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USE OF SPECIAL PURPOSE ENTITIES AND VARIABLE INTEREST ENTITIES (Tables)
 3 Months Ended
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:



ASSETSMarch 31, 2026December 31, 2025
Cash, cash equivalents and restricted cash$7,082,122 $2,253,630 
Other assets— 524,278 
Accrued interest receivable3,566,053 4,309,202 
Investment related receivable— 15,449,323 
Loans held for investment, net of allowance for credit losses655,905,140 856,064,489 
Real estate owned, held-for-sale$— $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 
Equity85,523,065 139,232,535 
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/FinancingsCountPrincipal Value
Carrying Value(1)
Wtd. Avg. Coupon(2)
Collateral (loan investments)30$656,985,469 $655,905,141 
7.02%
Financing provided1$584,983,000 $580,302,828 
5.58%
As of December 31, 2025
Collateralized Loan Obligations/FinancingsCountPrincipal 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 provided2$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 OperationsThree Months Ended March 31, 2026Three 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 losses465,674 (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