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Commercial Mortgage and Subordinate Loans, Net (Tables)
 12 Months Ended
Dec. 31, 2018
Receivables [Abstract]  
Schedule of Loan Portfolio
Our loan portfolio was comprised of the following at December 31, 2018 and 2017 ($ in thousands):
Loan Type
 
December 31, 2018
 
December 31, 2017
Commercial mortgage loans, net
 
$
3,878,981

 
$
2,653,826

Subordinate loans, net
 
1,048,612

 
1,025,932

Total loans, net
 
$
4,927,593

 
$
3,679,758
Activity Related to Loan Investment Portfolio
Activity relating to our loan investment portfolio, for the year ended December 31, 2018, was as follows ($ in thousands):
 
 
Principal Balance
 
Deferred Fees/Other Items (1)
 
Provision for Loan Loss (2)
 
Carrying Value
December 31, 2017
 
$
3,706,169

 
$
(9,430
)
 
$
(16,981
)
 
$
3,679,758

New loan fundings
 
2,069,909

 
—

 
—

 
2,069,909

Add-on loan fundings (3)
 
280,956

 
—

 
—

 
280,956

Loan repayments
 
(1,066,843
)
 
—

 
—

 
(1,066,843
)
Unrealized gain (loss) on foreign currency translation
 
(51,202
)
 
189

 
—

 
(51,013
)
Provision for loan loss (2)
 
—

 
—

 
(20,000
)
 
(20,000
)
Deferred fees and other items (1)
 
—

 
(34,066
)
 
—

 
(34,066
)
PIK interest, amortization of fees and other items (1)
 
43,525

 
25,367

 
—

 
68,892

December 31, 2018
 
$
4,982,514

 
$
(17,940
)
 
$
(36,981
)
 
$
4,927,593

———————
(1) Other items primarily consist of purchase discounts or premiums, exit fees and deferred origination expenses.
(2) In addition to the $37.0 million provision for loan loss, we recorded an impairment of $3.0 million against an investment previously recorded under other assets on our consolidated balance sheet.
(3) Represents fundings for loans closed prior to 2018.
Schedule of Overall Statistics for the Loan Portfolio
The following table details overall statistics for our loan portfolio at the dates indicated ($ in thousands):
 
 
December 31, 2018
 
December 31, 2017
Number of loans
 
69

 
59

Principal balance
 
$
4,982,514

 
$
3,706,169

Carrying value
 
$
4,927,593

 
$
3,679,758

Unfunded loan commitments (1)
 
$
1,095,598

 
$
435,627

Weighted-average cash coupon (2)
 
8.4
%
 
8.4
%
  ———————
(1)
Unfunded loan commitments are primarily funded to finance property improvements or lease-related expenditures by the borrowers. These future commitments are funded over the term of each loan, subject in certain cases to an expiration date.
(2)
For floating rate loans, based on applicable benchmark rates as of the specified dates.

Schedule of Mortgage Loans on Real Estate
The table below details the property type of the properties securing the loans in our portfolio at the dates indicated ($ in thousands):
 
 
December 31, 2018
 
December 31, 2017
Property Type
 
Carrying
Value
 
% of
Portfolio
 
Carrying
Value
 
% of
Portfolio
Hotel
 
$
1,286,590

 
26.1
%
 
$
645,056

 
17.6
%
Residential-for-sale: inventory (1)
 
577,053

 
11.7
%
 
92,438

 
2.5
%
Residential-for-sale: construction (1)
 
528,510

 
10.7
%
 
349,739

 
9.5
%
Office
 
832,620

 
16.9
%
 
513,830

 
14.0
%
Urban Predevelopment
 
683,886

 
13.9
%
 
654,736

 
17.8
%
Multifamily
 
448,899

 
9.1
%
 
465,057

 
12.6
%
Healthcare
 
156,814

 
3.2
%
 
173,870

 
4.7
%
Retail Center
 
156,067

 
3.2
%
 
198,913

 
5.4
%
Other
 
151,197

 
3.1
%
 
154,141

 
4.2
%
Mixed Use
 
73,957

 
1.5
%
 
354,640

 
9.6
%
Industrial
 
32,000

 
0.6
%
 
77,338

 
2.1
%
Total
 
$
4,927,593

 
100.0
%
 
$
3,679,758

 
100.0
%


(1)
To conform to the current period’s presentation, loans with a combined carrying value of $442.2 million classified as residential-for-sale as of December 31, 2017 were broken out into $349.8 million of residential-for-sale: construction and $92.4 million of residential-for-sale: inventory.

The table below details the geographic distribution of the properties securing the loans in our portfolio at the dates indicated ($ in thousands):
 
 
December 31, 2018
 
December 31, 2017
Geographic Location
 
Carrying
Value
 
% of
Portfolio
 
Carrying
Value
 
% of
Portfolio
Manhattan, NY
 
$
1,669,145

 
33.9
%
 
$
1,173,833

 
31.9
%
Brooklyn, NY
 
346,056

 
7.0
%
 
357,611

 
9.7
%
Northeast
 
23,479

 
0.5
%
 
100,536

 
2.7
%
Midwest
 
631,710

 
12.8
%
 
683,380

 
18.6
%
West
 
614,160

 
12.5
%
 
227,024

 
6.2
%
Southeast
 
559,043

 
11.3
%
 
531,582

 
14.4
%
Mid Atlantic
 
211,775

 
4.3
%
 
191,976

 
5.2
%
Southwest
 
96,345

 
2.0
%
 
33,615

 
0.9
%
United Kingdom
 
700,460

 
14.2
%
 
303,488

 
8.3
%
Other International
 
75,420

 
1.5
%
 
76,713

 
2.1
%
Total
 
$
4,927,593

 
100.0
%
 
$
3,679,758

 
100.0
%
Carrying Value of Loan Portfolio Based on Internal Risk Ratings
The following table allocates the carrying value of our loan portfolio based on our internal risk ratings at the dates indicated ($ in thousands):
 
 
December 31, 2018
 
December 31, 2017
Risk Rating
 
Number of Loans
 
Carrying Value
 
% of Loan Portfolio
 
Number of Loans
 
Carrying Value
 
% of Loan Portfolio
1
 
—
 
$
—

 
—
%
 
—
 
$
—

 
—
%
2
 
3
 
138,040

 
3
%
 
5
 
399,326

 
10
%
3
 
63
 
4,573,930

 
93
%
 
51
 
3,034,358

 
83
%
4
 
—
 
—

 
—
%
 
1
 
168,208

 
5
%
5
 
3
 
215,623

 
4
%
 
2
 
77,866

 
2
%
 
 
69
 
$
4,927,593

 
100
%
 
59
 
$
3,679,758

 
100
%