XML 40 R27.htm IDEA: XBRL DOCUMENT
v3.26.1

COMMERCIAL MORTGAGE LOANS HELD-FOR-INVESTMENT (Tables) | 3 Months Ended
--- | ---
Mar. 31, 2026
Receivables [Abstract] |
Schedule of Commercial Mortgage Loans | The following tables summarize certain characteristics of the Company's investments in commercial mortgage loans as of March 31, 2026 and December 31, 2025:
|  |  |  |  |  |  |  | Weighted Average
Loan Type |  | Unpaid Principal Balance |  | Carrying Value(1) |  | Loan Count |  | Floating Rate Loan % |  | Coupon(2) |  | Term (Years)(3)
March 31, 2026 |  |  |  |  |  |  |  |  |  |  |  |
Loans held-for-investment |  |  |  |  |  |  |  |  |  |  |  |
Senior secured loans(4) |  | $ | 1,130,899,067 |  |  | $ | 1,127,604,965 |  |  | 57 |  |  | 100.0 | % |  | 7.1 | % |  | 1.6
Allowance for credit losses |  | N/A |  | (19,543,903) |  |  |  |  |  |  |  |  |
|  | 1,130,899,067 |  |  | 1,108,061,062 |  |  | 57 |  |  | 100.0 | % |  | 7.1 | % |  | 1.6
|  |  |  |  |  |  |  | Weighted Average
Loan Type |  | Unpaid Principal Balance |  | Carrying Value(1) |  | Loan Count |  | Floating Rate Loan % |  | Coupon(2) |  | Term (Years)(3)
December 31, 2025 |  |  |  |  |  |  |  |  |  |  |  |
Loans held-for-investment |  |  |  |  |  |  |  |  |  |  |  |
Senior secured loans(4) |  | $ | 1,140,268,217 |  |  | $ | 1,136,706,113 |  |  | 61 |  |  | 100.0 | % |  | 7.2 | % |  | 1.7
Allowance for credit losses |  | N/A |  | (22,658,121) |  |  |  |  |  |  |  |  |
|  | 1,140,268,217 |  |  | 1,114,047,992 |  |  | 61 |  |  | 100.0 | % |  | 7.2 | % |  | 1.7
(1) Carrying Value includes $1,255,406 and $1,657,584 in unamortized purchase discounts as of March 31, 2026 and December 31, 2025, respectively. (2) Weighted average coupon assumes applicable 30-day term Secured Overnight Financing Rate ("SOFR") of 3.67% and 3.85% as of March 31, 2026 and December 31, 2025, respectively, inclusive of weighted average interest rate floor of 2.25% and 2.18%, respectively. As of March 31, 2026 and December 31, 2025, 100.0% of the investments by total investment exposure earned a floating rate indexed to 30-day term SOFR. (3) Weighted average remaining term assumes all extension options are exercised by the borrower; provided, however, that our loans may be repaid prior to such date. (4) As of March 31, 2026, $655,905,141 of the outstanding senior secured loans were held in VIEs and $452,155,924 of the outstanding senior secured loans were held outside of VIEs. As of December 31, 2025, $856,064,487 of the outstanding senior secured loans were held in VIEs and $257,983,507 of the outstanding senior secured loans were held outside of VIEs. Activity: For the three months ended March 31, 2026, the loan portfolio activity was as follows:
|  | Commercial Mortgage Loans Held-for-Investment
Balance at December 31, 2025 |  | $ | 1,114,047,992 |
Purchases and advances |  | 47,925,609 |
Principal payments |  | (46,762,914) |
Transfer to real estate owned |  | (10,531,845) |
Charge-offs |  | 2,381,845 |
Purchase discount |  | (80,461) |
Origination and other loan fees |  | (931,808) |
Accretion of purchase discount |  | 482,639 |
Accretion of deferred loan fees |  | 797,632 |
Release of allowance for credit losses |  | 732,373 |
Balance at March 31, 2026 |  | $ | 1,108,061,062 |
Schedule of Loan Risk Ratings | The following table presents the principal balance and net book value of the loan portfolio based on the Company's internal risk ratings as of March 31, 2026 and December 31, 2025:
|  | March 31, 2026
|  |  |  |  |  | Amortized Cost by Year of Origination
Risk Rating |  | Number of Loans |  | Outstanding Principal |  | 2025 |  | 2024 |  | 2023 |  | 2022 |  | 2021
1 |  | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |
2 |  | 13 |  |  | 255,595,193 |  |  | 87,627,492 |  |  | 78,808,172 |  |  | — |  |  | 88,760,135 |  |  | — |
3 |  | 29 |  |  | 598,294,755 |  |  | 185,913,526 |  |  | 84,531,808 |  |  | — |  |  | 114,219,412 |  |  | 210,489,628 |
4 |  | 8 |  |  | 169,076,610 |  |  | — |  |  | — |  |  | — |  |  | 73,374,274 |  |  | 93,628,560 |
5 |  | 7 |  |  | 107,932,509 |  |  | — |  |  | — |  |  | — |  |  | 77,041,334 |  |  | 13,666,721 |
|  | 57 |  |  | $ | 1,130,899,067 |  |  | $ | 273,541,018 |  |  | $ | 163,339,980 |  |  | $ | — |  |  | $ | 353,395,155 |  |  | $ | 317,784,909 |
|  | December 31, 2025
|  |  |  |  |  | Amortized Cost by Year of Origination
Risk Rating |  | Number of Loans |  | Outstanding Principal |  | 2025 |  | 2024 |  | 2023 |  | 2022 |  | 2021
1 |  | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |
2 |  | 9 |  |  | 161,089,912 |  |  | 43,904,254 |  |  | 48,438,856 |  |  | — |  |  | 68,375,256 |  |  | — |
3 |  | 38 |  |  | 752,514,730 |  |  | 182,723,449 |  |  | 133,591,415 |  |  | — |  |  | 134,038,225 |  |  | 297,723,546 |
4 |  | 6 |  |  | 109,281,497 |  |  | — |  |  | — |  |  | — |  |  | 73,034,316 |  |  | 34,009,099 |
5 |  | 8 |  |  | 117,382,078 |  |  | — |  |  | — |  |  | — |  |  | 84,542,855 |  |  | 13,666,721 |
|  | 61 |  |  | $ | 1,140,268,217 |  |  | $ | 226,627,703 |  |  | $ | 182,030,271 |  |  | $ | — |  |  | $ | 359,990,652 |  |  | $ | 345,399,366 |
Schedule of Geographic Concentrations | The following tables present the geographic and property types of collateral underlying the Company's commercial mortgage loans as a percentage of the loans' carrying value as of March 31, 2026 and December 31, 2025: Loans Held-for-Investment
|  | March 31, 2026 |  | December 31, 2025
Geography |  |  |  |
South |  | 32.6 | % |  | 32.4 | %
Southwest |  | 22.8 |  |  | 26.2 |
Mid-Atlantic |  | 20.0 |  |  | 16.9 |
Midwest |  | 15.2 |  |  | 13.9 |
West |  | 9.4 |  |  | 10.6 |
Total |  | 100.0 | % |  | 100.0 | %
|  | March 31, 2026 |  | December 31, 2025
Collateral Property Type |  |  |  |
Multifamily |  | 92.6 | % |  | 92.6 | %
Seniors Housing and Healthcare |  | 7.4 |  |  | 7.4 |
Total |  | 100.0 | % |  | 100.0 | %
Schedule of Provision for Credit Losses | The following table presents the changes for the three months ended March 31, 2026 and March 31, 2025 in the provision for credit losses on loans held-for-investment:
|  | Three months ended |  |
|  | March 31, 2026 |  | March 31, 2025 |  |  |  |
Allowance for credit losses at beginning of period |  | $ | 22,658,121 |  |  | $ | 11,320,220 |  |  |  |  |
(Release of) provision for credit losses |  | (732,373) |  |  | 5,739,974 |  |  |  |  |
Charge offs |  | (2,381,845) |  |  | — |  |  |  |  |
Allowance for credit losses at end of period |  | $ | 19,543,903 |  |  | $ | 17,060,194 |  |  |  |  |
The following table presents the changes for the three months ended March 31, 2026 and March 31, 2025 in the provision for credit losses on the unfunded commitments of the Company's loans held-for-investment:
|  | Three months ended |  |
|  | March 31, 2026 |  | March 31, 2025 |  |  |  |
Allowance for credit losses at beginning of period |  | $ | — |  |  | $ | 57,554 |  |  |  |  |
(Release of) provision for credit losses |  | — |  |  | (42,313) |  |  |  |  |
Allowance for credit losses at end of period |  | $ | — |  |  | $ | 15,241 |  |  |  |  |
The following tables present the allowance for credit losses for loans held-for-investment as of March 31, 2026 and December 31, 2025:
|  | March 31, 2026
|  | General Reserve |  | Specific Reserve |  | Total Reserve
Allowance for credit losses: |  |  |  |  |  |
Loans held for investment |  | $ | 3,728,254 |  |  | $ | 15,815,649 |  |  | $ | 19,543,903 |
Total allowance for credit losses |  | $ | 3,728,254 |  |  | $ | 15,815,649 |  |  | $ | 19,543,903 |
Total unpaid principal balance |  | $ | 1,022,966,558 |  |  | $ | 107,932,509 |  |  | $ | 1,130,899,067 |
|  | December 31, 2025
|  | General Reserve |  | Specific Reserve |  | Total Reserve
Allowance for credit losses: |  |  |  |  |  |
Loans held for investment |  | $ | 5,029,531 |  |  | $ | 17,628,590 |  |  | $ | 22,658,121 |
Total allowance for credit losses |  | $ | 5,029,531 |  |  | $ | 17,628,590 |  |  | $ | 22,658,121 |
Total unpaid principal balance |  | $ | 1,022,886,139 |  |  | $ | 117,382,078 |  |  | $ | 1,140,268,217 |

X
- Definition Tabular disclosure of allowance for credit loss on financing receivable. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 326 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 13 -Publisher FASB -URI https://asc.fasb.org/1943274/2147479319/326-20-50-13 + Details
Name: | us-gaap_AllowanceForCreditLossesOnFinancingReceivablesTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of financing receivables by credit quality indicator. The credit quality indicator is a statistic about the credit quality of financing receivables. Examples include, but not limited to, consumer credit risk scores, credit-rating-agency ratings, an entity's internal credit risk grades, loan-to-value ratios, collateral, collection experience and other internal metrics. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 326 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 5 -Publisher FASB -URI https://asc.fasb.org/1943274/2147479319/326-20-50-5 + Details
Name: | us-gaap_FinancingReceivableCreditQualityIndicatorsTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- References No definition available. + Details
Name: | us-gaap_ReceivablesAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the various types of trade accounts and notes receivable and for each the gross carrying value, allowance, and net carrying value as of the balance sheet date. Presentation is categorized by current, noncurrent and unclassified receivables. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 210 -SubTopic 10 -Name Accounting Standards Codification -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02(4)) -Publisher FASB -URI https://asc.fasb.org/1943274/2147480566/210-10-S99-1 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 210 -SubTopic 10 -Name Accounting Standards Codification -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02(3)) -Publisher FASB -URI https://asc.fasb.org/1943274/2147480566/210-10-S99-1 + Details
Name: | us-gaap_ScheduleOfAccountsNotesLoansAndFinancingReceivableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the nature of a concentration, a benchmark to which it is compared, and the percentage that the risk is to the benchmark. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 275 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 18 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482861/275-10-50-18 Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 275 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 20 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482861/275-10-50-20 + Details
Name: | us-gaap_SchedulesOfConcentrationOfRiskByRiskFactorTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration