<SEC-DOCUMENT>0001157523-18-000430.txt : 20180227
<SEC-HEADER>0001157523-18-000430.hdr.sgml : 20180227
<ACCEPTANCE-DATETIME>20180227165155
ACCESSION NUMBER:		0001157523-18-000430
CONFORMED SUBMISSION TYPE:	8-K
PUBLIC DOCUMENT COUNT:		2
CONFORMED PERIOD OF REPORT:	20180227
ITEM INFORMATION:		Results of Operations and Financial Condition
ITEM INFORMATION:		Financial Statements and Exhibits
FILED AS OF DATE:		20180227
DATE AS OF CHANGE:		20180227

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			Ladder Capital Corp
		CENTRAL INDEX KEY:			0001577670
		STANDARD INDUSTRIAL CLASSIFICATION:	REAL ESTATE INVESTMENT TRUSTS [6798]
		IRS NUMBER:				800925494
		STATE OF INCORPORATION:			DE
		FISCAL YEAR END:			1231

	FILING VALUES:
		FORM TYPE:		8-K
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	001-36299
		FILM NUMBER:		18645942

	BUSINESS ADDRESS:	
		STREET 1:		345 PARK AVENUE
		CITY:			NEW YORK
		STATE:			NY
		ZIP:			10154
		BUSINESS PHONE:		212-715-3170

	MAIL ADDRESS:	
		STREET 1:		345 PARK AVENUE
		CITY:			NEW YORK
		STATE:			NY
		ZIP:			10154
</SEC-HEADER>
<DOCUMENT>
<TYPE>8-K
<SEQUENCE>1
<FILENAME>a51764968.htm
<DESCRIPTION>LADDER CAPITAL CORP 8-K
<TEXT>
<html>
  <head>
    <title></title>
<!--Copyright 2018 Business Wire, a Berkshire Hathaway company.-->
<!--All rights reserved www.businesswire.com-->
  </head>
  <body style="font-size: 10pt; font-family: Times New Roman">
    <p>

    </p>
    <hr style="color: #000000; text-align: center; height: 4.0 pt; width: 100%">
    <hr style="color: #000000; text-align: center; height: 1.0 pt; width: 100%">


    <p style="text-align: center">
      <font style="font-family: Times New Roman; font-size: 16pt"><b>UNITED
      STATES</b></font><b><font style="font-family: Times New Roman; font-size: 16pt"><br style="font-size: 16pt; font-family: Times New Roman"></font><font style="font-family: Times New Roman; font-size: 16pt">SECURITIES
      AND EXCHANGE COMMISSION</font></b><br><font style="font-family: Times New Roman; font-size: 12pt"><b>WASHINGTON,
      D.C. 20549</b></font><br><br><font style="font-family: Times New Roman; font-size: 14pt"><b>FORM
      8-K</b></font><br><br><font style="font-family: Times New Roman; font-size: 12pt"><b>CURRENT
      REPORT</b></font><font style="font-size: 12pt"><br style="font-size: 12pt"></font><font style="font-family: Times New Roman; font-size: 12pt"><b>Pursuant
      to Section 13 or 15(d) of the Securities Exchange Act of 1934</b></font><br><br><font style="font-family: Times New Roman; font-size: 10pt">Date
      of Report (Date of Earliest Event Reported): </font><font style="font-family: Times New Roman; font-size: 10pt"><b>February
      27, 2018</b></font><font style="font-family: Times New Roman; font-size: 10pt"><br style="font-size: 10pt; font-family: Times New Roman"></font><br><font style="font-family: Times New Roman; font-size: 12pt"><b>Ladder
      Capital Corp</b></font><br><font style="font-family: Times New Roman; font-size: 12pt">(Exact
      name of registrant as specified in its charter)</font><br><br>
    </p>
<div style="text-align:left">
    <table cellspacing="0" style="font-family: Times New Roman; width: 100%; margin-bottom: 10.0px; font-size: 10pt">
      <tr>
        <td valign="bottom" style="width: 33%; padding-left: 0.0px; text-align: center">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>Delaware</b>
          </p>
        </td>
        <td valign="bottom" style="white-space: nowrap; width: 34%; padding-right: 0.0px; padding-left: 0.0px; text-align: center">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>001-36299</b>
          </p>
        </td>
        <td valign="bottom" style="white-space: nowrap; width: 33%; padding-right: 0.0px; padding-left: 0.0px; text-align: center">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>80-0925494</b>
          </p>
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="width: 33%; padding-left: 0.0px; text-align: center">
          <p style="margin-bottom: 0px; margin-top: 0px">
            (State or other jurisdiction
          </p>
          <p style="margin-bottom: 0px; margin-top: 0px">
            of incorporation)
          </p>
        </td>
        <td valign="bottom" style="width: 34%; padding-left: 0.0px; text-align: center">
          <p style="margin-bottom: 0px; margin-top: 0px">
            (Commission
          </p>
          <p style="margin-bottom: 0px; margin-top: 0px">
            File Number)
          </p>
        </td>
        <td valign="bottom" style="width: 33%; padding-left: 0.0px; text-align: center">
          <p style="margin-bottom: 0px; margin-top: 0px">
            (I.R.S. Employer
          </p>
          <p style="margin-bottom: 0px; margin-top: 0px">
            Identification No.)
          </p>
        </td>
      </tr>
      <tr>
        <td valign="top" style="width: 33%; padding-left: 0.0px; text-align: center">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>345 Park Avenue, 8th Floor</b>
          </p>
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>New York, New York</b>
          </p>
        </td>
        <td style="width: 34%">

        </td>
        <td valign="top" style="width: 33%; padding-left: 0.0px; text-align: center">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>10154</b>
          </p>
          <p style="margin-bottom: 0px; margin-top: 0px">
            (Zip Code)
          </p>
        </td>
      </tr>
      <tr>
        <td valign="top" style="width: 33%; padding-left: 0.0px; text-align: center">
          <p style="margin-bottom: 0px; margin-top: 0px">
            (Address of principal executive<br>offices)
          </p>
        </td>
        <td style="width: 34%">

        </td>
        <td style="width: 33%">

        </td>
      </tr>
    </table>
    </div>
    <p style="text-align: center">
      Registrant&#8217;s telephone number, including area code: <b>212-715-3170</b><br><br><b>Not
      Applicable<br></b>Former name or former address, if changed since last
      report
    </p>
    <p>
      <font style="font-size: 10pt; font-family: Times New Roman">Check the
      appropriate box below if the Form 8-K filing is intended to
      simultaneously satisfy the filing obligation of the registrant under any
      of the following provisions:</font>
    </p>
    <p>
      <font style="font-size: 10pt; font-family: Arial Unicode MS">&#8414;</font>
      <font style="font-size: 10pt; font-family: Times New Roman">Written
      communications pursuant to Rule 425 under the Securities Act (17 CFR
      230.425)</font><br><font style="font-size: 10pt; font-family: Arial Unicode MS">&#8414;</font>
      <font style="font-size: 10pt; font-family: Times New Roman">Soliciting
      material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
      240.14a-12)</font><br><font style="font-size: 10pt; font-family: Arial Unicode MS">&#8414;</font>
      <font style="font-size: 10pt; font-family: Times New Roman">Pre-commencement
      communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR
      240.14d-2(b))</font><br><font style="font-size: 10pt; font-family: Arial Unicode MS">&#8414;</font>
      <font style="font-size: 10pt; font-family: Times New Roman">Pre-commencement
      communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR
      240.13e-4(c))</font><br>
    </p>
    <p>
      Indicate by check mark whether the registrant is an emerging growth
      company as defined in Rule 405 of the Securities Act of 1933 (&#167;230.405
      of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934
      (&#167;240.12b-2 of this chapter).
    </p>
    <p>
      Emerging growth company <font style="font-size: 12pt; font-family: Arial Unicode MS">&#8414;</font>
    </p>
    <p>
      If an emerging growth company, indicate by check mark if the registrant
      has elected not to use the extended transition period for complying with
      any new or revised financial accounting standards provided pursuant to
      Section 13(a) of the Exchange Act. <font style="font-size: 12pt; font-family: Arial Unicode MS">&#8414;</font><br>
    </p>
    <hr style="width: 100%; color: #000000; height: 4.0 pt; text-align: center">
    <hr style="width: 100%; color: #000000; height: 1.0 pt; text-align: center">


    <p>

    </p>
    <div style="margin-left: 0pt; width: 100%; margin-bottom: 10pt; text-indent: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p>

    </p>
    <p>
      <b>Item 2.02.&#160; Results of Operations and Financial Condition.</b>
    </p>
    <p>
      On February&#160;27, 2018, Ladder Capital Corp (&#8220;Ladder&#8221;) issued a press
      release disclosing financial results for the quarter and year ended
      December&#160;31, 2017.&#160;&#160;The information in Exhibit 99.1 shall not be deemed
      to be &#8220;filed&#8221; for purposes of Section 18 of the Securities Exchange Act
      of 1934, nor shall it be deemed incorporated by reference in any filing
      under the Securities Act of 1933, except as shall be expressly set forth
      by specific reference in such filing.
    </p>
    <p>
      <b>Item 9.01.&#160; Financial Statements and Exhibits.</b>
    </p>
    <p>
      &#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;(d)&#160;&#160;&#160;&#160;&#160;&#160;&#160;Exhibits
    </p>
    <p>
      &#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<a href="a51764968ex99_1.htm">99.1</a>&#160;&#160;&#160;&#160;&#160;&#160;<a href="a51764968ex99_1.htm">Press
      release of Ladder Capital Corp dated February&#160;27, 2018.</a>
    </p>
    <p>

    </p>
    <div style="margin-left: 0pt; width: 100%; margin-bottom: 10pt; text-indent: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p>

    </p>
    <p style="text-align: center">
      <font style="font-size: 10pt; font-family: Times New Roman"><b>SIGNATURES</b></font>
    </p>
    <p style="text-align: left">
      <font style="font-size: 10pt; font-family: Times New Roman">Pursuant to
      the requirements of the Securities Exchange Act of 1934, the registrant
      has duly caused this report to be signed on its behalf by the
      undersigned hereunto duly authorized.</font>
    </p>
<div style="text-align:left">
    <table cellspacing="0" style="font-family: Times New Roman; width: 100%; margin-bottom: 10.0px; font-size: 10pt">
      <tr>
        <td valign="top" style="width: 50%; padding-left: 0.0px; text-align: left">
          <p style="font-size: 10pt">
            <i>Date: February 27, 2018</i>
          </p>
        </td>
        <td valign="top" colspan="2" style="padding-left: 0.0px; text-align: left">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>LADDER CAPITAL CORP</b>
          </p>
        </td>
      </tr>
      <tr>
        <td style="width: 50%">

        </td>
        <td style="width: 3%">

        </td>
        <td style="width: 47%">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="top" style="width: 50%; padding-bottom: 2.0px; padding-left: 0.0px; text-align: left">
          <p style="margin-bottom: 0px; margin-top: 0px">
            &#160;
          </p>
        </td>
        <td valign="top" style="width: 3%; padding-bottom: 2.0px; padding-left: 0.0px; text-align: left">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <i><b>By:</b></i>
          </p>
        </td>
        <td valign="top" style="border-bottom-color: black; width: 47%; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <i><b>/s/ Marc Fox</b></i>
          </p>
        </td>
      </tr>
      <tr>
        <td style="width: 50%">

        </td>
        <td style="width: 3%">

        </td>
        <td valign="top" style="width: 47%; padding-left: 0.0px; text-align: left">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <i><b>Marc Fox</b></i>
          </p>
        </td>
      </tr>
      <tr>
        <td style="width: 50%">

        </td>
        <td style="width: 3%">

        </td>
        <td valign="top" style="width: 47%; padding-left: 0.0px; text-align: left">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <i><b>Chief Financial Officer</b></i>
          </p>
        </td>
      </tr>
    </table>
    </div>
    <p style="font-size: 10pt">

    </p>
  </body>
</html>
<!--<!DOCTYPE html
     PUBLIC "-//W3C//DTD XHTML 1.0 Strict//EN"
     "http://www.w3.org/TR/xhtml1/DTD/xhtml1-strict.dtd">-->
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-99.1
<SEQUENCE>2
<FILENAME>a51764968ex99_1.htm
<DESCRIPTION>EXHIBIT 99.1
<TEXT>
<html>
  <head>
    <title></title>
<!--Copyright 2018 Business Wire, a Berkshire Hathaway company.-->
<!--All rights reserved www.businesswire.com-->
  </head>
  <body style="font-size: 8pt; font-family: Times New Roman">
    <p style="text-align: right">
      <b>Exhibit 99.1</b>
    </p>
    <p>
      <font style="font-family: Times New Roman; font-size: 12pt"><b>Ladder
      Capital Corp Reports Fourth Quarter and Full Year 2017 Results and
      Announces First Quarter 2018 Dividend to Holders of Class A Common Stock</b></font>
    </p>
    <p style="text-align: center">
      <u><font style="font-family: Times New Roman; font-size: 12pt"><b>Financial
      Highlights</b></font></u>
    </p>
    <p>
      <font style="font-family: Times New Roman; font-size: 12pt"><b>GAAP
      disclosures:</b></font>
    </p>
    <ul>
      <li style="margin-bottom: 10.0px">
        <font style="font-family: Times New Roman; font-size: 12pt"><b>GAAP
        income before taxes of $48.4 million for the fourth quarter and $133.6
        million for the year ended December&#160;31, 2017</b></font>
      </li>
      <li style="margin-bottom: 10.0px">
        <font style="font-family: Times New Roman; font-size: 12pt"><b>GAAP
        diluted EPS of $0.40 for the fourth quarter and $1.13 for the year
        ended December&#160;31, 2017</b></font>
      </li>
      <li style="margin-bottom: 10.0px">
        <font style="font-family: Times New Roman; font-size: 12pt"><b>After-tax
        GAAP return on average equity of 12.2% for the fourth quarter and 8.6%
        for the year ended December&#160;31, 2017</b></font>
      </li>
      <li style="margin-bottom: 10.0px">
        <font style="font-family: Times New Roman; font-size: 12pt"><b>GAAP
        book value per share of $13.19 at December&#160;31, 2017</b></font>
      </li>
    </ul>
    <p>
      <font style="font-family: Times New Roman; font-size: 12pt"><b>Core
      (non-GAAP) disclosures:</b></font>
    </p>
    <ul>
      <li style="margin-bottom: 10.0px">
        <font style="font-family: Times New Roman; font-size: 12pt"><b>Core
        earnings of $60.4 million for the fourth quarter and $178.8 million
        for the year ended December&#160;31, 2017</b></font>
      </li>
      <li style="margin-bottom: 10.0px">
        <font style="font-family: Times New Roman; font-size: 12pt"><b>Core
        EPS of $0.47 for the fourth quarter and $1.54 for the year ended
        December&#160;31, 2017</b></font>
      </li>
      <li style="margin-bottom: 10.0px">
        <font style="font-family: Times New Roman; font-size: 12pt"><b>After-tax
        core return on average equity of 13.9% for the fourth quarter and
        11.5% for the year ended December&#160;31, 2017</b></font>
      </li>
      <li style="margin-bottom: 10.0px">
        <font style="font-family: Times New Roman; font-size: 12pt"><b>Undepreciated
        book value per share of $14.60 at December&#160;31, 2017</b></font>
      </li>
    </ul>
    <p>
      <font style="font-family: Times New Roman; font-size: 12pt"><b>Operating
      and financing statistics:</b></font>
    </p>
    <ul>
      <li style="margin-bottom: 10.0px">
        <font style="font-family: Times New Roman; font-size: 12pt"><b>Increased
        the quarterly cash dividend rate for the third time in three years to
        $0.315/share of Class A common stock in the fourth quarter to reflect
        the ongoing growth trends in recurring interest and operating lease
        income, bringing total dividends to $1.215/share of Class A common
        stock in 2017</b></font>

        <ul>
          <li style="margin-bottom: 10.0px">
            <font style="font-family: Times New Roman; font-size: 12pt"><b>Announced
            today the declaration of a first quarter 2018 dividend of
            $0.315/share of Class A common stock</b></font>
          </li>
        </ul>
      </li>
      <li style="margin-bottom: 10.0px">
        <font style="font-family: Times New Roman; font-size: 12pt"><b>Originated
        $1.1 billion</b></font><b><font style="font-family: Times New Roman; font-size: 12pt">
        </font><font style="font-family: Times New Roman; font-size: 12pt">of
        commercial mortgage loans in the fourth quarter resulting in total
        originations of $2.9 billion in 2017, composed of $1.5 billion of
        mortgage loans held for sale and $1.4 billion of mortgage loans held
        for investment</font></b>
      </li>
      <li style="margin-bottom: 10.0px">
        <font style="font-family: Times New Roman; font-size: 12pt"><b>Made
        $6.3 million of net leased and other equity investments in the fourth
        quarter resulting in total net leased and other equity investments of
        $236.9 million in 2017</b></font>
      </li>
      <li style="margin-bottom: 10.0px">
        <font style="font-family: Times New Roman; font-size: 12pt"><b>Contributed
        $851.1 million of loans to 6 securitization transactions in the fourth
        quarter resulting in a total of $1.5 billion of loans contributed to 7
        securitization transactions in 2017</b></font>
      </li>
      <li style="margin-bottom: 10.0px">
        <font style="font-family: Times New Roman; font-size: 12pt"><b>Executed
        2 CLO securitization transactions in the fourth quarter resulting in
        $689.6 million of non-recourse, non-mark-to-market, matched-term
        funding</b></font>
      </li>
      <li style="margin-bottom: 10.0px">
        <font style="font-family: Times New Roman; font-size: 12pt"><b>Repurchased
        189,897 shares of Class A common stock at an average price of
        $13.61/share; to date, Ladder has utilized $8.2 million of the $50.0
        million stock repurchase authority previously approved by the Board of
        Directors</b></font>
      </li>
    </ul>
    <p>

    </p>
    <p>
      NEW YORK--(BUSINESS WIRE)--February 27, 2018--Ladder Capital Corp
      (NYSE:LADR) (&#8220;we,&#8221; &#8220;Ladder,&#8221; or the &#8220;Company&#8221;) today announced operating
      results for the quarter and year ended December&#160;31, 2017. GAAP income
      before taxes for the year ended December&#160;31, 2017 was $133.6 million
      compared to $120.0 million for the year ended December&#160;31, 2016. GAAP
      income before taxes for the three months ended December&#160;31, 2017 was
      $48.4 million compared to $72.4 million for the three months ended
      December&#160;31, 2016. The 2017 results reflect higher gains on sales of
      loans and securities as well as increased operating lease income, offset
      by lower gains on sales of real estate. Diluted EPS for the three months
      and year ended December&#160;31, 2017 was $0.40 and $1.13, respectively,
      compared to $0.63 and $1.06 for the three months and year ended
      December&#160;31, 2016, respectively. After-tax GAAP return on average equity
      was 12.2% in the fourth quarter of 2017.
    </p>
    <div style="margin-left: 0pt; width: 100%; margin-bottom: 10pt; text-indent: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p>
      Core earnings, a non-GAAP financial measure, was $60.4 million for the
      fourth quarter of 2017, compared to $44.6 million earned in the fourth
      quarter of 2016. For the year ended December&#160;31, 2017, core earnings was
      $178.8 million compared to $158.2 million for 2016. The results reflect
      higher gains on sales of loans and securities as well as an increase in
      operating lease income. We believe core earnings, which adjusts GAAP
      income before taxes for certain non-cash expenses, unrecognized
      derivative results, and the economic gains on securitization
      transactions not recognized for GAAP accounting for which risk has
      substantially transferred, is useful in evaluating our earnings from
      operations across reporting periods. Core EPS, a non-GAAP financial
      measure, was $0.47 for the fourth quarter of 2017 and $1.54 for the year
      ended December&#160;31, 2017, compared to $0.37 and $1.48 for the three
      months and year ended December&#160;31, 2016, respectively.
    </p>
    <p>
      Ladder Capital Corp today announced the declaration by its Board of
      Directors of a first quarter 2018 dividend of $0.315 per share of Class
      A common stock. The cash dividend is payable on April&#160;2, 2018 to
      stockholders of record as of the close of business on March&#160;12, 2018.
    </p>
    <p>
      <u><b>Portfolio Overview</b></u>
    </p>
    <p>
      The following table summarizes the book value of our investment
      portfolio as of the dates indicated below ($ in thousands):
    </p>
<div style="text-align:left">
    <table cellspacing="0" style="font-family: Times New Roman; width: 100%; margin-bottom: 10.0px; font-size: 8pt">
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="7">

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="7">

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="7" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>December 31, 2017</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="7" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>December 31, 2016</b>
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          <b>Loans</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="2">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="2">

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 10.0px; text-align: left">
          Balance sheet loans:
        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 20.0px; text-align: left">
          Balance sheet first mortgage loans
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          3,123,268
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <p style="margin-bottom: 0px; margin-top: 0px">
            51.9
          </p>
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          %
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          1,832,626
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          32.9
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          %
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 20.0px; text-align: left">
          Other commercial real estate-related loans
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          159,194
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          2.6
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          %
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          167,469
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          3.0
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          %
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 20.0px; text-align: left">
          Provision for loan losses
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (4,000
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (0.1
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          )%
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (4,000
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (0.1
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          )%
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 10.0px; text-align: left">
          Total balance sheet loans
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          3,278,462
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <p style="margin-bottom: 0px; margin-top: 0px">
            54.4
          </p>
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          %
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          1,996,095
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          35.8
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          %
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 10.0px; text-align: left">
          Conduit first mortgage loans
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          230,180
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          3.8
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          %
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          357,882
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          6.4
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          %
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 30.0px; text-align: left">
          Total loans
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          3,508,642
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <p style="margin-bottom: 0px; margin-top: 0px">
            58.2
          </p>
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          %
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          2,353,977
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          42.2
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          %
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          <b>Securities</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 10.0px; text-align: left">
          CMBS investments
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <p style="margin-bottom: 0px; margin-top: 0px">
            1,066,570
          </p>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          17.7
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          %
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          2,043,566
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          36.6
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          %
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 10.0px; text-align: left">
          U.S. Agency Securities investments
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          <p style="margin-bottom: 0px; margin-top: 0px">
            39,947
          </p>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          0.7
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          %
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          57,381
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          1.1
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          %
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 30.0px; text-align: left">
          Total securities
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <p style="margin-bottom: 0px; margin-top: 0px">
            1,106,517
          </p>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          18.4
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          %
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          2,100,947
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          37.7
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          %
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          <b>Real Estate</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 10.0px; text-align: left">
          Real estate and related lease intangibles, net
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          1,032,041
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          17.1
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          %
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          822,338
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          14.7
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          %
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 30.0px; text-align: left">
          Total real estate
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          1,032,041
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          17.1
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          %
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          822,338
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          14.7
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          %
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          <b>Other Investments</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 10.0px; text-align: left">
          Investments in unconsolidated joint ventures
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          35,441
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          0.6
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          %
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          34,025
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          0.6
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          %
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 10.0px; text-align: left">
          FHLB stock
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          77,915
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          1.3
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          %
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          77,915
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          1.4
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          %
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 30.0px; text-align: left">
          Total other investments
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          113,356
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          1.9
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          %
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          111,940
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          2.0
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          %
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 40.0px; text-align: left">
          Total investments
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <p style="margin-bottom: 0px; margin-top: 0px">
            5,760,556
          </p>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <p style="margin-bottom: 0px; margin-top: 0px">
            95.6
          </p>
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          %
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          5,389,202
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          96.6
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          %
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 10.0px; text-align: left">
          Cash, cash equivalents and restricted cash
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          182,683
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          3.0
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          %
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          64,017
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          1.1
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          %
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 10.0px; text-align: left">
          Other assets
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          82,376
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          1.4
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          %
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          125,118
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          2.3
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          %
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 4.0px; padding-left: 40.0px; text-align: left">
          <b>Total assets</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>6,025,615</b>
          </p>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>100.0</b>
          </p>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>%</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>5,578,337</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>100.0</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>%</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
    </table>
    </div>
    <p>
      Note: CMBS investments and U.S. Agency Securities are carried at fair
      value.
    </p>
    <p>
      <u><b>Liquidity and Capital Resources</b></u>
    </p>
    <p>
      During the fourth quarter of 2017, we consummated two securitizations of
      floating-rate commercial mortgage loans through a static collateralized
      loan obligation (&#8220;CLO&#8221;) structure. In the first CLO transaction, we
      contributed over $456.9 million of balance sheet loans and retained an
      approximately 18.5% interest, and in the second CLO transaction, we
      contributed over $431.5 million of balance sheet loans and retained an
      approximately 25.0% interest. Certain of the loans contributed to the
      CLOs have future funding components that are retained by a subsidiary of
      ours in the form of a participation interest or separate note.&#160;However,
      for a limited period of time, to the extent loans in the CLOs are
      repaid, the CLO trusts may acquire portions of the future fundings from
      our affiliate.
    </p>
    <div style="margin-left: 0pt; width: 100%; margin-bottom: 10pt; text-indent: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p>
      On October 27, 2017, we amended our syndicated revolving credit facility
      to increase the maximum funding capacity to $241.4 million.
    </p>
    <p>
      The following table summarizes our debt obligations as of the following
      dates ($ in thousands):
    </p>
<div style="text-align:left">
    <table cellspacing="0" style="font-family: Times New Roman; width: 100%; margin-bottom: 10.0px; font-size: 8pt">
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="3">

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="2">

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="3" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>December 31, 2017</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>December 31, 2016</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Committed loan repurchase facilities
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          398,653
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          567,163
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Committed securities repurchase facility
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          &#8212;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          228,317
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 0.0px; text-align: left">
          Uncommitted securities repurchase facilities
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          74,757
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          311,705
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Total repurchase facilities
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          473,410
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          1,107,185
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Revolving credit facility
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          &#8212;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          25,000
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Mortgage loan financing
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          692,696
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          590,106
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          CLO debt(1)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          688,479
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          &#8212;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Participation financing - mortgage loan receivable
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <p style="margin-bottom: 0px; margin-top: 0px">
            3,107
          </p>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          &#8212;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Borrowings from the FHLB
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          1,370,000
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          1,660,000
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 0.0px; text-align: left">
          Senior unsecured notes(2)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          1,152,134
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          559,847
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 4.0px; padding-left: 0.0px; text-align: left">
          <b>Total debt obligations</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>4,379,826</b>
          </p>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>3,942,138</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
    </table>
    </div>
<div style="text-align:left">
    <table cellspacing="0" style="font-family: Times New Roman; width: 100%; margin-bottom: 10.0px; font-size: 8pt">
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="top" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          (1)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Presented net of unamortized debt issuance costs of $6.0 million as
          of December 31, 2017.
        </td>
      </tr>
      <tr>
        <td valign="top" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          (2)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Presented net of unamortized debt issuance costs of $14.1 million
          and $4.0 million at December 31, 2017 and December 31, 2016,
          respectively.
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
    </table>
    </div>
    <p>
      <u><b>Conference Call and Webcast</b></u>
    </p>
    <p>
      We will host a conference call on Tuesday, February&#160;27, 2018 at 5:00
      p.m. Eastern Time to discuss fourth quarter and year end 2017 results.
      The conference call can be accessed by dialing (877) 407-4018 domestic
      or (201) 689-8471 international. Individuals who dial in will be asked
      to identify themselves and their affiliations. For those unable to
      participate, an audio replay will be available from 8:00 p.m. Eastern
      Time on Tuesday, February&#160;27, 2018 through midnight Tuesday, March 13,
      2018. To access the replay, please call (844) 512-2921 domestic or (412)
      317-6671 international, access code 13675098. The conference call will
      also be webcast though a link on Ladder Capital Corp&#8217;s Investor
      Relations website at ir.laddercapital.com. A web-based archive of the
      conference call will also be available at the above website.
    </p>
    <div style="margin-left: 0pt; width: 100%; margin-bottom: 10pt; text-indent: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p style="text-align: center">
      <b>Ladder Capital Corp</b><br><b>Consolidated Balance Sheets</b><br><b>(Dollars
      in Thousands)</b>
    </p>
<div style="text-align:left">
    <table cellspacing="0" style="font-family: Times New Roman; width: 100%; margin-bottom: 10.0px; font-size: 8pt">
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="3">

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="3">

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="3" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>December 31, 2017 (1)</b>
          </p>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="3" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>December 31, 2016</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          <b>Assets</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Cash and cash equivalents
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          76,674
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          44,615
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Restricted cash
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          106,009
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          44,813
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Mortgage loan receivables held for investment, net, at amortized
          cost:
        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 20.0px; text-align: left">
          Mortgage loans held by consolidated subsidiaries
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          3,282,462
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          2,000,095
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 20.0px; text-align: left">
          Provision for loan losses
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (4,000
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (4,000
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Mortgage loan receivables held for sale
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          230,180
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          357,882
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Real estate securities
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          1,106,517
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          2,100,947
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Real estate and related lease intangibles, net
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          1,032,041
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          822,338
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Investments in unconsolidated joint ventures
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          35,441
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          34,025
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          FHLB stock
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          77,915
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          77,915
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Derivative instruments
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          888
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          5,018
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Due from brokers
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          &#8212;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          10
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Accrued interest receivable
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          25,875
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          24,439
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 0.0px; text-align: left">
          Other assets
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          55,613
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          70,240
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 4.0px; padding-left: 40.0px; text-align: left">
          <b>Total assets</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>6,025,615</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>5,578,337</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          <b>Liabilities and Equity</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          <b>Liabilities</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Debt obligations, net:
        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 20.0px; text-align: left">
          Secured and unsecured debt obligations
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          4,379,826
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          3,942,138
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Due to brokers
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          14
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          394
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Derivative instruments
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          2,606
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          3,446
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Amount payable pursuant to tax receivable agreement
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          1,656
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          2,520
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Dividends payable
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          30,528
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          24,682
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Accrued expenses
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          59,619
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          66,597
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 0.0px; text-align: left">
          Other liabilities
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          63,220
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          29,006
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 40.0px; text-align: left">
          <b>Total liabilities</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          <b>4,537,469</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          <b>4,068,783</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          <b>Commitments and contingencies</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          &#8212;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          &#8212;
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          <b>Equity</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 10.0px; text-align: left">
          Class A common stock, par value $0.001 per share, 600,000,000 shares
          authorized; 96,258,847 and 72,681,218 shares issued and 93,641,260
          and 71,586,170 shares outstanding
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          94
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          72
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 10.0px; text-align: left">
          Class B common stock, par value $0.001 per share, 100,000,000 shares
          authorized; 17,667,251 and 38,002,344 shares issued and outstanding
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          18
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          38
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 10.0px; text-align: left">
          Additional paid-in capital
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          1,306,136
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          992,307
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 10.0px; text-align: left">
          Treasury stock, 2,617,587 and 1,095,048 shares, at cost
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (31,956
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (11,244
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 10.0px; text-align: left">
          Dividends in Excess of Earnings
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (39,112
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (11,148
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 10.0px; text-align: left">
          Accumulated other comprehensive income (loss)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (212
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          1,365
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 30.0px; text-align: left">
          <b>Total shareholders&#8217; equity</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <b>1,234,968</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <b>971,390</b>
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 10.0px; text-align: left">
          Noncontrolling interest in operating partnership
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          240,861
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          533,246
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 10.0px; text-align: left">
          Noncontrolling interest in consolidated joint ventures
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          12,317
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          4,918
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 40.0px; text-align: left">
          <b>Total equity</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          <b>1,488,146</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          <b>1,509,554</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 4.0px; padding-left: 40.0px; text-align: left">
          <b>Total liabilities and equity</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>6,025,615</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>5,578,337</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
    </table>
    </div>
<div style="text-align:left">
    <table cellspacing="0" style="font-family: Times New Roman; width: 100%; margin-bottom: 10.0px; font-size: 8pt">
      <tr>
        <td valign="top" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (1)
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Includes amounts relating to consolidated variable interest entities.
        </td>
      </tr>
    </table>
    </div>
    <div style="margin-left: 0pt; width: 100%; margin-bottom: 10pt; text-indent: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p style="text-align: center">
      <b>Ladder Capital Corp</b><br><b>Consolidated Statements of Income</b><br><b>(Dollars
      in Thousands, Except Per Share and Dividend Data)</b>
    </p>
<div style="text-align:left">
    <table cellspacing="0" style="font-family: Times New Roman; width: 100%; margin-bottom: 10.0px; font-size: 8pt">
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="13">

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="13" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>Year Ended December 31,</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2017</b>
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2016</b>
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2015</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          <b>Net interest income</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 10.0px; text-align: left">
          Interest income
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          263,667
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          236,372
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          241,539
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 10.0px; text-align: left">
          Interest expense
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          146,118
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          120,827
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          113,303
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 20.0px; text-align: left">
          <b>Net interest income</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <b>117,549</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <b>115,545</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <b>128,236</b>
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 10.0px; text-align: left">
          Provision for loan losses
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          &#8212;
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          300
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          600
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 20.0px; text-align: left">
          <b>Net interest income after provision for loan losses</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <b>117,549</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <b>115,245</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <b>127,636</b>
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          <b>Other income</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 20.0px; text-align: left">
          Operating lease income
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          89,492
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          77,277
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          80,465
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 20.0px; text-align: left">
          Tenant recoveries
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          7,179
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          5,958
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          9,907
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 20.0px; text-align: left">
          Sale of loans, net
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          54,046
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          26,009
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          71,066
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 20.0px; text-align: left">
          Realized gain (loss) on securities
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          17,209
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          7,724
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          24,007
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 20.0px; text-align: left">
          Unrealized gain (loss) on Agency interest-only securities
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          1,405
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (56
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (1,249
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 20.0px; text-align: left">
          Realized gain on sale of real estate, net
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          11,423
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          20,636
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          40,386
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 20.0px; text-align: left">
          Fee and other income
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          18,341
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          21,365
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          15,205
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 20.0px; text-align: left">
          Net result from derivative transactions
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (12,641
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (1,409
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (38,937
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 20.0px; text-align: left">
          Earnings (loss) from investment in unconsolidated joint ventures
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          89
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          426
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          371
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 20.0px; text-align: left">
          Gain (loss) on extinguishment of debt
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (73
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          5,382
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          &#8212;
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 30.0px; text-align: left">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>Total other income</b>
          </p>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          <b>186,470</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          <b>163,312</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          <b>201,221</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          <b>Costs and expenses</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 10.0px; text-align: left">
          Salaries and employee benefits
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          70,463
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          64,270
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          61,612
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 10.0px; text-align: left">
          Operating expenses
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          21,421
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          20,552
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          25,103
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 10.0px; text-align: left">
          Real estate operating expenses
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          33,216
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          30,545
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          37,869
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 10.0px; text-align: left">
          Fee expense
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          4,996
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          3,703
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          4,521
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 10.0px; text-align: left">
          Depreciation and amortization
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          40,332
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          39,447
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          39,061
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 30.0px; text-align: left">
          <b>Total costs and expenses</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          <b>170,428</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          <b>158,517</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          <b>168,166</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          <b>Income (loss) before taxes</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <b>133,591</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <b>120,040</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <b>160,691</b>
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 10.0px; text-align: left">
          Income tax expense (benefit)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          7,712
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          6,320
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          14,557
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          <b>Net income (loss)</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <b>125,879</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <b>113,720</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <b>146,134</b>
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 10.0px; text-align: left">
          Net (income) loss attributable to noncontrolling interest in
          consolidated joint ventures
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (226
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          138
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (1,568
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 10.0px; text-align: left">
          Net (income) loss attributable to noncontrolling interest in
          operating partnership
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (30,377
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (47,131
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (70,745
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 4.0px; padding-left: 0.0px; text-align: left">
          <b>Net income (loss) attributable to Class A common shareholders</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>95,276</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>66,727</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>73,821</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          <b>Earnings per share:</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 10.0px; text-align: left">
          Basic
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          1.16
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          1.08
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          1.43
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 10.0px; text-align: left">
          Diluted
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          1.13
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          1.06
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          1.42
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          <b>Weighted average shares outstanding:</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 10.0px; text-align: left">
          Basic
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          81,902,524
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          61,998,089
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          51,702,188
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 10.0px; text-align: left">
          Diluted
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          109,704,880
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          107,638,788
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          51,870,808
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          <b>Dividends per share of Class A common stock:</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          1.215
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          1.285
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          2.225
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
    </table>
    </div>
    <div style="margin-left: 0pt; width: 100%; margin-bottom: 10pt; text-indent: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p>
      <u><b>Change in Accounting Principle</b></u>
    </p>
    <p>
      On June 29, 2017, the Company transferred its interests in $625.7
      million of loans to the LCCM 2017-LC26 securitization trust. In
      connection with this transaction, pursuant to the risk retention
      requirement of the Dodd-Frank Act, the Company sold a restricted
      &#8220;horizontal interest&#8221; to a &#8220;Third Party Purchaser&#8221; (&#8220;TPP&#8221;), which must
      be held by the TPP for at least five years. The Company initially
      concluded that the transfer restrictions placed on the TPP of the risk
      retention securities, imposed by the risk retention rules of the
      Dodd-Frank Act, precluded sale accounting under generally accepted
      accounting principles and, accordingly, the Company originally accounted
      for the transaction as a financing. As a result of industry discussions,
      in November 2017, the Securities and Exchange Commission staff indicated
      that, despite such restrictions, they would not take exception to a
      registrant treating such transfers as sales if they otherwise met all
      the criteria for sale accounting. The Company believes treatment of such
      transfers as sales is more consistent with the substance of such
      transaction, and accordingly, changed its accounting principles to treat
      such transfers as sales. In accordance with generally accepted
      accounting principles, the Company reflected this change in accounting
      principle retrospectively to prior interim periods within 2017.
    </p>
    <p>
      As a result of the change in accounting principle, the Company
      recognized a gain of $26.1 million on the transaction when it closed on
      June 29, 2017. In addition, upon consummation, the Company recognized
      $12.9 million and $62.7 million in restricted and unrestricted
      securities, respectively, which are included in real estate securities,
      available-for-sale on the Company&#8217;s consolidated balance sheets. The
      Company also recognized a liability for $78.8 million for 23
      intercompany loans with a combined principal balance of $76.7 million.
      This change in accounting principle had no material impact on previously
      reported core earnings or core EPS.
    </p>
    <p>
      <u><b>Non-GAAP Financial Measures</b></u>
    </p>
    <p>
      We present core earnings, core EPS, and after-tax core return on average
      equity (&#8220;after-tax core ROAE&#8221;), which are non-GAAP financial measures,
      as supplemental measures of our performance. We believe core earnings,
      core EPS and after-tax core ROAE assist investors in comparing our
      performance across reporting periods on a consistent basis by excluding
      non-cash expenses and unrecognized results from derivatives and agency
      interest-only securities, which we believe makes comparisons across
      reporting periods more relevant by eliminating timing differences
      related to changes in the values of assets and derivatives. In addition,
      we use core earnings, core EPS and after-tax core ROAE: (i) to evaluate
      our earnings from operations and (ii) because management believes that
      they may be useful performance measures for us. Core earnings is also
      used as a factor in determining the annual incentive compensation of our
      senior managers and other employees.
    </p>
    <p>
      We consider the Class A common shareholders of the Company and limited
      partners of Ladder Capital Finance Holdings LLLP other than Ladder
      Capital Corp (&#8220;Continuing LCFH Limited Partners&#8221;) to have fundamentally
      equivalent interests in our pre-tax earnings and net income.
      Accordingly, for purposes of computing core earnings, core EPS and
      after-tax core ROAE, we start with pre-tax earnings or net income and
      adjust for other noncontrolling interest in consolidated joint ventures
      but we do not adjust for amounts attributable to noncontrolling interest
      held by Continuing LCFH Limited Partners. Similarly, when calculating
      undepreciated book value per share we include total shareholders' equity
      and the noncontrolling interest held by Continuing LCFH Limited
      Partners, but exclude noncontrolling interest in consolidated joint
      ventures.
    </p>
    <p>
      <i>Core earnings</i>
    </p>
    <p>
      We define core earnings as income before taxes adjusted for (i) real
      estate depreciation and amortization, (ii) the impact of derivative
      gains and losses related to the hedging of assets on our balance sheet
      as of the end of the specified accounting period, (iii) unrealized
      gains/(losses) related to our investments in agency interest-only
      securities, (iv) economic gains on securitization transactions not
      recognized under GAAP accounting for which risk has substantially
      transferred during the period and the exclusion of resultant GAAP
      recognition of the related economics during the subsequent periods, (v)
      non-cash stock-based compensation and (vi) certain one-time
      transactional items.
    </p>
    <p>
      For core earnings, we include adjustments for economic gains on
      securitization transactions not recognized under GAAP accounting for
      which risk has substantially transferred during the period and exclusion
      of resultant GAAP recognition of the related economics during the
      subsequent periods. This adjustment is reflected in core earnings when
      there is a true risk transfer on the mortgage loan transfer and
      settlement. Historically, this has represented the impact of economic
      gains on (discounts) on intercompany loans secured by our own real
      estate which we had not previously recognized because such gains were
      eliminated in consolidation. Conversely, if the economic risk was not
      substantially transferred, no adjustments to net income would be made
      relating to those transactions for core earnings purposes. Management
      believes recognizing these amounts for core earnings purposes in the
      period of transfer of economic risk is a reasonable supplemental measure
      of our performance.
    </p>
    <div style="margin-left: 0pt; width: 100%; margin-bottom: 10pt; text-indent: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p>
      We do not designate derivatives as hedges to qualify for hedge
      accounting and therefore any net payments under, or fluctuations in the
      fair value of, our derivatives are recognized currently in our income
      statement. However, fluctuations in the fair value of the related assets
      are not included in our income statement. We consider the gain or loss
      on our hedging positions related to assets that we still own as of the
      reporting date to be &#8220;open hedging positions.&#8221; While recognized for GAAP
      purposes, we exclude the results on the hedges from core earnings until
      the related asset is sold and the hedge position is considered &#8220;closed,&#8221;
      whereupon they would then be included in core earnings in that period.
      These are reflected as &#8220;adjustments for unrecognized derivative results&#8221;
      for purposes of computing core earnings for the period. We believe that
      excluding these specifically identified gains and losses associated with
      the open hedging positions adjusts for timing differences between when
      we recognize changes in the fair values of our assets and changes in the
      fair value of the derivatives used to hedge such assets.
    </p>
    <p>
      Our investments in agency interest-only securities are recorded at fair
      value with changes in fair value recorded in current period earnings. We
      believe that excluding these specifically identified gains and losses
      associated with the agency interest-only securities adjusts for timing
      differences between when we recognize changes in the fair values of our
      assets. Set forth below is an unaudited reconciliation of net income to
      after-tax core earnings ($ in thousands):
    </p>
<div style="text-align:left">
    <table cellspacing="0" style="font-family: Times New Roman; width: 100%; margin-bottom: 10.0px; font-size: 8pt">
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="8">

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td colspan="8">

        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="8" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>Three Months Ended December 31,</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="8" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>Year Ended December 31,</b>
        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2017</b>
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2016</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2017</b>
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2016</b>
        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="18">

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Net income (loss)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          45,370
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          71,621
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          125,879
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          113,720
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 0.0px; text-align: left">
          Income tax expense (benefit)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          3,058
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          773
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          7,712
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          6,320
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Income (loss) before taxes
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          48,428
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          72,394
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <p style="margin-bottom: 0px; margin-top: 0px">
            133,591
          </p>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          120,040
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Net (income) loss attributable to noncontrolling interest in
          consolidated joint ventures and operating partnership (GAAP) (1)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (101
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (306
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (258
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          109
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Our share of real estate depreciation, amortization and gain
          adjustments (2)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          9,372
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          9,207
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          35,891
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          33,828
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Adjustments for unrecognized derivative results (3)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (3,651
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (41,657
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (10,139
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (11,105
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Unrealized (gain) loss on Agency IO securities
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (371
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          85
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (1,405
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          56
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Adjustment for economic gain on securitization transactions not
          recognized under GAAP for which risk has been substantially
          transferred, net of reversal/amortization
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (1,942
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (509
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          1,026
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (482
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Non-cash stock-based compensation
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          8,621
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          5,512
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          20,043
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          19,039
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 0.0px; text-align: left">
          One-time transactional adjustments
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          &#8212;
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (90
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-bottom: 2.0px; padding-left: 0.0px; text-align: left">
          <p style="margin-bottom: 0px; margin-top: 0px">
            (4)
          </p>
        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          &#8212;
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (3,272
        </td>
        <td valign="top" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
        <td>

        </td>
        <td valign="top" style="white-space: nowrap; padding-right: 0.0px; padding-bottom: 2.0px; padding-left: 0.0px; text-align: right">
          (4)
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          <b>Core earnings</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <b>60,356</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <b>44,636</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>178,749</b>
          </p>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <b>158,213</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 0.0px; text-align: left">
          Core estimated corporate tax benefit (expense) (5)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (9,014
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (4,202
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (9,265
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          627
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 4.0px; padding-left: 0.0px; text-align: left">
          <b>After-tax core earnings</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>51,342</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>40,434</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>169,484</b>
          </p>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>158,840</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
    </table>
    </div>
<div style="text-align:left">
    <table cellspacing="0" style="font-family: Times New Roman; width: 100%; margin-bottom: 10.0px; font-size: 8pt">
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="top" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          (1)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Includes $8 thousand and $32 thousand of net income attributable to
          noncontrolling interest in consolidated joint ventures which are
          included in net (income) loss attributable to noncontrolling
          interest in operating partnership on the consolidated statements of
          income for the fourth quarter and year ended December 31, 2017,
          respectively. Includes $8 thousand and $29 thousand of net income
          attributable to noncontrolling interest in consolidated joint
          ventures which are included in net (income) loss attributable to
          noncontrolling interest in operating partnership on the consolidated
          statements of income for the fourth quarter and year ended December
          31, 2016, respectively.
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="top" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          (2)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          The following is a reconciliation of GAAP depreciation and
          amortization to our share of real estate depreciation, amortization
          and gain adjustments amounts presented in the computation of core
          earnings in the preceding table ($ in thousands):
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
    </table>
    </div>
    <div style="margin-left: 0pt; width: 100%; margin-bottom: 10pt; text-indent: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
<div style="text-align:left">
    <table cellspacing="0" style="font-family: Times New Roman; width: 100%; margin-bottom: 10.0px; font-size: 8pt">
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="8">

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="8">

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="8" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>Three Months Ended December 31,</b>
          </p>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="8" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>Year Ended December 31,</b>
          </p>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2017</b>
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2016</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2017</b>
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2016</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="18">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Total GAAP depreciation and amortization
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          11,009
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          10,658
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          40,332
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          39,447
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Less: Depreciation and amortization related to non-rental property
          fixed assets
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (23
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (28
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (93
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (114
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 0.0px; text-align: left">
          Less: Non-controlling interest in consolidated joint ventures&#8217; share
          of accumulated depreciation and amortization
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (465
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (726
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (1,290
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (2,519
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Our share of real estate depreciation and amortization
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          10,521
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          9,904
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          38,949
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          36,814
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Realized gain from accumulated depreciation and amortization on real
          estate sold (see below)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (818
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (702
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (2,277
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (3,007
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 0.0px; text-align: left">
          Less: Non-controlling interest in consolidated joint ventures&#8217; share
          of accumulated depreciation and amortization on real estate sold
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          5
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          5
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          17
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          21
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Our share of accumulated depreciation and amortization on real
          estate sold
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (813
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (697
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (2,260
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (2,986
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Less: Operating lease income on above/below market lease intangible
          amortization
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <p style="margin-bottom: 0px; margin-top: 0px">
            (336
          </p>
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          &#8212;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (798
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          &#8212;
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3" style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3" style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3" style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3" style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 4.0px; padding-left: 0.0px; text-align: left">
          <b>Our share of real estate depreciation, amortization and gain
          adjustments</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>9,372</b>
          </p>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>9,207</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>35,891</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>33,828</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
    </table>
    </div>
    <p style="margin-left: 30.0px">
      GAAP gains/losses on sales of real estate include the effects of
      previously recognized real estate depreciation and amortization. For
      purposes of core earnings, our share of real estate depreciation and
      amortization is eliminated and, accordingly, the resultant gain/losses
      must also be adjusted. Following is a reconciliation of the related
      consolidated GAAP amounts to the amounts reflected in core earnings.
    </p>
<div style="text-align:left">
    <table cellspacing="0" style="font-family: Times New Roman; width: 100%; margin-bottom: 10.0px; font-size: 8pt">
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="8">

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="8">

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="8" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>Three Months Ended December 31,</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="8" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>Year Ended December 31,</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2017</b>
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2016</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2017</b>
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2016</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="18">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          GAAP realized gain on sale of real estate, net
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          3,633
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          5,020
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          11,423
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          20,636
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 0.0px; text-align: left">
          <p style="margin-bottom: 0px; margin-top: 0px">
            Adjusted gain/loss on sale of real estate for purposes of core
            earnings
          </p>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (2,820
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (4,323
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (9,163
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (17,650
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 4.0px; padding-left: 0.0px; text-align: left">
          <b>Our share of accumulated depreciation and amortization on real
          estate sold</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>813</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>697</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>2,260</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>2,986</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
    </table>
    </div>
<div style="text-align:left">
    <table cellspacing="0" style="font-family: Times New Roman; width: 100%; margin-bottom: 10.0px; font-size: 8pt">
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="top" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          (3)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          The following is a reconciliation of GAAP net results from
          derivative transactions to our hedging unrecognized result presented
          in the computation of core earnings in the preceding table ($ in
          thousands):
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
    </table>
    </div>
    <div style="margin-left: 0pt; width: 100%; margin-bottom: 10pt; text-indent: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
<div style="text-align:left">
    <table cellspacing="0" style="font-family: Times New Roman; width: 100%; margin-bottom: 10.0px; font-size: 8pt">
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="8">

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="8">

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="8" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>Three Months Ended December 31,</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="8" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>Year Ended December 31,</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2017</b>
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2016</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2017</b>
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2016</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="18">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Net results from derivative transactions
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          5,710
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          64,739
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (12,641
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (1,409
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Hedging interest expense
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          2,749
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          6,625
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <p style="margin-bottom: 0px; margin-top: 0px">
            15,320
          </p>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          29,870
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 0.0px; text-align: left">
          Hedging realized result
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (4,808
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (29,707
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          7,460
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (17,356
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 4.0px; padding-left: 0.0px; text-align: left">
          <b>Adjustments for unrecognized derivative results</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>3,651</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>41,657</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>10,139</b>
          </p>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>11,105</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
    </table>
    </div>
<div style="text-align:left">
    <table cellspacing="0" style="font-family: Times New Roman; width: 100%; margin-bottom: 10.0px; font-size: 8pt">
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="top" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          (4)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          <p style="margin-bottom: 0px; margin-top: 0px">
            We recorded an additional $0.1 million and $3.3 million income tax
            expense for the fourth quarter and year ended December 31, 2016,
            respectively, a proposed tax settlement for pre-acquisition
            liabilities on certain corporate entities acquired in certain
            transactions effected immediately prior to our initial public
            offering. We also recorded other income of $0.1 million and $3.3
            million for the fourth quarter and year ended December 31, 2016,
            respectively, relating to the expected recovery of these amounts
            pursuant to an indemnification. While these items are presented on
            a gross basis, there was no impact to either net income or core
            earnings. Accordingly, since pre-tax income excludes the tax
            effect but includes the recovery pursuant to indemnification, the
            recovery amount must also be excluded from core earnings.
          </p>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="top" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          (5)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Core estimated corporate tax benefit (expense) based on effective
          tax rate applied to core earnings generated by the activity within
          our taxable REIT subsidiaries.
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
    </table>
    </div>
    <p>
      <i>Core EPS</i>
    </p>
    <p>
      Core EPS is defined as after-tax core earnings divided by the adjusted
      weighted average diluted shares outstanding during the period. The
      adjusted weighted average diluted shares outstanding is defined as the
      GAAP weighted average diluted shares outstanding, adjusted for shares
      issuable upon conversion of all Class B shares, if excluded from the
      GAAP measure because they would have an anti-dilutive effect. The
      inclusion of shares issuable upon conversion of Class B shares is
      consistent with the inclusion of income attributable to noncontrolling
      interest in operating partnership in core earnings and after-tax core
      earnings.
    </p>
    <p>
      Set forth below is an unaudited reconciliation of weighted average
      diluted shares outstanding to adjusted weighted average diluted shares
      outstanding (in thousands):
    </p>
<div style="text-align:left">
    <table cellspacing="0" style="font-family: Times New Roman; width: 100%; margin-bottom: 10.0px; font-size: 8pt">
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="6">

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="5">

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="6" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>Three Months Ended December 31,</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="5" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>Year Ended December 31,</b>
          </p>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2017</b>
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2016</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2017</b>
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2016</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="13">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Weighted average diluted shares outstanding
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          89,242
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          66,037
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          109,705
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          107,639
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 0.0px; text-align: left">
          Weighted average shares issuable to converted Class B shareholders
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          20,541
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          42,582
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          &#8212;
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          &#8212;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 4.0px; padding-left: 0.0px; text-align: left">
          <b>Adjusted weighted average diluted shares outstanding</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>109,783</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>108,619</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>109,705</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>107,639</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
    </table>
    </div>
    <p>
      Set forth below is an unaudited computation of core EPS ($ in thousands,
      except per share data):
    </p>
<div style="text-align:left">
    <table cellspacing="0" style="font-family: Times New Roman; width: 100%; margin-bottom: 10.0px; font-size: 8pt">
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="8">

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="7">

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="8" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>Three Months Ended December 31,</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="7" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>Year Ended December 31,</b>
          </p>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2017</b>
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2016</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2017</b>
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2016</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="17">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          After-tax core earnings
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          51,342
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          40,434
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <p style="margin-bottom: 0px; margin-top: 0px">
            169,484
          </p>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          158,840
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 0.0px; text-align: left">
          Adjusted weighted average diluted shares outstanding
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          109,783
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          108,619
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          109,705
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          107,639
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 4.0px; padding-left: 0.0px; text-align: left">
          <b>Core EPS</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>0.47</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>0.37</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>1.54</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>1.48</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
    </table>
    </div>
    <p>
      <i>After-tax core ROAE</i>
    </p>
    <p>
      After-tax core ROAE is presented on an annualized basis and is defined
      as after-tax core earnings divided by the average total shareholders'
      equity and noncontrolling interest in operating partnership during the
      period. The inclusion of noncontrolling interest in operating
      partnership is consistent with the inclusion of income attributable to
      noncontrolling interest in operating partnership in after-tax core
      earnings. Set forth below is an unaudited computation of after-tax core
      ROAE ($ in thousands):
    </p>
<div style="text-align:left">
    <table cellspacing="0" style="font-family: Times New Roman; width: 100%; margin-bottom: 10.0px; font-size: 8pt">
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="8">

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="8">

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="8" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>Three Months Ended December 31,</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="8" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>Year Ended December 31,</b>
          </p>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2017</b>
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2016</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2017</b>
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2016</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="18">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          After-tax core earnings
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          51,342
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          40,434
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <p style="margin-bottom: 0px; margin-top: 0px">
            169,484
          </p>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          158,840
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 0.0px; text-align: left">
          Average shareholders' equity and NCI in operating partnership
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          1,472,845
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          1,500,134
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          1,477,479
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          1,486,772
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 4.0px; padding-left: 0.0px; text-align: left">
          <b>After-tax core ROAE</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>13.9</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>%</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>10.8</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>%</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>11.5</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>%</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>10.7</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>%</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">

        </td>
        <td>
          &#160;
        </td>
      </tr>
    </table>
    </div>
    <div style="margin-left: 0pt; width: 100%; margin-bottom: 10pt; text-indent: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p>
      <i>Income from sales of securitized loans, net of hedging</i>
    </p>
    <p>
      We present income from sales of securitized loans, net of hedging, a
      non-GAAP financial measure, as a supplemental measure of the performance
      of our loan securitization business. Since our loans sold into
      securitizations to date are comprised of long-term fixed-rate loans, the
      result of hedging those exposures prior to securitization represents a
      substantial portion of our securitization profitability. Therefore, we
      view these two components of our profitability together when assessing
      the performance of this business activity and find it a meaningful
      measure of our performance as a whole. When evaluating the performance
      of our sale of loans into securitization business, we generally consider
      the income from sales of securitized loans, net, in conjunction with
      other income statement items that are directly related to such
      securitization transactions, including portions of the realized net
      result from derivative transactions that are specifically related to
      hedges on the securitized or sold loans, which we reflect as hedge
      gain/(loss) related to loans securitized, a non-GAAP financial measure,
      in the table below.
    </p>
    <p>
      Set forth below is an unaudited reconciliation of income from sale of
      securitized loans, net to income from sale of loans, net as reported in
      our consolidated financial statements and an unaudited reconciliation of
      hedge gain/(loss) relating to loans securitized to net results from
      derivative transactions as reported in our consolidated financial
      statements ($ in thousands except for number of loans and
      securitizations):
    </p>
<div style="text-align:left">
    <table cellspacing="0" style="font-family: Times New Roman; width: 100%; margin-bottom: 10.0px; font-size: 8pt">
      <tr>
        <td>
          &#160;
        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="8">

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="8">

        </td>
        <td colspan="2">

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="8" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>Three Months Ended December 31,</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="8" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>Year Ended December 31,</b>
          </p>
        </td>
        <td colspan="2" style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2017</b>
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2016</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2017</b>
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2016</b>
        </td>
        <td colspan="2" style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="18">

        </td>
        <td colspan="2">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" colspan="2" style="padding-left: 0.0px; text-align: left">
          Number of loans
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          57
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          44
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          114
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          104
        </td>
        <td>

        </td>
        <td colspan="2">

        </td>
      </tr>
      <tr>
        <td valign="bottom" colspan="2" style="padding-left: 0.0px; text-align: left">
          Face amount of loans sold into securitizations
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          851,087
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          663,798
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          1,476,741
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          1,327,856
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (1
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
      </tr>
      <tr>
        <td valign="bottom" colspan="2" style="padding-left: 0.0px; text-align: left">
          Number of securitizations
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          6
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          3
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          7
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          6
        </td>
        <td>

        </td>
        <td colspan="2">

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td colspan="2">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" colspan="2" style="padding-left: 0.0px; text-align: left">
          Income from sales of securitized loans, net (2)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          29,157
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (4,088
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          55,220
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          23,098
        </td>
        <td>

        </td>
        <td colspan="2">

        </td>
      </tr>
      <tr>
        <td valign="bottom" colspan="2" style="padding-bottom: 2.0px; padding-left: 0.0px; text-align: left">
          Hedge gain/(loss) related to loans securitized (3)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          3,139
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          22,087
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (5,929
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          15,271
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td colspan="2" style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" colspan="2" style="padding-left: 0.0px; text-align: left">
          <b>Income from sales of securitized loans, net of hedging</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <b>32,296</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <b>17,999</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <b>49,291</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <b>38,369</b>
        </td>
        <td>

        </td>
        <td colspan="2">

        </td>
      </tr>
      <tr>
        <td valign="bottom" colspan="2" style="padding-bottom: 2.0px; padding-left: 0.0px; text-align: left">
          Adjustment for economic gain on securitization transactions not
          recognized under GAAP for which risk has been substantially
          transferred
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (1,695
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (275
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          2,051
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          413
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td colspan="2" style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" colspan="2" style="padding-bottom: 4.0px; padding-left: 0.0px; text-align: left">
          <b>Core gain on sale of securitized loans</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>30,601</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>17,724</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>51,342</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>38,782</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td colspan="2" style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
      </tr>
      <tr>
        <td colspan="2">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">
          &#160;
        </td>
      </tr>
    </table>
    </div>
<div style="text-align:left">
    <table cellspacing="0" style="font-family: Times New Roman; width: 100%; margin-bottom: 10.0px; font-size: 8pt">
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="top" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          (1)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          Excludes one $21.7 million loan acquired from a third party and sold
          into a securitization at equal values.
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="top" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          (2)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          The following is a reconciliation of income from sale of loans, net,
          which is the closest GAAP measure, as reported in our consolidated
          financial statements to the non-GAAP financial measure of income
          from sales of securitized loans, net ($ in thousands):
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
    </table>
    </div>
<div style="text-align:left">
    <table cellspacing="0" style="font-family: Times New Roman; width: 100%; margin-bottom: 10.0px; font-size: 8pt">
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="8">

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="8">

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="8" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>Three Months Ended December 31,</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="8" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>Year Ended December 31,</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2017</b>
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2016</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2017</b>
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2016</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="18">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Income from sales of loans, net
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          29,917
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (4,256
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          54,046
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          26,009
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Unrealized losses on loans related to lower of cost or market
          adjustments
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          &#8212;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          &#8212;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          1,779
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          &#8212;
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 0.0px; text-align: left">
          (Income) loss from sale of loans (non-securitized), net
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (760
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          168
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          <p style="margin-bottom: 0px; margin-top: 0px">
            (605
          </p>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (2,911
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 4.0px; padding-left: 0.0px; text-align: left">
          <b>Income from sales of securitized loans, net</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>29,157</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>(4,088</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: left; border-bottom-width: 2.25pt">
          <b>)</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>55,220</b>
          </p>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>23,098</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
    </table>
    </div>
    <div style="margin-left: 0pt; width: 100%; margin-bottom: 10pt; text-indent: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p>
      (3) The following is a reconciliation of net results from derivative
      transactions, which is the closest GAAP measure, as reported in our
      consolidated financial statements to the non-GAAP financial measure of
      hedge gain/(loss) related to loans securitized ($ in thousands):
    </p>
<div style="text-align:left">
    <table cellspacing="0" style="font-family: Times New Roman; width: 100%; margin-bottom: 10.0px; font-size: 8pt">
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="8">

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="8">

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="8" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>Three Months Ended December 31,</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="8" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>Year Ended December 31,</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2017</b>
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2016</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2017</b>
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2016</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="18">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Net results from derivative transactions
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <p style="margin-bottom: 0px; margin-top: 0px">
            5,710
          </p>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          64,739
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <p style="margin-bottom: 0px; margin-top: 0px">
            (12,641
          </p>
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (1,409
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Hedge gain/(loss) related to lending and securities positions
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <p style="margin-bottom: 0px; margin-top: 0px">
            (2,615
          </p>
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (42,307
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <p style="margin-bottom: 0px; margin-top: 0px">
            8,130
          </p>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          15,971
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 0.0px; text-align: left">
          Hedge gain/(loss) related to loans (non-securitized)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          44
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (345
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          <p style="margin-bottom: 0px; margin-top: 0px">
            (1,418
          </p>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          709
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 4.0px; padding-left: 0.0px; text-align: left">
          <b>Hedge gain/(loss) related to loans securitized</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>3,139</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>22,087</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>(5,929</b>
          </p>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: left; border-bottom-width: 2.25pt">
          <b>)</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>15,271</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
    </table>
    </div>
    <p>
      <i>Undepreciated book value per share</i>
    </p>
    <p>
      We present undepreciated book value per share, which is a non-GAAP
      financial measure, as a supplemental measure of our financial condition.
      We believe undepreciated book value per share assists investors in
      comparing our financial condition across reporting periods on a
      consistent basis by excluding accumulated depreciation on real estate,
      which implicitly assumes that the value of our real estate diminishes in
      value predictably over time, whereas real estate values have
      historically risen or fallen with market conditions.
    </p>
    <p>
      We consider the Class A common shareholders of the Company and
      Continuing LCFH Limited Partners to have fundamentally equivalent
      interests in our pre-tax earnings and net income. Accordingly, when
      calculating undepreciated book value per share we include total
      shareholders' equity and the noncontrolling interest held by Continuing
      LCFH Limited Partners but exclude noncontrolling interest in
      consolidated joint ventures.
    </p>
    <p>
      We define undepreciated book value per share as the sum of total
      shareholders' equity, noncontrolling interest in operating partnership,
      and our share of accumulated real estate depreciation and amortization,
      divided by the total Class A and Class B shares outstanding. Set forth
      below is an unaudited reconciliation of total shareholders' equity to
      undepreciated book value, and an unaudited computation of undepreciated
      book value per share ($ in thousands except per share date):
    </p>
<div style="text-align:left">
    <table cellspacing="0" style="font-family: Times New Roman; width: 100%; margin-bottom: 10.0px; font-size: 8pt">
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="3">

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="2">

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="3" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>December 31, 2017</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>December 31, 2016</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="7">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Total shareholders' equity
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          1,234,968
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          971,390
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Noncontrolling interest in operating partnership
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          240,861
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          533,246
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 0.0px; text-align: left">
          Our share of accumulated real estate depreciation and amortization
          (1)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          149,494
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          112,606
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 25.0px; text-align: left">
          Undepreciated book value
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          1,625,323
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          1,617,242
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Class A shares outstanding
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          93,641
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          71,586
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 0.0px; text-align: left">
          Class B shares outstanding
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          17,667
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          38,002
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 20.0px; text-align: left">
          Total shares outstanding
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          111,308
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          109,588
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 20.0px; text-align: left">
          <b>GAAP book value per share</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <b>13.19</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <b>13.57</b>
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 20.0px; text-align: left">
          <b>Undepreciated book value per share</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <b>14.60</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <b>14.76</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
    </table>
    </div>
    <p>
      (1) The following is a reconciliation of GAAP accumulated real estate
      depreciation and amortization to our share of accumulated real estate
      depreciation and amortization presented in the computation of
      undepreciated book value per share in the preceding table ($ in
      thousands):
    </p>
<div style="text-align:left">
    <table cellspacing="0" style="font-family: Times New Roman; width: 100%; margin-bottom: 10.0px; font-size: 8pt">
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="3">

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="3">

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="3" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>December 31, 2017</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="3" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>December 31, 2016</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="8">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          GAAP accumulated real estate depreciation and amortization
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          161,063
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          122,007
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 0.0px; text-align: left">
          Less: Noncontrolling interest in consolidated joint ventures' share
          of accumulated real estate depreciation and amortization
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (11,569
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (9,401
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 4.0px; padding-left: 0.0px; text-align: left">
          <b>Our share of accumulated real estate depreciation and amortization</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>149,494</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>112,606</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
    </table>
    </div>
    <div style="margin-left: 0pt; width: 100%; margin-bottom: 10pt; text-indent: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p>
      <i>Core gain on sale of loans</i>
    </p>
    <p>
      We present core gain on sale of loans, which is a non-GAAP financial
      measure, as a supplemental measure of our performance. We define core
      gain on sale of loans as income from sales of loans, and the economic
      gains on the transfer of loans not considered sold for accounting
      purposes, net of the realized hedging result related to the hedging of
      loans sold or transferred. We believe core gain on sale of loans assists
      investors in comparing our performance across reporting periods on a
      consistent basis by eliminating timing differences related to changes in
      values of assets and derivatives.
    </p>
    <p>
      Set forth below is an unaudited reconciliation of GAAP sale of loans,
      net to core gain on sale of loans ($ in thousands):
    </p>
<div style="text-align:left">
    <table cellspacing="0" style="font-family: Times New Roman; width: 100%; margin-bottom: 10.0px; font-size: 8pt">
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="8">

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="7">

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="8" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>Three Months Ended December 31,</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="7" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>Year Ended December 31,</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2017</b>
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2016</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2017</b>
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2016</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="17">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          GAAP sale of loans, net
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          29,917
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (4,256
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          54,046
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          26,009
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Adjustment for economic gain on securitization transactions not
          recognized under GAAP for which risk has been substantially
          transferred (1)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (1,695
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (275
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          2,051
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          413
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 0.0px; text-align: left">
          Hedging gain/(loss) related to loans securitized and other loan
          activity
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          3,095
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          25,027
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (2,732
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          17,156
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 4.0px; padding-left: 0.0px; text-align: left">
          <b>Core gain on sale of loans</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>31,317</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>20,496</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>53,365</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>43,578</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
    </table>
    </div>
<div style="text-align:left">
    <table cellspacing="0" style="font-family: Times New Roman; width: 100%; margin-bottom: 10.0px; font-size: 8pt">
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="top" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          (1)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          For core gain on sale of loans, we include adjustments for economic
          gains on securitization transactions not recognized for GAAP
          accounting. Management believes recognizing these amounts for core
          purposes in the period of economic transfer of risk is a reasonable
          supplemental measure of our performance.
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
    </table>
    </div>
    <p>
      <i>Core gain on sale of securities</i>
    </p>
    <p>
      We present core gain on sale of securities, which is a non-GAAP
      financial measure, as a supplemental measure of our performance. We
      define core gain on sale of loans as income from sales of securities net
      of the realized hedging result related to the hedging of securities
      sold. We believe core gain on sale of securities assists investors in
      comparing our performance across reporting periods on a consistent basis
      by eliminating timing differences related to changes in values of assets
      and derivatives.
    </p>
    <p>
      Set forth below is an unaudited reconciliation of GAAP realized gain
      (loss) on securities to core gain on sale of securities ($ in thousands):
    </p>
<div style="text-align:left">
    <table cellspacing="0" style="font-family: Times New Roman; width: 100%; margin-bottom: 10.0px; font-size: 8pt">
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="8">

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="7">

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="8" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>Three Months Ended December 31,</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="7" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>Year Ended December 31,</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2017</b>
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2016</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2017</b>
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2016</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="17">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          GAAP realized gain (loss) on securities
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (1,973
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          (1,800
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          17,209
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          7,724
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Plus: Other than temporary impairment, net of hedging
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          694
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          59
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          1,254
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          643
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 0.0px; text-align: left">
          Hedging realized result - security sales
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          1,713
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          4,680
        </td>
        <td style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (4,728
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          200
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 4.0px; padding-left: 0.0px; text-align: left">
          <b>Core gain on sales of securities</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>434</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>2,939</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>13,735</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>8,567</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
    </table>
    </div>
    <p>
      <i>Net rental income</i>
    </p>
    <p>
      We present net rental income, which is a non-GAAP financial measure, as
      a supplemental measure of our performance. We define net rental income
      as the total of operating lease income and tenant recoveries, less real
      estate operating expenses, all of which are disclosed on our
      consolidated statements of income. We present net rental income as a
      measure of the recurring income from our real estate investments before
      non-recurring items such as gains on sale or fee income, which we
      believe assists investors in analyzing our performance across reporting
      periods.
    </p>
    <div style="margin-left: 0pt; width: 100%; margin-bottom: 10pt; text-indent: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p>
      Set forth below is an unaudited reconciliation of operating lease income
      to net rental income ($ in thousands):
    </p>
<div style="text-align:left">
    <table cellspacing="0" style="font-family: Times New Roman; width: 100%; margin-bottom: 10.0px; font-size: 8pt">
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="8">

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="8">

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="8" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>Three Months Ended December 31,</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="8" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>Year Ended December 31,</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2017</b>
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2016</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2017</b>
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td valign="bottom" colspan="3" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>2016</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="18">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Operating lease income
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          24,751
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          19,432
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          89,492
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          77,277
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Plus: Tenant recoveries
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          2,058
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          2,113
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          7,179
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          <p style="margin-bottom: 0px; margin-top: 0px">
            5,958
          </p>
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 0.0px; text-align: left">
          Less: Real estate operating expenses
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (8,355
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          <p style="margin-bottom: 0px; margin-top: 0px">
            (7,301
          </p>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (33,216
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (30,545
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 4.0px; padding-left: 0.0px; text-align: left">
          <b>Net rental income</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>18,454</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>14,244</b>
          </p>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>63,455</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>$</b>
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>52,690</b>
          </p>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
    </table>
    </div>
    <p>
      <i>Adjusted leverage</i>
    </p>
    <p>
      We present adjusted leverage, which is a non-GAAP financial measure, as
      a supplemental measure of our performance. We define adjusted leverage
      as the ratio of debt obligations, net of deferred financing costs,
      adjusted for non-recourse debt obligations related to securitizations
      that are consolidated on our GAAP balance sheet. We believe adjusted
      leverage assists investors in comparing our leverage across reporting
      periods on a consistent basis by excluding non-recourse debt related to
      securitized loans.
    </p>
    <p>
      Set forth below is an unaudited computation of adjusted leverage ($ in
      thousands):
    </p>
<div style="text-align:left">
    <table cellspacing="0" style="font-family: Times New Roman; width: 100%; margin-bottom: 10.0px; font-size: 8pt">
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="3">

        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="2">

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="3" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>December 31, 2017</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="border-bottom-color: black; border-bottom-style: solid; padding-left: 0.0px; text-align: center; border-bottom-width: 1.0pt">
          <b>December 31, 2016</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          GAAP debt obligations, net
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          4,379,826
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          $
        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          3,942,138
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 2.0px; padding-left: 0.0px; text-align: left">
          Less: CLO debt
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          (688,479
        </td>
        <td valign="bottom" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: left; border-bottom-width: 1.0pt">
          )
        </td>
        <td>

        </td>
        <td valign="bottom" style="white-space: nowrap; padding-right: 0.0px; padding-bottom: 2.0px; padding-left: 0.0px; text-align: right">
          (1)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: solid; padding-left: 0.0px; text-align: right; border-bottom-width: 1.0pt">
          &#8212;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          Adjusted debt obligations
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          3,691,347
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          3,942,138
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-left: 0.0px; text-align: left">
          <p style="margin-bottom: 0px; margin-top: 0px">
            GAAP total equity
          </p>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          1,488,146
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: right">
          1,509,554
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3" style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2" style="border-bottom-color: black; border-bottom-style: solid; border-bottom-width: 1.0pt">
          &#160;
        </td>
      </tr>
      <tr>
        <td valign="bottom" style="padding-bottom: 4.0px; padding-left: 0.0px; text-align: left">
          <b>Adjusted leverage</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>2.5</b>
        </td>
        <td style="border-bottom-color: black; border-bottom-style: double; border-bottom-width: 2.25pt">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="bottom" colspan="2" style="white-space: nowrap; border-bottom-color: black; padding-right: 0.0px; border-bottom-style: double; padding-left: 0.0px; text-align: right; border-bottom-width: 2.25pt">
          <b>2.6</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">
          &#160;
        </td>
      </tr>
    </table>
    </div>
<div style="text-align:left">
    <table cellspacing="0" style="font-family: Times New Roman; width: 100%; margin-bottom: 10.0px; font-size: 8pt">
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td valign="top" style="white-space: nowrap; padding-right: 0.0px; padding-left: 0.0px; text-align: left">
          (1)
        </td>
        <td>

        </td>
        <td>

        </td>
        <td valign="top" style="padding-left: 0.0px; text-align: left">
          As discussed above, we contributed over $888.4 million worth of
          balance sheet loans into two CLO securitizations that remain on our
          balance sheet for accounting purposes, but are excluded from debt
          obligations for adjusted leverage calculation purposes.
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
    </table>
    </div>
    <p>
      <u><b>Non-GAAP Measures - Limitations</b></u>
    </p>
    <p>
      Our non-GAAP financial measures have limitations as analytical tools.
      Some of these limitations are:
    </p>
    <ul>
      <li style="margin-bottom: 10.0px">
        core earnings, core EPS and after-tax core ROAE do not reflect the
        impact of certain cash charges resulting from matters we consider not
        to be indicative of our ongoing operations and are not necessarily
        indicative of cash necessary to fund cash needs;
      </li>
      <li style="margin-bottom: 10.0px">
        core EPS and after-tax core ROAE are based on a non-GAAP estimate of
        our effective tax rate, including the impact of Unincorporated
        Business Tax and the impact of our election to be taxed as a REIT
        effective January 1, 2015, assuming the conversion of all shares of
        Class B common stock into shares of Class A common stock. Our actual
        tax rate may differ materially from this estimate;
      </li>
      <li style="margin-bottom: 10.0px">
        undepreciated book value per share excludes accumulated real estate
        depreciation and amortization and may not reflect an accurate measure
        of the value of our real estate; and
      </li>
      <li style="margin-bottom: 10.0px">
        other companies in our industry may calculate non-GAAP financial
        measures differently than we do, limiting their usefulness as
        comparative measures.
      </li>
    </ul>
    <p>
      Because of these limitations, our non-GAAP financial measures should not
      be considered in isolation or as a substitute for net income (loss)
      attributable to shareholders, earnings per share or book value per
      share, or any other performance measures calculated in accordance with
      GAAP. Our non-GAAP financial measures should not be considered an
      alternative to cash flows from operations as a measure of our liquidity.
      Undepreciated book value per share should not be considered a measure of
      the value of our assets upon an orderly liquidation of the our company.
    </p>
    <p>
      In the future, we may incur gains and losses that are the same as or
      similar to some of the adjustments in this presentation. Our
      presentation of non-GAAP financial measures should not be construed as
      an inference that our future results will be unaffected by unusual or
      non-recurring items.
    </p>
    <div style="margin-left: 0pt; width: 100%; margin-bottom: 10pt; text-indent: 0pt; margin-right: 0pt">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p>
      For additional information about our non-GAAP financial measures, please
      refer to the disclosures available on our website or our Annual Report
      on Form 10-&#173;K.
    </p>
    <p>
      <b>About Ladder</b>
    </p>
    <p>
      Ladder is an internally-managed real estate investment trust that is a
      leader in commercial real estate finance. Ladder originates and invests
      in a diverse portfolio of commercial real estate and real estate-related
      assets, focusing on senior secured assets. Ladder&#8217;s investment
      activities include: (i) direct origination of commercial real estate
      first mortgage loans; (ii) investments in investment grade securities
      secured by first mortgage loans on commercial real estate; and (iii)
      investments in net leased and other commercial real estate equity.
      Founded in 2008, Ladder is run by a highly experienced management team
      with extensive expertise in all aspects of the commercial real estate
      industry, including origination, credit, underwriting, structuring,
      capital markets and asset management. Led by Brian Harris, the Company&#8217;s
      Chief Executive Officer, Ladder is headquartered in New York City and
      has branches in Los Angeles and Boca Raton.
    </p>
    <p>
      <b>Forward-Looking Statements</b>
    </p>
    <p>
      Certain statements in this release may constitute &#8220;forward-looking&#8221;
      statements. These statements are based on management&#8217;s current opinions,
      expectations, beliefs, plans, objectives, assumptions or projections
      regarding future events or future results. These forward-looking
      statements are only predictions, not historical fact, and involve
      certain risks and uncertainties, as well as assumptions. Actual results,
      levels of activity, performance, achievements and events could differ
      materially from those stated, anticipated or implied by such
      forward-looking statements. While Ladder believes that its assumptions
      are reasonable, it is very difficult to predict the impact of known
      factors, and, of course, it is impossible to anticipate all factors that
      could affect actual results. There are a number of risks and
      uncertainties that could cause actual results to differ materially from
      forward-looking statements made herein including, most prominently, the
      risks discussed under the heading &#8220;Risk Factors&#8221; in the Company&#8217;s Annual
      Report on Form 10-K for the year ended December&#160;31, 2016, as well as its
      consolidated financial statements, related notes, and other financial
      information appearing therein, and its other filings with the U.S.
      Securities and Exchange Commission. Such forward-looking statements are
      made only as of the date of this release. Ladder expressly disclaims any
      obligation or undertaking to release any updates or revisions to any
      forward-looking statements contained herein to reflect any change in its
      expectations with regard thereto or changes in events, conditions, or
      circumstances on which any such statement is based.
    </p>
    <p>
      CONTACT:<br><b>Investors</b><br>Ladder Capital Corp Investor Relations<br>917-369-3207<br><u>investor.relations@laddercapital.com</u>
    </p>
    <p>

    </p>
  </body>
</html>
</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
