iStar Financial Inc.

Schedule IV—Mortgage Loans on Real Estate

As of December 31, 2013

($ in thousands)



Type of Loan/Borrower	Underlying Property Type	Contractual Interest Accrual Rates	Contractual Interest Payment Rates	Effective Maturity Dates	Periodic Payment Terms	Prior Liens		Face Amount of Mortgages		Carrying Amount of Mortgages(1)(2)
Senior Mortgages:
Borrower A	Mixed Use/Mixed Collateral	LIBOR + 3.3%	LIBOR + 3.3%	April 2014	IO	$	—	$	92,446	$	92,518
Borrower B(3)	Entertainment/Leisure	17%	17%	April 2009	IO	—		224,223		77,427
Borrower C	Apartment/Residential	LIBOR + 5.25%	LIBOR + 5.25%	May 2014	IO	—		66,502		67,263
Borrower D(4)	Industrial/R&D	LIBOR + 4.5%	LIBOR + 4.5%	December 2014	IO	—		65,931		64,497
Borrower E(5)	Land	LIBOR + 3.5%	LIBOR + 3.5%	January 2014	IO	—		58,175		53,569
Borrower F(6)	Land	LIBOR + 1.75%	LIBOR + 1.75%	August 2012	IO	—		75,000		30,808
Borrower G(7)	Retail	LIBOR + 3%	LIBOR + 3%	July 2009	IO	—		48,358		26,553
Borrower H	Retail	8%	8%	April 2017	P&I	—		26,414		26,450
Borrower I(8)	Land	LIBOR + 5.58%	LIBOR + 5.58%	July 2009	IO	—		50,000		26,231
Borrower J	Apartment/Residential	8%	5%	December 2014	IO	—		26,043		26,092
Senior mortgages individually <3%	Apartment/Residential, Retail, Land, Industrial/R&D, Mixed Use/Mixed Collateral, Office, Hotel, Entertainment/Leisure, Other	Fixed: 4% to 13% Variable: LIBOR + 1.5% to LIBOR + 7%	Fixed: 4% to 10% Variable: LIBOR + 0.5% to LIBOR + 7%	2014 to 2024				335,692		275,709
								$	1,068,784	$	767,117
Subordinate Mortgages:
Borrower K	Other	8%	8%	April 2015	IO	$	100,000	$	25,000	$	24,962
Subordinate mortgages individually <3%	Retail, Mixed Use/Mixed Collateral, Hotel, Other	Fixed: 5% to 14%	Fixed: 8.12% to 14%	2014 to 2018				35,694		35,717
								$	60,694	$	60,679
Total mortgages								$	1,129,478	$	827,796

Explanatory Notes:

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(1)	Amounts are presented net of asset-specific reserves of $304.5 million on impaired loans. Impairment is measured using the estimated fair value of collateral, less costs to sell.


(2)	The carrying amount of mortgages approximated the federal income tax basis.


(3)	Loan is in default with $224.2 million of principal that is more than 90 days delinquent. Loan is designated as non-performing and is on non-accrual status.


(4)	As of December 31, 2013, included a LIBOR interest rate floor of 3.88%.


(5)	As of December 31, 2013, included a LIBOR interest rate floor of 3.50%.


(6)	Loan is in default with $75.0 million of principal that is more than 90 days delinquent. Loan is designated as non-performing and is on non-accrual status.


(7)	Loan is in default with $48.4 million of principal that is more than 90 days delinquent. Loan is designated as non-performing and is on non-accrual status. As of December 31, 2013, included a LIBOR interest rate floor of 4.0%.


(8)	Loan is in default with $50.0 million of principal that is more than 90 days delinquent. Loan is designated as non-performing and is on non-accrual status.

iStar Financial Inc.

Schedule IV—Mortgage Loans on Real Estate (Continued)

As of December 31, 2013

($ in thousands)

Reconciliation of Mortgage Loans on Real Estate:

The following table reconciles Mortgage Loans on Real Estate from January 1, 2011 to December 31, 2013(1):



	2013			2012			2011
Balance at January 1	$	1,421,654		$	2,449,554		$	4,012,067
Additions:
New mortgage loans	19,249			2,205			20,000
Additions under existing mortgage loans	31,589			29,887			82,598
Other(2)	16,385			33,324			32,922
Deductions(3):
Collections of principal	(636,883		)	(700,943		)	(1,047,943		)
Recovery of (provision for) loan losses	25,011			(121,869		)	(93,187		)
Transfers to real estate and equity investments	(49,100		)	(270,359		)	(556,753		)
Amortization of premium	(109		)	(145		)	(150		)
Balance at December 31	$	827,796		$	1,421,654		$	2,449,554

Explanatory Notes:

_______________________________________________________________________________


(1)	Balances represent the carrying value of loans, which are net of asset specific reserves.


(2)	Amount includes amortization of discount, deferred interest capitalized and mark-to-market adjustments resulting from changes in foreign exchange rates.


(3)	Amounts are presented net of charge-offs of $152.8 million, $106.9 million and $214.0 million for the years ended December 31, 2013, 2012 and 2011, respectively.