Hunt Completes Purchase of Centerline Holding Co.

By Keith Loria, Contributing Editor

Hunt Cos., Inc. has completed the previously announced acquisition of Centerline Holding Co., where through a merger, an affiliate of Hunt became the sole holder of Centerline’s common shares, acquiring 978,274 shares at $39.89 per share.

Centerline will operate as a subsidiary of Hunt and the acquisition catapults Hunt as the No. 1 firm on the affordable housing finance list.

“We are delighted to have closed this transaction, and we welcome Centerline and its employees into the Hunt family,” Chris Hunt, Hunt’s president & chief operating officer, said in a company release. “We are excited to enter a new business in mortgage-banking and to grow what we believe to be the premier asset management platform in affordable housing.”

Hunt gained a national mortgage-banking platform offering Fannie Mae, Freddie Mac, HUD/FHA, CMBS and other debt products while servicing $12.4 billion of loans. The transaction also significantly expands Hunt’s affordable housing asset management business by adding $9.2 billion in investor equity under management in 113 funds comprised of approximately 138,000 units.

Centerline’s Board of Trustees unanimously approved the transaction and recommended that the company’s shareholders approve and adopt the Merger Agreement and the merger.

“We are very pleased about this transaction and excited for the opportunities that the combination with Hunt presents for Centerline,” Robert Levy, Centerline’s CEO said in a company statement. “This is a very positive transaction for our employees and all of Centerline’s stakeholders.”

Headquartered in El Paso, Texas, Hunt’s assets under management now totals $24.8 billion and Hunt’s multi-family units under management increased from 141,325 to 278,408.

Hunt was advised by Paul, Weiss, Rifkind, Wharton & Garrison L.L.P. and DLA Piper L.L.P.