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Commercial Mortgage Loans | 12 Months Ended
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Dec. 31, 2016
Mortgage Loans on Real Estate [Line Items] |
Loans | Schedule IV — Mortgage Loans on Real Estate December 31, 2016
Property Type | Location |  | Contractual Interest Rate |  | Final Extended Maturity Date (1) |  | Periodic Payment Terms |  | Face amount of loans |  | Carrying amount of loans |
Commercial mortgage loans |  |  |  |  |  |  |  |  |  |  |  |
Condo Construction | Maryland |  | L+15.00% |  | Apr-17 |  | Interest only |  | $51,695 |  | $52,476 |
Vacation Home Portfolio | Various |  | 7.50% |  | Apr-19 |  | Principal and interest |  | 88,876 |  | 88,195 |
Hotel | Pennsylvania |  | L+4.55% |  | May-19 |  | Interest only |  | 34,000 |  | 33,987 |
Mixed Use | Ohio |  | L+9.00% |  | May-20 |  | Interest only |  | 165,000 |  | 163,987 |
Multifamily | North Dakota |  | L+5.90% |  | Nov-19 |  | Interest only |  | 49,706 |  | 39,713 |
Vacation Home Portfolio | Various US cities |  | 7.00% |  | Nov-21 |  | Interest only |  | 59,500 |  | 59,193 |
Mixed Use | New York |  | L+7.00% |  | Mar-17 |  | Interest only |  | 85,770 |  | 86,142 |
Retail redevelopment | Florida |  | L+6.00% |  | Jan-18 |  | Interest only |  | 45,000 |  | 45,415 |
Retail | New York |  | L+7.00% |  | Mar-17 |  | Interest only |  | 23,000 |  | 23,012 |
Hotel | New York |  | L+5.25% |  | Sept-20 |  | Interest only |  | 108,857 |  | 108,768 |
Retail | New York |  | L+7.00% |  | Mar-17 |  | Interest only |  | 5,910 |  | 5,921 |
Hotel | U.S. Virgin Islands |  | L+4.95% |  | Jan-21 |  | Interest only |  | 42,000 |  | 41,795 |
Office | Virginia |  | L+5.15% |  | Jan-20 |  | Interest only |  | 54,000 |  | 53,849 |
Retail redevelopment | Florida |  | L+6.25% |  | Jan-19 |  | Interest only |  | 220,000 |  | 218,771 |
Office | Massachusetts |  | L+6.25% |  | Sept-18 |  | Interest only |  | 28,659 |  | 28,543 |
Mixed Use | New York |  | L+6.00% |  | Dec-18 |  | Interest only |  | 45,789 |  | 45,541 |
Condo Conversion | New York |  | L+6.50% |  | Jun-18 |  | Interest only |  | 41,016 |  | 40,825 |
Hotel | New York |  | L+6.30% |  | Aug-21 |  | Interest only |  | 78,140 |  | 77,297 |
Mixed Use | Illinois |  | L+5.50% |  | Oct-20 |  | Interest only |  | 129,397 |  | 128,271 |
Retail | New York |  | L+7.00% |  | Mar-17 |  | Interest only |  | 7,500 |  | 7,489 |
Data Center | Virginia |  | 8.00% |  | Aug-19 |  | Interest only |  | 80,000 |  | 79,634 |
Retail | New York |  | L+5.75% |  | Dec-18 |  | Interest only |  | 60,300 |  | 59,775 |
Office | New York |  | L+4.70% |  | Dec-18 |  | Interest only |  | 105,000 |  | 104,005 |
Mixed Use Pre-development | California |  | L+6.75% |  | Dec-20 |  | Interest only |  | 50,000 |  | 49,252 |
Total commercial mortgage loans |  |  |  |  |  |  |  | $1,659,115 |  | $1,641,856 |
Subordinate loans (2) |  |  |  |  |  |  |  |  |  |  |  |
Mixed Use | North Carolina |  | 11.10% |  | Aug - 22 |  | Interest only |  | $6,525 |  | $6,525 |
Office Complex | Missouri |  | 11.75% |  | Oct - 22 |  | Principal and interest |  | 9,414 |  | 9,414 |
Hotel Portfolio | Missouri |  | 11.00% |  | Feb - 18 |  | Principal and interest |  | 23,863 |  | 23,863 |
Warehouse Portfolio | Various US cities |  | 11.50% |  | May - 23 |  | Interest only |  | 32,000 |  | 32,000 |
Office Condo | New York |  | 11.25% |  | Jul - 22 |  | Interest only |  | 14,000 |  | 13,679 |
Ski Resort | Montana |  | 14.00% |  | Sept - 20 |  | Interest only |  | 15,000 |  | 14,773 |
Mixed Use | New York |  | L+10.50% |  | Dec - 19 |  | Interest only |  | 99,581 |  | 99,660 |
Senior Housing | United Kingdom |  | 3ML+8.25% |  | Dec - 19 |  | Principal and interest |  | 41,693 |  | 41,693 |
Hotel | California |  | 10.40% |  | Jan-20 |  | Interest only |  | 20,000 |  | 20,000 |
Multifamily Portfolio | Florida |  | L+11.50% |  | May-20 |  | Interest only |  | 22,000 |  | 21,967 |
Multifamily Portfolio | Florida |  | L+11.50% |  | May-20 |  | Interest only |  | 15,500 |  | 15,477 |
Mixed Use | Various US |  | L+9.05% |  | May-20 |  | Interest only |  | 45,000 |  | 45,174 |
Hotel | Arizona |  | 11.50% |  | Jul-25 |  | Interest only |  | 25,000 |  | 25,000 |
Hotel | Washington, DC |  | L+9.60% |  | Jul-19 |  | Interest only |  | 20,000 |  | 19,978 |
Condo Development | New York |  | L+12.75% |  | Jul-20 |  | Interest only |  | 56,925 |  | 56,693 |
Condo Conversion | New York |  | L+12.25% |  | Aug-20 |  | Interest only |  | 59,636 |  | 59,442 |
Mixed Use | New York |  | L+10.00% |  | Oct-19 |  | Interest only |  | 30,000 |  | 29,926 |
Hotel | New York |  | L+5.25% |  | Sept-20 |  | Interest only |  | 7,573 |  | 7,513 |
Destination Resort | Various US cities |  | L+8.90% |  | May-22 |  | Interest only |  | 75,000 |  | 72,877 |
Multifamily | New York |  | L+10.50% |  | May-19 |  | Interest only |  | 55,000 |  | 54,775 |
Hotel | New York |  | L+12.00% |  | Mar-17 |  | Interest only |  | 50,000 |  | 50,228 |
Condo Pre-development | United Kingdom |  | 3ML+12.50% |  | Dec-17 |  | Interest only |  | 123,400 |  | 123,400 |
Multifamily | North Dakota |  | L+5.90% |  | Nov-19 |  | Interest only |  | 5,000 |  | — |
Condo Conversion | New York |  | L+10.75% |  | Jul-20 |  | Interest only |  | 48,944 |  | 48,399 |
Healthcare Portfolio | Various US |  | L+10.00% |  | Oct-21 |  | Interest only |  | 130,000 |  | 128,856 |
Mixed Use | New York |  | L+12.00% |  | Oct-20 |  | Interest only |  | 30,175 |  | 29,924 |
Total subordinate loans |  |  |  |  |  |  |  |  | $1,061,229 |  | $1,051,236 |
Total |  |  |  |  |  |  |  | $2,720,344 |  | $2,693,092 | (3 | )
(1) | Assumes all extension options are exercised.
(2) | Subject to prior liens.
(3) | The aggregate cost for federal income tax purposes is $2,708,092.
The following table summarizes the changes in the carrying amounts of mortgage loans during 2016 and 2015. Reconciliation of Carrying Amount of Loans
| 2016 |  | 2015
Balance at beginning of year | $ | 1,925,652 |  |  | $ | 1,019,702 |
Funding of loans | 1,127,039 |  |  | 1,366,062 |
Sales | — |  |  | (136,573 | )
Collections of principal | (331,189 | ) |  | (348,516 | )
Participation sold | (24,051 | ) |  |
Discount accretion | 13,656 |  |  | 9,096 |
Provision for loan losses | (15,000 | ) |  | — |
Foreign currency loss | (33,383 | ) |  | (6,116 | )
Payment-in-kind | 30,368 |  |  | 21,997 |
Balance at the close of year | $ | 2,693,092 |  |  | $ | 1,925,652 |
Commercial Mortgage Portfolio Segment [Member] |
Mortgage Loans on Real Estate [Line Items] |
Loans | Commercial Mortgage Loans The Company’s commercial mortgage loan portfolio was comprised of the following at December 31, 2016:
Description | Maturity Date (2) |  | Current Principal Balance |  | Carrying Value |  | Unfunded Commitment |  | Fixed / Floating |  | Property Size
Condominium - Bethesda, MD | Apr-17 |  | $ | 51,695 |  |  | $ | 52,476 |  |  | — |  |  | Floating |  | 50 units
Vacation Home Portfolio - Various (1) | Apr-19 |  | 88,876 |  |  | 88,195 |  |  | — |  |  | Fixed |  | 229 properties
Hotel - Philadelphia, PA (1) | May-17 |  | 34,000 |  |  | 33,987 |  |  | — |  |  | Floating |  | 301 keys
Mixed Use - Cincinnati, OH (1) | May-18 |  | 165,000 |  |  | 163,987 |  |  | — |  |  | Floating |  | 65 acres
Multifamily - Williston, ND | Nov-17 |  | 49,706 |  |  | 39,713 |  |  | — |  |  | Floating |  | 366 units/homes
Vacation Home Portfolio - Various U.S. (1) | Nov-19 |  | 59,500 |  |  | 59,193 |  |  | — |  |  | Fixed |  | 29 properties
Mixed Use - Brooklyn, NY (1) | Mar-17 |  | 85,770 |  |  | 86,142 |  |  | 6,730 |  |  | Floating |  | 330,000 sq. ft.
Retail redevelopment - Miami, FL (1) | Jun-17 |  | 45,000 |  |  | 45,415 |  |  | — |  |  | Floating |  | 63,300 sq. ft.
Retail - Brooklyn, NY (1) | Mar-17 |  | 23,000 |  |  | 23,012 |  |  | — |  |  | Floating |  | 10,500 sq. ft.
Hotel - New York, NY (1) | Sept-18 |  | 108,857 |  |  | 108,768 |  |  | 29,549 |  |  | Floating |  | 317 keys
Retail - Brooklyn, NY (1) | Mar-17 |  | 5,910 |  |  | 5,921 |  |  | — |  |  | Floating |  | 5,500 sq. ft.
Hotel - U.S. Virgin Islands (1) | Jan-18 |  | 42,000 |  |  | 41,795 |  |  | 1,500 |  |  | Floating |  | 180 keys
Office - Richmond, VA (1) | Jan-18 |  | 54,000 |  |  | 53,849 |  |  | 1,000 |  |  | Floating |  | 262,000 sq. ft.
Retail redevelopment - Miami, FL (1) | Jan-18 |  | 220,000 |  |  | 218,771 |  |  | — |  |  | Floating |  | 113,000 sq. ft.
Office - Boston, MA (1) | Mar-18 |  | 28,659 |  |  | 28,543 |  |  | 2,341 |  |  | Floating |  | 114,000 sq. ft.
Mixed Use - New York, NY (1) | Jun-18 |  | 45,789 |  |  | 45,541 |  |  | 4,211 |  |  | Floating |  | 91,584 sq. ft.
Condo Conversion - Brooklyn, NY (1) | Jun-18 |  | 41,016 |  |  | 40,825 |  |  | 4,484 |  |  | Floating |  | 133,550 sq. ft.
Hotel - New York, NY (1) | Aug-18 |  | 78,140 |  |  | 77,297 |  |  | 26,860 |  |  | Floating |  | 612 keys
Mixed Use - Chicago, IL (1) | Oct-18 |  | 129,397 |  |  | 128,271 |  |  | 3,603 |  |  | Floating |  | 737,382 sq. ft.
Retail - Brooklyn, NY (1) | Mar-17 |  | 7,500 |  |  | 7,489 |  |  | — |  |  | Floating |  | 6,500 sq. ft.
Data Center - Manassas, VA | Aug-19 |  | 80,000 |  |  | 79,634 |  |  | — |  |  | Fixed |  | 460,000 sq. ft.
Retail - New York, NY (1) | Jun-18 |  | 60,300 |  |  | 59,775 |  |  | 4,700 |  |  | Floating |  | 84,374 sq. ft.
Office - New York, NY (1) | Jun-18 |  | 105,000 |  |  | 104,005 |  |  | — |  |  | Floating |  | 419,190 sq. ft.
Mixed Use Pre-development - Los Angeles, CA | Dec-18 |  | 50,000 |  |  | 49,252 |  |  | 30,000 |  |  | Floating |  | 75,000 sq. ft.
Total |  |  | $ | 1,659,115 |  |  | $ | 1,641,856 |  |  | $ | 114,978 |  |  |  |  |
(1) | At December 31, 2016, this loan was pledged to secure borrowings under the Company’s master repurchase facility entered into with JPMorgan Chase Bank, N.A. (the “JPMorgan Facility”), the Company's repurchase agreement with Goldman Sachs Bank USA (the “Goldman Loan”) or Company's master repurchase agreement with Deutsche Bank AG (the "DB Repurchase Facility"). See "Note 8 – Borrowings" for a description of this agreements.
(2) | Represents contractual maturity date excluding extension options.
The Company’s commercial mortgage loan portfolio was comprised of the following as of December 31, 2015:
Description | Maturity Date (2) |  | Current Principal Balance |  | Carrying Value |  | Unfunded Commitment |  | Fixed / Floating |  | Property Size
Condo Conversion – New York, NY (1) | Sept-16 |  | $ | 24,114 |  |  | $ | 24,289 |  |  | $ | — |  |  | Floating |  | 40,000 sq. ft.
Condo Construction - Potomac, MD | Sept-16 |  | 65,125 |  |  | 65,087 |  |  | — |  |  | Floating |  | 50 units
Vacation Home Portfolio - Various (1) | Apr-19 |  | 94,147 |  |  | 93,277 |  |  | — |  |  | Fixed |  | 229 properties
Hotel - Philadelphia, PA (1) | May-17 |  | 34,000 |  |  | 33,994 |  |  | — |  |  | Floating |  | 301 rooms
Condo Construction - Bethesda, MD | Dec-16 |  | 50,000 |  |  | 49,960 |  |  | 15,100 |  |  | Floating |  | 40 units
Multifamily - Brooklyn, NY (1) | Aug-16 |  | 34,500 |  |  | 34,886 |  |  | — |  |  | Floating |  | 63 units
Mixed Use - Cincinnati, OH (1) | May-18 |  | 165,000 |  |  | 163,173 |  |  | — |  |  | Floating |  | 65 acres
Condo Conversion - New York, NY (1) | Jun-16 |  | 67,300 |  |  | 67,038 |  |  | — |  |  | Floating |  | 86,000 sq. ft.
Multifamily - Williston, ND (1) | Nov-17 |  | 49,691 |  |  | 49,665 |  |  | — |  |  | Floating |  | 366 units/homes
Vacation Home Portfolio - Various U.S. (1) | Nov-19 |  | 50,000 |  |  | 49,595 |  |  | — |  |  | Fixed |  | 24 properties
Mixed Use - Brooklyn, NY (1) | Mar-17 |  | 85,770 |  |  | 85,658 |  |  | 6,730 |  |  | Floating |  | 330,000 sq. ft.
Retail redevelopment - Miami, FL (1) | Jan-17 |  | 45,000 |  |  | 44,925 |  |  | — |  |  | Floating |  | 63,300 sq. ft.
Retail redevelopment - Miami, FL (1) | Jul-17 |  | 33,000 |  |  | 32,804 |  |  | — |  |  | Floating |  | 16,600 sq. ft.
Retail - Brooklyn, NY (1) | Mar-17 |  | 1,653 |  |  | 1,636 |  |  | 9,000 |  |  | Floating |  | 10,500 sq. ft.
Hotel - New York, NY (1) | Sept-18 |  | 98,373 |  |  | 97,381 |  |  | 40,034 |  |  | Floating |  | 317 rooms
Retail - Brooklyn, NY (1) | Mar-17 |  | 5,910 |  |  | 5,858 |  |  | — |  |  | Floating |  | 5,500 sq. ft.
Hotel - U.S. Virgin Islands | Jan-18 |  | 42,000 |  |  | 41,600 |  |  | 1,500 |  |  | Floating |  | 180 rooms
Office - Richmond, VA | Jan-18 |  | 54,000 |  |  | 53,475 |  |  | 1,000 |  |  | Floating |  | 262,000 sq. ft.
Total |  |  | $ | 999,583 |  |  | $ | 994,301 |  |  | $ | 73,364 |  |  |  |  |
(1) | At December 31, 2015, this loan was pledged to secure borrowings under the JPMorgan Facility or the Goldman Loan. See "Note 8 – Borrowings" for a description of this agreements.
(2) | Represents contractual maturity date excluding extension options.
The Company evaluates each loan for possible impairment on a quarterly basis. The Company regularly evaluates the extent and impact of any credit deterioration associated with the performance and/or value of the underlying collateral property as well as the financial and operating capability of the borrower/sponsor on a loan by loan basis. Specifically, a property’s operating results and any cash reserves are analyzed and used to assess (i) whether cash from operations are sufficient to cover the debt service requirements currently and into the future, (ii) the ability of the borrower to refinance the loan, and/or (iii) the property’s liquidation value. The Company also evaluates the financial wherewithal of any loan guarantors as well as the borrower’s competency in managing and operating the properties. In addition, the Company considers the overall economic environment, real estate sector, and geographic sub-market in which the borrower operates. Such loan loss analyses are completed and reviewed by asset management and finance personnel, who utilize various data sources, including (i) periodic financial data such as debt service coverage ratio, property occupancy, tenant profile, rental rates, operating expenses, the borrower’s exit plan, and capitalization and discount rates, (ii) site inspections, and (iii) current credit spreads and discussions with market participants. An allowance for loan loss is established when it is deemed probable that the Company will not be able to collect all amounts due according to the contractual terms of the loan. During the year ended December 31, 2016, the Company recorded a loan loss provision of $10,000 on a multifamily commercial mortgage loan in Williston, ND, which was based on the difference between the fair value of the underlying collateral, and the carrying value of the loan (prior to the loan loss provision). Fair value of the collateral was determined using a discounted cash flow analysis. The significant unobservable inputs used in determining the collateral value are the terminal capitalization rate and discount rate which are 11% and 10% respectively. As of December 31, 2016, the aggregate loan loss provision was $10,000. The Company has ceased accruing interest associated with the loan. As of December 31, 2015, there were no provision for loan loss.

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- Definition The entire disclosure for mortgage loans on real estate, this includes the supplemental information pertaining to each mortgage loan receivable that equals or exceeds three percent of the carrying amount of mortgages. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 948 -SubTopic 310 -Section S99 -Paragraph 1 -Subparagraph (SX 210.12-29) -URI http://asc.fasb.org/extlink&oid=6589523&loc=d3e617274-123014 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 10 -Section S99 -Paragraph 6 -Subparagraph (SX 210.5-04.(c) Schedule IV) -URI http://asc.fasb.org/extlink&oid=27047687&loc=d3e5864-122674 + Details
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- Definition Line items represent financial concepts included in a table. These concepts are used to disclose reportable information associated with domain members defined in one or many axes to the table. + References No definition available. + Details
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