v3.26.1
Real Estate Owned, Net
 3 Months Ended
Mar. 31, 2026
Real Estate [Abstract]  
Real Estate Owned, Net Real Estate Owned, Net
As of March 31, 2026, assets and liabilities related to two REO office properties, one located in Miami Beach, FL, and one located in Maynard, MA. The Company accounted for these as asset acquisitions. As of March 31, 2026, the carrying value of the Company’s REO, net is $98.2 million, which includes $5.0 million in other assets and other liabilities on the consolidated balance sheets.
The following table presents the REO assets and liabilities included in our consolidated balance sheets:
(in thousands)March 31,
2026		December 31,
2025
Building and building improvements
$88,675 $86,350 
Land and land improvements
10,394 10,396 
Accumulated Depreciation
(5,830)(4,707)
Real estate owned, net$93,239 $92,039 
Intangible real estate assets
$18,844 $18,909 
Accumulated amortization
(6,515)(5,615)
Intangible real estate assets, net(1)
$12,329 $13,294 
Lease liability
$(7,237)$(7,239)
Intangible real estate liabilities
(196)(195)
Accumulated amortization
74 61 
Real estate liabilities, net(2)
$(7,359)$(7,373)
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(1)Included in “Other assets” on the condensed consolidated balance sheets.
(2)Included in “Other liabilities” on the condensed consolidated balance sheets.
The following table presents the REO operations and related income (loss) included in the Company’s condensed consolidated statements of comprehensive (loss) income for the three months ended March 31, 2026, and 2025:
(in thousands)Three Months Ended March 31,
Real Estate Owned, Net20262025
Rental income
Minimum lease payments$2,114 $2,291 
Variable lease payments792 189 
Total rental income2,906 2,480 
Other operating income314 614 
Revenue from real estate owned operations3,220 3,094 
Expenses from real estate owned operations (1)
(5,760)(4,504)
Total$(2,540)$(1,410)
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(1) Includes $(2.0) million and $(1.4) million of depreciation and amortization for the three months ended March 31, 2026, and 2025, respectively.
The following table presents the amortization of lease intangibles included in the Company’s condensed consolidated statements of income for the three months ended March 31, 2026, and 2025:
(in thousands)Three Months Ended March 31,
Income Statement Location20262025
Asset
In-place lease intangiblesExpenses from real estate owned operations$778 $735 
Lease commissionsExpenses from real estate owned operations105 61 
Above-market lease intangiblesRevenue from real estate owned operations(57)(70)
Liability
Below-market lease intangiblesRevenue from real estate owned operations14 8 
The following table presents the amortization of lease intangibles for each of the succeeding fiscal years:
(in thousands)In-place Lease Intangible AssetsAbove-market Lease intangible AssetsLease CommissionsBelow-market Lease Intangible Liabilities
2026$1,837 $118 $344 $(42)
20271,135 74 460 (27)
20281,085 57 446 (27)
2029807 15 440 (26)
2030
369 — 299 — 
Thereafter189 — 470 — 
The weighted average remaining amortization period for the in-place lease intangibles, above-market lease intangibles, leasing commissions and below-market lease intangibles as of March 31, 2026, were 3.6 years, 2.3 years, 5.9 years and 3.2 years, respectively.
Future Minimum Lease Payments
The following table presents the future minimum lease payments to be collected under non-cancelable operating leases, excluding tenant reimbursements of expenses, as of March 31, 2026:
(in thousands)Contractual Lease Payments
2026$5,747 
20276,801 
20286,725 
20296,527 
2030
3,995 
Thereafter7,160 
The weighted average minimum remaining term of the non-cancelable leases was approximately 4.4 years as of March 31, 2026.
Impairment Losses
No impairment losses were recorded during the three months ended March 31, 2026, and 2025.