Commercial Lease Requests

You, as the servicer, must review any commercial lease to assure compliance with Multifamily Guide requirements. The table below lists the key points to consider in reviewing a commercial lease request.

Guide Reference	Multifamily Selling and Servicing Guide Part IIIA: Base Underwriting Requirements, Chapter 3, Section 305 Part V: Servicing and Asset Management, Chapter 4, Section 412
Delegation Criteria	Non-Material Commercial Lease If the lease accounts for less than 5 percent of total gross income, you are delegated the authority to approve the lease and obtain an estoppel certificate, if required. Material Commercial Lease If the commercial lease accounts for 5 percent or more of total gross income, review the lease to assure that it complies with the requirements in Part IIIA of the Guide. If it does not comply with the requirements in Part IIIA of the Guide, contact Drawer AM before approving the lease.
What to Submit	If a commercial lease requires Fannie Mae’s review, submit the following with your request. Copy of the borrower’s request Copy of the commercial lease Copies of all other agreements related to the request, if applicable Servicer’s narrative Property name and address Fannie Mae loan number Reason for the request Analysis of the property’s current financial condition Your recommendation If a Subordination, Non-Disturbance, and Attornment Agreement (SNDA) is required, or if the borrower elects to have one, use Fannie Mae Form 4510. If you have a Limited Power of Attorney to execute SNDA’s, you may execute Form 4510 on our behalf. Any modifications to the language of this form must be approved by Fannie Mae.
How to Submit	Generally: [email protected]. Structured Facilities* (Credit Facilities and Bulk Deliveries): [email protected] *Seniors Housing:** [email protected] Hard Copy (if required by Fannie Mae) Fannie Mae Credit Services/Drawer AM Mailstop 8H-607 3900 Wisconsin Ave. NW Washington, DC 20016 *Please contact us at these e-mail addresses for requirements specific to these financing types.
Fees	$5,000 split evenly between you and Fannie Mae. Wire any fees due to Fannie Mae to the following account no later than 10 business days after you receive them. Include the type of fee or deposit, property name and Fannie Mae loan number. ABA Number: 021 039 500 Telegraphic Abbreviation: FNMA/NYC Account Number: 169220242 Note: Type of fee (Assumption or Partial Release), the Fannie Mae Loan Number and the Property Name. Attn: Trans code 513 - GL 747669921
Use of Funds	Any income generated by the lease must be paid to the borrower and flow through to the property.
Resolution	For non-delegated requests, Fannie Mae reviews the transaction and advises you of any follow-up actions that need to be taken. For delegated requests, follow the instructions in the Guide for executing the SNDA or estoppel certificate, if one is required. If You Have Limited Power of Attorney If you have limited power of attorney and delegated authority to execute documents specific to this request, an officer of your company may sign the documents as attorney-in-fact for Fannie Mae. The signature block must be signed “[Name of Servicer], as Attorney-in-Fact for Fannie Mae.” If You Do Not Have Limited Power of Attorney If you do not have limited power of attorney, send the documents to Drawer AM for review and execution. In either case, you need to retain a copy of the documentation in your servicing file.

Always consult the loan documents, transaction documents, your servicing agreement, the Multifamily Guide and the relevant forms for complete instructions.