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Commercial Mortgage Loans, Subordinate Loans and Other Lending Assets, Net (Tables)
 12 Months Ended
Dec. 31, 2022
Receivables [Abstract]  
Schedule of Loan Portfolio
Our loan portfolio was comprised of the following at December 31, 2022 and December 31, 2021 ($ in thousands):
Loan TypeDecember 31, 2022December 31, 2021
Commercial mortgage loans, net(1)
$8,121,109 $7,012,312 
Subordinate loans and other lending assets, net560,881 844,948 
Carrying value, net$8,681,990 $7,857,260 
  ———————
(1)Includes $138.3 million and $97.8 million in 2022 and 2021, respectively, of contiguous financing structured as subordinate loans.
Schedule of Activity Related to Loan Investment Portfolio
Activity relating to our loan portfolio for the year ended December 31, 2022 was as follows ($ in thousands):
Principal
Balance
Deferred Fees/Other Items (1)
Specific CECL Allowance
Carrying Value, Net(2)
December 31, 2021$8,072,377 $(36,529)$(145,000)$7,890,848 
New funding of loans3,027,742 — — 3,027,742 
Add-on loan fundings(3)
596,919 — — 596,919 
Loan repayments and sales(2,214,621)— — (2,214,621)
(Loss) gain on foreign currency translation(360,818)4,382 — (356,436)
Decrease in Specific CECL Allowance, net— — 11,500 11,500 
Realized (loss) on investment(22,147)(2,747)— (24,894)
Transfer to real estate owned(225,036)(1,423)— (226,459)
Deferred fees and other items— (46,874)— (46,874)
Payment-in-kind interest and amortization of fees18,351 32,138 — 50,489 
December 31, 2022$8,892,767 $(51,053)$(133,500)$8,708,214 
General CECL Allowance(4)
(26,224)
Carrying value, net$8,681,990 
———————
(1)Other items primarily consist of purchase discounts or premiums, cost recovery interest, exit fees, deferred origination expenses, and the activity of unconsolidated joint ventures.
(2)December 31, 2021 carrying value excludes General CECL Allowance of $33.6 million.
(3)Represents fundings committed prior to 2022.
(4)$4.3 million of the General CECL Allowance is excluded from this table because it relates to unfunded commitments and has been recorded as a liability under accounts payable, accrued expenses and other liabilities in our consolidated balance sheet.
Schedule of Overall Statistics for the Loan Portfolio
The following table details overall statistics for our loan portfolio at the dates indicated ($ in thousands):
December 31, 2022December 31, 2021
Number of loans 61 67 
Principal balance$8,892,767 $8,072,377 
Carrying value, net$8,681,990 $7,857,260 
Unfunded loan commitments(1)
$1,041,654 $1,357,122 
Weighted-average cash coupon(2)
7.2 %4.5 %
Weighted-average remaining fully-extended term(3)
2.8 years2.9 years
Weighted-average expected term(4)
1.7 years2.3 years
———————
(1)Unfunded loan commitments are funded to finance construction costs, tenant improvements, leasing commissions, or carrying costs. These future commitments are funded over the term of each loan, subject in certain cases to an expiration date.
(2)For floating rate loans, based on applicable benchmark rates as of the specified dates. For loans placed on non-accrual the interest rate used in
calculating weighted-average cash coupon is 0%.
(3)Assumes all extension options are exercised.
(4)Expected term represents our estimated timing of repayments as of the specified dates. Excludes risk-rated 5 loans.
Schedule of Mortgage Loans on Real Estate
The table below details the property type of the properties securing the loans in our portfolio at the dates indicated ($ in thousands):
December 31, 2022December 31, 2021
Property TypeCarrying
Value
% of
Portfolio(1)
Carrying
Value
% of
Portfolio(1)
Hotel$2,117,079 24.3 %$1,875,439 23.8 %
Office1,671,006 19.2 1,700,779 21.6 
Residential1,537,541 17.7 1,434,186 18.2 
Retail1,364,752 15.7 1,126,332 14.3 
Healthcare575,144 6.6 316,321 4.0 
Mixed Use559,809 6.4 269,839 3.4 
Industrial296,860 3.4 377,068 4.8 
Other(2)
586,023 6.7 790,884 9.9 
Total$8,708,214 100.0 %$7,890,848 100.0 %
General CECL Allowance(3)
(26,224)(33,588)
Carrying value, net$8,681,990 $7,857,260 

(1)Percentage of portfolio calculations are made prior to consideration of General CECL Allowance.
(2)Other property types include parking garages (3.1%), caravan parks (2.3%) and urban predevelopment (1.3%) in 2022, and parking garages (3.3%), caravan parks (2.8%), multifamily development (2.2%), and urban predevelopment (1.6%) in 2021.
(3)$4.3 million and $3.1 million of the General CECL Allowance for 2022 and 2021, respectively, is excluded from this table because it relates to unfunded commitments and has been recorded as a liability under accounts payable, accrued expenses and other liabilities in our consolidated balance sheets.

Geography
The table below details the geographic distribution of the properties securing the loans in our portfolio at the dates indicated ($ in thousands):
December 31, 2022December 31, 2021
Geographic LocationCarrying
Value
% of
Portfolio(1)
Carrying
Value
% of
Portfolio(1)
United Kingdom$2,470,532 28.4 %$2,297,286 29.1 %
New York City2,049,493 23.5 2,000,661 25.4 
Other Europe(2)
1,542,462 17.7 1,295,870 16.4 
Southeast642,542 7.4 708,920 9.0 
Midwest592,756 6.8 689,274 8.7 
West584,247 6.7 356,097 4.5 
Other(3)
826,182 9.5 542,740 6.9 
Total$8,708,214 100.0 %$7,890,848 100.0 %
General CECL Allowance(4)
(26,224)(33,588)
Carrying value, net$8,681,990 $7,857,260 

(1)Percentage of portfolio calculations are made prior to consideration of General CECL Allowance.
(2)Other Europe includes Italy (5.4%), Germany (4.9%), Spain (3.8%), Sweden (2.8%) and Ireland (0.7%) in 2022 and Germany (6.1%), Sweden (3.6%), Spain (3.3%), Italy (2.6%), and Ireland (0.8%) in 2021.
(3)Other includes Northeast (5.5%), Southwest (2.3%), Mid-Atlantic (1.4%) and Other (0.3%) in 2022 and Southwest (3.5%), Mid-Atlantic (1.6%), Northeast (1.5%), and Other (0.3%) in 2021.
(4)$4.3 million and $3.1 million of the General CECL Allowance for 2022 and 2021, respectively, is excluded from this table because it relates to unfunded commitments and has been recorded as a liability under accounts payable, accrued expenses and other liabilities in our consolidated balance sheets.
Schedule of Carrying Value of Loan Portfolio Based on Internal Risk Ratings ):
December 31, 2022
Amortized Cost by Year Originated
Risk RatingNumber of LoansTotal% of Portfolio20222021202020192018Prior
1— $— — %$— $— $— $— $— $— 
22 65,943 0.8 %— — — — — 65,943 
354 8,401,925 96.5 %2,575,455 2,462,499 687,329 1,637,050 479,769 559,823 
42 27,451 0.3 %— — — — 19,951 7,500 
53 212,895 2.4 %— — — — — 212,895 
Total61 $8,708,214 100.0 %$2,575,455 $2,462,499 $687,329 $1,637,050 $499,720 $846,161 
General CECL Allowance(1)
(26,224)
Total carrying value, net$8,681,990 
Weighted Average Risk Rating3.0
Gross write-offs$7,000 $— $— $— $— $— $7,000 


December 31, 2021
Amortized Cost by Year Originated
Risk RatingNumber of LoansTotal% of Portfolio20212020201920182017Prior
1— $— — %$— $— $— $— $— $— 
21 32,000 0.4 %— — — — — 32,000 
362 7,372,081 93.5 %2,622,248 644,404 2,307,948 828,270 389,264 579,947 
41 81,980 1.0 %— — — — 81,980 — 
53 404,787 5.1 %— — — — 177,483 227,304 
Total67 $7,890,848 100.0 %$2,622,248 $644,404 $2,307,948 $828,270 $648,727 $839,251 
General CECL Allowance(1)
(33,588)
Total carrying value, net$7,857,260 
Weighted Average Risk Rating3.1
Gross write-offs$— $— $— $— $— $— $— 
———————
(1)$4.3 million and $3.1 million of the General CECL Allowance for 2022 and 2021, respectively, is excluded from the tables above because it relates to unfunded commitments and has been recorded as a liability under accounts payable, accrued expenses and other liabilities in our consolidated balance
sheets.
Schedule of CECL Reserves
The following schedule illustrates changes in CECL Allowances for the year ended December 31, 2022 and 2021, respectively ($ in thousands):
Specific CECL Allowance(1)
General CECL AllowanceTotal CECL Allowance
CECL Allowance as % of Amortized Cost(1)
FundedUnfundedTotalGeneral Total
December 31, 2021$145,000 $33,588 $3,106 $36,694 $181,694 0.49 %2.26 %
Changes:
Allowances (Reversals)13,396 (7,364)1,241 (6,123)$7,273 
Write-offs(24,896)— — — (24,896)
December 31, 2022$133,500 $26,224 $4,347 $30,571 $164,071 0.36 %1.86 %
———————
(1)Loans evaluated for Specific CECL Allowance are excluded from General CECL Allowance pool

Specific CECL Allowance(1)
General CECL AllowanceTotal CECL Allowance
CECL Allowance as % of Amortized Cost(1)
FundedUnfundedTotalGeneral Total
December 31, 2020$175,000 $38,102 $3,365 $41,467 $216,467 0.67 %3.23 %
Changes:
Reversals(20,000)(4,514)(259)(4,773)(24,773)
Write-offs(10,000)— — — (10,000)
December 31, 2021$145,000 $33,588 $3,106 $36,694 $181,694 0.49 %2.26 %
———————
(1)Loans evaluated for Specific CECL Allowance are excluded from General CECL Allowance pool
The following schedule sets forth our General CECL Allowance as of December 31, 2022 and December 31, 2021 ($ in thousands):
December 31, 2022December 31, 2021
Commercial mortgage loans, net$22,848 $22,554 
Subordinate loans and other lending assets, net3,376 11,034 
Unfunded commitments(1)
4,347 3,106 
Total General CECL Allowance$30,571 $36,694 
 ———————
(1)The General CECL Allowance on unfunded commitments is recorded as a liability on our consolidated balance sheets within accounts payable, accrued expenses and other liabilities.
Financing Receivable Cost Recovery
The following table summarizes our risk rated 5 loans as of December 31, 2022, which were analyzed for Specific CECL Allowances ($ in thousands):
TypeProperty typeLocationAmortized cost prior to Specific CECL AllowanceSpecific CECL AllowanceAmortized costInterest recognition status/ as of dateRisk rating
Mortgage
Retail(1)(2)
Cincinnati, OH$166,583$67,000$99,583 Non-Accrual/ 10/1/20195
Hotel(3)
Atlanta, GA97,832—97,832Non-Accrual/ 5/1/20225
Mortgage total:$264,415$67,000$197,415
Mezzanine
Residential(4)
Manhattan, NY$81,980$66,500$15,480Non-Accrual/ 7/1/20215
Mezzanine total:$81,980$66,500$15,480
Total:$346,395$133,500$212,895
———————
(1)The fair value of retail collateral was determined by applying a capitalization rate of 8.5%.
(2)In September 2018, we entered a joint venture with Turner Consulting II, LLC ("Turner Consulting"), through an entity which owns the underlying property that secures our loan. Turner Consulting contributed 10% of the venture’s equity and we contributed 90%. The entity was deemed to be a VIE and we determined that we are not the primary beneficiary of that VIE as we do not have the power to direct the entity's activities. During the years ended December 31, 2022 and 2021, $1.8 million and $1.4 million, respectively of interest paid was applied towards reducing the carrying value of the loan. The related profit and loss from the joint venture was immaterial for the years ended December 31, 2022 and 2021.
(3)The fair value of the hotel collateral was determined by applying a capitalization rate of 9.3% and a discount rate of 11.3%. During the year ended December 31, 2022, $1.4 million of interest paid was applied towards reducing the carrying value of the loan. During the three months ended December 31, 2022, we wrote off the previously recorded Specific CECL Allowance and reduced the principal balance of the loan by $7.0 million, which was recorded as a realized loss within realized gain (loss) on investments in our December 31, 2022 consolidated statement of operations.
(4)The fair value of the residential collateral was determined by making certain projections and assumptions with respect to future performance and a discount rate of 10%.