Commitments and Contingencies

Unfunded Commitments—The Company generally funds construction and development loans and build-outs of space in real estate assets over a period of time if and when the borrowers and tenants meet established milestones and other performance criteria. The Company refers to these arrangements as Performance-Based Commitments. In addition, the Company has committed to invest capital in several real estate funds and other ventures. These arrangements are referred to as Strategic Investments.

As of March 31, 2019, the maximum amount of fundings the Company may be required to make under each category, assuming all performance hurdles and milestones are met under the Performance-Based Commitments and that 100% of its capital committed to Strategic Investments is drawn down, are as follows ($ in thousands):



	Loans and Other Lending Investments⁽¹⁾		Real Estate		Other Investments		Total
Performance-Based Commitments	$	385,215	$	9,543	$	—	$	394,758
Strategic Investments	—		—		33,304		33,304
Total	$	385,215	$	9,543	$	33,304	$	428,062

_______________________________________________________________________________


(1)	Excludes $24.9 million of commitments on loan participations sold that are not the obligation of the Company.

Other Commitments—Future minimum lease obligations under operating and finance leases are as follows ($ in thousands):



	Operating⁽¹⁾⁽²⁾		Finance⁽¹⁾
2019	$	4,165	$	2,181
2020	3,841		2,633
2021	1,468		2,686
2022	869		2,740
2023	728		2,794
Thereafter	2,074		759,082

_______________________________________________________________________________


(1)	Operating lease obligations for 2019 are as of January 1, 2019 and finance lease obligations are as of lease inception (refer to Note 4). During the three months ended March 31, 2019, the Company made payments of $1.1 million and $0.2 million, respectively, related to its operating and finance leases.


(2)	The Company is obligated to pay ground rent under certain operating leases; however, the Company's tenants at the properties pay this expense directly under the terms of various subleases and these amounts are excluded from lease obligations.

Legal Proceedings—The Company and/or one or more of its subsidiaries is party to various pending litigation matters that are considered ordinary routine litigation incidental to the Company's business as a finance and investment company focused on the commercial real estate industry, including foreclosure-related proceedings. The Company believes it is not a party to, nor are any of its properties the subject of, any pending legal proceeding that would have a material adverse effect on the Company’s consolidated financial statements.