v3.26.1
Debt (Tables)
 6 Months Ended
Jun. 30, 2026
Debt Disclosure [Abstract]  
Summary of Debt
The following table presents debt as of June 30, 2026, and December 31, 2025 (dollars in thousands):
June 30, 2026December 31, 2025
Capacity ($)
Recourse vs. Non-Recourse(1)
Final
Maturity		Contractual
Interest Rate
Principal
Amount(2)
Carrying Value(2)
Principal
Amount(2)
Carrying Value(2)
Securitization bonds payable, net
    BRSP 2026-FL3(3)
Non-recourseAug-43
 SOFR + 1.69%
$833,237 $827,804 $— $— 
    BRSP 2024-FL2(3)
Non-recourseAug-37
 SOFR + 2.47%
583,875 580,046 583,875 578,879 
    BRSP 2021-FL1(3)
      Non-recourse
(4)
(4)
— — 398,215 398,203 
Subtotal securitization bonds payable, net1,417,112 1,407,850 982,090 977,082 
Mortgage and other notes payable, net
Net lease 1Non-recourseSep-334.77%200,000 199,122 200,000 199,068 
Net lease 3Non-recourseAug-264.08%27,585 27,576 27,958 27,928 
Net lease 4Non-recourseOct-274.45%20,398 20,398 20,730 20,730 
Net lease 5(5)(6)
Non-recourseNov-264.45%15,993 15,959 16,222 16,153 
Net lease 5(7)
Non-recourseMar-287.25%10,700 10,263 10,800 10,362 
Net lease 6(6)
Non-recourseNov-264.45%6,354 6,341 6,445 6,418 
Net lease 8(6)
Non-recourseNov-264.45%2,945 2,937 2,987 2,975 
Other real estate 1Non-recourse
Dec-28(8)
4.47%95,967 95,417 97,082 96,348 
Loan 1(9)
Non-recourse
Jul-28(9)
5.50%
33,591 33,591 34,078 34,078 
Subtotal mortgage and other notes payable, net413,533 411,604 416,302 414,060 
Bank credit facility
Bank credit facility$120,000 Recourse
Dec-28 (10)
SOFR + 2.25%
70,000 70,000 — — 
Subtotal bank credit facility70,000 70,000 — — 
Master repurchase facilities
Bank 1600,000 
Limited Recourse(11)
Oct-28(12)
SOFR + 2.26%
(13)309,227 309,227 433,642 433,642 
Bank 2600,000 
Limited Recourse(11)
Apr-30(14)
n/a(13)— — 135,550 135,550 
Bank 3500,000 
Limited Recourse(15)
June-30(16)
SOFR + 1.74%
(13)230,839 230,839 427,899 427,899 
Bank 4400,000 
Limited Recourse(11)
Nov-29(17)
SOFR + 1.49%
(13)175,143 175,143 81,007 81,007 
Bank 5250,000 
Limited Recourse(11)
Mar-31(18)
SOFR + 2.00%
(13)141,016 141,016 — — 
Subtotal master repurchase facilities$2,350,000 856,225 856,225 1,078,098 1,078,098 
Subtotal credit facilities926,225 926,225 1,078,098 1,078,098 
Total$2,756,870 $2,745,679 $2,476,490 $2,469,240 
_________________________________________
(1)Subject to customary non-recourse carveouts.
(2)Difference between principal amount and carrying value of securitization bonds payable, net and mortgage and other notes payable, net is attributable to deferred financing costs, net and premium/discount on mortgage notes payable.
(3)The Company, through indirect Cayman subsidiaries, securitized commercial mortgage loans originated by the Company. Senior notes issued by the securitization trusts were generally sold to third parties and subordinated notes were retained by the Company. These securitizations are accounted for as secured financings with the underlying mortgage loans pledged as collateral. Principal payments from underlying collateral loans must be applied to repay the notes until fully paid off, irrespective of the contractual maturities on the notes. Underlying collateral loans have initial terms of two to three years.
(4)On February 19, 2026, the Company redeemed the outstanding securities under BRSP 2021-FL1, including the 2021-FL1 Notes, at a redemption price of $310.7 million.
(5)Payment terms are periodic payment of principal and interest for debt on two properties and periodic payment of interest only with principal at maturity (except for principal repayments to release collateral properties disposed) for debt on one property.
(6)During the six months ended June 30, 2026, the Company received notice that it was in default on the mortgage notes payable cross-collateralized by Net Lease 5, Net Lease 6 and Net Lease 8. The Company deconsolidated one property collateralizing Net Lease 5 and impaired the property collateralizing
Net Lease 8 during the six months ended June 30, 2026. The Company expects the lender to continue to pursue remedies and thereby lose control over the three remaining retail properties, at which time the Company will deconsolidate the cross-collateralized mortgage notes payable. Refer to Note 4, "Real estate, net" for further detail.
(7)Represents a mortgage note collateralized by three properties. In April 2025, the contractual interest rate on Net lease 5 was modified to 7.25%.
(8)The current maturity date is December 2027, with a one-year extension available, subject to satisfaction of certain customary conditions set forth in the governing documents.
(9)During the third quarter of 2025, the Company acquired legal title to the multifamily construction/development project collateralizing the note payable through a deed-in-lieu of foreclosure. Additionally, the Company refinanced the note payable, with a two-year initial term plus one one-year extension option. The principal balance and spread of the note payable did not change. Refer to Note 4, “Real Estate, net” for further discussion.
(10)On December 9, 2025, the Company, through its subsidiaries, including the OP, entered into an Amendment No. 1 to the Restated Credit Agreement. Refer to “Bank Credit Facility” within this note for more details.
(11)Recourse solely with respect to 25.0% of the financed amount.
(12)During the second quarter of 2026, the Company extended the maturity date of Bank 1 to October 2028.
(13)Represents the weighted average spread as of June 30, 2026. The contractual interest rate depends upon asset type and characteristics and ranges from SOFR plus 1.30% to 2.75%.
(14)The current maturity date is April 2028, with two one-year extensions available at the option of the Company, which may be exercised upon the satisfaction of certain customary conditions set forth in the governing documents.
(15)Recourse is either 25.0% or 50.0% depending on loan metrics.
(16)The current maturity date is June 2028, with two one-year extensions available at the option of the Company, which may be exercised upon the satisfaction of certain customary conditions set forth in the governing documents. In December 2025, the maximum facility size was increased to $500.0 million.
(17)The current maturity date is November 2026, with three one-year extensions available at the option of the Company, which may be exercised upon the satisfaction of certain customary conditions set forth in the governing documents.
(18)The Company entered into a Master Repurchase Agreement with Bank 5 which provides up to $250.0 million to finance first mortgage loans, senior loan participations and related mezzanine loans secured by commercial real estate. The current maturity date is March 2029, with two one-year extensions available at the option of the Company, which may be exercised upon the satisfaction of certain customary conditions set forth in the governing documents.
Schedule of Scheduled Principal on Debt
The following table summarizes future scheduled minimum principal payments at June 30, 2026 based on initial maturity dates or extended maturity dates to the extent criteria are met and the extension option is at the borrower’s discretion (dollars in thousands):
TotalSecuritization Bonds Payable, NetMortgage and Other Notes Payable, NetCredit Facilities
Remainder of 2026(1)
$53,414 $— $53,414 $— 
202720,309 — 20,309 — 
2028519,037 — 139,810 379,227 
2029175,143 — — 175,143 
2030230,839 — — 230,839 
2031 and thereafter1,758,128 1,417,112 200,000 141,016 
Total$2,756,870 $1,417,112 $413,533 $926,225 
_________________________________________
(1)Mortgage and other notes payable, net includes Net lease 5, Net lease 6 and Net lease 8, which are in default as of June 30, 2026.