portfolio, acquired in 2021, has been a key driver of the firm’s focus on workforce housing. The $1.719 billion loan replaces a prior $2 billion, two‑year, interest‑only CMBS facility that was secured by Citi, Deutsche Bank and Wells Fargo. By shifting to a GSE‑backed structure, Starwood and Walker & Dunlop are positioning the portfolio for long‑term stability and continued growth in a market that remains attractive to investors seeking resilient, income‑generating assets.
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