SAN FRANCISCO, CA / ACCESSWIRE / November 29, 2023 / Unison, the pioneer of equity sharing agreements, closed a securitization of $202 million of assets, supporting the U.S. Home Equity Investments (HEI) asset class and increasing access to institutional investors who want to participate in this emerging sector. This securitization is the first of Unison's to take place after DBRS Morningstar finalized their ratings criteria for the burgeoning asset class earlier this year.
DBRS Morningstar rated Unison's senior bond BBB, and the mezzanine bond BB-, setting the precedent for future rated securitizations to take place.
Unison's equity sharing agreements help homeowners who otherwise struggle to unlock trapped equity, as traditional solutions require them to take on additional debt. This transaction further enables Unison to pave the way for homeowners to renovate their homes, save for retirement, and consolidate their debt, rather than further adding to it. Unison is proud to provide this innovative alternative both for homeowners in need and investors pursuing efficient and scalable investment opportunities into the largest asset class in the world: owner-occupied residential real estate.
The transaction closed on Nov. 28, 2023, and included Barclays, as structuring agent and joint bookrunner, and Performance Trust, as joint bookrunner. Mayer Brown, LLP served as the legal representative of the issuer, and Hunton Andrews Kirth, LLP as the legal representative of the initial purchasers.
As Unison's first rated securitization after DBRS Morningstar finalized the ratings criteria for the HEI asset class, the transaction is a significant step forward in validating HEI as a mainstream asset for institutional and other investors. Unison, who pioneered the equity sharing agreement and institutionalized the HEI asset class, is delighted to continue to occupy the forefront of its formalization and recognition of its resilience.
Unison Chief Investment Officer Matt O'Hara describes the securitization as "a demonstration of both the increasing investor demand for scalable investment opportunities into the largest asset class in the world - owner-occupied residential real estate - and the heightened confidence in Home Equity Sharing Agreements as a reliable and gainful asset."
As a market leader, Unison Investment Management (UIM) helps homeowners access the accumulated value of their homes while enabling institutional investors to access U.S. residential home price appreciation. Their portfolios provide low volatility and high risk-adjusted net returns relative to other major asset classes.
DBRS Morningstar rated Unison's senior bond BBB, and the mezzanine bond BB-, setting the precedent for future rated securitizations to take place.
Unison's equity sharing agreements help homeowners who otherwise struggle to unlock trapped equity, as traditional solutions require them to take on additional debt. This transaction further enables Unison to pave the way for homeowners to renovate their homes, save for retirement, and consolidate their debt, rather than further adding to it. Unison is proud to provide this innovative alternative both for homeowners in need and investors pursuing efficient and scalable investment opportunities into the largest asset class in the world: owner-occupied residential real estate.
The transaction closed on Nov. 28, 2023, and included Barclays, as structuring agent and joint bookrunner, and Performance Trust, as joint bookrunner. Mayer Brown, LLP served as the legal representative of the issuer, and Hunton Andrews Kirth, LLP as the legal representative of the initial purchasers.
As Unison's first rated securitization after DBRS Morningstar finalized the ratings criteria for the HEI asset class, the transaction is a significant step forward in validating HEI as a mainstream asset for institutional and other investors. Unison, who pioneered the equity sharing agreement and institutionalized the HEI asset class, is delighted to continue to occupy the forefront of its formalization and recognition of its resilience.
Unison Chief Investment Officer Matt O'Hara describes the securitization as "a demonstration of both the increasing investor demand for scalable investment opportunities into the largest asset class in the world - owner-occupied residential real estate - and the heightened confidence in Home Equity Sharing Agreements as a reliable and gainful asset."
As a market leader, Unison Investment Management (UIM) helps homeowners access the accumulated value of their homes while enabling institutional investors to access U.S. residential home price appreciation. Their portfolios provide low volatility and high risk-adjusted net returns relative to other major asset classes.
About the Author
Dr. Lauren Rosales-Shepard
Dr. Lauren Rosales-Shepard is Unison’s content writer. She has a PhD in English from the University of Iowa, and after several years of teaching rhetoric and composition as a college professor, she joined Unison in 2022 to bring her writing and research skills to the realm of fintech in real estate.
