Impac Mortgage Holdings and Starwood Property Trust have formalized their relationship after collaborating in the non-qualified mortgage (QM) space for a number of years, the companies announced.
Under a strategic relationship, the two companies will collaborate on the origination and securitization of non-QM residential loans.
Starwood is working on an initial securitization of NonQM loans that will be 100% backed by Impac NonQM collateral. As part of this securitization, Impac expects to co-invest in the securities issued and anticipates co-investing in future Starwood securitizations.
Mr. Steven Ujvary, Senior Vice President of Starwood Capital Group, commented, “We are excited to formalize our partnership with Impac, which we believe will help scale our opportunity to provide NonQM loans to high-quality borrowers while sourcing investments that will continue to deliver strong risk adjusted returns for STWD shareholders. Impac is a proven market leader in the NonQM space and we have collaborated on the acquisition of approximately $900 million of Impac originated NonQM loans. We look forward to continuing to work together to deploy capital into the underserved residential mortgage market.”
Mr. George A. Mangiaracina, President of Impac Mortgage Holdings, Inc., commented, “We are pleased to have Starwood as a partner in the creation of responsible alternative loan products that satisfy both consumer need and capital market demand. After having collaborated in the NonQM space for several years, we are excited to formalize our existing Starwood relationship. This arrangement will further Impac’s competitive advantage in the non-agency segment of the residential mortgage market and permit the Company to participate in the longer-term economics of the loans we originate.”