
	December 31, 2025
(dollars in thousands)	Senior Loans(1)			B-Notes(2)			Total
Unpaid principal balance	$	1,677,017		$	12,950		$	1,689,967

Unamortized net deferred origination fees	(6,323)			—			(6,323)
Allowance for credit losses	(145,891)			(21)			(145,912)
Carrying value	$	1,524,803		$	12,929		$	1,537,732
Unfunded commitments	$	77,399		$	—		$	77,399
Number of loans	42			1			43
Weighted average coupon(3)	6.2		%	8.0		%	6.2		%
Weighted average years to maturity(4)	0.5			1.1			0.5

(4)Based on contractual maturity date, including maturity defaulted loans with no remaining term. Certain loans are subject to contractual extension options with such conditions stipulated in the applicable loan documents. Actual maturities may differ from contractual maturities stated herein as certain borrowers may have the right to prepay with or without paying a prepayment fee. The Company may also extend contractual maturities in connection with certain loan modifications.


(dollars in thousands)	March 31, 2026				December 31, 2025
Property Type	Carrying Value		% of Loan Portfolio		Carrying Value		% of Loan Portfolio
Office	$	677,307	49.7	%	$	670,061	43.6	%
Multifamily	379,432		27.8	%	480,737		31.3	%
Hotel	90,222		6.6	%	106,208		6.9	%
Retail	60,865		4.5	%	126,757		8.2	%
Industrial	113,869		8.4	%	113,791		7.4	%
Other	41,104		3.0	%	40,178		2.6	%
Total	$	1,362,799	100.0	%	$	1,537,732	100.0	%


(dollars in thousands)	March 31, 2026				December 31, 2025
Geographic Location	Carrying Value		% of Loan Portfolio		Carrying Value		% of Loan Portfolio
Northeast	$	385,065	28.3	%	$	384,371	25.0	%
Southwest	334,966		24.6	%	330,382		21.5	%
West	155,870		11.4	%	233,741		15.2	%
Midwest	154,816		11.4	%	259,115		16.9	%
Southeast	332,082		24.3	%	330,123		21.4	%

Total	$	1,362,799	100.0	%	$	1,537,732	100.0	%


	Three Months Ended March 31, 2026
(in thousands)	Amortized Cost		Allowance for Credit Losses		Carrying Value
Balance at beginning of period	$	1,683,644	$	(145,912)	$	1,537,732
Originations, additional fundings, upsizing of loans and capitalized deferred interest(1)	14,279		—		14,279

Repayments	(176,481)		—		(176,481)
Transfers to loans held-for-sale, net of discount at time of transfer	(12,873)		—		(12,873)




(Decrease) increase from net deferred fees	(128)		—		(128)
Amortization of net deferred fees	1,656		—		1,656


Benefit from (provision for) credit losses	—		(1,086)		(1,086)

Recoveries of previous write-offs	—		(300)		(300)
Balance at end of period	$	1,510,097	$	(147,298)	$	1,362,799


	Three Months Ended March 31, 2025
(in thousands)	Amortized Cost		Allowance for Credit Losses		Carrying Value
Balance at beginning of period	$	2,097,375	$	(199,727)	$	1,897,648
Originations, additional fundings, upsizing of loans and capitalized deferred interest	10,475		—		10,475

Repayments	(83,781)		—		(83,781)


Transfers to real estate owned(2)	(63,353)		—		(63,353)

(Decrease) increase from net deferred fees	(329)		—		(329)
Amortization of net deferred fees	1,910		—		1,910


Provision for credit losses	—		(2,193)		(2,193)
Write-offs	(24,638)		24,638		—

Balance at end of period	$	1,937,659	$	(177,282)	$	1,760,377

______________________


	Loans Held-for-Investment						Unfunded Loan Commitments(1)
	Specific Reserve		General Reserve		Total Specific and General Reserve		Total General Reserve		Total Allowance for Credit Losses







Three Months Ended March 31, 2026
Balance at beginning of period	$	104,466	$	41,446	$	145,912	$	2,517	$	148,429
Provision for (benefit from) credit losses	14,869		(13,783)		1,086		(1,302)		(216)

Recoveries of previous write-offs	300		—		300		—		300
Balance at end of period	$	119,635	$	27,663	$	147,298	$	1,215	$	148,513








Three Months Ended March 31, 2025
Balance at beginning of period	$	154,687	$	45,040	$	199,727	$	1,303	$	201,030
Provision for (benefit from) credit losses	4,204		(2,011)		2,193		1,577		3,770
Write-off	(24,638)		—		(24,638)		—		(24,638)

Balance at end of period	$	134,253	$	43,029	$	177,282	$	2,880	$	180,162

______________________

During the three months ended March 31, 2026, the Company recorded a net increase of $0.1 million in its total allowance for credit losses on its loan portfolio primarily due to a provision for credit losses on three loans that were individually assessed for the first time, largely offset by a benefit from credit losses in the general reserve due to improving macroeconomic forecasts.

As of March 31, 2026, the Company had seven collateral-dependent loans with an aggregate principal balance of $333.6 million, for which the Company recorded an allowance for credit losses of $119.6 million. The performance of the collateral properties securing these loans, which include two office buildings, one retail property, two hotel properties and two multifamily properties, has been impacted by an uncertain commercial real estate market and macroeconomic outlook, which includes weakening in credit fundamentals, capital markets volatility and significantly reduced real estate transaction activity, and a higher cost of capital driven by elevated interest rates. These macroeconomic and market factors have resulted in the slowing of business plan execution and reduced market liquidity, thereby impacting the borrowers’ ability to either sell or refinance their properties to repay the Company’s loans. See Note 8 - Fair Value, for further detail on the fair value measurement of these loans.

As of March 31, 2026, the Company had seven senior loans, and four other investments classified as loans held-for-investment, with a total unpaid principal balance of $344.0 million and amortized cost of $343.2 million that were held on nonaccrual status, compared to five senior loans with a total unpaid principal balance of $354.9 million and amortized cost of $354.7 million that were held on nonaccrual status as of March 31, 2025. All other loans were considered current with respect to principal and interest payments due as of March 31, 2026, and 2025.

As part of its asset and portfolio management strategy, the Company may amend or modify a loan depending on the loan’s specific facts and circumstances. These loan modifications typically include additional time for the borrower to refinance or sell the collateral property, adjustment or waiver of performance tests that are prerequisite to the extension of a loan’s maturity, and/

or deferral of scheduled principal payments. In exchange for a modification, the Company may receive a partial repayment of principal, a short-term accrual of capitalized interest for a portion of interest due, a cash infusion to replenish interest or capital improvement reserves, termination of all or a portion of the remaining unfunded loan commitment, additional call protection, and/or an increase in the loan coupon or fees, among other items.

During the three months ended March 31, 2026, the Company completed the modification of a senior loan secured by an office property located in New York, NY, and the related unsecured note and equity interest classified as loans held-for-investment. As of March 31, 2026 and December 31, 2025, the senior loan had a principal balance and amortized cost of $69.2 million and $69.1 million, respectively. The terms of the senior loan modification included, among other things, a 1-year extension of the fully-extended maturity date to December 9, 2026, with one 12-month option to extend to December 9, 2027. The modification of the unsecured note and equity interest included, among other things, (i) a 1-year extension of the fully-extended maturity date to December 9, 2026, with one 12-month option to extend to December 9, 2027, (ii) a $4.8 million upsizing of the total commitment of the unsecured note, and (iii) a $0.1 million investment in exchange for an additional equity interest of 5%. The unsecured note earns deferred interest, which carries an accrual rate of 11%. Due to the uncertainty of collection of any unsecured note interest, the Company is not accruing any income on the unsecured note. As of March 31, 2026, the senior loan, unsecured note and equity interest had an aggregate principal balance and amortized cost of $73.4 million. The senior loan was performing pursuant to its modified contractual terms and accruing interest income on the consolidated statements of income as of March 31, 2026.

During the three months ended December 31, 2025, the Company completed the modification of a senior loan secured by an office property located in Encino, CA. As of March 31, 2026, and December 31, 2025, the senior loan had a principal balance of $43.5 million and $43.4 million, respectively, and an amortized cost of $43.4 million and $43.2 million, respectively. The terms of the modification included, among other things; (i) a two-year extension of the fully extended maturity date to October 9, 2028; and (ii) a $3.8 million upsizing of the total commitment of the loan. Additionally, the Company made a $1.6 million non-controlling preferred equity investment in a limited liability company, or LLC, that is the borrower of the senior loan with an initial redemption date of October 9, 2026, which is determined by the maturity date of the associated senior loan. The Company may invest up to an additional $2.0 million in the preferred equity investment. The preferred equity investment will earn a deferred preferred return, which carries an accrual rate of 12%. Due to the uncertainty of collection of any preferred equity investment accrued amounts, the Company is not accruing any income on the preferred equity investment. The preferred equity investment is included in the Company's consolidated balance sheets within loans held-for-investment. As of March 31, 2026, the senior loan and preferred equity investment had an aggregate principal balance of $45.2 million and an aggregate amortized cost of $45.0 million. The senior loan was performing pursuant to its modified contractual terms and accruing interest income on the consolidated statements of income as of March 31, 2026.

During the three months ended September 30, 2025, the Company completed the modification of a senior loan secured by a hotel property located in Tempe, AZ. As of March 31, 2026, and December 31, 2025, the loan had a principal balance of $27.3 million and $26.9 million, respectively, and an amortized cost of $27.3 million and $26.9 million, respectively. The terms of the modification included, among other things: (i) an extension of the fully extended maturity date to May 9, 2026; and (ii) a $2.5 million upsizing of the total commitment of the loan, resulting in an aggregate $3.7 million upsizing of the total commitment when considering other modifications occurring during the 12 months ended March 31, 2026. Due to the uncertainty with respect to the collection of future principal and interest, the loan was deemed collateral dependent, assigned a risk rating of “5” and was placed on nonaccrual status. The senior loan was performing pursuant to its modified contractual terms as of March 31, 2026.

During the three months ended June 30, 2025, the Company completed the modification of a senior loan secured by a hotel property located in Minneapolis, MN. As of March 31, 2026, and December 31, 2025, the loan had a principal balance of $39.4 million and $38.0 million, respectively, and an amortized cost of $39.4 million and $38.0 million, respectively. The terms of the modification included, among other things: (i) a three-year extension of the fully extended maturity date to May 9, 2028, with one 12-month option to extend to May 9, 2029; (ii) a restructuring of the loan into a senior note and a subordinate note that was immediately charged off; and (iii) an accrued pay spread. As a result of the modification, the Company recognized a write-off of approximately $(15.4) million, which had been reserved for through a previously recorded allowance for credit losses. The senior note was performing pursuant to its modified contractual terms as of March 31, 2026.

The Company’s primary credit quality indicators are its risk ratings. The Company evaluates the credit quality of each loan at least quarterly by assessing the risk factors of each loan and assigning a risk rating based on a variety of factors. Risk factors that are considered in the assessment include, but are not limited to, property type, geographic and local market dynamics,

physical condition, leasing and tenant profile, projected cash flow, collateral performance, loan structure and exit plan, origination loan-to-value, or LTV, project sponsorship and other factors deemed necessary. The Company evaluates these factors with respect to each loan investment on a case-by-case basis, taking into consideration such loan’s facts and circumstances at the time. The risk factors may be given different weightings and consideration depending on each loan’s situation. Loans are rated “1” (less risk) through “5” (greater risk), which ratings are defined as follows:


(dollars in thousands)	March 31, 2026					December 31, 2025
Risk Rating	Number of Loans	Unpaid Principal Balance		Carrying Value		Number of Loans	Unpaid Principal Balance		Carrying Value
1	4	$	106,541	$	105,840	7	$	293,896	$	292,614
2	6	204,120		202,684		8	268,935		265,628
3	19	674,457		658,000		20	706,363		676,253
4	6	265,120		240,960		4	172,086		159,618
5	5	264,654		155,315		4	248,687		143,619
Total	40	$	1,514,892	$	1,362,799	43	$	1,689,967	$	1,537,732

As of March 31, 2026, the weighted average risk rating of the Company’s loan held-for-investment portfolio was 3.2, versus 2.9 as of December 31, 2025, weighted by unpaid principal balance. The change in portfolio risk rating as of March 31, 2026, versus December 31, 2025, is mainly a result of select loan downgrades, two loan repayments with a risk rating of “1” and one loan sale with a risk rating of “1” during the three months ended March 31, 2026.

As of March 31, 2026, the Company assigned a risk rating of “5” to five senior loans with an aggregate outstanding principal balance of $264.7 million. These loans were assigned a risk rating of “5” resulting from a variety of factors including the challenging office leasing environment, local market fundamentals, uncertain and volatile capital market conditions resulting in limited liquidity for real estate transactions, further pressure on property values and other factors related to property specific operating performance and due to the borrowers’ unwillingness to make further capital commitments to support the collateral properties.


	March 31, 2026
(dollars in thousands)	Origination Year
Risk Rating	2026		2025		2024		2023		2022		Prior		Total
1	$	—	$	—	$	—	$	—	$	46,551	$	59,289	$	105,840
2	—		—		—		—		68,342		134,342		202,684
3	—		—		—		—		107,183		550,817		658,000
4	—		—		—		55,991		—		184,969		240,960
5	—		—		—		—		34,818		120,497		155,315
Total	$	—	$	—	$	—	$	55,991	$	256,894	$	1,049,914	$	1,362,799

Gross write-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—


	December 31, 2025
(dollars in thousands)	Origination Year
Risk Rating	2025		2024		2023		2022		2021		Prior		Total
1	$	—	$	—	$	—	$	113,678	$	37,477	$	141,459	$	292,614
2	—		—		—		113,940		151,688		—		265,628
3	—		—		54,844		60,395		161,020		399,994		676,253
4	—		—		—		—		62,556		97,062		159,618
5	—		—		—		34,818		—		108,801		143,619
Total	$	—	$	—	$	54,844	$	322,831	$	412,741	$	747,316	$	1,537,732

Gross write-offs	$	—	$	—	$	—	$	—	$	(15,361)	$	(65,137)	$	(80,498)