Related to buy stake in Fannie apartment portfolio: report

NEW YORK (Reuters) – Fannie Mae (FNMA.OB: Quote, Profile, Research) is planning to sell a stake in many apartment buildings to Related Cos, the Wall Street Journal reported on Tuesday, citing people familiar with the matter.

The deal, whose value could not be determined, would represent the first major bulk sale of foreclosed property by the government-controlled Fannie Mae, the paper said.

Fannie Mae seized a number of buildings from landlords in recent years as the loans fell into default, the paper said.

Under terms of the deal, Fannie would sell a 25 percent stake of its inventory, valued at about $300 million, to the New York private real-estate company controlled by Stephen Ross, the paper said.

Officials at Related and Fannie Mae were not available to comment.

Fannie Mae also would sell to Related stakes in future foreclosed multifamily properties, which are expected to be added to its portfolio as Fannie Mae takes them over in the coming years, the paper said.

(Reporting by Martinne Geller; editing by Carol Bishopric)

Related to buy stake in Fannie apartment portfolio: report