| REO Financial Statements |
The following table presents the REO assets and liabilities included on our consolidated balance sheets ($ in thousands):
|
|
|
|
|
|
|
|
|
|
|
June 30, 2026 |
|
|
December 31, 2025 |
|
Assets |
|
|
|
|
|
|
Land |
|
$ |
296,595 |
|
|
$ |
296,595 |
|
Building |
|
|
571,210 |
|
|
|
550,995 |
|
Furniture, fixtures, and equipment |
|
|
32,213 |
|
|
|
29,795 |
|
Accumulated Depreciation |
|
|
(43,048 |
) |
|
|
(34,438 |
) |
Total real estate owned, held for investment |
|
$ |
856,970 |
|
|
$ |
842,947 |
|
Liabilities |
|
|
|
|
|
|
Loan Payable(1) |
|
|
371,534 |
|
|
|
425,799 |
|
Less: Deferred financing costs |
|
|
(106 |
) |
|
|
(1,096 |
) |
Total debt related to real estate owned |
|
$ |
371,428 |
|
|
$ |
424,703 |
|
(1) The $73.7 million mortgage secured by the D.C. Hotel was repaid during the three months ended June 30, 2026. The following table presents the real estate owned operations and net income included in our consolidated statements of income ($ in thousands):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended June 30, |
|
|
Six Months Ended June 30, |
|
|
2026 |
|
|
2025 |
|
|
2026 |
|
|
2025 |
|
Hotel Revenue |
$ |
29,697 |
|
|
$ |
27,832 |
|
|
$ |
48,524 |
|
|
$ |
54,163 |
|
Rental Income |
|
6,545 |
|
|
|
— |
|
|
|
10,285 |
|
|
|
— |
|
Revenue from real estate owned operations |
|
36,242 |
|
|
|
27,832 |
|
|
|
58,809 |
|
|
|
54,163 |
|
Operating expense |
|
(23,081 |
) |
|
|
(21,113 |
) |
|
|
(41,299 |
) |
|
|
(41,880 |
) |
Depreciation expense |
|
(4,631 |
) |
|
|
(2,531 |
) |
|
|
(8,612 |
) |
|
|
(4,987 |
) |
Net income from real estate owned |
|
8,530 |
|
|
|
4,188 |
|
|
|
8,898 |
|
|
|
7,296 |
|
|