v3.26.3
Segment Reporting
 9 Months Ended
Sep. 30, 2026
Segment Reporting [Abstract]  
Segment Reporting Segment Reporting
The Company presents its business through three operating and reportable segments described below and is how management views the business activities of the Company.
•Senior and Mezzanine Loans and Preferred Equity—CRE debt investments including senior and mezzanine loans, and preferred equity interests as well as participations in such loans.
•Net Leased and Other Real Estate—direct investments in CRE with long-term leases to tenants on a net lease basis, where such tenants generally will be responsible for property operating expenses such as insurance, utilities, maintenance, capital expenditures and real estate taxes. It also includes other real estate, currently consisting of one investment with direct ownership in commercial real estate and four additional properties that the Company acquired through foreclosure or deed-in-lieu of foreclosure and one property that the Company consolidates as the primary beneficiary.
•Corporate and Other—includes corporate-level asset management and other fees including expenses related to the Company’s secured revolving credit facility (the “Bank Credit Facility”) and compensation and benefits. It also includes money market income on its cash balances and a sub-portfolio of private equity funds.
U.S. GAAP defines the Chief Operating Decision Maker (“CODM”) as the person or persons who perform the function of allocating resources to and assessing the performance of segments of a public entity. The Company has identified the CODM as its Chief Executive Officer, who is responsible for making key operating decisions of the Company. The CODM reviews net income (loss) for each of the three operating segments on the Company’s consolidated statements of operations to make decisions, allocate resources, and assess segment performance.
The Company primarily generates revenue from net interest income on the loan portfolio and rental and other income from its net leased, multi-tenant office and hotel assets. The Company’s income is primarily derived through the difference between revenue and the cost at which the Company is able to finance its investments. The Company may also acquire investments which generate attractive returns without any leverage.
The following tables present the relevant financial information for the reportable segments for the three and nine months ended September 30, 2026 and 2025 (dollars in thousands):
Senior and Mezzanine Loans and Preferred EquityNet Leased and Other Real EstateCorporate and OtherTotal
Three Months Ended September 30, 2026
Interest income$56,179 $(11)$— $56,168 
Interest expense(36,346)(13)(1,546)(37,905)
Property and other income77 30,737 373 31,187 
Property operating expense— (19,161)— (19,161)
Transaction, investment and servicing expense(1,346)(53)19 (1,380)
Interest expense on real estate— (4,655)— (4,655)
Depreciation and amortization— (4,052)(32)(4,084)
Increase of current expected credit loss reserve(15,039)— — (15,039)
Impairment of operating real estate— (5,986)— (5,986)
Compensation and benefits— — (9,197)(9,197)
Operating expense3 — (3,058)(3,055)
Other gain, net— 60,322 — 60,322 
Income (loss) before income taxes3,528 57,128 (13,441)47,215 
Income tax benefit (expense)(4)(4)27 19 
Net income (loss)$3,524 $57,124 $(13,414)$47,234 
Senior and Mezzanine Loans and Preferred EquityNet Leased and Other Real EstateCorporate and OtherTotal
Three Months Ended September 30, 2025
Interest income$48,889 $— $— $48,889 
Interest expense(31,046)(11)(307)(31,364)
Property and other income— 32,748 2,301 35,049 
Property operating expense— (19,675)— (19,675)
Transaction, investment and servicing expense(616)(23)(215)(854)
Interest expense on real estate— (5,170)— (5,170)
Depreciation and amortization— (7,155)(33)(7,188)
Increase of current expected credit loss reserve(8,215)— — (8,215)
Impairment of operating real estate— (2,509)— (2,509)
Compensation and benefits— — (8,077)(8,077)
Operating expense9 (1)(2,865)(2,857)
Other gain, net— 538 — 538 
Income (loss) before income taxes9,021 (1,258)(9,196)(1,433)
Income tax benefit (expense)(86)244 (29)129 
Net income (loss)$8,935 $(1,014)$(9,225)$(1,304)
Senior and Mezzanine Loans and Preferred EquityNet Leased and Other Real EstateCorporate and OtherTotal
Nine Months Ended September 30, 2026
Interest income$157,798 $(38)$— $157,760 
Interest expense(103,238)(37)(2,871)(106,146)
Property and other income190 94,014 4,079 98,283 
Property operating expense— (57,750)— (57,750)
Transaction, investment and servicing expense(2,912)(162)(645)(3,719)
Interest expense on real estate— (14,868)— (14,868)
Depreciation and amortization— (20,799)(98)(20,897)
Increase of current expected credit loss reserve(30,286)— — (30,286)
Impairment of operating real estate— (15,256)— (15,256)
Compensation and benefits— — (27,242)(27,242)
Operating expense33 (2)(9,339)(9,308)
Other gain, net— 60,291 — 60,291 
Income (loss) before equity in earnings of unconsolidated ventures and income taxes21,585 45,393 (36,116)30,862 
Equity in earnings (loss) of unconsolidated ventures— — (602)(602)
Income tax expense(6)(4)(75)(85)
Net income (loss)$21,579 $45,389 $(36,793)$30,175 
Senior and Mezzanine Loans and Preferred EquityNet Leased and Other Real EstateCorporate and OtherTotal
Nine Months Ended September 30, 2025
Interest income$145,461 $42 $135 $145,638 
Interest expense(94,453)(146)(911)(95,510)
Property and other income— 95,423 6,364 101,787 
Property operating expense— (46,293)— (46,293)
Transaction, investment and servicing expense(1,455)(73)(518)(2,046)
Interest expense on real estate— (18,499)— (18,499)
Depreciation and amortization— (28,249)(97)(28,346)
Increase of current expected credit loss reserve(8,562)— — (8,562)
Impairment of operating real estate— (53,636)— (53,636)
Compensation and benefits— — (26,700)(26,700)
Operating expense— (4)(9,044)(9,048)
Other gain (loss), net55 (3,132)12 (3,065)
Income (loss) before income taxes41,046 (54,567)(30,759)(44,280)
Income tax benefit (expense)(220)21,760 (29)21,511 
Net income (loss)$40,826 $(32,807)$(30,787)$(22,769)

The following table presents total assets by segment as of September 30, 2026 and December 31, 2025 (dollars in thousands):
Total AssetsSenior and Mezzanine Loans and Preferred EquityNet Leased and Other Real Estate
Corporate and Other(1)
Total
September 30, 2026$3,084,747 $522,872 $59,954 $3,667,573 
December 31, 20252,689,862 800,394 74,574 3,564,830 
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(1)Includes cash, unallocated receivables and deferred costs and other assets, net.
Geography
Geography is generally defined as the location in which the income producing assets reside or the location in which income generating services are performed. Geography information on total income includes equity in earnings of unconsolidated ventures. Geography information on total income and long-lived assets are presented as follows (dollars in thousands):
Three Months Ended September 30,Nine Months Ended September 30,
2026202520262025
Total income by geography:
United States$87,355 $83,938 $256,043 $237,928 
Norway— — — 9,497 
Total(1)
$87,355 $83,938 $256,043 $247,425 
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(1)Includes interest income and property and other income.