Organization and Operations |
6 Months Ended |
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Jun. 30, 2026 | |
| Organization and Operations [Abstract] | |
| Organization and Operations |
Note 1 — Organization and Operations
Cherry Hill Mortgage Investment Corporation (together with its consolidated subsidiaries, the “Company”) was incorporated in Maryland on October 31,
2012 and was organized to invest in residential mortgage assets in the United States. Under the Company’s charter, the Company is authorized to issue up to 500,000,000 shares of common stock and 100,000,000 shares of preferred stock,
each with a par value of $0.01 per share.
The accompanying consolidated financial statements include the accounts of the Company’s subsidiaries, Cherry Hill Operating Partnership, LP (the
“Operating Partnership”), CHMI Sub-REIT, Inc. (the “Sub-REIT”), Cherry Hill QRS I, LLC, Cherry Hill QRS II, LLC, Cherry Hill QRS III, LLC (“QRS III”), Cherry Hill QRS IV, LLC (“QRS IV”), Cherry Hill QRS V, LLC (“QRS V”), CHMI Solutions, Inc. (“CHMI
Solutions”) and Aurora Financial Group, Inc. (“Aurora”).
The Company has elected to be taxed as a real estate investment trust (“REIT”), as
defined under the Internal Revenue Code of 1986, as amended (the “Code”), commencing with its short taxable year ended December 31, 2013. As long as the Company continues to comply with a number of requirements under federal tax law and
maintains its qualification as a REIT, the Company generally will not be subject to U.S. federal income taxes to the extent that the Company distributes its taxable income to its stockholders on an annual basis and does not engage in prohibited
transactions. However, certain activities that the Company may perform may cause it to earn income that will not be qualifying income for REIT purposes.
The Company conducts substantially all of its operations and owns substantially all of its assets through its Operating Partnership. The Company is
the sole general partner of its Operating Partnership. As of June 30, 2026, the Company owned 98.5% of the Operating Partnership. The
Operating Partnership, in turn, owns all of the outstanding common stock of the Sub-REIT. The Sub-REIT elected to be taxed as a REIT under the Code commencing with the taxable year ended December 31, 2020.
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