Colorado Sells $150 Million in Bonds to Fund Middle-Income Housing

By Chris Wack

The Colorado Housing and Finance Authority issued $150 million in bonds to help finance mortgages for single-family homes for low- and moderate-income families.

The $116 million federally taxable senior F-1 social bonds mature on Nov. 1, 2025, and expire on Nov. 1, 2035. Interest rates range from 4.042% to 6%, according to a document posted to MuniOS on Friday.

The Class I adjustable-rate taxable social bonds, Series 2024 F-2, with an aggregate value of $34 million, mature on May 1, 2055.

The proceeds from the Notes will be used, together with other available funds, to finance the purchase of certain mortgage-backed securities guaranteed by GNMA, Fannie Mae or Freddie Mac and backed by mortgage loans. The proceeds will also be used to finance certain second mortgage loans as well as other needs.

Moody’s Investors Service and S&P Global Ratings have assigned ratings of Aaa and AAA, respectively, to the Series 2024 F-1 Notes. Moody’s and S&P have assigned ratings of Aaa/VMIG1 and AAA/A-1+, respectively, to the Series 2024 F-2 Notes.

BofA Securities, Jefferies and RBC Capital Markets are the institutions providing the underwriting for the bonds.

–Write to Chris Wack at [email protected]

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September 23, 2024 12:11 ET (16:11 GMT)