Walker & Dunlop Inc Stock Price, News & Analysis

Walker & Dunlop has appointed Dana Wade as Chief Production Officer, focusing on FHA-backed loan originations and enhancing affordable housing financing. Wade, a former Commissioner of the Federal Housing Administration (FHA), oversaw significant projects including financing over 11,000 rental properties in FY 2020. Her expertise in managing a $1.4 trillion portfolio is expected to contribute positively to Walker & Dunlop's FHA production team, which has facilitated $17 billion in affordable housing lending over the past three years. Wade's leadership is anticipated to strengthen the company's market position.

Walker & Dunlop has secured $21.9 million in financing for the acquisition and renovation of Ritch Homes Apartments in Washington, D.C. This project involves 42 existing affordable housing units and the addition of four new units. The financing aims to extend a Section 8 HAP contract at risk of expiration, preserving affordability for 46 units long-term until 2050. The deal was facilitated through HUD's 221(d)(4) program, and the partnership with the D.C. Housing Finance Agency enhances affordable housing availability in a high-cost market.

Walker & Dunlop has secured $91,767,640 in financing for the acquisition of two prime office buildings: Bank of America Tower in Jacksonville, Florida and 65 East State Street in Columbus, Ohio. These properties, notable for their architectural prominence, have undergone significant upgrades to enhance their appeal. The financing package includes interest-only bridge loans provided by Prime Finance and Voya, reflecting robust demand despite a challenging market. The firm aims to leverage its extensive capital network, having completed $11.0 billion in loan originations in 2020.

Walker & Dunlop secured $205 million in financing for 619 West 54th Street in Manhattan, a prime Class A life science and medical office property. This facility spans approximately 320,000 rentable square feet and is positioned to meet the increasing demand for specialized office spaces in the life sciences sector, which has seen job growth of 70,000 per year since 2013. The financing will refinance existing debt and support the buildout of this high-demand property, showcasing Walker & Dunlop's robust financing network even amidst market challenges.

Walker & Dunlop has enhanced its property sales team by acquiring FourPoint Investment Sales Partners, a boutique brokerage focusing on student housing and multifamily properties. This strategic move aims to leverage FourPoint's expertise and established client relationships, targeting a sales volume of $25 billion by 2025. The newly integrated team, led by experienced directors from FourPoint, will boost Walker & Dunlop's capabilities in the student housing sector, where it has already been recognized as a top lender, originating $7.1 billion in student housing debt since 2016.

Walker & Dunlop reported strong Q4 2020 results with revenues of $349.7 million, up 61% YoY, and a net income of $83.1 million, reflecting a 94% increase. The total transaction volume rose to $14.2 billion, a 45% YoY increase. The servicing portfolio reached $107.2 billion, up 15% from Q4 2019. For the full year, revenues exceeded $1.1 billion, a 33% increase, and net income grew 42% to $246.2 million. The Board approved a 39% dividend increase to $0.50 per share.

Walker & Dunlop has secured $28,362,000 in Fannie Mae Green financing for Maple Grove Apartment Homes and Middleton Shores Apartments in Wisconsin, totaling 462 units designated as affordable housing. The financing was facilitated by a specialized team, which identified the Green Building Certification program to benefit existing green upgrades. This refinancing reduced rates significantly, nearly halving previous financing costs, and incorporated an additional 38 units from an adjacent property. Walker & Dunlop continues to be a leading multifamily lender in the U.S.

Walker & Dunlop has established a dedicated team to tap into the growing Single-Family Rental (SFR) and Build-for-Rent (BFR) markets, currently valued at around $3.4 trillion. The demand for these property types has surged due to shifting migration patterns influenced by COVID-19, with BFR properties making up 10% of new homes. The new SFR & BFR Practice Group, led by key executives, aims to provide financing and sales support, having already secured over $872M in capital with an active pipeline of $1.4 billion.