Liberty Mortgage Acceptance Corporation

Liberty Loans $18.5 Million on Foxdale Manor Apartments

Sacramento, California - September 30, 1997 - Liberty Mortgage Acceptance Corporation funded a $18,500,000 first mortgage on the 287-unit Foxdale Manor apartments located at 1250 Foxdale Loop in San Jose, California.

Liberty originated, underwrote and funded the permanent mortgage financing with a ten-year term and a fixed rate of 7.66%; amortized over 30 years.

This loan is part of a mortgage pool that Liberty is currently assembling for securitization according to Joe Cunningham, President and co-founder of the Sacramento, California-based commercial mortgage lender. Liberty Mortgage Acceptance Corporation makes commercial real estate loans on all types of income property on a nationwide basis.

Foxdale Manor is a 287-unit apartment complex originally constructed in 1969 on 15.9 acre site in East San Jose, California, just north of the Reids Hillview Airport. Foxdale's specific location on Foxdale Loop is just off the Capitol Expressway, the major north/south six-lane thoroughfare, connecting with Interstate Highway 680 in the north before turning westward to intersect U.S. Highway 101 and continuing on to downtown San Jose. The property consists of 47 separate buildings with a mix of one and two-bedroom units, and three and four-bedroom townhouses. Common area amenities include a large community building with a kitchen, two classrooms, a game room and second story offices and meeting rooms. Seven children's playgrounds exist on the site, as does a large grassy playing field near the entrance to site. Parking for the site exceeds the city's parking requirements. San Jose, known as the "Capitol of Silicon Valley", is the 11th largest city in the U.S. and third largest on the West Coast. Although San Francisco serves as the financial and cultural center of the Bay Area, Santa Clara county and the city of San Jose have seen tremendous growth over the past decade. Vacancy rates for the San Jose area have averaged 3.2% since 1988, and were at 2.6% for 1996. Foxdale Manor, however, has been 100% occupied since 1978 as "Section 8" housing following a complete rehabilitation in 1976-77. Foxdale's current HUD contract expires at the end of 1999, and the apartments will be completely converted to a market rental complex within the next two years.

Founded in 1992, California-based Liberty Mortgage Acceptance Corporation is a private mortgage lender specializing in the securitization of commercial real estate mortgages on apartments/multifamily, shopping centers, factory outlet centers, mobile home parks, light industrial or R&D, office buildings, hotels, and health care facilities nationwide. A direct lender, Liberty provides a highly liquid security to the investment community. For more information, please contact Liberty at 4980 Hillsdale Circle, El Dorado Hills, CA 95762; Phone (916) 568-0100; Fax (916) 568-0110; or E-Mail: info@libertymac.com.