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v3.26.1

USE OF SPECIAL PURPOSE ENTITIES AND VARIABLE INTEREST ENTITIES (Tables) | 3 Months Ended
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Mar. 31, 2026
Organization, Consolidation and Presentation of Financial Statements [Abstract] |
Schedule of Condensed Consolidated Balance Sheets | The carrying values of the Company's total assets and liabilities related to the LMNT 2025-FL3 CLO as of March 31, 2026 and LMNT 2025-FL3 CLO and LMF 2023-1 Financing as of December 31, 2025, included the following VIE assets and liabilities:
ASSETS |  | March 31, 2026 |  | December 31, 2025
Cash, cash equivalents and restricted cash |  | $ | 7,082,122 |  |  | $ | 2,253,630 |
Other assets |  | — |  |  | 524,278 |
Accrued interest receivable |  | 3,566,053 |  |  | 4,309,202 |
Investment related receivable |  | — |  |  | 15,449,323 |
Loans held for investment, net of allowance for credit losses |  | 655,905,140 |  |  | 856,064,489 |
Real estate owned, held-for-sale |  | $ | — |  |  | $ | 10,906,169 |
Total Assets |  | $ | 666,553,315 |  |  | $ | 889,507,091 |
LIABILITIES |  |  |  |
Accrued interest payable |  | $ | 997,422 |  |  | $ | 1,445,867 |
Collateralized loan obligations and secured financings(1) |  | 580,032,828 |  |  | 748,433,484 |
Other liabilities |  | $ | — |  |  | $ | 395,205 |
Total Liabilities |  | $ | 581,030,250 |  |  | $ | 750,274,556 |
Equity |  | 85,523,065 |  |  | 139,232,535 |
Total liabilities and equity |  | $ | 666,553,315 |  |  | $ | 889,507,091 |
(1) The stated maturity of the collateralized loan obligations per the terms of the underlying collateralized loan obligation agreement is July 20, 2043 for the LMNT 2025-FL3 CLO and the stated maturity of the secured financing per the terms of the underlying indenture is July 20, 2032.
Schedule of Loan and Borrowing Characteristics | The following tables present certain loan and borrowing characteristics of the LMNT 2025-FL3 CLO as of March 31, 2026 and LMNT 2025-FL3 CLO and LMF 2023-1 Financing as of December 31, 2025:
As of March 31, 2026
Collateralized Loan Obligations/Financings |  | Count |  | Principal Value |  | Carrying Value(1) |  | Wtd. Avg. Coupon(2)
Collateral (loan investments) |  | 30 |  | $ | 656,985,469 |  |  | $ | 655,905,141 |  |  | 7.02%
Financing provided |  | 1 |  | $ | 584,983,000 |  |  | $ | 580,302,828 |  |  | 5.58%
As of December 31, 2025
Collateralized Loan Obligations/Financings |  | Count |  | Principal Value |  | Carrying Value(1) |  | Wtd. Avg. Coupon(2)
Collateral (loan investments) |  | 44 |  | $ | 873,054,065 |  |  | $ | 856,064,489 |  |  | 7.11 | %
Collateral (REO assets) |  | 1 |  | $ | 11,467,505 |  |  | $ | 10,906,169 |  |  | N/A
Financing provided |  | 2 |  | $ | 754,638,462 |  |  | $ | 748,433,484 |  |  | 5.98 | %
(1) The carrying value of the collateral is net of unaccreted purchase discounts of $0 and $1,595,224 and allowance for credit loss of $19,543,903 and $22,658,121 as of March 31, 2026 and December 31, 2025, respectively. The carrying value for LMNT 2025-FL3 CLO is net of debt issuance costs of $4,680,172 and $4,912,883 for March 31, 2026 and December 31, 2025, respectively and LMF 2023-1 Financing is net of debt issuance costs of $1,292,096 for December 31, 2025. (2) Weighted average coupon for loan investments assumes applicable 30-day term SOFR of 3.67% and 3.86% as of March 31, 2026 and December 31, 2025, respectively, inclusive of weighted average interest rate floors of 2.66% and 2.55%, and spreads of 3.21% and 3.27%, respectively. As of March 31, 2026 and December 31, 2025, 100.0% of the investments by total exposure earned a floating rate indexed to 30-day term SOFR. Weighted average coupon for the financings assumes applicable 30-day term SOFR of 3.67% and 3.74% as of March 31, 2026 and December 31, 2025, respectively and spreads of 1.91% and 2.24% for March 31, 2026 and December 31, 2025, respectively.
Schedule of Condensed Consolidated Statements of Operations | The statement of operations related to the LMNT 2025-FL3 CLO and LMF 2023-1 Financing for the three months ended March 31, 2026 and 2021-FL1 CLO and LMF 2023-1 Financing for the three months ended March 31, 2025 include the following income and expense items:
Statements of Operations |  | Three Months Ended March 31, 2026 |  | Three Months Ended March 31, 2025
Interest income |  | $ | 13,094,776 |  |  | $ | 20,485,198 |
Interest expense |  | (10,375,765) |  |  | (13,636,474) |
Net interest income |  | $ | 2,719,011 |  |  | $ | 6,848,724 |
Less: |  |  |  |
Provision for credit losses |  | 465,674 |  |  | (5,739,974) |
Loss on extinguishment of debt |  | (1,152,861) |  |  | — |
General and administrative fees |  | (112,557) |  |  | (183,564) |
Net (loss) income |  | $ | 1,919,267 |  |  | $ | 925,186 |

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