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Loans and Preferred Equity Held for Investment, net (Tables)
 3 Months Ended
Mar. 31, 2026
Receivables [Abstract]  
Schedule of Loans and Preferred Equity Held for Investment, Net
The following table provides a summary of the Company’s loans and preferred equity held for investment, net (dollars in thousands):
March 31, 2026December 31, 2025
Unpaid Principal Balance
Carrying
Value
Weighted Average Coupon(1)
Weighted Average of Contractual Maturity(2)
Weighted Average Maturity in Years(3)
Unpaid Principal Balance
Carrying
Value
Weighted Average Coupon(1)
Weighted Average of Contractual Maturity(2)
Weighted Average Maturity in Years(3)
Variable rate
Senior loans$1,017,772 $1,013,855 7.3 %0.61.1$1,422,235 $1,420,199 6.9 %1.22.6
Securitized loans(4)
1,630,000 1,629,796 6.7 %1.42.81,172,999 1,173,495 7.0 %0.71.3
2,647,772 2,643,651 2,595,234 2,593,694 
Fixed rate
Senior loans25,808 25,808 20.0 %0.20.224,139 24,139 20.0 %0.10.4
Mezzanine loans46,425 46,425 — %0.20.949,069 49,069 8.4 %0.11.1
Preferred equity interests 14,210 14,188 14.3 %0.50.711,467 11,413 14.3 %0.41.0
86,443 86,421 84,675 84,621 
Loans and preferred equity held for investment2,734,215 2,730,072 2,679,909 2,678,315 
CECL reserve— (85,316)— (87,401)
Loans and preferred equity held for investment, net$2,734,215 $2,644,756 7.0 %
1.1
2.1$2,679,909 $2,590,914 7.1 %0.92.0
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(1)Calculated based on contractual interest rate, except for nonaccrual loans. As of March 31, 2026 and December 31, 2025, all variable rate loans utilize Term Secured Overnight Financing Rate (“Term SOFR”).
(2)Calculated using current maturity date.
(3)Calculated using extended maturity date.
(4)Represents loans transferred into securitization trusts that are consolidated by the Company.
Schedule of Mortgage Loans on Real Estate
Activity relating to the Company’s loans and preferred equity held for investment, net was as follows (dollars in thousands):
Carrying Value
Three Months Ended March 31,
20262025
Balance at January 1$2,590,914 $2,352,993 
Acquisitions/originations/additional funding(1)
270,378 112,625 
Loan maturities/principal repayments(1)
(169,887)(133,000)
(Increase) decrease of CECL reserve(2)
(554)770 
Discount accretion and fee amortization, net(1,342)461 
Capitalized interest, net of repayments447 523 
Transfer to Real Estate, net(3)(4)
(45,200)(32,945)
Charge-off of CECL reserve-transfer to Real Estate, net(3)(4)
— 1,043 
Charge-off of loan held for investment(5)(6)
(2,639)(9,174)
Charge-off of CECL reserve-other(5)(6)
2,639 9,174 
Balance at March 31$2,644,756 $2,302,470 
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(1)During the first quarter of 2025, the Company amended a senior mixed-use loan as part of the resolution of a senior mixed-use loan with the same sponsor. In relation to this amendment, there was a transfer of principal of $8.8 million. This transfer is not included within these captions as it was neither additional funding nor a repayment. See “Loan Modifications” below for more detail. During the three months ended March 31, 2026, the Company originated eight loans and preferred equity with a total of $280.1 million in committed principal balance.
(2)(Decrease) increase of CECL reserve excludes $1.2 million for the three months ended March 31, 2026 and $0.5 million for the three months ended March 31, 2025 as determined by the Company’s PD/LGD model for unfunded commitments reported on the consolidated statements of operations, with a corresponding offset to accrued and other liabilities recorded on the Company’s consolidated balance sheets.
(3)During the first quarter of 2026, the Company acquired legal title to one multifamily property through foreclosure. As a result, the property was consolidated as real estate and removed from loans held from investment, net. The CECL reserve related to this loan was charged off in 2025. There was no gain or loss recorded as part of the consolidation. Refer to Note 4, “Real Estate, net” for further discussion.
(4)During the first quarter of 2025, the Company eliminated a multifamily loan in Mesa, Arizona as part of the consolidation of the Mesa, Arizona property as the primary beneficiary. There was no gain or loss recorded as part of the consolidation. As a result, the property was consolidated as real estate and removed from loans held from investment, net. The CECL reserve related to this loan was charged off and the net amount is reflected as an addition to real estate, net. There was no gain or loss recorded as part of the consolidation. Refer to Note 4, “Real Estate, net” for further discussion.
(5)During the three months ended March 31, 2026, the Company charged off uncollectible amounts of $3.5 million relating to two multifamily loans based on resolution of the loans. In addition, the Company had a reversal of charge-offs of $0.8 million based on additional proceeds received upon resolution of an office loan and an industrial loan.
(6)During the three months ended March 31, 2025, the Company charged off uncollectible amounts of $9.2 million relating to one multifamily loan upon resolution of the loan.
Schedule of Aging Summary of Loans
The following table provides an aging summary of loans held for investment at carrying values before CECL reserve (dollars in thousands):
Current or Less Than 30 Days Past Due30-59 Days Past Due60-89 Days Past Due
90 Days or More Past Due (1)(2)
Total Loans
March 31, 2026$2,683,647 $— $— $46,425 $2,730,072 
December 31, 20252,641,623 — — 36,692 2,678,315 
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(1)At March 31, 2026, includes one multifamily mezzanine loan which was placed on nonaccrual status during the three months ended March 31, 2026, with a carrying value of $31.5 million and one office mezzanine loan which was placed on nonaccrual status on April 1, 2024, with a carrying value of $14.9 million. Subsequent to March 31, 2026. the multifamily mezzanine loan was resolved.
(2)At December 31, 2025, includes one industrial senior loan which was placed on nonaccrual status on September 9, 2025, with a carrying value of $22.0 million and an office mezzanine loan which was placed on nonaccrual status on April 1, 2024, with a carrying value of $14.7 million. Subsequent to December 31, 2025, the industrial loan was resolved.
Schedule of Allowance for Loan Losses
The following table provides details on the changes in CECL reserves (dollars in thousands):
CECL reserve at December 31, 2025$87,401 
     Decrease in general CECL reserve(1)
(2,085)
     Increase in specific CECL reserve(2)
2,639 
     Charge-off of CECL reserve-other(2)
(2,639)
CECL reserve at March 31, 2026$85,316 
CECL reserve at December 31, 2024$165,932 
Decrease in general CECL reserve(1)
(9,524)
Increase in specific CECL reserve(2)
9,174 
Charge-offs of CECL reserve other(2)
(9,174)
Charge-offs of CECL reserve-transfer to Real Estate, net and Real Estate Held for Sale(3)
(1,043)
CECL reserve at March 31, 2025$155,365 
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(1)Excludes $1.2 million and $0.5 million of CECL reserves related to unfunded commitments reported on the consolidated statement of operations for the three months ended March 31, 2026, and 2025, respectively.
(2)During the first quarter of 2026, the Company recorded specific CECL reserves totaling $2.8 million for one multifamily mezzanine loan, $0.6 million for one multifamily senior loan and had reversals of $0.6 million relating to one industrial loan and $0.2 million relating to one office senior loan. The CECL reserves were charged off during the period. During the first quarter of 2025, the Company recorded specific CECL reserves totaling $9.2 million for one multifamily loan. The specific CECL reserves were charged off during the period upon resolution.
(3)During the first quarter of 2025, the Company consolidated a multifamily loan as the primary beneficiary. As a result, the property was consolidated as real estate. The CECL reserve related to this loan was charged off.
Summary of Loans and Preferred Equity Held for Investment by Year of Origination and Credit Quality Risk Ranking
The following tables provide a summary by carrying values before any CECL reserves of the Company’s loans and preferred equity held for investment by year of origination and credit quality risk ranking as of March 31, 2026, and December 31, 2025 (dollars in thousands). Refer to Note 2, “Summary of Significant Accounting Policies” for loan risk ranking definitions.
At March 31, 2026, the weighted average risk ranking for loans held for investment was 3.1.
March 31, 2026
Year of Origination
Risk Rankings20262025202420232022 and earlierTotal
Senior loans
3$257,231 $658,178 $81,310 $— $1,540,539 $2,537,258 
4— — — — 65,123 65,123 
5— — — — 67,078 67,078 
Total Senior loans257,231 658,178 81,310 — 1,672,740 2,669,459 
Mezzanine loans
3— — — 14,895 — 14,895 
5— — — — 31,530 31,530 
Total Mezzanine loans— — — 14,895 31,530 46,425 
Preferred Equity
3609 11,289 — — — 11,898 
4— 2,290 — — — 2,290 
Total Preferred Equity609 13,579 — — — 14,188 
Total Loans and preferred equity held for investment$257,840 $671,757 $81,310 $14,895 $1,704,270 $2,730,072 
Current period gross write-offs$— $— $— $— $2,639 $2,639 
Subsequent to March 31, 2026, one risk ranked “5” mezzanine loan totaling $31.5 million of carrying value was resolved. Following resolution, the loan was removed from the watchlist. Additionally, the two remaining risk ranked “5” loans totaling $67.1 million of carrying value are expected to be repaid in the first half of 2026, as the underlying collateral is under executed purchase and sale agreements for both loans.
As of December 31, 2025, the weighted average risk ranking for loans held for investment was 3.1.
December 31, 2025
Year of Origination
Risk Rankings20252024202320222021 and earlierTotal
Senior loans
3$723,723 $79,019 $— $630,338 $965,963 $2,399,043 
4— — — — 65,123 65,123 
5— — — 88,880 64,787 153,667 
Total Senior loans723,723 79,019 — 719,218 1,095,873 2,617,833 
Mezzanine loans
3— — 14,692 34,377 — 49,069 
Total Mezzanine loans— — 14,692 34,377 — 49,069 
Preferred Equity
310,327 — — — — 10,327 
41,086 — — — — 1,086 
Total Preferred Equity11,413 — — — — 11,413 
Total Loans and preferred equity held for investment$735,136 $79,019 $14,692 $753,595 $1,095,873 $2,678,315 
Current period gross write-offs(1)
$— $— $— $25,137 $77,307 $102,444 
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(1)Current period gross write-offs exclude all transfers to real estate, net.