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Item 7. Management’s Discussion and Analysis

2026-02-25 compared with 2025-02-26 · 339 added, 234 removed, 572 unchanged (50% of the section changed)

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the notes thereto and other financial information included elsewhere in this Annual Report on Form 10-K.

As used herein, the terms "the Company," "we," "our" and "us" refer to Franklin BSP Realty Trust, Inc., a Maryland corporation and, as required by context, to Benefit Street Partners Realty Operating Partnership, L.P., a Delaware limited partnership, which we refer to as the "OP," and to its subsidiaries.

As used herein, the terms "the Company," "we," "our" and "us" refer to Franklin BSP Realty Trust, Inc., a Maryland corporation and, as required by context, to FBRT OP LLC, a Delaware limited liability company, which we refer to as the "OP," and to its subsidiaries.

We are externally managed by Benefit Street Partners L.L.C.

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federal income tax purposes since 2013.

The Company, through one or more subsidiaries which are each treated as a TRS, is indirectly subject to U.S.

federal, state and local income taxes.

We commenced business in May 2013.

We primarily originate, acquire and manage a diversified portfolio of commercial real estate debt investments secured by properties located within and outside of the United States.

Substantially all of our business is conducted through the OP, a Delaware limited partnership.

We are the sole general partner and directly or indirectly hold all of the units of limited partner interests in the OP.

The Company has no employees.

We are managed by our Advisor pursuant to the Advisory Agreement.

Our Advisor manages our affairs on a day-to-day basis.

Substantially all of our business is conducted through the OP, a Delaware limited liability company.

We are the managing member of the OP and directly or indirectly held 91% of the common units of membership interests in the OP as of December 31, 2025.

The Company’s operations are organized into two business units:

(i) Commercial Real Estate Financing, and (ii) Agency Business.

The Commercial Real Estate Financing unit primarily focuses on originating, acquiring and asset managing commercial real estate debt investments, including first mortgage loans, subordinated mortgage loans, mezzanine loans and participations in such loans.

Secondarily, this unit also invests in and asset manages real estate securities, with a historical focus on commercial mortgage-backed securities ("CMBS"), commercial real estate collateralized loan obligation bonds and single asset single borrower bonds (collectively "CMBS bonds"), collateralized debt obligations ("CDOs") and other securities.

Through this unit the Company also originates conduit loans which the Company intends to sell through its TRS into CMBS securitization transactions, and owns real estate that was either acquired by the Company through foreclosure, deed-in-lieu of foreclosure or that was purchased for investment.

On July 1, 2025, through a wholly owned subsidiary, we acquired NewPoint Holdings JV LLC (“NewPoint”), which now comprises our Agency Business unit.

Through this unit, we originate, sell and service a range of multifamily finance products under programs offered by government-sponsored enterprises (“GSEs”), such as the Federal National Mortgage Association (“Fannie Mae”) and Federal Home Loan Mortgage Corporation (“Freddie Mac”) and by government agencies (“Agencies”), such as the Government National Mortgage Association (“Ginnie Mae”) and the Federal Housing Administration, a division of the U.S.

Department of Housing and Urban Development (together with Ginnie Mae, “HUD”).

We retain the servicing rights and asset management responsibilities on substantially all loans we originate and sell under the GSE and HUD programs.

We are an approved Fannie Mae Delegated Underwriting and Servicing (“DUS”) lender, a Freddie Mac Program Plus Seller/Servicer, a Multifamily Accelerated Processing (“MAP”) and Section 232 LEAN lender for HUD and a Ginnie Mae issuer.

Additionally, the Company services external portfolios of commercial real estate financing products.

We are managed by the Advisor pursuant to an advisory agreement, as amended on August 18, 2021 (the "Advisory Agreement").

The Advisor manages our affairs on a day-to-day basis.

The Advisor receives compensation and fees for services related to the investment and management of our assets and our operations.

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The Advisor is a wholly-owned subsidiary of Franklin Resources, Inc., which together with its various subsidiaries operates as "Franklin Templeton".

The Company invests in commercial real estate debt investments, which may include first mortgage loans, subordinated mortgage loans, mezzanine loans and participations in such loans.

The Company also originates conduit loans which the Company intends to sell through its TRS into CMBS securitization transactions.

Historically this business has focused primarily on CMBS, CMBS bonds, CDOs and other securities.

The Company also owns real estate that was either acquired by the Company through foreclosure or deed-in-lieu of foreclosure, or that was purchased for investment.

As of December 31, 2025, we had 223 employees, all of which are employees of NewPoint.

Book Value Per Share

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Book value per share (1)

$ 14.38 $ 15.09

The following table calculates the Company's fully-converted book value per share as of December 31, 2025 and 2024 (in thousands, except share and per share amounts):

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Series H convertible preferred stock 5,370,498 5,370,498

Class A OP Units 8,385,951 —

Total outstanding shares 96,035,389 88,437,287

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________________________

(1) Fully-converted book value per share reflects full conversion of our outstanding series of convertible preferred stock and vesting of our outstanding equity compensation awards.

(1) Book value per share includes unvested shares for restricted stock and restricted stock units.

(2) Fully-converted book value per share assumes conversion of the Company's Series H convertible preferred stock, the redemption for Company common stock of the Class A Units of the OP (" OP Units") held by third parties, and the vesting of the Company's unvested equity compensation awards.

(3) Excluding the amounts for accumulated depreciation and amortization of real property of $17.5 million and $13.8 million as of December 31, 2025 and 2024, respectively, would result in a fully-converted book value per share of $14.34 and $15.35 as of December 31, 2025 and 2024, respectively.

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The Company’s significant accounting policies, including recently issued accounting pronouncements, are more fully described in Note 2 – Summary of Significant Accounting Policies to the accompanying consolidated financial statements included in this Annual Report on Form 10-K.

Business Combinations

Accounting for business combinations requires us to recognize, separately from goodwill, the assets acquired and the liabilities assumed ("net assets") at their acquisition date fair values.

Goodwill is measured as the excess of consideration transferred over the net assets acquired at their respective fair values as of the acquisition date.

The estimated fair values require significant estimates and assumptions including, but not limited to, estimating projected revenues and developing appropriate discount rates.

While we use our best estimates and assumptions to accurately value assets acquired and liabilities assumed at the acquisition date, our estimates are inherently uncertain and subject to refinement.

During the measurement period, which may be up to one year from the acquisition date, we may record adjustments to the assets acquired and liabilities assumed with the corresponding adjustment to goodwill, based on new information obtained about the facts and circumstances that existed as of the acquisition date.

Upon the conclusion of the measurement period or final determination of the values of net assets acquired, whichever comes first, any subsequent adjustments are recorded to our consolidated financial statements.

Refer to Note 3 - Business Combinations for critical accounting estimates around the Company's purchase price accounting allocations.

Credit Losses - Estimating Credit Losses

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If a financial asset’s risk characteristics change, the Company evaluates whether it is appropriate to continue to keep the financial instrument in its existing pool or evaluate it individually.

In measuring the general allowance for credit losses for financial instruments, such as loans held for investment and unfunded loan commitments that share similar risk characteristics, the Company primarily applies a probability of default (“PD”)/loss given default (“LGD”) model for instruments that are collectively assessed, whereby the provision for credit losses is calculated as the product of PD, LGD and exposure at default (“EAD”).

In measuring the general allowance for credit losses for financial instruments, such as loans held for investment and unfunded loan commitments that share similar risk characteristics, the Company primarily applies a probability of default (“PD”)/loss given default (“LGD”) model for instruments that are collectively assessed, whereby the allowance for credit losses is calculated as the product of PD, LGD and exposure at default (“EAD”) estimates.

The Company’s model to determine the general allowance for credit losses principally utilizes historical loss rates derived from a commercial mortgage backed securities database with historical losses from 2002 to 2021 provided by a reputable third party, forecasting the loss parameters based on a projected macroeconomic scenario using a probability-based statistical approach over a reasonable and supportable forecast period of twelve months, followed by an immediate reversion to average historical losses.

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The CECL reserve is assessed on an individual basis for such loans by comparing the estimated fair value of the underlying collateral, less costs to sell, to the book value of the respective loan.

The estimated fair value of underlying collateral requires judgments, which include assumptions regarding capitalization rates, discount rates, leasing, creditworthiness of major tenants, occupancy rates, availability and cost of financing, exit plans, loan sponsorship, actions of other lenders, and other factors deemed relevant by the Company.

The estimated fair value of underlying collateral requires judgments, which may include assumptions regarding capitalization rates, discount rates, leasing, creditworthiness of major tenants, occupancy rates, availability and cost of financing, exit plans, loan sponsorship, actions of other lenders, and other factors deemed relevant by the Company.

Actual losses, if any, could ultimately differ materially from these estimates.

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When a loan is designated as non-performing and placed on cost recovery status, the cost-recovery method is applied to which receipt of principal or coupon interest is recorded as a reduction to the amortized cost until collection of all contractual components are reasonably assured.

Allowance for Loss Sharing

When a loan is sold under the Fannie Mae DUS program, the Company undertakes an obligation to partially guarantee the performance of the loan.

The Company estimates an allowance for loss-sharing under CECL over the contractual period in which we are exposed to credit risk.

For loans that are pooled and collectively evaluated, the allowance for loss-sharing reserve is determined based on detailed loan-specific characteristics, including loan-to-value (LTV) ratio, vintage year, loan term, property type, occupancy, and geographic location.

The evaluation also considers the financial performance of the borrower, expected payments of principal and interest, as well as qualitative factors, utilizing both internal and external information.

This approach incorporates past events, current conditions, and forward-looking information through the use of projected macroeconomic scenarios over reasonable and supportable forecasts.

In instances where payment under the loss-sharing obligations of a loan is determined to be probable and estimable (as the loan is probable of, or is, in foreclosure), we record a liability for the estimated loss-sharing on an individual loan basis.

Real Estate Owned - Estimating Fair Value and Holding Period

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Real estate securities for which the fair value option has been elected are not evaluated for other-than-temporary impairment as changes in fair value are recorded in the consolidated statement of operations.

NewPoint Acquisition

Our Agency Business is conducted through NewPoint, which we acquired on July 1, 2025.

NewPoint is a commercial real estate finance company focused on originating and servicing agency mortgage loans.

NewPoint is a multifamily originator and servicer and is approved by four government sponsored entities (Federal National Mortgage Association, Federal Home Loan Mortgage Corporation, Government National Mortgage Association and U.S.

Department of Housing and Urban Development).

NewPoint’s mortgage servicing rights ("MSRs") are held as an asset on our consolidated balance sheet.

As of December 31, 2025 , and as of the closing date of the acquisition, NewPoint had a total servicing portfolio of $47.8 billion and $55.4 billion, respectively.

The NewPoint business is complimentary to our historical business as it offers our traditional bridge loan borrowers the opportunity to refinance our bridge loans with agency mortgage loans.

The NewPoint acquisition does not have any impact on our arrangements with the Advisor.

The Chief Executive Officer and the Chief Financial Officer / Chief Operating Officer of the Company were appointed as Chief Executive Officer and Chief Operating Officer, respectively, of NewPoint and oversee the business and employees of NewPoint in those roles.

As a result of the NewPoint acquisition, we treat our Agency Business as a new business segment.

The Agency Business has and will continue to have a number of impacts on our future consolidated financial statements, including the addition of MSRs to our consolidated balance sheet, the addition of servicing income and gains on sales of originated agency mortgages, and the addition of employee expense.

These changes may make it difficult to compare our financial results in future periods with our financial results from periods that preceded the acquisition.

In addition, gains on sale from originated agency mortgages will largely be driven by origination volumes in the reported period.

As a result, the associated gains on sale may vary significantly quarter to quarter, which may make it difficult to compare future quarter to quarter financial results.

With respect to liquidity, we expect the Agency Business will continue to utilize warehouse agreements as the primary form of financing.

The warehouse agreements used for the Agency Business generally have 100% financing.

We also expect that the MSRs we hold on our balance sheet will increase our ability to expand our revolving credit facilities.

We issued 8,385,951 OP Units of the OP to equity holders of NewPoint in the acquisition.

After 12 months from the closing date, holders of the OP Units may elect to have the OP Units redeemed, in which case the Company will have the option to satisfy the redemption consideration with either cash (based on the trading price of the Company’s common stock) or the delivery of one share of the Company’s common stock for each OP Unit.

We expect to pay quarterly per unit cash distributions to holders of OP Units equal to the quarterly per share cash distributions we pay to holders of our common stock.

New Tax Legislation

Effective July 4, 2025, certain changes to U.S.

tax law were approved that impact us and our stockholders.

Among other changes, this legislation (i) permanently extended the 20% deduction for “qualified REIT dividends” for individuals and other non-corporate taxpayers under Section 199A of the Internal Revenue Code (the “Code”), (ii) increased the percentage limit under the REIT asset test applicable to taxable REIT subsidiaries (“TRSs”) from 20% to 25% for taxable years beginning after December 31, 2025, and (iii) increased the base on which the 30% interest deduction limit under Section 163(j) of the Code applies by excluding depreciation, amortization and depletion from the definition of “adjusted taxable income” (i.e.

based on EBITDA rather than EBIT) for taxable years beginning after December 31, 2024.

Results of Operations

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• The real estate debt business focuses on originating, acquiring and asset managing commercial real estate debt investments, including first mortgages, subordinate mortgages, mezzanine loans and participations in such loans.

• The real estate securities business focuses on investing in and asset managing real estate securities.

Historically this business has focused primarily on CMBS, CMBS bonds, CDO notes, and other securities.

• The commercial real estate conduit business operated through the Company's TRS, which is focused on generating risk-adjusted returns by originating and subsequently selling fixed-rate commercial real estate loans into the CMBS

securitization market at a profit.

The business also focuses on investing in and asset managing real estate securities, historically focusing on CMBS, CMBS bonds, CDO notes, and other securities.

• The Agency Business focuses on originating, selling, and servicing loans under programs offered by GSE’s and Agencies, such as Fannie Mae, Freddie Mac, Ginnie Mae, and HUD.

Additionally, the business services external portfolios of commercial real estate financing products.

• The commercial real estate conduit business, operated through the Company's TRS, is focused on generating risk-adjusted returns by originating and subsequently selling fixed-rate commercial real estate loans into the CMBS securitization market at a profit.

The TRS may also hold certain mezzanine loans that don't qualify as good REIT assets due to any potential loss from foreclosure.

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Net Interest Income

Net interest income is generated on our interest-earning assets less related interest-bearing liabilities and is recorded as part of our real estate debt, real estate securities and TRS segments.

Net interest income is generated on our interest-earning assets less related interest-bearing liabilities and is recorded as part of our real estate debt, real estate securities, agency and conduit programs.

The following table presents the average balance of interest-earning assets less related interest-bearing liabilities, associated interest income and expense and corresponding yield earned and incurred for the years ended December 31, 2025 and 2024 (dollars in thousands):

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Real estate debt $ 4,590,492 $ 399,360 8.7 % $ 5,176,062 $ 502,298 9.7 %

$ 5,176,062 $ 502,298 9.7 % $ 5,038,267 $ 530,116 10.5 %

Agency debt 224,107 12,797 5.7 % — — — %

Real estate conduit 66,304 6,126 9.2 % 37,081 5,469 14.7 %

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(4) Calculated as interest income or expense divided by average carrying value.

(5) The collateral sale of a Brooklyn hotel loan in April 2023, which allowed the company to recover its full investment, resulted in $15.5 million and $4.9 million in coupon and default interest income, respectively, recognized in the Company's real estate debt segment during the year ended December 31, 2023.

(5) Calculated by dividing total average interest-bearing liabilities by total average interest-earning assets.

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Interest income for the years ended December 31, 2025 and 2024, totaled $430.3 million and $526.1 million, respectively, a decrease of $95.8 million.

The decrease was primarily due to the recognition of a non-recurring item of $20.4 million of interest income from the sale of a Brooklyn hotel asset in the second quarter of 2023, coupled with an increase in the number of non-performing loans in 2024, which averaged $190.9 million in principal for the year ended December 31, 2024.

As of December 31, 2024, our portfolio consisted of (i) 155 commercial mortgage loans, held for investment, (ii) 11 real estate securities, available for sale, measured at fair value, and (iii) three commercial mortgage loans, held for sale, measured at fair value.

As of December 31, 2023, our portfolio consisted of (i) 144 commercial mortgage loans, held for investment and (ii) seven real estate securities, available for sale, measured at fair value.

The decrease was primarily due to an approximate 91 basis point decrease in daily average SOFR and SOFR equivalent rates coupled with a decrease of $585.6 million in the average carrying balance of our real estate debt.

As of December 31, 2025, our portfolio consisted of (i) 169 commercial mortgage loans, held for investment, (ii) 10 real estate securities, available for sale, measured at fair value, and (iii) 17 commercial mortgage loans, held for sale, measured at fair value.

As of December 31, 2024, our portfolio consisted of (i) 155 commercial mortgage loans, held for investment and (ii) eleven real estate securities, available for sale, measured at fair value and (iii) three commercial mortgage loans, held for sale, measured at fair value.

Interest Expense

Interest expense for the years ended December 31, 2024 and 2023 totaled $338.5 million and $305.6 million, respectively, an increase of $32.9 million.

The increase was primarily due to an increase of $429.6 million in the average carrying value of our collateralized loan obligations ("CLOs") coupled with an increase in deferred fee amortization due to the utilization of expected duration of our CLOs compared to contractual duration, partially offset by a decrease of $144.0 million in the average carrying values of our repurchase agreements - commercial mortgage loans and real estate securities.

Interest expense for the years ended December 31, 2025 and 2024 totaled $288.3 million and $338.5 million, respectively, a decrease of $50.2 million.

The decrease was primarily due to an approximate 91 basis point decrease in daily average SOFR and SOFR equivalent rates coupled with a decrease of $515.7 million in the average carrying value of our collateralized loan obligations.

Gain/(Loss) on Sales, including fee-based services, net

Gain on sales, including fee-based services, net for the years ended December 31, 2025 and 2024 totaled $57.6 million and $13.1 million, respectively, which was comprised of our Agency Business and conduit segments.

Gain on sales, including fee-based services, net from our Agency Business segment, which we acquired though the NewPoint acquisition on July 1, 2025, was $37.3 million for the year ended December 31, 2025.

This was due to agency loans acquired of $422.0 million, originations post acquisition of $3.2 billion and sales of $3.3 billion.

The Company did not have the Agency Business segment during the year ended December 31, 2024.

Gain on sales, including fee-based services, net from our conduit segment for the years ended December 31, 2025 and 2024 totaled $20.3 million and $13.1 million, respectively.

The increase was primarily due to $464.4 million in principal amount of commercial real estate loans sold by the Company into the CMBS securitization market resulting in proceeds of $482.4 million for the year ended December 31, 2025.

This is compared to the sale of $271.2 million in principal amount of commercial real estate loans sold into the CMBS securitization market resulting in proceeds of $284.3 million for the year ended December 31, 2024.

Mortgage Servicing Rights

Income from mortgage servicing rights for the year ended December 31, 2025 was $28.6 million which related to the fair value on originated MSR's loans rate locked under programs with Fannie Mae, Freddie Mac and HUD.

The Company did not have income from mortgage servicing rights for the year ended December 31, 2024.

Servicing Revenue

Servicing revenue for the year ended December 31, 2025 was $12.5 million which was comprised of $23.1 million of servicing fee income and $15.1 million in placement fees on borrower escrows and reserves, partially offset by $25.7 million in reductions to the MSR for amortization, payoffs and impairment.

The Company did not have servicing revenue for the year ended December 31, 2024.

Gain/(Loss) on Derivatives

Loss on derivatives for the years ended December 31, 2025 and 2024 totaled $0.2 million and $0.2 million, respectively.

For the year ended December 31, 2025, the loss was composed of a $1.1 million unrealized loss related to mark to market on credit default swaps, treasury note futures, and options, partially offset by a $0.9 million realized gain.

For the year ended December 31, 2024, loss was composed of a realized loss of $1.3 million due primarily to the termination and settlement of credit default swaps and treasury yields, partially offset by an unrealized gain of $1.1 million.

Revenue from Real Estate Owned

Revenue from real estate owned for the years ended December 31, 2025 and 2024 totaled $29.6 million and $22.8 million, respectively.

The $5.8 million increase was primarily the result of rental income from obtaining possession of additional multifamily properties brought on as real estate owned, through foreclosure or deed-in-lieu of foreclosure, for the year ended December 31, 2024.

The $6.8 million increase was primarily the result of rental income from obtaining possession of additional multifamily and office properties brought on as real estate owned, through foreclosure or deed-in-lieu of foreclosure, for the year ended December 31, 2025.

Provision/(Benefit) for Credit losses

Provision for credit losses for the years ended December 31, 2024 and 2023 totaled $35.7 million and $33.7 million, respectively.

General benefit for credit losses was $0.3 million for the year ended December 31, 2024 compared to a general provision of $21.4 million for the year ended December 31, 2023.

The $21.7 million decrease in general reserve was primarily due to the portfolio turnover of older vintage loans with newly originated loans coupled with a more favorable macro-economic outlook compared to the preceding period.

For the year ended December 31, 2024, the increase in specific reserve of $36.0 million was primarily related to two non-performing loans collateralized by office properties located in Colorado and Georgia.

For the year ended December 31, 2023, the increase in specific reserve of $12.3 million, compared to the prior year, was primarily related to one office loan located in Oregon.

Benefit for credit losses for the year ended December 31, 2025 totaled $11.9 million.

This is compared to a provision for credit losses for the year ended December 31, 2024 of $35.7 million.

General benefit for credit losses was $13.5 million for the year ended December 31, 2025 compared to a general benefit of $0.3 million for the year ended December 31, 2024.

The $13.2 million decrease in general reserve was primarily due to performance improvement of our portfolio and portfolio turnover since the end of the prior year.

For the year ended December 31, 2025, the increase in specific reserve of $5.7 million was primarily related to (i) two non-performing loans secured by multifamily properties in Texas which we foreclosed on during the second and fourth quarter, respectively, and (ii) three non-performing loans secured by multifamily properties in Pennsylvania, Arizona and North Carolina, partially offset by the reversal of a specific reserve on a non-performing loan secured by an office property in Georgia.

For the year ended December 31, 2024, the increase in specific reserve of $36.0 million, compared to the prior year, was primarily related to two non-performing loans collateralized by office properties located in Colorado and Georgia.

For the year ended December 31, 2025, allowance for loss sharing was established from our Agency Business segment, which we acquired though the NewPoint acquisition on July 1, 2025.

The $4.1 million change in reserve from the NewPoint acquisition date related to a $1.8 million decrease to the general CECL reserve due to an increased overall economic outlook coupled with a $2.3 million decrease in the specific loan reserve due to improvement in the performance of at risk loans.

Realized Gain/(Loss) on Extinguishment of Debt

The Company realized a loss on extinguishment of debt of $7.7 million for the year ended December 31, 2025 which related to the redemption of the outstanding notes issued by BSPRT 2021-FL6 Issuer, Ltd., BSPRT 2021-FL7 Issuer, Ltd.

and BSPRT 2022-FL9 Issuer, Ltd.

The Company did not realize a gain or loss on extinguishment of debt for the year ended December 31, 2024.

Realized gain on extinguishment of debt for the year ended December 31, 2023 of $2.2 million was primarily related to the redemption of $17.5 million par value unsecured debt at a price equal to 75% of par value coupled with the repurchase of the Class E notes in our BSPRT 2021-FL7 CLO and $8.3 million of bonds of our BSPRT 2019-FL5 CLO partially offset by the redemption of BSPRT 2019-FL5.

Realized Gain/(Loss) on Real Estate Securities, Available for Sale

Realized gain on real estate securities, available for sale for the year ended December 31, 2025 of $0.1 million related to eight sales of our CRE CLO bonds.

Realized gain on real estate securities, available for sale for the year ended December 31, 2024 of $0.1 million was primarily related to the sale of six CMBS bonds.

Realized gain on real estate securities, available for sale for the year ended December 31, 2023 of $0.1 million was primarily related to the sale of 12 CMBS bonds.

Realized Gain/(Loss) on Sale of Commercial Mortgage Loans, Held for Investment

The Company did not realize any gains or losses on dispositions of commercial mortgage loans, held for investment for the year ended December 31, 2025.

Realized gain on commercial mortgage loans, held for investment, for the year ended December 31, 2024 of $0.1 million was related to the disposition of two senior and one mezzanine commercial mortgage loans.

The Company did not have any dispositions of commercial mortgage loans for the year ended December 31, 2023.

Realized Gain/(Loss) on Sale of Commercial Mortgage Loans, Held for Sale, Measured at Fair Value

Realized gain on commercial mortgage loans, held for sale, measured at fair value for the year ended December 31, 2024 of $13.1 million was related to the sale of $271.2 million in principal amount of commercial real estate loans into the CMBS securitization market resulting in proceeds of $284.3 million.

Realized gain on commercial mortgage loans, held for sale, measured at fair value for the year ended December 31, 2023 of $3.9 million was related to the sale of $118.1 million in principal amount of commercial real estate loans into the CMBS securitization market resulting in proceeds of $122.1 million.

Realized Gain/(Loss) on Sale of Commercial Mortgage Loans, Held for Sale

Realized loss on commercial mortgage loans, held for sale, for the year ended December 31, 2025 of $0.2 million was related to the disposition one senior loan collateralized by a portfolio of retail properties.

The Company did not realize any gains or losses on dispositions of commercial mortgage loans, held for sale for the year ended December 31, 2024.

Gain/(Loss) on Other Real Estate Investments

Loss on other real estate investments for the year ended December 31, 2024 was $8.0 million primarily due to sales and write offs related to the Walgreens Portfolio coupled with the onboarding of real estate owned, held for sale multifamily properties.

This is compared to a loss of $7.1 million for the year ended December 31, 2023 related to a sale of one real estate owned, held for sale property located in New Rochelle, NY resulting in a loss of $1.2 million in addition to impairments of our real estate owned, held for sale assets of $1.9 million related to the St.

Louis, MO office property and $4.0 million related to the Walgreens Portfolio.

Unrealized Gain/(Loss) on Commercial Mortgage Loans, Held for Sale, Measured at Fair Value

The Company did not have any commercial mortgage loans, held for sale, measured at fair value held in an unrealized gain or loss position as of December 31, 2024 and 2023.

For the year ended December 31, 2023, unrealized gain on commercial

mortgage loans, held for sale, measured at fair value was $43.8 thousand primarily related to the reversal of unrealized gain/loss on sales of commercial real estate loans into the CMBS securitization market.

Trading Gain/(Loss)

The Company did not hold any trading securities as of December 31, 2024 and 2023.

Trading loss for the year ended December 31, 2023 of $0.6 million was attributable to principal paydowns, changes in market values and gains on sales of residential adjustable-rate mortgage pass-through securities (“ARM Agency Securities” or “ARMs”) issued and guaranteed by government-sponsored enterprises or by an agency of the federal government ARM.

Net Result from Derivative Transactions

Net result from derivative transactions for the year ended December 31, 2024 of a $0.2 million loss was composed of a realized loss of $1.3 million due primarily to the termination and settlement of credit default swaps and treasury yields, partially offset by an unrealized gain of $1.1 million.

This is compared to a net gain on our derivative portfolio of $0.9 million composed of a realized gain of $1.0 million due primarily to the termination and settlement of interest rate swap positions partially offset by an unrealized loss of $0.1 million for the year ended December 31, 2023.

Loss on other real estate investments for the year ended December 31, 2025 was $3.4 million primarily due to sales of our multifamily and retail properties and fair value write downs of our multifamily properties, partially offset by settled litigation regarding the Walgreens Portfolio.

This is compared to a loss of $8.0 million for the year ended December 31, 2024 primarily due to sales and write offs related to the Walgreens Portfolio coupled with the onboarding of real estate owned, held for sale multifamily properties.

Income/(loss) from equity method investments

Income from equity method investments for the year ended December 31, 2025 was $3.6 million related to the Company's net allocated percentage of income generated by our equity method investments.

The Company did not have any equity method investment income during the year ended December 31, 2024.

(Provision)/Benefit for Income Tax

Provision for income tax for the year ended December 31, 2024 was $1.1 million compared to a benefit of $2.8 million for the year ended December 31, 2023.

The difference is due to changes in taxable income/loss in our TRS segment.

Provision for income tax for the year ended December 31, 2025 was $3.9 million compared to a provision of $1.1 million for the year ended December 31, 2024.

The difference is related to changes in taxable earnings in our TRS segment.

Net (Income)/Loss Attributable to Non-controlling Interest

Net loss attributable to non-controlling interest in our consolidated joint ventures for the years ended December 31, 2024 and 2023 totaled $3.5 million and $0.7 million, respectively.

Net income attributable to non-controlling interest in our consolidated joint ventures for the year ended December 31, 2025 was $1.8 million, compared to a net loss attributable to non-controlling interest in our consolidated joint ventures of $3.5 million for the year ended December 31, 2024.

Preferred Share Dividends

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December 31, 2025 December 31, 2024

Compensation and benefits $ 53,739 $ —

Asset management and subordinated performance fee 24,497 25,958

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Professional fees 29,207 14,508

Share-based compensation 8,173 4,761

Depreciation and amortization 5,630 7,128

Other expenses 45,919 21,472

Depreciation and amortization 9,593 5,630

Share-based compensation 9,118 8,173

Total expenses from operations $ 186,370 $ 86,444

For the year ended December 31, 2024, we incurred asset management and subordinated performance fees and administrative services expenses of $26.0 million and $9.7 million, respectively, which are payable to our Advisor under our asset management agreement.

For the year ended December 31, 2024 compared to 2023, asset management and incentive fees decreased due to the decrease in net income and applicable equity used to calculate the performance fee, coupled with a decrease in administrative services expenses due to less time spent on asset workout.

Refer to Note 18 - Related Party Transactions and Arrangements for a summary of the Company's Advisory Agreement with the Advisor and a description of how our fees are calculated.

The decrease in operating expense was partially offset by (i) an increase in share-based compensation due to equity awards issued under the Company's 2021 Incentive Plan during the year ended December 31, 2024 and (ii) an increase in other expenses related to property operating expenses and third party management fees incurred in order to operate various real estate owned investments in our portfolio.

The increase in operating expense for the year ended December 31, 2025 compared to 2024 was primarily due to (i) our incurrence of compensation and benefits cost of $53.7 million compared to no such expenses in 2024, resulting from our acquisition of NewPoint and the fact we now have employees and were responsible for six months of associated compensation expense, (ii) a significant increase in professional fees related to the NewPoint acquisition, (iii) an increase in other expenses related to property operating expenses and third party management fees incurred in order to operate various real estate owned investments in our portfolio, coupled with other expenses related to the NewPoint acquisition and (iv) an increase in administrative service expense due to the time spent on the NewPoint acquisition.

While the increase in professional fees primarily related to the completed NewPoint acquisition, we will be responsible for NewPoint compensation and benefits for the full year in 2026 and we will continue to be responsible for property operating expenses and third party management fees related to operating our real estate owned assets.

Comparison of the Three Months Ended December 31, 2025 to the Three Months Ended September 30, 2025

Net Interest Income

Net interest income is generated on our interest-earning assets less related interest-bearing liabilities and is recorded as part of our real estate debt, real estate securities and TRS segments.

The following table presents the average balance of interest-earning assets less related interest-bearing liabilities, associated interest income and expense and corresponding yield earned and incurred for the three months ended December 31, 2025 and three months ended September 30, 2025 (dollars in thousands):

9 unchanged sentences

Real estate debt $ 4,285,953 $ 87,168 8.1 % $ 4,499,821 $ 96,121 8.5 %

Agency debt 468,433 6,511 5.6 % 421,760 6,286 6.0 %

Real estate conduit 150,212 2,840 7.6 % 49,285 1,298 10.5 %

25 unchanged sentences

The decrease was primarily due to an approximate 32 basis point decrease in daily average SOFR and SOFR equivalent rates coupled with a $213.9 million decrease in the average carrying value of our real estate debt.

As of September 30, 2024, our portfolio consisted of (i) 157 commercial mortgage loans, held for investment and (ii) ten real estate securities, available for sale, measured at fair value.

As of September 30, 2025, our portfolio consisted of (i) 147 commercial mortgage loans, held for investment, (ii) 36 commercial mortgage loans, held for sale, measured at fair value, (iii) two commercial mortgage loans, held for sale and (iv) five real estate securities, available for sale, measured at fair value.

Interest Expense

Interest expense for the three months ended December 31, 2024 and September 30, 2024 totaled $80.5 million and $89.9 million, respectively, a decrease of $9.4 million due primarily to a decrease of $585.9 million in the carrying value of our repurchase agreements - commercial mortgage loans, partially offset by an increase of $455.2 million in the average carrying value of our collateralized loan obligations.

Interest expense for the three months ended December 31, 2025 and September 30, 2025 totaled $71.0 million and $76.5 million, respectively, a decrease of $5.5 million due primarily to a decrease of $216.1 million in the carrying value of our repurchase agreements - commercial mortgage loans coupled with an approximate 32 basis point decrease in daily average SOFR and SOFR equivalent rates.

(Gain)/loss on sales, including fee-based services, net

Gain on sales, including fee-based services, net for the three months ended December 31, 2025 and September 30, 2025 was $22.9 million and $29.4 million, respectively, which was comprised of our Agency Business and conduit segments.

Gain on sales, including fee-based services, net from our Agency Business segment for the three months ended December 31, 2025 and September 30, 2025 was $11.3 million and $26.0 million, respectively.

The $14.7 million decrease was primarily due to an approximate 50% reduction in rate locked loans in our Agency Business segment for the three months ended December 31, 2025 compared to the three months ended September 30, 2025.

Gain on sales, including fee-based services, net from our conduit segment for the three months ended December 31, 2025 and September 30, 2025 was $11.6 million and $3.4 million, respectively.

The increase was primarily due to $290.6 million in principal amount of commercial real estate loans sold by the Company into the CMBS securitization market resulting in proceeds of $299.8 million for the three months ended December 31, 2025.

This is compared to the sale of $59.4 million in principal amount of commercial real estate loans sold into the CMBS securitization market resulting in proceeds of $62.8 million for the three months ended September 30, 2025.

Mortgage servicing rights

Income for mortgage servicing rights for the three months ended December 31, 2025 and September 30, 2025 was $8.8 million and $19.7 million, respectively.

The $10.9 million decrease is due to lower origination volume of the underlying loans for the three months ended December 31, 2025 compared to the three months ended September 30, 2025.

Servicing Revenue

Servicing revenue for the three months ended December 31, 2025 and September 30, 2025 was $8.9 million and $3.6 million, respectively.

The $5.3 million quarter over quarter increase is primarily due to approximately $4.4 million of MSR impairment during the three months ended September 30, 2025 arising from increased CPR assumption.

The Company did not have MSR impairment during the three months ended December 31, 2025.

(Gain)/Loss on derivatives

Gain on derivatives for the three months ended December 31, 2025 was $0.3 million composed of a $0.4 million realized gain related to the termination and settlement of credit default swaps and treasury note futures, partially offset by a $0.1 million unrealized loss.

This is compared to a loss on derivatives for the three months ended September 30, 2025 of $0.1 million composed of a $0.4 million realized loss related to the termination and settlement of credit default swaps and treasury note futures, partially offset by a $0.3 million unrealized gain.

Revenue from Real Estate Owned

For the three months ended December 31, 2024 and September 30, 2024, revenue from real estate owned was $8.7 million and $5.4 million, respectively.

The $3.3 million increase was primarily the result of rental income from onboarding multifamily properties brought on as real estate owned, through foreclosure or deed-in-lieu of foreclosure, during the three months ended December 31, 2024.

For the three months ended December 31, 2025 and September 30, 2025, revenue from real estate owned was $7.3 million and $7.2 million, respectively, staying relatively consistent quarter-over-quarter.

(Provision)/Benefit for Credit losses

Provision for credit losses was $0.9 million during the three months ended December 31, 2024 compared to a benefit of $0.3 million during the three months ended September 30, 2024.

For the three months ended December 31, 2024 and September 30, 2024, general benefit for credit losses was $1.6 million and $0.8 million, respectively, an increase in benefit of $0.8 million primarily due to the portfolio turnover of older vintage loans with newly originated loans coupled with a more favorable macro-economic outlook compared to the preceding period.

Benefit for credit losses was $7.9 million during the three months ended December 31, 2025 compared to a benefit of $0.6 million during the three months ended September 30, 2025.

For the three months ended December 31, 2025 and September 30, 2025, general benefit for credit losses was $7.8 million and $1.5 million, respectively, an increase in benefit of $6.3 million primarily due to performance improvement of our portfolio since the end of the prior quarter.

For the three months ended December 31, 2025 and September 30, 2025, specific provision for credit losses was $3.0 million and $1.9 million, respectively.

For the three months ended December 31, 2024, the specific provision was primarily related to a non-performing loan collateralized by a multifamily property located in Texas.

For the three months ended September 30, 2024, the specific provision was primarily related to foreclosures on multifamily properties located in Oklahoma and North Carolina.

Realized Gain/(Loss) on Real Estate Securities, Available for Sale

The Company did not realize a gain or loss on real estate securities, available for sale for the three months ended December 31, 2024 .

Realized gain on real estate securities, available for sale for the three months ended September 30, 2024 of $0.1 million was primarily related to the sale of two CMBS bonds.

Realized Gain/(Loss) on Sale of Commercial Mortgage Loans, Held for Investment

Realized gain on commercial mortgage loans, held for investment, for the three months ended December 31, 2024 of $0.1 million was related to the disposition of two senior and one mezzanine commercial mortgage loans.

The Company did not record any realized gains or losses on dispositions of commercial mortgage loans for the three months ended September 30, 2024.

Realized Gain/(Loss) on Sale of Commercial Mortgage Loans, Held for Sale, Measured at Fair Value

The Company did not realize any gain or loss on commercial mortgage loans, held for sale, measured at fair value for the three months ended December 31, 2024.

Realized gain on commercial mortgage loans, held for sale, measured at fair value for the three months ended September 30, 2024 of $6.2 million was related to the sale of $131.6 million in principal amount of commercial real estate loans into the CMBS securitization market resulting in proceeds of $137.8 million.

For the three months ended December 31, 2025, the specific provision was primarily related to three non-performing loans secured by multifamily properties in Pennsylvania, Arizona and North Carolina, coupled with a non-performing loan secured by a multifamily property in Texas which we foreclosed on during the fourth quarter.

For the three months ended September 30, 2025, the increase in specific reserve was primarily related to a non-performing loan secured by a multifamily property in Pennsylvania.

For the three months ended December 31, 2025, allowance for loss sharing decreased $3.1 million related to a $4.1 million decrease to the specific loan reserve due to improvement in the performance of at risk loans.

This is offset by a $1.0 million increase to the general CECL reserve due to growth in the Fannie Mae loss sharing portfolio.

Realized Gain/(Loss) on Extinguishment of Debt

The Company realized a loss on extinguishment of debt of $7.7 million for the three months ended December 31, 2025 which related to the redemption of the outstanding notes issued by BSPRT 2021-FL6 Issuer, Ltd., BSPRT 2021-FL7 Issuer, Ltd.

and BSPRT 2022-FL9 Issuer, Ltd.

The Company did not realize a gain or loss on extinguishment of debt for the three months ended September 30, 2025.

Realized Gain/(Loss) on Sale of Commercial Mortgage Loans, Held for Sale

Realized loss on commercial mortgage loans, held for sale, for the three months ended December 31, 2025 of $0.2 million was related to the disposition one senior loan collateralized by a portfolio of retail properties.

The Company did not realize any gains or losses on dispositions of commercial mortgage loans held for sale for the three months ended September 30, 2025.

Gain/(Loss) on Other Real Estate Investments

Gain on other real estate investments for the three months ended December 31, 2024 was $0.5 million primarily due to the onboarding of real estate owned, held for sale, multifamily properties partially offset by losses on the sales of three, held for sale, multifamily properties and one, held for sale, retail property from our Walgreens Portfolio.

This is compared to a loss of $2.2 million for the three months ended September 30, 2024 primarily due to write offs related to the Walgreens Portfolio coupled with the onboarding of real estate owned, held for sale, multifamily properties.

Unrealized Gain/(Loss) on Commercial Mortgage Loans, Held for Sale, Measured at Fair Value

The Company did not have any commercial mortgage loans, held for sale, measured at fair value held in an unrealized gain or loss position as of December 31, 2024.

Unrealized loss on commercial mortgage loans, held for sale, measured at fair value, for the three months ended September 30, 2024 was $0.6 million which is attributable to the reversal of previous unrealized gains due to sales into the CMBS securitization market.

Net Result from Derivative Transactions

Net result from derivative transactions for the three months ended December 31, 2024 of a $1.0 million gain was composed primarily of unrealized gains on mark to market on credit default swaps, treasury note futures, and options.

This is compared to a net loss on our derivative portfolio of $1.3 million composed of a realized loss of $1.6 million primarily related to the termination and settlement of credit default swaps and treasury note futures, partially offset by an unrealized gain of $0.3 million for the three months ended September 30, 2024.

Loss on other real estate investments for the three months ended December 31, 2025 was $1.7 million primarily due to the sales of real estate owned, held for sale, multifamily and retail properties coupled with the fair value write down on one multifamily property located in North Carolina.

This is compared to a loss of $2.1 million for the three months ended September 30, 2025 primarily due to the sales of real estate owned, held for sale, multifamily and retail properties coupled with the fair value write down on one multifamily property located in Ohio.

Income/(loss) from equity method investments

For the three months ended December 31, 2025 and September 30, 2025, income from equity method investments was $3.4 million and $6.0 thousand, respectively.

The increase was primarily related to the Company's share of increases to the fair value of the assets held by our equity method investments.

(Provision)/Benefit for Income Tax

Provision for income tax for each of the three months ended December 31, 2024 and September 30, 2024, was $0.2 million.

Provision for income tax for the three months ended December 31, 2025 was $6.3 million compared to a benefit of $2.9 million for the three months ended September 30, 2025.

The difference is related to changes in taxable earnings in our TRS segment.

Net (Income)/Loss Attributable to Non-controlling Interest

Net loss attributable to non-controlling interest in our consolidated joint ventures for the three months ended December 31, 2024 and September 30, 2024 totaled $0.4 million and $1.4 million, respectively.

Net income attributable to non-controlling interest in our consolidated joint ventures for the three months ended December 31, 2025 and September 30, 2025 totaled $0.7 million and $0.3 million, respectively.

Expenses from operations

2 unchanged sentences

December 31, 2025 September 30, 2025

Compensation and benefits $ 19,306 $ 34,434

Asset management and subordinated performance fee 6,323 6,082

2 unchanged sentences

Professional fees 8,599 9,334

Share-based compensation 2,153 2,134

Depreciation and amortization 1,409 1,387

Other expenses 10,361 14,052

Depreciation and amortization 3,400 3,432

Share-based compensation 2,319 2,237

Total expenses from operations $ 53,179 $ 73,291

For the three months ended December 31, 2025, we incurred asset management and subordinated performance fees and administrative services expenses of $6.3 million and $2.7 million, respectively, which are payable to our Advisor under our asset management agreement.

For the three months ended December 31, 2024 compared to September 30, 2024, asset management and incentive fees increased due to actual net income surpassing previously projected net income, while administrative services expenses decreased due to increases of non-reimbursable expenses.

For the three months ended December 31, 2025 compared to September 30, 2025, asset management and incentive fees increased due to increases in applicable average equity between periods, while administrative services expenses decreased due to less personnel time spent in the current three months compared to the prior three months.

Refer to Note 18 - Related Party Transactions and Arrangements for a summary of the Company's Advisory Agreement with the Advisor and a description of how our fees are calculated.

The increase in operating expense was also partially related to an increase in other expenses due to expenses related to property operating expenses and third party management fees incurred in order to operate various real estate owned investments in our portfolio.

The decrease in operating expense for the three months ended December 31, 2025 was primarily related to (i) a decrease in compensation and benefits related to NewPoint employees as a result of lower commission expense resulting from a decrease in agency loan production during the quarter, and (ii) a decrease in other expenses related to the NewPoint acquisition.

Comparison of the Year Ended December 31, 2024 to the Year Ended December 31, 2023

See Part II, Item 7.

“Management’s Discussion and Analysis of Financial Condition and Results of Operations” in our Annual Report on Form 10-K for the year ended December 31, 2023, filed with the Securities and Exchange Commission on February 26, 2024, for a discussion of the comparison of the year ended December 31, 2023 to the year ended December 31, 2022.

As of December 31, 2024 and 2023, our portfolio consisted of 155 and 144 commercial mortgage loans, held for investment, respectively.

“Management’s Discussion and Analysis of Financial Condition and Results of Operations” in our Annual Report on Form 10-K for the year ended December 31, 2024, filed with the SEC on February 26, 2025, for a discussion of the comparison of the year ended December 31, 2024 to the year ended December 31, 2023.

As of December 31, 2025 and 2024, our Commercial Real Estate Financing portfolio consisted of 169 and 155 commercial mortgage loans, held for investment, respectively.

The commercial mortgage loans held for investment, net of allowance for credit losses, as of December 31, 2025 and 2024, had a total carrying value of $4,383.1 million and $4,908.7 million, respectively.

As of December 31, 2024, our commercial mortgage loans, held for sale, measured at fair value, were comprised of three loans with a total fair value of $87.3 million.

As of December 31, 2023, the Company did not hold any commercial mortgage loans, held for sale, measured at fair value.

As of December 31, 2025, our commercial mortgage loans, held for sale, measured at fair value, were comprised of two conduit loans and 15 Agency loans, with a total fair value of $360.7 million.

As of December 31, 2024, our commercial mortgage loans, held for sale, measured at fair value, were comprised of three senior loans with a total fair value of $87.3 million.

As of December 31, 2025 and 2024, we had $151.7 million and $203.0 million, respectively, of real estate securities, available for sale, measured at fair value.

As of December 31, 2024 and 2023, our real estate owned, held for investment portfolio was composed of three properties, with carrying values of $113.2 million and $115.8 million, respectively.

As of December 31, 2024 and 2023, we had twelve and twenty-three properties classified as real estate owned, held for sale, respectively, with combined carrying values of $222.9 million and $103.7 million, respectively.

As of December 31, 2024, we had three loans (one secured by a multifamily property and two secured by office properties), designated as non-performing status with a total amortized cost of $133.2 million.

As of December 31, 2023, we had two loans, designated as non-performing status with a total amortized cost of $78.2 million.

As of December 31, 2025 and 2024, our real estate owned, held for investment portfolio was composed of two and three properties with carrying values of $99.3 million and $113.2 million, respectively.

As of December 31, 2025 and 2024, we had six and twelve positions classified as real estate owned, held for sale with combined carrying values of $198.9 million and $222.9 million, respectively.

As of December 31, 2025 and 2024, our equity method investments consisted of four investments and one investment with carrying values of $71.7 million and $13.4 million, respectively.

As of December 31, 2025, we had seven loans (six secured by a multifamily properties and one secured by an office property), designated as non-performing status with a total amortized cost of $214.0 million.

As of December 31, 2024, we had three loans designated as non-performing status with a total amortized cost of $133.2 million.

As of December 31, 2025, three loans designated as non-performing and put on cost recovery status were determined to have a combined $4.1 million specific allowance for credit losses.

During the year ended December 31, 2023, no specific allowance for credit losses were recorded on the two non-performing loans, all of which were senior mortgage notes secured by multifamily properties.

During the year ended December 31, 2024, three loans designated as non-performing and put on cost recovery status were determined to have a combined $31.2 million specific allowance for credit losses.

As of December 31, 2025 and 2024, our commercial mortgage loans, held for investment, excluding commercial mortgage loans on non-performing status, had a weighted average coupon of 7.1% and 8.0%, respectively, and a weighted average remaining life of 1.1 years and 1.1 years, respectively.

As of December 31, 2025, the Company had a total servicing portfolio consisting of 1,596 loans with an unpaid principal balance of $47.8 billion.

As of December 31, 2025, the Company owned MSRs of $212.2 million, which consisted of 1,042 loans with an unpaid principal balance of $21.6 billion.

The following charts summarize our commercial mortgage loans, held for investment, by coupon rate type, collateral type geographical region and state as of December 31, 2025 and 2024:

An investments region classification is defined according to the below map based on the location of investments secured property.

The following charts show the par value by contractual maturity year for the investments in our portfolio as of December 31, 2024 and 2023:

The following charts show the par value by contractual maturity year for the commercial mortgage loans, held for investment in our portfolio as of December 31, 2025 and 2024:

The following table shows selected data from our commercial mortgage loans, held for investment in our portfolio as of December 31, 2025 (dollars in thousands):

3 unchanged sentences

Interest Rate

Senior Debt 1 2 Hospitality Louisiana 21,477 21,477 6/28/2018 9/9/2025 1M SOFR Term + 4.25% 8.58% 68.8%

Senior Debt 2 2 Hospitality Michigan 12,816 12,816 9/17/2019 10/9/2025 1M SOFR Term + 4.41% 8.74% 56.4%

Senior Debt 3 2 Hospitality New York 4,805 4,805 7/9/2019 7/9/2025 1M SOFR Term + 5.25% 9.58% 47.7%

Senior Debt 4 2 Office Arizona 13,766 13,766 11/22/2019 6/9/2025 1M SOFR Term + 4.00% 8.33% 70.9%

Senior Debt 1 5 Office Georgia 22,944 21,095 12/17/2019 1/9/2026 1M SOFR Term + 2.25% 5.94% 64.9%

Senior Debt 6 2 Manufactured Housing Arkansas 1,270 1,270 4/22/2020 5/9/2025 5.50% 5.50% 62.8%

Senior Debt 2 3 Office Texas 14,756 14,756 10/6/2020 10/9/2027 Adj.

1M SOFR Term + 4.50% 8.30% 47.9%

Senior Debt 8 2 Office Massachusetts 60,917 60,861 10/8/2020 10/9/2025 5.15% 5.15% 52.5%

Senior Debt 9 3 Office Michigan 25,559 25,559 10/14/2020 4/9/2026 1M SOFR Term + 2.81% 8.13% 66.0%

Senior Debt 10 2 Multifamily Texas 11,412 11,412 1/22/2021 2/9/2026 Adj.

1M SOFR Term + 4.55% 9.00% 73.0%

Senior Debt 11 5 Office Colorado 44,913 43,650 3/1/2021 3/9/2026 5.50% 5.50% 53.9%

Senior Debt 12 2 Multifamily Texas 34,190 34,190 3/5/2021 3/9/2025 1M SOFR Term + 4.10% 8.43% 78.2%

Senior Debt 3 2 Office Michigan 20,559 20,559 10/14/2020 1/9/2027 7.13% 7.13% 66.0%

Senior Debt 4 4 Multifamily Texas 33,871 33,871 3/5/2021 3/9/2026 1M SOFR Term + 4.10% 7.79% 78.2%

Senior Debt 14 2 Multifamily Texas 14,436 14,436 3/15/2021 1/9/2025 Adj.

1M SOFR Term + 3.39% 7.84% 70.6%

Senior Debt 15 3 Multifamily Texas 19,519 19,519 3/25/2021 1/9/2025 Adj.

1M SOFR Term + 3.60% 8.05% 70.8%

Senior Debt 16 2 Multifamily Texas 43,246 43,241 4/1/2021 4/9/2026 Adj.

1M SOFR Term + 2.95% 7.40% 71.6%

Senior Debt 17 2 Hospitality Louisiana 25,700 25,700 4/15/2021 5/9/2026 Adj.

1M SOFR Term + 5.60% 10.05% 61.0%

Senior Debt 5 2 Mixed Use Washington 32,500 32,500 6/30/2021 1/9/2026 Adj.

1M SOFR Term + 3.70% 7.50% 69.7%

Senior Debt 19 3 Multifamily Texas 74,858 74,843 3/31/2021 4/9/2026 Adj.

1M SOFR Term + 2.95% 7.40% 72.6%

Senior Debt 20 3 Multifamily Texas 20,450 20,450 4/22/2021 5/9/2026 Adj.

1M SOFR Term + 3.35% 7.80% 67.7%

Senior Debt 6 4 Multifamily Texas 73,922 73,919 3/31/2021 4/9/2026 1M SOFR Term + 2.20% 5.89% 72.6%

Senior Debt 7 3 Multifamily Texas 20,100 20,100 4/22/2021 5/9/2026 Adj.

1M SOFR Term + 3.35% 7.15% 67.7%

Senior Debt 22 3 Multifamily North Carolina 35,116 35,095 7/22/2021 3/9/2027 Adj.

1M SOFR Term + 5.00% 9.45% —%

Senior Debt 8 3 Multifamily Texas 35,466 35,465 4/1/2021 4/9/2026 Adj.

2 unchanged sentences

1M SOFR Term + 3.64% 7.44% 66.0%

Senior Debt 25 2 Multifamily South Carolina 67,500 67,500 9/20/2021 10/9/2026 Adj.

1M SOFR Term + 3.25% 7.70% 77.1%

Senior Debt 10 3 Multifamily Georgia 9,388 9,388 9/22/2021 10/9/2026 Adj.

2 unchanged sentences

1M SOFR Term + 3.20% 7.00% 77.3%

Senior Debt 28 2 Hospitality Texas 17,122 17,122 9/30/2021 10/9/2026 Adj.

1M SOFR Term + 5.25% 9.70% 61.0%

Senior Debt 12 2 Multifamily Texas 55,313 55,313 11/23/2021 8/9/2026 Adj.

4 unchanged sentences

1M SOFR Term + 3.00% 6.80% 74.8%

Senior Debt 32 2 Multifamily South Carolina 61,100 61,100 11/10/2021 11/9/2026 Adj.

1M SOFR Term + 3.35% 7.80% 78.0%

Senior Debt 33 2 Multifamily Texas 47,394 47,334 11/9/2021 11/9/2026 Adj.

1M SOFR Term + 2.75% 7.20% 68.1%

Senior Debt 34 2 Multifamily Texas 58,680 58,680 12/10/2021 1/9/2027 Adj.

1M SOFR Term + 3.45% 7.90% 74.8%

Senior Debt 15 2 Multifamily Kentucky 13,639 13,639 11/19/2021 6/9/2026 Adj.

1M SOFR Term + 2.75% 6.55% 62.4%

Senior Debt 36 3 Multifamily Texas 38,151 38,151 11/22/2021 1/9/2027 Adj.

1M SOFR Term + 3.00% 7.45% 73.3%

Senior Debt 37 3 Multifamily Texas 69,415 69,415 11/30/2021 1/9/2027 Adj.

1M SOFR Term + 2.88% 7.33% 74.8%

Senior Debt 38 5 Multifamily Texas 66,742 66,742 11/30/2021 1/9/2027 Adj.

1M SOFR Term + 2.88% 7.33% 75.5%

Senior Debt 39 2 Multifamily Texas 18,500 18,500 12/30/2021 1/9/2027 1M SOFR Term + 3.50% 7.83% 71.7%

Senior Debt 16 5 Multifamily Pennsylvania 21,961 21,715 12/16/2021 1/9/2027 1M SOFR Term + 2.96% 6.65% 79.4%

1 unchanged sentence

Senior Debt 18 2 Multifamily Florida 77,250 77,163 12/21/2021 1/9/2027 1M SOFR Term + 3.45% 7.14% 78.8%

Senior Debt 43 3 Multifamily North Carolina 81,247 81,245 12/15/2021 8/9/2026 1M SOFR Term + 2.00% 6.33% 76.1%

Senior Debt 44 2 Multifamily North Carolina 24,000 24,000 12/17/2021 1/9/2027 1M SOFR Term + 3.10% 7.43% 72.7%

Senior Debt 45 3 Multifamily Texas 37,605 37,605 5/12/2022 2/9/2027 1M SOFR Term + 3.55% 7.88% 66.2%

Senior Debt 46 2 Multifamily Georgia 23,855 23,855 1/28/2022 2/9/2027 1M SOFR Term + 2.95% 7.28% 65.6%

Senior Debt 19 3 Multifamily North Carolina 80,247 80,247 12/15/2021 3/9/2027 4.25% 4.25% 76.1%

Senior Debt 20 2 Multifamily North Carolina 23,250 23,250 12/17/2021 1/9/2027 1M SOFR Term + 3.10% 6.79% 72.7%

2 unchanged sentences

Senior Debt 23 2 Industrial Arizona 54,283 54,283 3/15/2022 3/9/2027 1M SOFR Term + 3.50% 7.19% 70.1%

Senior Debt 51 2 Multifamily Texas 39,571 39,571 3/14/2022 3/9/2027 1M SOFR Term + 3.10% 7.43% 74.1%

Senior Debt 24 2 Multifamily Texas 37,071 37,071 3/14/2022 3/9/2028 7.00% 7.00% 74.1%

Senior Debt 25 4 Multifamily Arizona 34,859 34,859 3/2/2022 3/9/2027 1M SOFR Term + 2.95% 6.64% 63.1%

Type State Par

Value Amortized

Cost Origination

Interest Rate

Senior Debt 26 2 Multifamily North Carolina 31,327 31,327 2/24/2022 3/9/2026 1M SOFR Term + 3.15% 6.84% 69.6%

Senior Debt 27 2 Multifamily North Carolina 31,300 31,300 3/29/2022 4/9/2027 1M SOFR Term + 3.30% 6.99% 76.9%

Senior Debt 55 2 Hospitality Colorado 41,000 40,913 5/20/2022 6/9/2027 1M SOFR Term + 7.05% 11.38% —%

Senior Debt 56 2 Multifamily Texas 49,088 48,895 7/20/2022 4/9/2027 1M SOFR Term + 6.75% 11.08% —%

Senior Debt 28 2 Hospitality Georgia 49,592 49,592 3/30/2022 4/9/2027 1M SOFR Term + 4.90% 8.59% 61.1%

Senior Debt 58 2 Hospitality New York 15,750 15,718 11/8/2022 11/9/2027 1M SOFR Term + 5.34% 9.67% 57.7%

Senior Debt 29 3 Multifamily Nevada 35,880 35,880 6/3/2022 11/9/2027 1M SOFR Term + 3.15% 6.84% 62.4%

2 unchanged sentences

Senior Debt 32 3 Multifamily North Carolina 57,159 57,159 8/23/2022 1/9/2026 1M SOFR Term + 6.70% 10.39% 46.5%

Senior Debt 63 2 Multifamily Texas 12,841 12,841 5/2/2022 5/9/2027 1M SOFR Term + 3.55% 7.88% 67.7%

Senior Debt 33 2 Industrial Florida 18,724 18,724 9/13/2022 9/9/2027 1M SOFR Term + 4.90% 8.59% 64.6%

Senior Debt 34 4 Multifamily Texas 16,839 16,839 5/26/2022 6/9/2027 1M SOFR Term + 3.65% 7.34% 73.9%

Senior Debt 66 3 Multifamily Texas 16,967 16,967 5/26/2022 6/9/2028 1M SOFR Term + 3.65% 7.98% 73.9%

Senior Debt 35 5 Multifamily North Carolina 44,483 44,483 6/1/2022 6/9/2027 1M SOFR Term + 2.75% 6.44% 75.9%

1 unchanged sentence

Senior Debt 37 3 Hospitality District of Columbia 38,434 38,434 8/2/2022 8/9/2027 1M SOFR Term + 5.00% 8.69% 71.2%

Senior Debt 70 2 Multifamily Pennsylvania 27,865 27,683 2/17/2023 9/9/2026 1M SOFR Term + 6.31% 10.64% —%

Senior Debt 71 2 Hospitality Alabama 18,219 18,219 9/20/2022 10/9/2027 1M SOFR Term + 5.75% 10.08% 62.1%

Senior Debt 72 2 Hospitality Texas 31,600 31,600 1/31/2023 11/9/2027 1M SOFR Term + 7.50% 11.83% 6.2%

Senior Debt 38 2 Multifamily North Carolina 50,551 50,551 12/29/2022 1/9/2029 1M SOFR Term + 4.20% 7.89% 70.1%

Senior Debt 39 2 Multifamily South Carolina 50,300 50,300 12/2/2022 12/9/2028 1M SOFR Term + 3.75% 7.44% 64.6%

Senior Debt 75 2 Multifamily South Carolina 14,635 14,633 12/16/2022 1/9/2027 1M SOFR Term + 4.25% 8.58% 68.1%

Senior Debt 76 3 Multifamily Arizona 55,500 55,468 4/10/2023 4/9/2026 1M SOFR Term + 3.85% 8.18% 44.7%

Senior Debt 40 2 Hospitality Various 94,047 93,928 2/9/2023 5/9/2028 1M SOFR Term + 4.00% 8.00% 53.6%

4 unchanged sentences

Senior Debt 45 3 Multifamily Texas 78,996 78,996 8/1/2023 8/9/2028 1M SOFR Term + 3.20% 6.89% 58.7%

Senior Debt 83 2 Hospitality Florida 24,384 24,294 8/10/2023 8/9/2028 1M SOFR Term + 5.45% 9.78% 72.8%

Senior Debt 46 3 Hospitality Georgia 18,086 18,058 8/17/2023 9/9/2028 1M SOFR Term + 4.85% 8.54% 53.5%

5 unchanged sentences

Senior Debt 52 2 Multifamily Texas 21,400 21,400 12/6/2023 12/9/2026 1M SOFR Term + 3.75% 8.50% 63.6%

Senior Debt 91 2 Hospitality Tennessee 41,194 41,045 11/14/2023 12/9/2028 1M SOFR Term + 3.65% 7.98% 50.0%

Type State Par

Value Amortized

Cost Origination

Interest Rate

Senior Debt 53 2 Multifamily Texas 35,880 35,880 2/14/2024 2/9/2026 9.00% 9.00% 84.4%

2 unchanged sentences

Senior Debt 56 2 Industrial California 36,926 36,840 3/19/2024 10/6/2026 11.99% 11.99% 8.6%

Senior Debt 96 (8)

2 Multifamily Florida — — 2/12/2024 8/9/2028 1M SOFR Term + 5.50% —% —%

Senior Debt 57 2 Multifamily Florida 24,312 24,122 2/12/2024 8/9/2028 1M SOFR Term + 5.50% 9.50% —%

Senior Debt 58 2 Multifamily Florida 50,750 50,735 2/9/2024 8/9/2026 1M SOFR Term + 3.75% 7.50% 56.7%

Senior Debt 59 3 Multifamily Texas 79,515 79,465 2/16/2024 3/9/2029 1M SOFR Term + 3.65% 7.34% 53.3%

Senior Debt 99 2 Industrial Various 111,953 111,542 4/5/2024 4/9/2028 1M SOFR Term + 3.15% 7.48% 63.8%

Senior Debt 60 2 Multifamily Florida 67,000 66,967 2/29/2024 3/9/2029 1M SOFR Term + 3.25% 7.25% 58.7%

6 unchanged sentences

Senior Debt 67 2 Multifamily Connecticut 116,500 116,269 5/10/2024 5/9/2029 1M SOFR Term + 2.50% 6.19% 50.7%

Type State Par

Value Amortized

Cost Origination

Interest Rate

Senior Debt 68 3 Hospitality Florida 49,950 49,823 5/9/2024 6/9/2029 1M SOFR Term + 4.50% 8.19% 62.8%

2 unchanged sentences

Senior Debt 71 2 Multifamily Texas 23,980 23,903 6/7/2024 6/9/2029 1M SOFR Term + 2.85% 6.54% 64.5%

Senior Debt 112 2 Multifamily Texas 21,874 21,770 5/30/2024 6/9/2029 1M SOFR Term + 3.25% 7.58% 68.8%

Senior Debt 72 2 Multifamily Indiana 17,781 17,757 6/28/2024 7/9/2028 1M SOFR Term + 3.05% 6.74% 68.2%

Senior Debt 73 2 Retail Wisconsin 1,986 1,988 6/20/2024 7/9/2026 5.50% 5.50% 73.0%

Senior Debt 115 2 Multifamily Texas 7,500 7,481 6/25/2024 7/9/2027 1M SOFR Term + 3.80% 8.13% 80.0%

Senior Debt 74 2 Hospitality Oregon 9,902 9,885 6/28/2024 7/9/2028 1M SOFR Term + 3.95% 7.64% 53.1%

Senior Debt 75 2 Multifamily New Jersey 3,493 3,226 7/1/2024 7/9/2029 1M SOFR Term + 5.50% 9.55% 10.3%

Senior Debt 118 2 Retail Various 43,627 43,747 7/1/2024 8/9/2025 6.00% 6.00% 67.3%

Senior Debt 76 2 Multifamily North Carolina 26,145 26,049 6/28/2024 7/9/2029 1M SOFR Term + 3.75% 7.75% 69.3%

Senior Debt 120 2 Industrial California 13,240 13,176 7/11/2024 7/9/2029 1M SOFR Term + 4.25% 8.58% 61.9%

Senior Debt 77 3 Hospitality Texas 17,000 17,026 7/25/2024 8/9/2027 8.50% 8.50% 90.0%

16 unchanged sentences

Senior Debt 94 2 Multifamily North Carolina 18,100 18,049 11/25/2024 12/9/2028 5.50% 5.50% 70.6%

Senior Debt 139 2 Mixed Use New York 58,685 58,412 12/4/2024 12/9/2025 1M SOFR Term + 5.35% 9.68% 53.3%

Senior Debt 95 2 Industrial Tennessee 13,441 13,404 12/6/2024 12/9/2027 1M SOFR Term + 3.50% 7.19% 59.7%

3 unchanged sentences

Senior Debt 99 2 Multifamily North Carolina 17,263 17,181 12/30/2024 1/9/2030 1M SOFR Term + 3.25% 7.00% 69.5%

Senior Debt 145 3 Hospitality Illinois 16,378 16,378 12/4/2017 5/6/2026 5.99% 5.99% 52.9%

Mezzanine Loan 1 2 Hospitality New York 1,350 1,348 11/8/2022 11/9/2027 1M SOFR Term + 9.25% 13.58% 64.6%

Mezzanine Loan 2 2 Hospitality Texas 7,900 7,900 1/31/2023 11/9/2027 1M SOFR Term + 10.00% 14.33% 6.2%

Senior Debt 100 2 Multifamily Tennessee 19,355 19,300 2/13/2025 2/9/2029 1M SOFR Term + 2.90% 6.59% 69.6%

Senior Debt 101 2 Multifamily Texas 22,180 22,118 1/16/2025 2/9/2029 1M SOFR Term + 3.25% 6.94% 57.7%

Senior Debt 102 2 Multifamily Texas 15,089 15,047 1/16/2025 2/9/2028 1M SOFR Term + 3.25% 6.94% 75.0%

Senior Debt 103 2 Multifamily Florida 14,200 13,888 1/15/2025 2/9/2030 1M SOFR Term + 4.00% 7.69% —%

Senior Debt 104 2 Multifamily Texas 60,000 59,832 1/24/2025 2/9/2029 1M SOFR Term + 2.50% 6.19% 86.7%

Senior Debt 105 2 Hospitality New York 49,620 49,614 1/10/2025 1/9/2029 1M SOFR Term + 3.41% 7.09% 48.4%

Senior Debt 106 2 Multifamily Oklahoma 20,782 20,833 6/27/2025 7/9/2029 1M SOFR Term + 3.75% 7.50% 69.1%

Senior Debt 107 2 Multifamily Texas 56,500 55,004 2/12/2025 2/9/2029 4.75% 4.75% 88.6%

Senior Debt 108 2 Multifamily Texas 32,000 31,423 3/31/2025 4/9/2028 5.25% 5.25% 76.7%

Type State Par

Value Amortized

Cost Origination

Interest Rate

Senior Debt 109 2 Multifamily Texas 6,371 6,065 3/26/2025 10/9/2029 1M SOFR Term + 6.00% 10.00% —%

Senior Debt 110 2 Multifamily North Carolina 6,279 6,243 5/30/2025 6/9/2030 1M SOFR Term + 3.25% 6.94% 69.1%

Senior Debt 111 2 Industrial Virginia 6,144 6,107 6/4/2025 6/9/2030 1M SOFR Term + 3.25% 6.94% 36.0%

Senior Debt 112 2 Multifamily Texas 19,250 19,326 6/20/2025 1/9/2028 6.65% 6.65% 75.5%

Senior Debt 113 2 Multifamily South Carolina 9,150 9,112 7/1/2025 7/9/2030 1M SOFR Term + 3.25% 6.94% 72.1%

Senior Debt 114 2 Multifamily Texas 12,000 12,051 8/1/2025 8/9/2028 6.75% 6.75% 80.5%

Senior Debt 115 2 Multifamily Florida 6,681 6,652 9/5/2025 9/9/2028 1M SOFR Term + 3.35% 7.04% 68.2%

Senior Debt 116 2 Multifamily Tennessee 3,043 2,015 8/18/2025 9/9/2030 1M SOFR Term + 6.25% 9.94% —%

Senior Debt 117 2 Mixed Use North Carolina 9,663 9,617 8/19/2025 9/9/2029 1M SOFR Term + 3.25% 6.94% 60.7%

Senior Debt 118 (8)

2 Multifamily Various — — 8/15/2025 2/9/2028 1M SOFR Term + 5.05% —% —%

Senior Debt 119 2 Multifamily Texas 6,848 6,811 8/21/2025 9/9/2030 1M SOFR Term + 2.75% 6.44% 68.6%

Senior Debt 120 2 Multifamily Florida 38,250 38,089 8/27/2025 9/9/2029 1M SOFR Term + 3.08% 6.77% 73.8%

Senior Debt 121 2 Multifamily Various 43,534 43,344 9/16/2025 10/9/2029 1M SOFR Term + 2.90% 6.59% 72.8%

Senior Debt 122 2 Multifamily Nevada 10,000 9,954 9/29/2025 10/9/2030 1M SOFR Term + 2.65% 6.34% 72.2%

Senior Debt 123 2 Multifamily New Jersey 7,850 7,793 9/30/2025 10/9/2029 1M SOFR Term + 5.05% 8.74% 69.3%

Senior Debt 124 2 Industrial Georgia 10,124 10,039 10/29/2025 11/9/2030 1M SOFR Term + 4.00% 7.69% 56.1%

Senior Debt 125 2 Multifamily New York 6,191 6,162 11/14/2025 11/9/2030 1M SOFR Term + 2.72% 6.41% 56.5%

Senior Debt 126 2 Multifamily North Carolina 17,770 17,654 11/7/2025 11/9/2030 1M SOFR Term + 2.25% 5.94% 73.7%

Senior Debt 127 2 Multifamily Ohio 10,000 9,954 10/22/2025 11/9/2028 1M SOFR Term + 2.52% 6.21% 66.2%

Senior Debt 128 2 Multifamily Ohio 6,110 6,082 10/22/2025 11/9/2028 1M SOFR Term + 2.50% 6.19% 66.0%

Senior Debt 129 2 Multifamily Georgia 25,750 25,692 10/29/2025 11/9/2030 1M SOFR Term + 2.50% 6.19% 72.9%

Senior Debt 130 2 Multifamily Various 61,500 61,364 10/28/2025 11/9/2030 1M SOFR Term + 2.30% 5.99% 72.1%

Senior Debt 131 2 Multifamily Texas 8,513 8,472 11/12/2025 11/9/2030 1M SOFR Term + 2.73% 6.42% 63.6%

Senior Debt 132 2 Multifamily Texas 7,388 7,354 10/31/2025 11/9/2030 1M SOFR Term + 2.55% 6.24% 65.8%

Senior Debt 133 2 Senior Housing New York 8,628 8,572 11/7/2025 12/9/2029 1M SOFR Term + 4.25% 7.94% 69.0%

Senior Debt 134 2 Multifamily Texas 11,000 11,051 11/13/2025 11/9/2028 6.75% 6.75% 90.9%

Senior Debt 135 2 Multifamily Colorado 7,754 7,716 12/3/2025 12/9/2030 1M SOFR Term + 2.60% 6.29% 61.2%

Senior Debt 136 2 Multifamily Texas 11,370 11,315 11/14/2025 12/9/2030 1M SOFR Term + 2.47% 6.16% 56.6%

Senior Debt 137 2 Multifamily Texas 11,432 11,376 11/21/2025 12/9/2028 1M SOFR Term + 3.75% 7.44% 81.2%

Senior Debt 138 2 Multifamily New York 45,256 45,036 12/1/2025 12/9/2030 1M SOFR Term + 2.00% 5.69% 57.5%

Senior Debt 139 2 Multifamily Florida 8,400 8,358 12/3/2025 12/9/2030 1M SOFR Term + 3.25% 6.94% 65.1%

Senior Debt 140 2 Multifamily New York 7,500 7,464 11/21/2025 12/9/2029 1M SOFR Term + 2.95% 6.64% 70.1%

Senior Debt 141 2 Multifamily Colorado 35,674 35,503 11/25/2025 12/9/2030 1M SOFR Term + 2.30% 5.99% 67.7%

Senior Debt 142 2 Multifamily Florida 18,000 17,912 11/20/2025 12/9/2030 1M SOFR Term + 2.50% 6.19% 70.4%

Senior Debt 143 2 Industrial Florida 5,890 5,844 12/29/2025 1/9/2031 1M SOFR Term + 3.15% 6.84% 62.8%

Senior Debt 144 2 Multifamily Georgia 18,000 17,912 11/21/2025 12/9/2028 1M SOFR Term + 2.25% 5.94% 72.7%

Senior Debt 145 2 Multifamily North Carolina 6,381 6,337 12/30/2025 1/9/2031 1M SOFR Term + 4.00% 7.69% 74.6%

Senior Debt 146 2 Multifamily Texas 6,439 6,398 11/20/2025 12/9/2030 1M SOFR Term + 2.85% 6.54% 56.1%

Senior Debt 147 2 Multifamily Nevada 23,394 23,282 11/25/2025 12/9/2030 1M SOFR Term + 2.85% 6.54% 76.2%

Senior Debt 148 2 Industrial Illinois 6,990 6,948 12/8/2025 12/9/2030 1M SOFR Term + 2.80% 6.49% 45.5%

Senior Debt 149 2 Healthcare Various 20,872 20,770 12/1/2025 12/9/2029 1M SOFR Term + 3.75% 7.44% 76.1%

2 Multifamily Nevada 15,588 15,511 12/16/2025 1/9/2031 1M SOFR Term + 2.90% 6.59% 70.7%

Senior Debt 151 2 Industrial California 5,936 5,890 12/19/2025 1/9/2030 1M SOFR Term + 3.55% 7.24% 50.1%

Senior Debt 152 2 Industrial Texas 9,014 8,944 12/19/2025 1/9/2031 1M SOFR Term + 3.00% 6.69% 56.2%

Senior Debt 153 2 Senior Housing New York 10,000 9,951 12/19/2025 1/9/2029 1M SOFR Term + 3.50% 7.19% 68.4%

Senior Debt 154 2 Industrial Various 25,000 24,876 12/23/2025 1/9/2031 1M SOFR Term + 2.93% 6.62% 60.8%

Senior Debt 155 2 Hospitality Florida 7,500 7,463 12/19/2025 1/9/2031 1M SOFR Term + 3.85% 7.54% 64.8%

Senior Debt 156 2 Industrial Texas 5,112 5,063 12/16/2025 1/9/2031 1M SOFR Term + 3.50% 7.19% 65.4%

Senior Debt 157 2 Healthcare Massachusetts 9,482 9,435 12/29/2025 1/9/2029 1M SOFR Term + 4.70% 8.39% 62.3%

Senior Debt 158 2 Multifamily North Carolina 6,424 6,381 12/30/2025 1/9/2031 1M SOFR Term + 3.45% 7.14% 71.3%

Mezzanine Loan 1 3 Multifamily District of Columbia 11,700 11,700 6/30/2023 7/9/2026 1M SOFR Term + 4.45% 8.14% 45.2%

Mezzanine Loan 2 2 Multifamily California 4,000 3,995 5/24/2024 6/9/2028 1M SOFR Term + 3.67% 7.36% 60.9%

Mezzanine Loan 5 (8)

2 Multifamily New Jersey — — 7/1/2024 7/9/2029 1M SOFR Term + 11.90% 16.23% 10.3%

Mezzanine Loan 6 2 Industrial California 2,180 2,171 7/11/2024 7/9/2029 15.00% 15.00% 72.1%

Mezzanine Loan 3 2 Multifamily New Jersey 9,264 9,132 7/1/2024 7/9/2029 1M SOFR Term + 11.90% 15.95% 10.3%

Mezzanine Loan 4 2 Multifamily New York 1,870 1,870 8/7/2024 8/9/2029 1M SOFR Term + 12.75% 16.75% 59.6%

Type State Par

Value Amortized

Cost Origination

Interest Rate

Mezzanine Loan 5 2 Multifamily New York 2,100 2,094 11/19/2024 12/9/2029 1M SOFR Term + 8.23% 11.92% 85.6%

Mezzanine Loan 9 2 Mixed Use New York 7,527 7,491 12/4/2024 12/9/2025 16.00% 16.00% 60.2%

Mezzanine Loan 6 2 Hospitality Texas 1,417 1,412 12/27/2024 1/9/2028 1M SOFR Term + 10.51% 14.20% 44.3%

Mezzanine Loan 7 2 Hospitality New York 6,202 6,202 1/10/2025 1/9/2029 1M SOFR Term + 11.00% 14.69% 4.3%

Mezzanine Loan 8 2 Multifamily Texas 1,230 1,169 3/26/2025 10/9/2029 1M SOFR Term + 15.25% 19.25% —%

Mezzanine Loan 9 2 Multifamily Tennessee 652 218 8/18/2025 9/9/2030 1M SOFR Term + 13.33% 17.02% —%

Mezzanine Loan 10 2 Multifamily New York 6,116 6,086 12/1/2025 12/9/2030 1M SOFR Term + 4.52% 8.21% 65.3%

Mezzanine Loan 11 2 Multifamily New York 688 685 11/14/2025 11/9/2030 1M SOFR Term + 7.02% 10.71% 62.8%

Total/Weighted Average $4,435,511 $4,421,436 7.13% 64.5%

_______________________

(1) For a discussion of risk ratings, see Note 3 - Commercial Mortgage Loans in our Consolidated Financial Statements included in this Form 10-K.

(1) For a discussion of risk ratings, see Note 4 - Commercial Mortgage Loans, Held for Investment in our Consolidated Financial Statements included in this Form 10-K.

(2) Date loan was originated or acquired by us.

14 unchanged sentences

The following table shows selected data from our commercial mortgage loans, held for sale, measured at fair value as of December 31, 2025 (dollars in thousands):

Loan Type Property Type State Par Value Interest Rate Effective Yield Loan to Value (1)

TRS Senior Debt 1 Mixed Use Maryland $ 70,000 6.99% 6.99% 55.8%

TRS Senior Debt 2 Multifamily Pennsylvania 5,000 7.58% 7.58% 43.9%

TRS Senior Debt 3 Multifamily Arizona 12,270 6.96% 6.96% 55.6%

Type Investment Type State Fair Value Interest Rate Effective Yield

TRS Conduit Debt 1 Non-Agency Pennsylvania $ 24,500 6.42% 6.42%

TRS Conduit Debt 2 Non-Agency New York 5,000 7.25% 7.25%

Fannie Mae (2)

Agency Loan Various 321,346 4.87% 4.87%

Ginnie Mae (2)

Agency Loan Various 9,872 5.65% 5.65%

Total/Weighted Average $ 360,718 5.03% 5.03%

1 unchanged sentence

(1) Loan to value percentage (LTV) represents the ratio of the loan amount to the appraised value of the property at the time of origination.

The following table shows selected data from our real estate owned, held for investment assets in our portfolio as of December 31, 2024 (dollars in thousands):

Type Acquisition Date Primary Location(s) Property Type Real Estate Owned, Net Intangible Lease Asset, Net Total

Real Estate Owned 1 September 2021 Jeffersonville, GA Industrial $ 83,142 $ — $ 83,142

Real Estate Owned 2 August 2023 Portland, OR Office 18,475 — 18,475

Real Estate Owned 3 October 2023 Lubbock, TX Multifamily 11,543 — 11,543

(2) Interest rates and effective yields represent weighted averages.

The following table shows selected data from our real estate owned assets in our portfolio as of December 31, 2025 (dollars in thousands):

Type Location Property Type Carrying Value Undepreciated / Unamortized Value Accounting Classification

Jeffersonville, GA Industrial $ 117,795 $ 139,816 Held for investment

REO 2 Portland, OR Office 18,424 18,544 Held for investment

REO 3 Roseboro, NC Retail 2,669 2,669 Held for sale

REO 4 Raleigh, NC Multifamily 79,282 79,282 Held for sale

REO 5 Cleveland, OH Multifamily 37,430 37,430 Held for sale

REO 6 Denver, CO Office 16,954 16,954 Held for sale

REO 7 Austin, TX Multifamily 34,968 34,968 Held for sale

REO 8 Fort Worth, TX Multifamily 27,580 27,580 Held for sale

Total $ 335,102 $ 357,243

The following table shows selected data from our real estate owned, held for sale assets in our portfolio as of December 31, 2024 (dollars in thousands):

Type Acquisition Date Primary Location(s) Property Type Assets, Net Liabilities, Net

Real Estate Owned, held for sale 1 Various Various Retail $ 14,472 $ 1,291

Real Estate Owned, held for sale 2 Various Various Multifamily 211,024 4,528

________________________

(1) Includes intangible lease assets

The following table shows selected data from our equity method investments, in our portfolio as of December 31, 2025 (dollars in thousands):

Type Investment Date Primary Location(s) Investment Type Investment Amount

Equity Method Investment 1 December 2024 West New York, NJ

Mixed Use Property $ 13,543

Equity Method Investment 2 May 2025 Commerce, CA Industrial Property 8,592

Equity Method Investment 3 July 2025 N/A Multifamily Bridge Lending 24,220

Equity Method Investment 4 July 2025 N/A Multifamily Affordable Debt

Lending 25,327

Total $ 71,682

1 unchanged sentence

Type Interest Rate Maturity Par Value Fair Value Effective Yield

CMBS bond 1 1 month SOFR + 2.78% 8/19/2035 $ 20,000 $ 20,021 7.12%

CMBS bond 2 1 month SOFR + 2.90% 10/19/2039 24,556 24,587 7.23%

CMBS bond 3 1 month SOFR + 3.20% 5/25/2038 43,333 43,388 7.53%

CMBS bond 4 1 month SOFR + 2.36% 4/16/2028 39,061 39,116 6.70%

CMBS bond 5 1 month SOFR + 2.27% 9/19/2038 9,663 9,685 6.61%

CMBS bond 6 1 month SOFR + 3.11% 9/19/2038 12,000 12,047 7.44%

CMBS bond 7 1 month SOFR + 1.36% 11/15/2036 15,887 15,648 5.70%

CMBS bond 8 1 month SOFR + 1.64% 4/15/2029 5,000 4,989 5.97%

CMBS bond 9 1 month SOFR + 2.99% 8/15/2039 3,800 3,812 7.32%

CMBS bond 10 1 month SOFR + 2.84% 8/15/2029 7,396 7,408 7.17%

CMBS bond 11 1 month SOFR + 2.94% 1/15/2030 22,309 22,272 7.27%

CMBS 1 1 month SOFR + 1.74% 6/15/2030 $ 5,190 $ 5,181 5.43%

CMBS 2 1 month SOFR + 2.94% 6/15/2030 17,490 17,588 6.63%

CMBS 3 1 month SOFR + 2.95% 10/15/2030 10,000 10,005 6.64%

CMBS 4 1 month SOFR + 2.14% 11/15/2030 5,775 5,801 5.83%

CMBS 5 1 month SOFR + 2.64% 11/15/2030 9,265 9,253 6.33%

CMBS 6 1 month SOFR + 2.35% 7/21/2043 30,659 30,685 6.04%

CMBS 7 1 month SOFR + 2.75% 7/21/2043 15,000 15,013 6.44%

CMBS 8 1 month SOFR + 2.94% 1/15/2030 22,309 22,361 6.63%

CMBS 9 1 month SOFR + 3.95% 6/15/2030 21,304 21,381 7.64%

CMBS 10 1 month SOFR + 3.00% 6/15/2030 14,370 14,394 6.69%

Total/Weighted Average $ 151,362 $ 151,662 6.55%

44 unchanged sentences

2023-FL10 Issuer $ 553.2 Ended

2022-FL8 Issuer $ 796.9 Ended

2022-FL9 Issuer $ 519.5 Ended

2024-FL11 Issuer $ 886.2 10/08/27

17 unchanged sentences

Repurchase Agreements, Real Estate Securities 194,769 243,646 241,266 236,608 217,012 249,442 259,977 264,514

Repurchase Agreements, Real Estate Securities held as trading 121,000 113,000 — — 149,387 117,159 57,242 —

Total $ 607,325 $ 1,006,083 $ 425,027 $ 566,419 $ 599,325 $ 921,003 $ 1,059,838 $ 502,402

20 unchanged sentences

In December 2025, the Company's board of directors declared the following:

(i) a fourth quarter 2024 dividend of $0.355 per share on the Company's common stock (equivalent to $1.42 per annum), (ii) a fourth quarter 2024 dividend of $106.22 per share on the Company’s Series H Preferred Stock, and (iii) a fourth quarter 2024 dividend of $0.46875 per share on the Company’s Series E Preferred Stock, all of which were paid in January 2025 to holders of record as of December 31, 2024.

Under the Company's dividend reinvestment and direct stock purchase plan ("DRIP"), the Company may elect to supply shares for reinvestment via newly issued shares of common stock under the DRIP or via shares of common stock acquired by the DRIP administrator on the open market.

(i) a fourth quarter 2025 dividend of $0.355 per share on the Company's common stock (equivalent to $1.42 per annum), (ii) a fourth quarter 2025 dividend of $106.216 per share on the Company’s Series H Preferred Stock, and (iii) a fourth quarter 2025 dividend of $0.46875 per share on the Company’s Series E Preferred Stock and (iv) a fourth quarter 2025 dividend of $0.355 per unit on the OP Units, all of which were paid in January 2026 to holders of record as of December 31, 2025.

Under the ("DRIP"), the Company may elect to supply shares for reinvestment via newly issued shares of common stock under the DRIP or via shares of common stock acquired by the DRIP administrator on the open market.

For the year ended December 31, 2025, 0 and 160,137 shares of common stock were issued by the Company and purchased in the open market by the DRIP administrator and allocated to DRIP participants, respectively, under the dividend reinvestment component of DRIP.

During the year ended December 31, 2025 and 2024, the Company paid an aggregate of $118.6 million and $117.9 million, respectively, of common stock distributions.

In addition, during the year ended December 31, 2025, the Company's operating partnership paid $3.0 million of distributions to holders of OP Units.

There were no OP Units outstanding in 2024.

The following table sets forth changes in cash, cash equivalents and restricted cash for the years ended December 31, 2025 2024, and 2023, respectively

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Cash Flows from Operating Activities

During the year ended December 31, 2025, cash inflows of $291.9 million from operating activities were primarily driven by (i) net income of $84.1 million, (ii) net cash proceeds of $166.7 million related to originations, sales and repayment of commercial mortgage loans, held for sale, measured at fair value and (iii) certain non-cash expenses.

During the year ended December 31, 2024, cash inflows of $57.2 million from operating activities were primarily driven by (i) net income of $92.4 million and (ii) certain non-cash expenses, partially offset by net cash outlay of $74.1 million related to originations, sales and repayment of commercial mortgage loans, held for sale, measured at fair value.

During the year ended December 31, 2023, cash inflows of $197.4 million from operating activities were primarily driven by (i) net income of $144.5 million, (ii) net proceeds of $19.5 million related to originations, sales and repayment of commercial mortgage loans, held for sale, measured at fair and (iii) certain non-cash expenses.

Cash Flows from Investing Activities

During the year ended December 31, 2025 cash inflows of $380.8 million from investing activities were primarily driven by (i) proceeds from principal repayments of $1.5 billion received on commercial mortgage loans, held for investment, (ii) proceeds received from the sale or paydown of real estate securities, available for sale of $184.0 million, (iii) proceeds from the sale of real estate owned, held for sale assets of $60.9 million and (iv) proceeds from the sale of commercial mortgage loans, held for investment of $35.2 million.

Inflows were partially offset by (i) the origination and purchase of commercial mortgage loans, held for investment for $924.4 million, (ii) the purchase of real estate securities, available for sale for $132.3 million and (iii) the payment of the cash portion of the consideration in the acquisition of NewPoint, which was $297.3 million.

During the year ended December 31, 2024, cash outflows of $155.5 million from investing activities were primarily driven by (i) the origination and purchase of commercial mortgage loans, held for investment for $1.8 billion, (ii) the purchase of real estate securities, available for sale for $79.5 million and (iii) the purchase of equity method investment in real estate for $13.4 million.

Outflows were partially offset by (i) proceeds from principal repayments of $1.5 billion received on commercial mortgage loans, held for investment, (ii) proceeds received from the sale or paydown of real estate securities, available for sale of $120.0 million, (iii) proceeds from the sale of real estate owned, held for sale assets of $34.4 million and (iv) proceeds from the sale of commercial mortgage loans, held for investment of $33.4 million.

During the year ended December 31, 2023, cash inflows of $380.8 million from investing activities were primarily driven by (i) proceeds from principal repayments of $1.1 billion received on commercial mortgage loans, held for investment, (ii) proceeds from the sale or paydown of real estate securities, available for sale of $418.8 million, (iii) proceeds from the sale of real estate owned, held for sale assets of $39.8 million and (iv) $17.7 million received from principal collateral on mortgage investments.

Inflows were partially offset by (i) the origination and purchase of commercial mortgage loans, held for investment for $936.3 million and (ii) the purchase of real estate securities, available for sale for $223.8 million.

Outflows were partially offset by (i) proceeds from principal repayments of $1.5 billion received on commercial mortgage loans, held for investment, (ii) proceeds from the sale or paydown of real estate securities, available for sale of $120.0 million, (iii) proceeds from the sale of real estate owned, held for sale assets of $34.4 million and (iv) proceeds from the sale of commercial mortgage loans, held for investment of $33.4 million.

Cash Flows from Financing Activities

During the year ended December 31, 2025 cash outflows of $684.4 million from financing activities were primarily driven by (i) net repayments from borrowings on collateralized loan obligations of $900.2 million, (ii) $145.6 million of distributions paid to shareholders, (iii) $7.4 million of distributions paid to non-controlling interest, (iv) payments of deferred financing costs of $15.9 million, (v) net repayments on repurchase agreements for real estate securities of $49.2 million and (vi) $14.4 million of common stock repurchases.

Outflows were partially offset by (i) net borrowings on repurchase agreements and revolving credit facilities for commercial mortgage loans of $343.5 million and (ii) borrowings from new issuance of unsecured debt of $107.0 million.

During the year ended December 31, 2024, cash outflows of $48.6 million from financing activities were primarily driven by (i) repayments on our other financings of $23.7 million, (ii) $144.9 million of distributions paid to shareholders, (iii) $16.2 million of distributions paid to non-controlling interest, (iv) payments of deferred financing costs of $9.3 million and (v) $4.9 million of common stock repurchases.

Outflows were partially offset by (i) net borrowings on collateralized loan obligations of $59.1 million, (ii) net borrowings on repurchase agreements for real estate securities of $62.6 million and (iii) net borrowings on repurchase agreements and revolving credit facilities for commercial mortgage loans of $30.1 million.

During the year ended December 31, 2023, cash outflows of $425.0 million from financing activities were primarily driven by (i) net repayments on repurchase agreements for real estate securities of $266.0 million, (ii) net repayments on repurchase agreements and revolving credit facilities for commercial mortgage loans of $381.2 million, (iii) net repayments on our other financings of $39.8 million, (iv) $144.3 million of distributions paid to shareholders, (v) repayments on unsecured debt of $13.4 million, (vi) payments of deferred financing costs of $12.9 million and (vii) $12.5 million of common stock repurchases.

Outflows were partially offset by net borrowings on collateralized loan obligations of $448.1 million.

Election as a REIT

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Unsecured debt — 25,000 82,000 82,500 189,500

Other financing and loan participation - commercial mortgage loans — — 12,865 — 12,865

Other financings — 12,865 — — 12,865

Total $ 1,067,105 $ 683,095 $ 82,000 $ 2,839,427 $ 4,671,627

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During the term of the amended Advisory Agreement, the Advisor shall not, directly or indirectly, manage or advise another REIT that is engaged in the business of the Company in any geographical region in which the Company has a significant investment, or provide any services related to fixed-rate conduit lending to any other person, subject to certain conditions.

Loan Referral Agreement

Effective July 1, 2025, NewPoint shall refer prospective clients to the Advisor on a non-exclusive basis.

If any loan referred to the Advisor during the term of the agreement successfully closes, and the Advisor actually receives a fee in connection therewith, the Advisor shall pay NewPoint a referral fee (the “Referral Fee”) equal to 0.10% of the total amount of the loan.

The Advisor or NewPoint may terminate this arrangement at any time, without notice and without cause.

Off Balance Sheet Arrangements

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Distributable Earnings and Distributable Earnings to Common

Distributable Earnings is a non-GAAP measure, which the Company defines as GAAP net income (loss), adjusted for (i) non-cash CLO amortization acceleration and amortization over the expected useful life of the Company's CLOs, (ii) unrealized gains and losses on loans and derivatives, including CECL reserves and impairments, net of realized gains and losses, as described further below, (iii) non-cash equity compensation expense, (iv) depreciation and amortization, (v) subordinated performance fee accruals/(reversal), (vi) realized gains and losses on debt extinguishment and CLO calls, and (vii) certain other non-cash items.

Further, Distributable Earnings to Common, a non-GAAP measure, presents Distributable Earnings net of (i) perpetual preferred stock dividend payments and (ii) non-controlling interests in joint ventures.

Further, Distributable Earnings to Common, a non-GAAP measure, presents Distributable Earnings net of (x) perpetual preferred stock dividend payments and (y) non-controlling interests in joint ventures.

As noted above, we exclude unrealized gains and losses on loans and other investments, including CECL reserves and impairments, from our calculation of Distributable Earnings and include realized gains and losses.

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CLO amortization acceleration (1)

— (5,521) (438)

Unrealized (gain)/loss on financial instruments (2)

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Non-cash compensation expense 13,070 8,173 4,762

Depreciation and amortization 5,630 7,128 5,408

Depreciation and amortization, net 9,570 5,630 7,128

Subordinated performance fee (3)

(1,080) (7,551) 6,171

Transaction-related and non-recurring items (4)

Realized (gain)/loss on debt extinguishment / CLO call 7,660 — (2,201)

Realized gain/(loss) adjustment on loans and REO (4)

(40,605) (1,571) —

Loan workout charges/(loan workout recoveries) (5)

Income from mortgage servicing rights (28,570) — —

Amortization and write-offs of MSRs 25,625 — —

Deferred tax adjustment 3,030 — —

Fair value adjustments on equity investments (1,707) — —

Distributable Earnings before Realized Loss $ 113,095 $ 141,287 $ 191,081

Realized gain / (loss) on debt extinguishment (7,660) — —

Realized gain/(loss) adjustment on loans and REO (6)

(38,114) (40,605) (1,571)

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$ 0.49 $ 0.92 $ 1.92

Distributable earnings per share before realized loss, fully converted (6)

$ 0.99 $ 1.38 $ 1.93

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(1) Before Q1 2024, we adjusted GAAP income for non-cash CLO amortization acceleration to effectively amortize the issuance costs of our CLOs over the expected lifetime of the CLOs.

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In addition, reversal of subordinated performance fee represents cash payment obligations during the period.

(4) Represents transaction-related and non-recurring costs associated with the acquisition of NewPoint.

(5) Represents loan workout charges the Company incurred, which the Company deemed likely to be recovered.

Reversal of loan workout charges represent recoveries received.

During the second quarter of 2023, the Company recovered $5.1 million of loan workout charges, in aggregate, related to the loan workout charges incurred in 2022.

(6) Represents amounts deemed nonrecoverable upon a realization event, which is generally at the time a loan is repaid, or in the case of a foreclosure or other property, when the underlying asset is sold.

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As of December 31, 2025, the Company has $8.1 million of GAAP loss adjustments that would run through distributable earnings if and when cash losses are realized.

(5) Represents loan workout charges the Company incurred, which the Company deemed likely to be recovered.

Reversal of loan workout charges represent recoveries received.

During the second quarter of 2023, the Company recovered $5.1 million of loan workout charges, in aggregate, related to the loan workout charges incurred in 2022.

(7) Represents the average of all classes of equity except the Series E Preferred Stock.

(7) Fully Converted assumes conversion of our series of convertible preferred stock and full vesting of our outstanding equity compensation awards.

(8) Fully Converted assumes conversion of our series of convertible preferred stock and OP Units along with full vesting of our outstanding equity compensation awards.

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-K

Item 7. Management’s Discussion and Analysis