2/29/2008

Multi-Family Loan Programs Commercial and MF Loan Programs

Fannie Mae - $3,000,000+ Conduit Spreads
Term-LTV Interest Rates Spreads Spreads
5 yr. - 75-80% 5.33% to 5.53% Anch. Ret. 280 to 450 240 to 300
7 yr. - 75-80% 5.31% to 5.60% Unanch. Ret. 340 to 450 240 to 300
10 yr. - 75-80% 5.90% to 6.14% Office 280 to 450 240 to 300
10 yr. - 75-80% 5.83% to 5.92% Industrial 280 to 450 240 to 300
Multi-Family 280 to 450 220 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 5.64% spreads.
3 yr. Fixed/6 mo. ARM 5.19%
Conduit spreads are quoted over the 10 Year Treasury. Large
5 yr. Fixed/6 mo. ARM 5.25% loans are typically defined as $3,000,000 +. Third party reports for
7 yr. Fixed/6 mo. ARM 5.43% large loans: $16,000 - $18,000. Third party reports for small loans:
10 yr. Fixed/6 mo. ARM 5.79% $5,000 - $8,500.
15 yr. Fixed 6.36%
Portfolio Bank loans and variable rate programs are also available.
*Add 25 bps for loan amounts $500K - $1M Contact your MMCC representative.

Indices as of 2/29/2008
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
1.92 2.10 2.73 4.326 3.11 3.06 2.93 4.07 3.56 6.00

Economic Commentary
2-29-08 Most commercial real estate lenders adjusted
spreads to keep interest rates steady in spite of increased
demand for government bonds as investors reacted to more
pessimistic economic news. The 10-year U.S Treasury fell
today to a yield of 3.52 percent from its close yesterday at
3.71 percent, down 27 basis points for the week. The 5-year
Treasury yield fell to 2.50 percent. Some conduit lenders
are quoting rates in the mid-to-high 6 percent range for 10-
year debt, but only for prime properties. For less qualified
properties, rates are at least 100 basis points higher. Many
commercial banks are quoting rates in the low-to-mid 5
percent range for 5-year loans, and in the low-to-mid 6
percent range for 10-year loans.

Recent Transactions
Eugene Student Housing San Estrella 4800 W. Hillsboro Blvd Topaz Apartments
418-Units Mobile Home Park Retail Center 16-Unit apartment
Eugene, OR Phoenix, AZ Coconut Creek, FL Sacramento, CA
$14,800,000 $8,700,000 $7,500,000 $1,600,000
6.42% Interest rate 5.25% Interest rate 4.9% Interest rate 6.15% Interest rate
Fixed Fixed Fixed Fixed

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