Neighborly Company, a franchisor of repair and maintenance service providers throughout the country, is raising $275 million in asset-backed securities (ABS) in a whole business securitization.
The transaction, the Neighborly Issuer, series 2026-1, will issue just one tranche of notes, which has an anticipated repayment date of January 2032, and a legal final maturity date of January 2057, according to Kroll Bond Rating Agency.
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There was a slight uptick in underlying borrowers' FICO scores, 759 in a WA basis, compared with the FICO scores of 755 and 756 on the series AFC6 and 2026-AFCS, respectively.
The 2026-1 series will raise $913.5 million in securitized bonds with its first liquidity funding note in the structure, committing up to $28 million.
HILD 2026-NQM1 is more heavily concentrated geographically, KBRA said, as 50.7% of the loans in the pool were made to California borrowers.
A supplemental reserve account will be funded at closing with excess cashflows that are required to be deposited into the account over time, beginning in April 2034 until January 2039.
FFIN 2026-2's notes will repay investors sequentially, other than during a class A credit enhancement period.
