4-11-2008

Multi-Family Loan Programs Commercial and MF Loan Programs

Fannie Mae - $3,000,000+ Conduit Portfolio
Term-LTV Interest Rates Spreads Spreads
5 yr. - range 5.29% to 5.43% Anch. Ret. 280 to 550 240 to 300
7 yr. - range 5.44% to 5.56% Unanch. Ret. 320 to 550 240 to 300
10 yr. - range 5.68% to 6.00% Office 280 to 550 240 to 300
Floating Rate Quote to Quote Industrial 280 to 550 240 to 300
(over corresponding T-Bill) Multi-Family 280 to 550 240 to 280
Loans $1,000,000 - $2,500,000 Above spreads should be viewed as an indication of where
spreads are currently, as opposed to a strict rule. Best
Term Int. Rate
transactions will command pricing 5-10 bps less than lowest
6 mo. ARM 4.82% to 5.385 spreads.
3 yr. Fixed/1 mo. ARM 5.15% to 5.83%
5 yr. Fixed/1-mo. ARM 5.21% to 5.59% Conduit spreads are quoted over the 10 Year Treasury.
Large loans are typically defined as $3,000,000 +. Third
7 yr. Fixed/1-mo. ARM 5.375 to 5.67% party reports for large loans: $16,000 - $18,000. Third party
10 yr. Fixed/1- mo. ARM 5.65% to 5.95% reports for small loans: $5,000 - $8,500.
15 yr. Fixed 6.22% to 7.11%
Portfolio Bank loans and variable rate programs are also
*Add 25 bps for loan amounts $500K - $1M available. Contact your MMCC representative.
Indices as of 4/11/2008
1 Year 3 Year 5 Year 1 Mo. 3 Mo. 6 Mo. 11th Dist. 10 Yr.
12 MAT Prime
TCM TCM TCM LIBOR LIBOR LIBOR COFI Treasury
2.02 2.66 3.55 3.794 2.72 2.71 2.71 5.87 3.47 5.25
Economic Commentary

4/11/08 For the second week in a row, rates for Fannie

Mae multi-family loans fell 8 to 12 basis points. FNMA
debt coverage ratios are expected to increase by .05
percent by month’s end. Five- and 10-year swaps held
steady at 3.4 and 4.1, and Treasuries also were
virtually unchanged at 2.57 for 5-year Treasury and
3.47 for 10-year Treasury. Announcements this week of
significant capital investments by private equity groups
into large conduit lenders indicate that investors’
confidence of the CMBS market re-pricing may be near
the bottom.

Recent Transactions
El Segundo Office Park Arlington Courtyards 8655 Washington Blvd. LaSalle Bank
Mixed-Use Office/Retail Multi-family Industrial Single Tenant
El Segundo, CA Madison, AL Roseville, CA New Lenox, IL
$10,500,000 $5,180,000 $4,746,000 $3,500,000
6.897% Interest rate 5.94% Interest rate 6.34% Interest rate 5.75% Interest rate
6-yr. Term/30-yr. Amortization 7-yr. Term/30-yr. Amortization 25-yr. Term/25-yr. Amortization 10-yr. Term/25-yr. Amortization

For more information, contact your

Marcus & Millichap Capital Corporation representative.

William Hughes
19800 MacArthur Blvd., Ste 150
Irvine, CA 92612
Office: (949) 851-3030
Fax: (949) 851-4345

Terms, rates and conditions subject to change. www.MMCapCorp.com