☒ |
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE QUARTERLY PERIOD ENDED SEPTEMBER 30, 2021
|
☐ |
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
|
Maryland
|
94-6181186
|
|
(State or other jurisdiction of
incorporation or organization)
|
(I.R.S. Employer
Identification No.)
|
Title of each class
|
Trading
symbol(s)
|
Name of each exchange
on which registered
|
||
Class A common stock, par value $0.01 per share
|
BXMT
|
New York Stock Exchange
|
Large accelerated filer
|
☒
|
Accelerated filer
|
☐
|
|||
Non-accelerated filer
|
☐
|
Smaller reporting company
|
☐
|
|||
Emerging growth company |
☐
|
PART I.
|
||||||
ITEM 1.
|
3 | |||||
Consolidated Financial Statements (Unaudited):
|
||||||
3 | ||||||
Consolidated Statements of Operations for the Three and Nine Months Ended September 30, 2021 and 2020 | 4 | |||||
Consolidated Statements of Comprehensive Income for the Three and Nine Months Ended September 30, 2021 and
2020 |
5 | |||||
Consolidated Statements of Changes in Equity for the Three Months Ended March 31, 2021 and 2020, June 30, 2021
and 2020, and September 30, 2021 and 2020 |
6 | |||||
8 | ||||||
Notes to Consolidated Financial Statements | 10 | |||||
ITEM 2. |
MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF
OPERATIONS |
51 | ||||
ITEM 3. | QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK | 80 | ||||
ITEM 4.
|
83 | |||||
PART II.
|
||||||
ITEM 1.
|
84 | |||||
ITEM 1A.
|
84 | |||||
ITEM 2. | UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS | 84 | ||||
ITEM 3.
|
84 | |||||
ITEM 4.
|
84 | |||||
ITEM 5.
|
84 | |||||
ITEM 6.
|
85 | |||||
86 |
September 30,
|
December 31,
|
|||||||
2021
|
2020
|
|||||||
Assets
|
||||||||
Cash and cash equivalents
|
$ | 211,180 | $ | 289,970 | ||||
Loans receivable
|
20,406,466 | 16,572,715 | ||||||
Current expected credit loss reserve
|
(130,388 | ) | (173,549 | ) | ||||
|
|
|
|
|||||
Loans receivable, net
|
20,276,078 | 16,399,166 | ||||||
Other assets
|
218,614 | 269,819 | ||||||
|
|
|
|
|||||
Total Assets
|
$ | 20,705,872 | $ | 16,958,955 | ||||
|
|
|
|
|||||
Liabilities and Equity
|
||||||||
Secured debt, net
|
$ | 11,170,330 | $ | 7,880,536 | ||||
Securitized debt obligations, net
|
2,836,049 | 2,922,499 | ||||||
Asset-specific debt, net
|
320,895 | 391,269 | ||||||
Term loans, net
|
1,329,637 | 1,041,704 | ||||||
Convertible notes, net
|
618,985 | 616,389 | ||||||
Other liabilities
|
159,424 | 202,327 | ||||||
|
|
|
|
|||||
Total Liabilities
|
16,435,320 | 13,054,724 | ||||||
|
|
|
|
|||||
Commitments and contingencies
|
|
—
|
|
|
—
|
|
||
Equity
|
||||||||
Class A common stock, $0.01 par value, 400,000,000 shares authorized, 157,015,689 and 146,780,031 shares issued and outstanding as of September 30, 2021 and December 31, 2020, respectively
|
1,570 | 1,468 | ||||||
Additional
paid-in
capital
|
5,039,384 | 4,702,713 | ||||||
Accumulated other comprehensive income
|
9,874 | 11,170 | ||||||
Accumulated deficit
|
(814,278 | ) | (829,284 | ) | ||||
|
|
|
|
|||||
Total Blackstone Mortgage Trust, Inc. stockholders’ equity
|
4,236,550 | 3,886,067 | ||||||
Non-controlling
interests
|
34,002 | 18,164 | ||||||
|
|
|
|
|||||
Total Equity
|
4,270,552 | 3,904,231 | ||||||
|
|
|
|
|||||
Total Liabilities and Equity
|
$ | 20,705,872 | $ | 16,958,955 | ||||
|
|
|
|
Three Months Ended
|
Nine Months Ended
|
|||||||||||||||
September 30,
|
September 30,
|
|||||||||||||||
2021
|
2020
|
2021
|
2020
|
|||||||||||||
Income from loans and other investments
|
||||||||||||||||
Interest and related income
|
$ | 200,114 | $ | 193,939 | $ | 583,941 | $ | 590,797 | ||||||||
Less: Interest and related expenses
|
82,690 | 78,978 | 243,413 | 268,070 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Income from loans and other investments, net
|
117,424 | 114,961 | 340,528 | 322,727 | ||||||||||||
Other expenses
|
||||||||||||||||
Management and incentive fees
|
19,342 | 18,985 | 60,094 | 58,758 | ||||||||||||
General and administrative expenses
|
10,841 | 11,242 | 32,108 | 34,320 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total other expenses
|
30,183 | 30,227 | 92,202 | 93,078 | ||||||||||||
(Increase) decrease in current expected credit loss reserve
|
(2,767 | ) | 6,055 | 49,432 | (173,466 | ) | ||||||||||
|
|
|
|
|
|
|
|
|||||||||
Income before income taxes
|
84,474 | 90,789 | 297,758 | 56,183 | ||||||||||||
Income tax provision
|
70 | 20 | 346 | 192 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Net income
|
84,404 | 90,769 | 297,412 | 55,991 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Net income attributable to
non-controlling
interests
|
(647 | ) | (909 | ) | (2,158 | ) | (1,937 | ) | ||||||||
|
|
|
|
|
|
|
|
|||||||||
Net income attributable to Blackstone Mortgage Trust, Inc.
|
$ | 83,757 | $ | 89,860 | $ | 295,254 | $ | 54,054 | ||||||||
|
|
|
|
|
|
|
|
|||||||||
Net income per share of common stock basic and diluted
|
$ | 0.56 | $ | 0.61 | $ | 2.00 | $ | 0.39 | ||||||||
|
|
|
|
|
|
|
|
|||||||||
Weighted-average shares of common stock outstanding, basic and diluted
|
149,214,819 | 146,484,651 | 147,971,737 | 140,157,620 | ||||||||||||
|
|
|
|
|
|
|
|
Three Months Ended
|
Nine Months Ended
|
|||||||||||||||
September 30,
|
September 30,
|
|||||||||||||||
2021
|
2020
|
2021
|
2020
|
|||||||||||||
Net income
|
$ | 84,404 | $ | 90,769 | $ | 297,412 | $ | 55,991 | ||||||||
Other comprehensive income
|
||||||||||||||||
Unrealized (loss) gain on foreign currency translation
|
(46,952 | ) | 62,656 | (66,356 | ) | 14,488 | ||||||||||
Realized and unrealized gain (loss) on derivative financial instruments
|
46,083 | (61,936 | ) | 65,059 | 11,390 | |||||||||||
|
|
|
|
|
|
|
|
|||||||||
Other comprehensive (loss) income
|
(869 | ) | 720 | (1,297 | ) | 25,878 | ||||||||||
|
|
|
|
|
|
|
|
|||||||||
Comprehensive income
|
83,535 | 91,489 | 296,115 | 81,869 | ||||||||||||
Comprehensive income attributable to
non-controlling
interests
|
(647 | ) | (909 | ) | (2,158 | ) | (1,937 | ) | ||||||||
|
|
|
|
|
|
|
|
|||||||||
Comprehensive income attributable to Blackstone Mortgage Trust, Inc.
|
$ | 82,888 | $ | 90,580 | $ | 293,957 | $ | 79,932 | ||||||||
|
|
|
|
|
|
|
|
Blackstone Mortgage Trust, Inc.
|
||||||||||||||||||||||||||||
Class A
|
Additional
|
Accumulated Other
|
||||||||||||||||||||||||||
Common
|
Paid-In
|
Comprehensive
|
Accumulated
|
Stockholders’
|
Non-controlling
|
Total
|
||||||||||||||||||||||
Stock
|
Capital
|
Income
|
Deficit
|
Equity
|
Interests
|
Equity
|
||||||||||||||||||||||
Balance at December 31, 2020
|
$ | 1,468 | $ | 4,702,713 | $ | 11,170 | $ | (829,284 | ) | $ | 3,886,067 | $ | 18,164 | $ | 3,904,231 | |||||||||||||
Shares of class A common stock issued, net
|
2 | — | — | — | 2 | — | 2 | |||||||||||||||||||||
Restricted class A common stock earned
|
— | 7,958 | — | — | 7,958 | — | 7,958 | |||||||||||||||||||||
Dividends reinvested
|
— | 204 | — | — | 204 | — | 204 | |||||||||||||||||||||
Deferred directors’ compensation
|
— | 125 | — | — | 125 | — | 125 | |||||||||||||||||||||
Other comprehensive income
|
— | — | 114 | — | 114 | — | 114 | |||||||||||||||||||||
Net income
|
— | — | — | 79,902 | 79,902 | 638 | 80,540 | |||||||||||||||||||||
Dividends declared on common stock and deferred stock units, $0.62 per share
|
— | — | — | (91,349 | ) | (91,349 | ) | — | (91,349 | ) | ||||||||||||||||||
Contributions from
non-controlling
interests
|
— | — | — | — | — | 13,448 | 13,448 | |||||||||||||||||||||
Distributions to
non-controlling
interests
|
— | — | — | — | — | (11,180 | ) | (11,180 | ) | |||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Balance at March 31, 2021
|
$ | 1,470 | $ | 4,711,000 | $ | 11,284 | $ | (840,731 | ) | $ | 3,883,023 | $ | 21,070 | $ | 3,904,093 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Restricted class A common stock earned
|
— | 7,895 | — | — | 7,895 | — | 7,895 | |||||||||||||||||||||
Dividends reinvested
|
— | 211 | — | — | 211 | — | 211 | |||||||||||||||||||||
Deferred directors’ compensation
|
— | 125 | — | — | 125 | — | 125 | |||||||||||||||||||||
Other comprehensive loss
|
— | — | (541 | ) | — | (541 | ) | — | (541 | ) | ||||||||||||||||||
Net income
|
— | — | — | 131,595 | 131,595 | 873 | 132,468 | |||||||||||||||||||||
Dividends declared on common stock and deferred stock units, $0.62 per share
|
— | — | — | (91,347 | ) | (91,347 | ) | — | (91,347 | ) | ||||||||||||||||||
Contributions from
non-controlling
interests
|
— | — | — | — | — | 14,745 | 14,745 | |||||||||||||||||||||
Distributions to
non-controlling
interests
|
— | — | — | — | — | (10,694 | ) | (10,694 | ) | |||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Balance at June 30, 2021
|
$ | 1,470 | $ | 4,719,231 | $ | 10,743 | $ | (800,483 | ) | $ | 3,930,961 | $ | 25,994 | $ | 3,956,955 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Shares of class A common stock issued, net
|
100 | 311,855 | — | — | 311,955 | — | 311,955 | |||||||||||||||||||||
Restricted class A common stock earned
|
— | 7,907 | — | — | 7,907 | — | 7,907 | |||||||||||||||||||||
Dividends reinvested
|
— | 218 | — | — | 218 | — | 218 | |||||||||||||||||||||
Deferred directors’ compensation
|
— | 173 | — | — | 173 | — | 173 | |||||||||||||||||||||
Other comprehensive loss
|
— | — | (869 | ) | — | (869 | ) | — | (869 | ) | ||||||||||||||||||
Net income
|
— | — | — | 83,757 | 83,757 | 647 | 84,404 | |||||||||||||||||||||
Dividends declared on common stock and deferred stock units, $0.62 per share
|
— | — | — | (97,552 | ) | (97,552 | ) | — | (97,552 | ) | ||||||||||||||||||
Contributions from
non-controlling
interests
|
— | — | — | — | — | 19,068 | 19,068 | |||||||||||||||||||||
Distributions to
non-controlling
interests
|
— | — | — | — | — | (11,707 | ) | (11,707 | ) | |||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Balance at September 30, 2021
|
$ | 1,570 | $ | 5,039,384 | $ | 9,874 | $ | (814,278 | ) | $ | 4,236,550 | $ | 34,002 | $ | 4,270,552 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Blackstone Mortgage Trust, Inc.
|
||||||||||||||||||||||||||||
Class A
|
Additional
|
Accumulated Other
|
||||||||||||||||||||||||||
Common
|
Paid-In
|
Comprehensive
|
Accumulated
|
Stockholders’
|
Non-controlling
|
Total
|
||||||||||||||||||||||
Stock
|
Capital
|
(Loss) Income
|
Deficit
|
Equity
|
Interests
|
Equity
|
||||||||||||||||||||||
Balance at December 31, 2019
|
$ | 1,350 | $ | 4,370,014 | $ | (16,233 | ) | $ | (592,548 | ) | $ | 3,762,583 | $ | 22,098 | $ | 3,784,681 | ||||||||||||
Adoption of ASU
2016-13,
see Note 2
|
— | — | — | (17,565 | ) | (17,565 | ) | (85 | ) | (17,650 | ) | |||||||||||||||||
Shares of class A common stock issued, net
|
4 | — | — | — | 4 | — | 4 | |||||||||||||||||||||
Restricted class A common stock earned
|
— | 8,550 | — | — | 8,550 | — | 8,550 | |||||||||||||||||||||
Dividends reinvested
|
— | 162 | — | 12 | 174 | — | 174 | |||||||||||||||||||||
Deferred directors’ compensation
|
— | 125 | — | — | 125 | — | 125 | |||||||||||||||||||||
Other comprehensive income
|
— | — | 34,481 | — | 34,481 | — | 34,481 | |||||||||||||||||||||
Net loss
|
— | — | — | (53,350 | ) | (53,350 | ) | 67 | (53,283 | ) | ||||||||||||||||||
Dividends declared on common stock and deferred stock units, $0.62 per share
|
— | — | — | (84,082 | ) | (84,082 | ) | — | (84,082 | ) | ||||||||||||||||||
Contributions from
non-controlling
interests
|
— | — | — | — | — | 8,108 | 8,108 | |||||||||||||||||||||
Distributions to
non-controlling
interests
|
— | — | — | — | — | (6,681 | ) | (6,681 | ) | |||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Balance at March 31, 2020
|
$ | 1,354 | $ | 4,378,851 | $ | 18,248 | $ | (747,533 | ) | $ | 3,650,920 | $ | 23,507 | $ | 3,674,427 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Shares of class A common stock issued, net
|
108 | 297,491 | — | — | 297,599 | — | 297,599 | |||||||||||||||||||||
Restricted class A common stock earned
|
— | 8,527 | — | — | 8,527 | — | 8,527 | |||||||||||||||||||||
Dividends reinvested
|
— | 165 | — | 13 | 178 | — | 178 | |||||||||||||||||||||
Deferred directors’ compensation
|
— | 125 | — | — | 125 | — | 125 | |||||||||||||||||||||
Other comprehensive loss
|
— | — | (9,323 | ) | — | (9,323 | ) | — | (9,323 | ) | ||||||||||||||||||
Net income
|
— | — | — | 17,544 | 17,544 | 961 | 18,505 | |||||||||||||||||||||
Dividends declared on common stock and deferred stock units, $0.62 per share
|
— | — | — | (90,807 | ) | (90,807 | ) | — | (90,807 | ) | ||||||||||||||||||
Distributions to
non-controlling
interests
|
— | — | — | — | — | (3,447 | ) | (3,447 | ) | |||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Balance at June 30, 2020
|
$ | 1,462 | $ | 4,685,159 | $ | 8,925 | $ | (820,783 | ) | $ | 3,874,763 | $ | 21,021 | $ | 3,895,784 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Restricted class A common stock earned
|
— | 8,524 | — | — | 8,524 | — | 8,524 | |||||||||||||||||||||
Dividends reinvested
|
— | 174 | — | 14 | 188 | — | 188 | |||||||||||||||||||||
Deferred directors’ compensation
|
— | 125 | — | — | 125 | — | 125 | |||||||||||||||||||||
Other comprehensive loss
|
— | — | 720 | — | 720 | — | 720 | |||||||||||||||||||||
Net income
|
— | — | — | 89,860 | 89,860 | 909 | 90,769 | |||||||||||||||||||||
Dividends declared on common stock and deferred stock units, $0.62 per share
|
— | — | — | (90,816 | ) | (90,816 | ) | — | (90,816 | ) | ||||||||||||||||||
Contributions from
non-controlling
interests
|
— | — | — | — | — | 323 | 323 | |||||||||||||||||||||
Distributions to
non-controlling
interests
|
— | — | — | — | — | (1,665 | ) | (1,665 | ) | |||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Balance at September 30, 2020
|
$ | 1,462 | $ | 4,693,982 | $ | 9,645 | $ | (821,725 | ) | $ | 3,883,364 | $ | 20,588 | $ | 3,903,952 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nine Months Ended
September 30,
|
||||||||||||
2021
|
2020
|
|||||||||||
Cash flows from operating activities
|
||||||||||||
Net income
|
$ | 297,412 | $ | 55,991 | ||||||||
Adjustments to reconcile net income to net cash provided by operating activities
|
||||||||||||
Satisfaction of management and incentive fees in stock
|
— | 19,277 | ||||||||||
Non-cash
compensation expense
|
24,184 | 25,978 | ||||||||||
Amortization of deferred fees on loans and debt securities
|
(43,299 | ) | (43,516 | ) | ||||||||
Amortization of deferred financing costs and premiums/discounts on debt obligations
|
29,698 | 28,122 | ||||||||||
(Decrease) increase in current expected credit loss reserve
|
(49,432 | ) | 173,466 | |||||||||
Unrealized gain on assets denominated in foreign currencies, net
|
(7,088 | ) | (648 | ) | ||||||||
Unrealized gain on derivative financial instruments, net
|
(3,298 | ) | (754 | ) | ||||||||
Realized loss (gain) on derivative financial instruments, net
|
5,483 | (481 | ) | |||||||||
Changes in assets and liabilities, net
|
||||||||||||
Other assets
|
(12,106 | ) | 8,713 | |||||||||
Other liabilities
|
13,468 | (4,852 | ) | |||||||||
|
|
|
|
|||||||||
Net cash provided by operating activities
|
255,022 | 261,296 | ||||||||||
|
|
|
|
|||||||||
Cash flows from investing activities
|
||||||||||||
Origination and fundings of loans receivable
|
(7,449,491 | ) | (1,489,101 | ) | ||||||||
Principal collections and sales proceeds from loans receivable and debt securities
|
3,423,460 | 1,358,640 | ||||||||||
Origination and exit fees received on loans receivable
|
79,971 | 14,215 | ||||||||||
Receipts under derivative financial instruments
|
44,428 | 87,286 | ||||||||||
Payments under derivative financial instruments
|
(75,458 | ) | (98,216 | ) | ||||||||
Collateral deposited under derivative agreements
|
(94,060 | ) | (255,830 | ) | ||||||||
Return of collateral deposited under derivative agreements
|
145,110 | 277,280 | ||||||||||
|
|
|
|
|||||||||
Net cash used in investing activities
|
(3,926,040 | ) | (105,726 | ) | ||||||||
|
|
|
|
Nine Months Ended
September 30,
|
||||||||||||
2021
|
2020
|
|||||||||||
Cash flows from financing activities
|
||||||||||||
Borrowings under secured debt
|
$ | 7,701,481 | $ | 2,317,616 | ||||||||
Repayments under secured debt
|
(4,239,614 | ) | (3,506,154 | ) | ||||||||
Proceeds from issuance of securitized debt obligations
|
803,750 | 1,243,125 | ||||||||||
Repayment of securitized debt obligations
|
(888,763 | ) | (253,260 | ) | ||||||||
Borrowings under asset-specific debt
|
106,443 | 111,225 | ||||||||||
Repayments under asset-specific debt
|
(178,073 | ) | (82,754 | ) | ||||||||
Net proceeds from issuance of term loans
|
298,500 | 315,438 | ||||||||||
Repayments of term loans
|
(10,060 | ) | (6,428 | ) | ||||||||
Payment of deferred financing costs
|
(29,339 | ) | (34,726 | ) | ||||||||
Contributions from
non-controlling
interests
|
47,261 | 8,431 | ||||||||||
Distributions to
non-controlling
interests
|
(33,581 | ) | (11,793 | ) | ||||||||
Net proceeds from issuance of class A common stock
|
311,955 | 278,322 | ||||||||||
Dividends paid on class A common stock
|
(273,311 | ) | (258,264 | ) | ||||||||
|
|
|
|
|||||||||
Net cash provided by financing activities
|
3,616,649 | 120,778 | ||||||||||
|
|
|
|
|||||||||
Net (decrease) increase in cash, cash equivalents, and restricted cash
|
(54,369 | ) | 276,348 | |||||||||
Cash, cash equivalents, and restricted cash at beginning of period
|
289,970 | 150,090 | ||||||||||
Effects of currency translation on cash, cash equivalents, and restricted cash
|
579 | 590 | ||||||||||
|
|
|
|
|||||||||
Cash, cash equivalents , and restricted cash at end of period
|
$ | 236,180 | $ | 427,028 | ||||||||
|
|
|
|
|||||||||
Supplemental disclosure of cash flows information
|
||||||||||||
Payments of interest
|
$ | (207,293 | ) | $ | (242,564 | ) | ||||||
|
|
|
|
|||||||||
Receipts (payments) of income taxes
|
$ | 107 | $ | (146 | ) | |||||||
|
|
|
|
|||||||||
Supplemental disclosure of
non-cash
investing and financing activities
|
||||||||||||
Dividends declared, not paid
|
$ | (97,552 | ) | $ | (90,642 | ) | ||||||
|
|
|
|
|||||||||
Satisfaction of management and incentive fees in stock
|
$ | — | $ | 19,277 | ||||||||
|
|
|
|
|||||||||
Loan principal payments held by servicer, net
|
$ | 299 | $ | 3,235 | ||||||||
|
|
|
|
September 30, 2021
|
September 30, 2020
|
|||||||
Cash and cash equivalents
|
$ | 211,180 | $ | 427,028 | ||||
2021 FL4 CLO restricted cash
|
25,000 | — | ||||||
|
|
|
|
|||||
Total cash, cash equivalents, and restricted cash shown in our consolidated statements of cash flows
|
$ | 236,180 | $ | 427,028 | ||||
|
|
|
|
• |
U.S. Loans
|
• |
Non-U.S.
Loans
|
• |
Unique Loans
|
• |
Impaired Loans
non-recoverability
may also be concluded if, in our determination, it is nearly certain that all amounts due will not be collected.
|
Impact of ASU 2016-13
Adoption
|
||||
Assets:
|
||||
Loans
|
||||
U.S. Loans
|
$ | 8,955 | ||
Non-U.S.
Loans
|
3,631 | |||
Unique Loans
|
1,356 | |||
|
|
|||
CECL reserve on loans
|
$ | 13,942 | ||
|
|
|||
CECL reserve on
held-to-maturity
|
445 | |||
Liabilities:
|
||||
CECL reserve on unfunded loan commitments
|
3,263 | |||
|
|
|||
Total impact of ASU
2016-13
adoption on retained earnings
|
$ | 17,650 | ||
|
|
1 -
|
Very Low Risk
|
|||
2 -
|
Low Risk
|
|||
3 -
|
Medium Risk
|
|||
4 -
|
High Risk/Potential for Loss:
|
|||
5 -
|
Impaired/Loss Likely:
|
• |
Level 1: Generally includes only unadjusted quoted prices that are available in active markets for identical financial instruments as of the reporting date.
|
• |
Level 2: Pricing inputs include quoted prices in active markets for similar instruments, quoted prices in less active or inactive markets for identical or similar instruments where multiple price quotes can be obtained, and other observable inputs, such as interest rates, yield curves, credit risks, and default rates.
|
• |
Level 3: Pricing inputs are unobservable for the financial instruments and include situations where there is little, if any, market activity for the financial instrument. These inputs require significant judgment or estimation by management of third-parties when determining fair value and generally represent anything that does not meet the criteria of Levels 1 and 2.
|
• |
Cash and cash equivalents: The carrying amount of cash and cash equivalents approximates fair value.
|
• |
Loans receivable, net: The fair values of these loans were estimated by our Manager based on a discounted cash flow methodology, taking into consideration various factors including capitalization rates, discount rates, leasing, credit worthiness of major tenants, occupancy rates, availability and cost of financing, exit plan, loan sponsorship, actions of other lenders, and other factors deemed relevant by our Manager.
|
• |
Debt securities
held-to-maturity:
|
• |
Derivative financial instruments: The fair value of our foreign currency and interest rate contracts was estimated using advice from a third-party derivative specialist, based on contractual cash flows and observable inputs comprising foreign currency rates and credit spreads.
|
• |
Secured debt, net: The fair value of these instruments was estimated based on the rate at which a similar credit facility would currently be priced.
|
• |
Securitized debt obligations, net: The fair value of these instruments was estimated by utilizing third-party pricing service providers. In determining the value of a particular investment, pricing service providers may use broker-dealer quotations, reported trades, or valuation estimates from their internal pricing models to determine the reported price.
|
• |
Asset-specific debt, net: The fair value of these instruments was estimated based on the rate at which a similar agreement would currently be priced.
|
• |
Term loans, net: The fair value of these instruments was estimated by utilizing third-party pricing service providers. In determining the value of a particular investment, pricing service providers may use broker-dealer quotations, reported trades, or valuation estimates from their internal pricing models to determine the reported price.
|
• |
Convertible notes, net: Each series of the convertible notes is actively traded and their fair values were obtained using quoted market prices.
|
September 30, 2021
|
December 31, 2020
|
|||||||
Number of loans
|
156 | 120 | ||||||
Principal balance
|
$ | 20,522,560 | $ | 16,652,824 | ||||
Net book value
|
$ | 20,276,078 | $ | 16,399,166 | ||||
Unfunded loan commitments
(1)
|
$ | 4,220,214 | $ | 3,160,084 | ||||
Weighted-average spread
(2)
|
+ 3.18 | % | + 3.18 | % | ||||
Weighted-average
all-in
yield
(2)
|
+ 3.51 | % | + 3.53 | % | ||||
Weighted-average maximum maturity (years)
(3)
|
3.3 | 3.1 | ||||||
|
(1)
|
Unfunded commitments will primarily be funded to finance our borrowers’ construction or development of real estate-related assets, capital improvements of existing assets, or lease-related expenditures. These commitments will generally be funded over the term of each loan, subject in certain cases to an expiration date.
|
|||||
(2)
|
The weighted-average spread and
all-in
yield are expressed as a spread over the relevant floating benchmark rates, which include USD LIBOR, GBP LIBOR, SONIA, EURIBOR, STIBOR, BBSY, and CDOR, as applicable to each loan. As of September 30, 2021, 99.6% of our loans by principal balance earned a floating rate of interest, primarily indexed to USD LIBOR. The other 0.4% of our loans earned a fixed rate of interest. We reflect our fixed rate loans as a spread over the relevant floating benchmark rates, as of September 30, 2021 and December 31, 2020, for purposes of the weighted-averages. As of December 31, 2020, 99.4% of our loans by principal balance earned a floating rate of interest, primarily indexed to USD LIBOR. In addition to spread,
all-in
yield includes the amortization of deferred origination and extension fees, loan origination costs and purchase discounts, as well as the accrual of exit fees. Excludes loans accounted for under the cost-recovery method.
|
|||||
(3)
|
Maximum maturity assumes all extension options are exercised by the borrower, however our loans may be repaid prior to such date. As of September 30, 2021, 44% of our loans by principal balance were subject to yield maintenance or other prepayment restrictions and 56% were open to repayment by the borrower without penalty. As of December 31, 2020, 31% of our loans by principal balance were subject to yield maintenance or other prepayment restrictions and 69% were open to repayment by the borrower without penalty.
|
Loans Receivable Principal Balance
|
||||||||||||
Index rate floors
|
USD
|
Non-USD
(1)
|
Total
|
|||||||||
Fixed rate
|
$ | — | $ | 78,511 | $ | 78,511 | ||||||
0.00% or no floor
(2)
|
3,265,850 | 4,912,695 | 8,178,545 | |||||||||
0.01% to 0.24% floor
|
3,910,133 | 112,026 | 4,022,159 | |||||||||
0.25% to 0.99% floor
|
1,363,685 | 271,616 | 1,635,301 | |||||||||
1.00% or more floor
|
6,062,597 | 545,447 | 6,608,044 | |||||||||
|
|
|
|
|
|
|||||||
Total
(3)(4)
|
$ | 14,602,265 | $ | 5,920,295 | $ | 20,522,560 | ||||||
|
|
|
|
|
|
|
(1)
|
Includes Euro, British Pound Sterling, Swedish Krona, Australian Dollar, and Canadian Dollar Currencies.
|
|||||
(2)
|
Includes $338.7 million of loans accounted for under the cost-recovery method.
|
|||||
(3)
|
Excludes investment exposure to $79.2 million subordinate position we own in the $493.3 million 2018 Single Asset Securitization. Refer to Notes 4 and 16 to our consolidated financial statements for further discussion of the 2018 Single Asset Securitization.
|
|||||
(4)
|
As of September 30, 2021, the weighted-average index rate floor of our loan portfolio was 0.55%. Excluding 0.0% index rate floors, the weighted-average index rate floor was 0.89%.
|
Principal
Balance |
Deferred Fees /
Other Items
(1)
|
Net Book
Value |
||||||||||
Loans receivable, as of December 31, 2020
|
$ | 16,652,824 | $ | (80,109 | ) | $ | 16,572,715 | |||||
Loan fundings
|
7,449,491 | — | 7,449,491 | |||||||||
Loan repayments and sales
|
(3,351,118 | ) | — | (3,351,118 | ) | |||||||
Unrealized (loss) gain on foreign currency translation
|
(228,637 | ) | 1,157 | (227,480 | ) | |||||||
Deferred fees and other items
|
— | (79,971 | ) | (79,971 | ) | |||||||
Amortization of fees and other items
|
— | 42,829 | 42,829 | |||||||||
|
|
|
|
|
|
|||||||
Loans receivable, as of September 30, 2021
|
$ | 20,522,560 | $ | (116,094 | ) | $ | 20,406,466 | |||||
|
|
|
|
|
|
|||||||
CECL reserve
|
(130,388 | ) | ||||||||||
|
|
|||||||||||
Loans receivable, net, as of September 30, 2021
|
$ | 20,276,078 | ||||||||||
|
|
|||||||||||
|
(1)
|
Other items primarily consist of purchase and sale discounts or premiums, exit fees, and deferred origination expenses.
|
September 30, 2021
|
||||||||||||||||
Property Type
|
Number of
Loans |
Net Book
Value |
Total Loan
Exposure
(1)(2)
|
Percentage of
Portfolio |
||||||||||||
Office
|
65 | $ | 10,239,432 | $ | 10,940,778 | 50% | ||||||||||
Multifamily
|
56 | 4,465,938 | 4,494,065 | 21 | ||||||||||||
Hospitality
|
18 | 2,777,827 | 2,879,888 | 13 | ||||||||||||
Industrial
|
5 | 894,865 | 901,211 | 4 | ||||||||||||
Retail
|
6 | 770,045 | 773,491 | 4 | ||||||||||||
Life Sciences
|
2 | 407,595 | 413,209 | 2 | ||||||||||||
Other
|
4 | 850,764 | 1,117,525 | 6 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total loans receivable
|
156 | $ | 20,406,466 | $ | 21,520,167 | 100% | ||||||||||
|
|
|
|
|
|
|
|
|||||||||
CECL reserve
|
(130,388 | ) | ||||||||||||||
|
|
|||||||||||||||
Loans receivable, net
|
$ | 20,276,078 | ||||||||||||||
|
|
Geographic Location
|
Number of
Loans |
Net Book
Value |
Total Loan
Exposure
(1)(2)
|
Percentage of
Portfolio |
||||||||||||
United States
|
||||||||||||||||
Northeast
|
26 | $ | 4,463,202 | $ | 4,491,804 | 21% | ||||||||||
West
|
32 | 3,548,756 | 4,126,256 | 19 | ||||||||||||
Southeast
|
33 | 3,425,624 | 3,618,296 | 17 | ||||||||||||
Southwest
|
24 | 1,786,470 | 1,796,817 | 8 | ||||||||||||
Midwest
|
10 | 1,201,663 | 1,205,877 | 6 | ||||||||||||
Northwest
|
2 | 94,670 | 94,963 | — | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Subtotal
|
127 | 14,520,385 | 15,334,013 | 71 | ||||||||||||
International
|
||||||||||||||||
United Kingdom
|
14 | 1,754,872 | 1,999,180 | 9 | ||||||||||||
Spain
|
4 | 1,448,355 | 1,455,967 | 7 | ||||||||||||
Ireland
|
1 | 1,233,286 | 1,237,547 | 6 | ||||||||||||
Sweden
|
1 | 564,277 | 569,529 | 3 | ||||||||||||
Australia
|
2 | 175,786 | 176,144 | 1 | ||||||||||||
Canada
|
2 | 66,881 | 66,864 | — | ||||||||||||
Other Europe
|
5 | 642,624 | 680,923 | 3 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Subtotal
|
29 | 5,886,081 | 6,186,154 | 29 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total loans receivable
|
156 | $ | 20,406,466 | $ | 21,520,167 | 100% | ||||||||||
|
|
|
|
|
|
|
|
|||||||||
CECL reserve
|
(130,388 | ) | ||||||||||||||
|
|
|||||||||||||||
Loans receivable, net
|
$ | 20,276,078 | ||||||||||||||
|
|
|
||||||||
(1)
|
In certain instances, we finance our loans through the
non-recourse
sale of a senior loan interest that is not included in our consolidated financial statements. See Note 2 for further discussion. Total loan exposure encompasses the entire loan we originated and financed, including $997.6 million of such
non-consolidated
senior interests as of September 30, 2021.
|
|||||||
(2)
|
Excludes investment exposure to the $493.3 million 2018 Single Asset Securitization. See Note 4 for details of the subordinate position we own in the 2018 Single Asset Securitization.
|
December 31, 2020
|
||||||||||||||||
Property Type
|
Number of
Loans |
Net Book
Value |
Total Loan
Exposure
(1)(2)
|
Percentage of
Portfolio |
||||||||||||
Office
|
58 | $ | 9,834,509 | $ | 10,303,895 | 58% | ||||||||||
Hospitality
|
14 | 2,295,255 | 2,369,454 | 14 | ||||||||||||
Multifamily
|
31 | 1,788,149 | 1,862,667 | 11 | ||||||||||||
Industrial
|
6 | 673,912 | 675,344 | 4 | ||||||||||||
Retail
|
4 | 538,702 | 551,243 | 3 | ||||||||||||
Life Sciences
|
1 | 146,290 | 147,763 | 1 | ||||||||||||
Other
|
6 | 1,295,898 | 1,544,255 | 9 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total loans receivable
|
120 | $ | 16,572,715 | $ | 17,454,621 | 100% | ||||||||||
|
|
|
|
|
|
|
|
|||||||||
CECL reserve
|
(173,549 | ) | ||||||||||||||
|
|
|||||||||||||||
Loans receivable, net
|
$ | 16,399,166 | ||||||||||||||
|
|
Geographic Location
|
Number of
Loans |
Net Book
Value |
Total Loan
Exposure
(1)(2)
|
Percentage of
Portfolio |
||||||||||||
United States
|
||||||||||||||||
Northeast
|
24 | $ | 4,050,732 | $ | 4,069,712 | 23% | ||||||||||
West
|
27 | 2,942,126 | 3,413,089 | 20 | ||||||||||||
Southeast
|
25 | 2,624,701 | 2,707,080 | 16 | ||||||||||||
Midwest
|
8 | 973,702 | 976,693 | 6 | ||||||||||||
Southwest
|
9 | 597,100 | 598,813 | 3 | ||||||||||||
Northwest
|
1 | 15,404 | 15,413 | — | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Subtotal
|
94 | 11,203,765 | 11,780,800 | 68 | ||||||||||||
International
|
||||||||||||||||
United Kingdom
|
13 | 1,816,901 | 2,066,390 | 12 | ||||||||||||
Ireland
|
1 | 1,309,443 | 1,317,846 | 8 | ||||||||||||
Spain
|
2 | 1,247,162 | 1,252,080 | 7 | ||||||||||||
Australia
|
2 | 259,126 | 259,788 | 1 | ||||||||||||
Canada
|
3 | 82,185 | 82,262 | — | ||||||||||||
Other Europe
|
5 | 654,133 | 695,455 | 4 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Subtotal
|
26 | 5,368,950 | 5,673,821 | 32 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total loans receivable
|
120 | $ | 16,572,715 | $ | 17,454,621 | 100% | ||||||||||
|
|
|
|
|
|
|
|
|||||||||
CECL reserve
|
(173,549 | ) | ||||||||||||||
|
|
|||||||||||||||
Loans receivable, net
|
$ | 16,399,166 | ||||||||||||||
|
|
|
||||||||
(1)
|
In certain instances, we finance our loans through the
non-recourse
sale of a senior loan interest that is not included in our consolidated financial statements. See Note 2 for further discussion. Total loan exposure encompasses the entire loan we originated and financed, including $801.8 million of such
non-consolidated
senior interests as of December 31, 2020.
|
|||||||
(2)
|
Excludes investment exposure to the $735.5 million 2018 Single Asset Securitization. See Note 4 for details of the subordinate position we own in the 2018 Single Asset Securitization.
|
September 30, 2021
|
December 31, 2020
|
|||||||||||||||||||||
Risk Rating
|
Number of Loans
|
Net Book Value
|
Total Loan Exposure
(1)(2)
|
Number of Loans
|
Net Book Value
|
Total Loan Exposure
(1)(2)
|
||||||||||||||||
1
|
8 | $ | 931,330 | $ | 931,831 | 8 | $ | 777,163 | $ | 778,283 | ||||||||||||
2
|
27 | 4,800,884 | 4,836,029 | 17 | 2,513,848 | 2,528,835 | ||||||||||||||||
3
|
110 | 12,060,623 | 13,129,870 | 79 | 9,911,914 | 10,763,496 | ||||||||||||||||
4
|
9 | 2,276,394 | 2,283,701 | 14 | 3,032,593 | 3,045,309 | ||||||||||||||||
5
|
2 | 337,235 | 338,736 | 2 | 337,197 | 338,698 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Total loans receivable
|
156 | $ | 20,406,466 | $ | 21,520,167 | 120 | $ | 16,572,715 | $ | 17,454,621 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||
CECL reserve
|
(130,388 | ) | (173,549 | ) | ||||||||||||||||||
|
|
|
|
|||||||||||||||||||
Loans receivable, net
|
$ | 20,276,078 | $ | 16,399,166 | ||||||||||||||||||
|
|
|
|
(1) |
In certain instances, we finance our loans through the
non-recourse
sale of a senior loan interest that is not included in our consolidated financial statements. See Note 2 for further discussion. Total loan exposure encompasses the entire loan we originated and financed, including $997.6 million and $801.8 million of such
non-consolidated
senior interests as of September 30, 2021 and December 31, 2020, respectively.
|
(2) |
Excludes investment exposure to the 2018 Single Asset Securitization of $493.3 million and $735.5 million as of September 30, 2021 and December 31, 2020, respectively. See Note 4 for details of the subordinate position we own in the 2018 Single Asset Securitization.
|
U.S. Loans
|
Non-U.S. Loans
|
Unique Loans
|
Impaired Loans
|
Total
|
||||||||||||||||
Loans Receivable, Net
|
||||||||||||||||||||
CECL reserve as of December 31, 2020
|
$ | 42,995 | $ | 27,734 | $ | 33,159 | $ | 69,661 | $ | 173,549 | ||||||||||
Increase (decrease) in CECL reserve
|
1,539 | (3,134 | ) | 146 | — | (1,449 | ) | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
CECL reserve as of March 31, 2021
|
$ | 44,534 | $ | 24,600 | $ | 33,305 | $ | 69,661 | $ | 172,100 | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Decrease in CECL reserve
|
(26,861 | ) | (15,771 | ) | (523 | ) | — | (43,155 | ) | |||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
CECL reserve as of June 30, 2021
|
$ | 17,673 | $ | 8,829 | $ | 32,782 | $ | 69,661 | $ | 128,945 | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Increase (decrease) in CECL reserve
|
3,253 | (283 | ) | (1,527 | ) | — | 1,443 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
CECL reserve as of September 30, 2021
|
$ | 20,926 | $ | 8,546 | $ | 31,255 | $ | 69,661 | $ | 130,388 | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
CECL reserve as of December 31, 2019
|
$ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||
Initial CECL reserve on January 1, 2020
|
8,955 | 3,631 | 1,356 | — | 13,942 | |||||||||||||||
Increase in CECL reserve
|
55,906 | 18,194 | 24,652 | — | 98,752 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
CECL reserve as of March 31, 2020
|
$ | 64,861 | $ | 21,825 | $ | 26,008 | $ | — | $ | 112,694 | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
(Decrease) increase in CECL reserve
|
(3,457 | ) | (2,080 | ) | 1,232 | 69,661 | 65,356 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
CECL reserve as of June 30, 2020
|
$ | 61,404 | $ | 19,745 | $ | 27,240 | $ | 69,661 | $ | 178,050 | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
(Decrease) increase in CECL reserve
|
(10,762 | ) | 7,035 | 2,703 | — | (1,024 | ) | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
CECL reserve as of September 30, 2020
|
$ | 50,642 | $ | 26,780 | $ | 29,943 | $ | 69,661 | $ | 177,026 | ||||||||||
|
|
|
|
|
|
|
|
|
|
Net Book Value of Loans Receivable by Year of Origination
(1)(2)
|
||||||||||||||||||||||||||||
|
As of September 30, 2021
|
|||||||||||||||||||||||||||
Risk Rating
|
2021
|
2020
|
2019
|
2018
|
2017
|
Prior
|
Total
|
|||||||||||||||||||||
U.S. loans
|
||||||||||||||||||||||||||||
1
|
$ | — | $ | 43,745 | $ | 696,764 | $ | — | $ | 66,188 | $ | — | $ | 806,697 | ||||||||||||||
2
|
694,114 | — | 586,976 | 887,935 | 391,740 | 81,256 | 2,642,021 | |||||||||||||||||||||
3
|
4,979,207 | 830,399 | 1,844,466 | 1,522,591 | 602,976 | 269,127 | 10,048,766 | |||||||||||||||||||||
4
|
— | — | 96,494 | 540,766 | 63,365 | 51,923 | 752,548 | |||||||||||||||||||||
5
|
— | — | — | — | — | — | — | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Total U.S. loans
|
$ | 5,673,321 | $ | 874,144 | $ | 3,224,700 | $ | 2,951,292 | $ | 1,124,269 | $ | 402,306 | $ | 14,250,032 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Non-U.S.
loans
|
||||||||||||||||||||||||||||
1
|
$ | — | $ | — | $ | 34,877 | $ | — | $ | 89,756 | $ | — | $ | 124,633 | ||||||||||||||
2
|
564,277 | 100,126 | 1,383,692 | — | — | 110,768 | 2,158,863 | |||||||||||||||||||||
3
|
455,534 | — | 907,728 | 393,573 | — | — | 1,756,835 | |||||||||||||||||||||
4
|
— | — | 346,071 | — | — | — | 346,071 | |||||||||||||||||||||
5
|
— | — | — | — | — | — | — | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Total
Non-U.S.
loans
|
$ | 1,019,811 | $ | 100,126 | $ | 2,672,368 | $ | 393,573 | $ | 89,756 | $ | 110,768 | $ | 4,386,402 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Unique loans
|
||||||||||||||||||||||||||||
1
|
$ | — | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||||
2
|
— | — | — | — | — | — | — | |||||||||||||||||||||
3
|
— | — | — | 196,073 | — | 58,949 | 255,022 | |||||||||||||||||||||
4
|
— | — | 321,156 | 856,619 | — | — | 1,177,775 | |||||||||||||||||||||
5
|
— | — | — | — | — | — | — | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Total unique loans
|
$ | — | $ | — | $ | 321,156 | $ | 1,052,692 | $ | — | $ | 58,949 | $ | 1,432,797 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Impaired loans
|
||||||||||||||||||||||||||||
1
|
$ | — | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||||
2
|
— | — | — | — | — | — | — | |||||||||||||||||||||
3
|
— | — | — | — | — | — | — | |||||||||||||||||||||
4
|
— | — | — | — | — | — | — | |||||||||||||||||||||
5
|
— | — | — | 284,808 | — | 52,427 | 337,235 | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Total impaired loans
|
$ | — | $ | — | $ | — | $ | 284,808 | $ | — | $ | 52,427 | $ | 337,235 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Total loans receivable
|
||||||||||||||||||||||||||||
1
|
$ | — | $ | 43,745 | $ | 731,641 | $ | — | $ | 155,944 | $ | — | $ | 931,330 | ||||||||||||||
2
|
1,258,391 | 100,126 | 1,970,668 | 887,935 | 391,740 | 192,024 | 4,800,884 | |||||||||||||||||||||
3
|
5,434,741 | 830,399 | 2,752,194 | 2,112,237 | 602,976 | 328,076 | 12,060,623 | |||||||||||||||||||||
4
|
— | — | 763,721 | 1,397,385 | 63,365 | 51,923 | 2,276,394 | |||||||||||||||||||||
5
|
— | — | — | 284,808 | — | 52,427 | 337,235 | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Total loans receivable
|
$ | 6,693,132 | $ | 974,270 | $ | 6,218,224 | $ | 4,682,365 | $ | 1,214,025 | $ | 624,450 | $ | 20,406,466 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
CECL reserve
|
(130,388 | ) | ||||||||||||||||||||||||||
|
|
|||||||||||||||||||||||||||
Loans receivable, net
|
$ | 20,276,078 | ||||||||||||||||||||||||||
|
|
(1) |
Date loan was originated or acquired by us. Origination dates are subsequently updated to reflect material loan modifications.
|
(2) |
Excludes the $77.6 million net book value of our
held-to-maturity
|
Net Book Value of Loans Receivable by Year of Origination
(1)(2)
|
||||||||||||||||||||||||||||
|
As of December 31, 2020
|
|||||||||||||||||||||||||||
Risk Rating
|
2020
|
2019
|
2018
|
2017
|
2016
|
Prior
|
Total
|
|||||||||||||||||||||
U.S. loans
|
||||||||||||||||||||||||||||
1
|
$ | — | $ | 231,796 | $ | 253,674 | $ | 43,906 | $ | 17,009 | $ | — | $ | 546,385 | ||||||||||||||
2
|
— | 282,017 | 1,172,168 | 757,138 | 79,848 | 222,677 | 2,513,848 | |||||||||||||||||||||
3
|
781,595 | 2,391,297 | 1,672,897 | 1,134,288 | 227,466 | 220,644 | 6,428,187 | |||||||||||||||||||||
4
|
65,978 | 170,541 | 1,055,142 | 63,293 | 105,380 | — | 1,460,334 | |||||||||||||||||||||
5
|
— | — | — | — | — | — | — | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Total U.S. loans
|
$ | 847,573 | $ | 3,075,651 | $ | 4,153,881 | $ | 1,998,625 | $ | 429,703 | $ | 443,321 | $ | 10,948,754 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Non-U.S.
loans
|
||||||||||||||||||||||||||||
1
|
$ | — | $ | — | $ | 136,021 | $ | 94,757 | $ | — | $ | — | $ | 230,778 | ||||||||||||||
2
|
— | — | — | — | — | — | — | |||||||||||||||||||||
3
|
105,300 | 2,526,225 | 479,512 | — | 113,653 | — | 3,224,690 | |||||||||||||||||||||
4
|
— | 256,494 | — | — | — | — | 256,494 | |||||||||||||||||||||
5
|
— | — | — | — | — | — | — | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Total
Non-U.S.
loans
|
$ | 105,300 | $ | 2,782,719 | $ | 615,533 | $ | 94,757 | $ | 113,653 | $ | — | $ | 3,711,962 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Unique loans
|
||||||||||||||||||||||||||||
1
|
$ | — | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||||
2
|
— | — | — | — | — | — | — | |||||||||||||||||||||
3
|
— | — | 198,433 | — | — | 60,604 | 259,037 | |||||||||||||||||||||
4
|
— | 325,097 | 990,668 | — | — | — | 1,315,765 | |||||||||||||||||||||
5
|
— | — | — | — | — | — | — | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Total unique loans
|
$ | — | $ | 325,097 | $ | 1,189,101 | $ | — | $ | — | $ | 60,604 | $ | 1,574,802 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Impaired loans
|
||||||||||||||||||||||||||||
1
|
$ | — | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||||
2
|
— | — | — | — | — | — | — | |||||||||||||||||||||
3
|
— | — | — | — | — | — | — | |||||||||||||||||||||
4
|
— | — | — | — | — | — | — | |||||||||||||||||||||
5
|
— | — | 284,809 | — | — | 52,388 | 337,197 | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Total impaired loans
|
$ | — | $ | — | $ | 284,809 | $ | — | $ | — | $ | 52,388 | $ | 337,197 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Total loans receivable
|
||||||||||||||||||||||||||||
1
|
$ | — | $ | 231,796 | $ | 389,695 | $ | 138,663 | $ | 17,009 | $ | — | $ | 777,163 | ||||||||||||||
2
|
— | 282,017 | 1,172,168 | 757,138 | 79,848 | 222,677 | 2,513,848 | |||||||||||||||||||||
3
|
886,895 | 4,917,522 | 2,350,842 | 1,134,288 | 341,119 | 281,248 | 9,911,914 | |||||||||||||||||||||
4
|
65,978 | 752,132 | 2,045,810 | 63,293 | 105,380 | — | 3,032,593 | |||||||||||||||||||||
5
|
— | — | 284,809 | — | — | 52,388 | 337,197 | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Total loans receivable
|
$ | 952,873 | $ | 6,183,467 | $ | 6,243,324 | $ | 2,093,382 | $ | 543,356 | $ | 556,313 | $ | 16,572,715 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
CECL reserve
|
(173,549 | ) | ||||||||||||||||||||||||||
|
|
|||||||||||||||||||||||||||
Loans receivable, net
|
$ | 16,399,166 | ||||||||||||||||||||||||||
|
|
(1) |
Date loan was originated or acquired by us. Origination dates are subsequently updated to reflect material loan modifications.
|
(2) |
Excludes the $75.7 million net book value of our
held-to-maturity
|
September 30, 2021
|
December 31, 2020
|
|||||||
Accrued interest receivable
|
$ | 78,689 | $ | 66,757 | ||||
Debt securities
held-to-maturity
(1)
|
77,916 | 77,445 | ||||||
CECL reserve
|
(280 | ) | (1,723 | ) | ||||
|
|
|
|
|||||
Debt securities
held-to-maturity,
|
77,636 | 75,722 | ||||||
Derivative assets
|
35,858 | 522 | ||||||
2021 FL4 CLO restricted cash
(2)
|
25,000 | — | ||||||
Loan portfolio payments held by servicer
(3)
|
766 | 73,224 | ||||||
Prepaid expenses
|
43 | 973 | ||||||
Collateral deposited under derivative agreements
|
— | 51,050 | ||||||
Prepaid taxes
|
— | 376 | ||||||
Other
|
622 | 1,195 | ||||||
|
|
|
|
|||||
Total
|
$ | 218,614 | $ | 269,819 | ||||
|
|
|
|
|
|
(1) |
Represents the subordinate position we own in the 2018 Single Asset Securitization, which held aggregate loan assets of $493.3 million and $735.5 million as of September 30, 2021 and December 31, 2020, respectively, with a yield to full maturity of L+10.0% and a maximum maturity date of June 9, 2025, assuming all extension options are exercised by the borrower. Refer to Note 16 for additional discussion.
|
(2) |
Represents $25.0 million of restricted cash held by our 2021 FL4 collateralized loan obligation that can be used to acquire and finance additional assets for up to six months from the date of closing.
|
(3) |
Represents loan principal and interest payments held by our third-party loan servicer as of the balance sheet date which were remitted to us during the subsequent remittance cycle.
|
Debt Securities
Held-To-Maturity
|
||||
CECL reserve as of December 31, 2020
|
$ | 1,723 | ||
Decrease in CECL reserve
|
(834 | ) | ||
|
|
|||
CECL reserve as of March 31, 2021
|
$ | 889 | ||
|
|
|||
Decrease in CECL reserve
|
(767 | ) | ||
|
|
|||
CECL reserve as of June 30, 2021
|
$ | 122 | ||
|
|
|||
Increase in CECL reserve
|
158 | |||
|
|
|||
CECL reserve as of September 30, 2021
|
$ | 280 | ||
|
|
|||
CECL reserve as of December 31, 2019
|
$ | — | ||
Initial CECL reserve on January 1, 2020
|
445 | |||
Increase in CECL reserve
|
4,677 | |||
|
|
|||
CECL reserve as of March 31, 2020
|
$ | 5,122 | ||
|
|
|||
Decrease in CECL reserve
|
(1,003 | ) | ||
|
|
|||
CECL reserve as of June 30, 2020
|
$ | 4,119 | ||
|
|
|||
Decrease in CECL reserve
|
(2,086 | ) | ||
|
|
|||
CECL reserve as of September 30, 2020
|
$ | 2,033 | ||
|
|
September 30, 2021
|
December 31, 2020
|
|||||||
Accrued dividends payable
|
$ | 97,350 | $ | 91,004 | ||||
Accrued interest payable
|
25,772 | 20,548 | ||||||
Accrued management and incentive fees payable
|
19,342 | 19,158 | ||||||
Accounts payable and other liabilities
|
11,080 | 2,671 | ||||||
Current expected credit loss reserve for unfunded loan commitments
(1)
|
5,203 | 10,031 | ||||||
Derivative liabilities
|
355 | 58,915 | ||||||
Secured debt repayments pending servicer remittance
(2)
|
322 | — | ||||||
|
|
|
|
|||||
Total
|
$ | 159,424 | $ | 202,327 | ||||
|
|
|
|
|
|
(1) |
Represents the CECL reserve related to our unfunded loan commitments. See Note 2 for further discussion of the CECL reserve.
|
(2) |
Represents pending transfers from our third-party loan servicer that were remitted to our banking counterparties during the subsequent remittance cycle.
|
U.S. Loans
|
Non-U.S. Loans
|
Unique Loans
|
Impaired Loans
|
Total
|
||||||||||||||||
Unfunded Loan Commitments
|
||||||||||||||||||||
CECL reserve as of December 31, 2020
|
$ | 6,953 | $ | 2,994 | $ | 84 | $ | — | $ | 10,031 | ||||||||||
Increase (decrease) in CECL reserve
|
216 | 778 | (4 | ) | — | 990 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
CECL reserve as of March 31, 2021
|
$ | 7,169 | $ | 3,772 | $ | 80 | $ | — | $ | 11,021 | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Decrease in CECL reserve
|
(4,315 | ) | (2,632 | ) | (37 | ) | — | (6,984 | ) | |||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
CECL reserve as of June 30, 2021
|
$ | 2,854 | $ | 1,140 | $ | 43 | $ | — | $ | 4,037 | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Increase (decrease) in CECL reserve
|
566 | 643 | (43 | ) | — | 1,166 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
CECL reserve as of September 30, 2021
|
$ | 3,420 | $ | 1,783 | $ | — | $ | — | $ | 5,203 | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
CECL reserve as of December 31, 2019
|
$ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||
Initial CECL reserve on January 1, 2020
|
2,801 | 453 | 9 | — | 3,263 | |||||||||||||||
Increase in CECL reserve
|
16,992 | 2,219 | 62 | — | 19,273 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
CECL reserve as of March 31, 2020
|
$ | 19,793 | $ | 2,672 | $ | 71 | $ | — | $ | 22,536 | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
(Decrease) increase in CECL reserve
|
(6,957 | ) | (594 | ) | 17 | — | (7,534 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
CECL reserve as of June 30, 2020
|
$ | 12,836 | $ | 2,078 | $ | 88 | $ | — | $ | 15,002 | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
(Decrease) increase in CECL reserve
|
(3,657 | ) | 732 | (20 | ) | — | (2,945 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
CECL reserve as of September 30, 2020
|
$ | 9,179 | $ | 2,810 | $ | 68 | $ | — | $ | 12,057 | ||||||||||
|
|
|
|
|
|
|
|
|
|
Secured Debt
Borrowings Outstanding
|
||||||||
September 30, 2021
|
December 31, 2020
|
|||||||
Secured credit facilities
|
$ | 11,188,855 | $ | 7,896,863 | ||||
Acquisition facility
|
— | — | ||||||
|
|
|
|
|||||
Total secured debt
|
$ | 11,188,855 | $ | 7,896,863 | ||||
|
|
|
|
|||||
Deferred financing costs
(1)
|
(18,525 | ) | (16,327 | ) | ||||
|
|
|
|
|||||
Net book value of secured debt
|
$ | 11,170,330 | $ | 7,880,536 | ||||
|
|
|
|
|
|
(1) |
Costs incurred in connection with our secured debt are recorded on our consolidated balance sheet when incurred and recognized as a component of interest expense over the life of each related facility.
|
September 30, 2021
|
||||||||||||||||||||||||
Wtd Avg.
|
Wtd Avg.
|
Recourse Limitation
|
||||||||||||||||||||||
Currency
|
Lenders
(1)
|
Borrowings
|
Maturity
(2)
|
Loan Count
|
Collateral
(3)
|
Maturity
(4)
|
Wtd. Avg.
|
Range
|
||||||||||||||||
USD
|
12 | $ | 7,022,125 | 5/5/2025 | 114 | $ | 9,557,168 | 5/1/2025 | 29% | 25% - 100% | ||||||||||||||
EUR
|
6 | 2,369,013 | 7/26/2024 |
|
10 | 3,150,165 | 7/4/2024 |
|
48% | 25% - 100% | ||||||||||||||
GBP
|
6 | 1,163,414 | 10/22/2024 |
|
12 | 1,739,121 | 11/9/2024 |
|
26% | 25% - 50% | ||||||||||||||
Others
(5)
|
4 | 634,303 | 6/17/2025 |
|
5 | 812,537 | 5/28/2025 |
|
27% | 25% - 100% | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Total
|
12 | $ | 11,188,855 | 2/17/2025 | 141 | $ | 15,258,991 | 2/10/2025 | 32% |
25% - 100%
|
||||||||||||||
|
|
|
|
|
|
|
|
|
|
(1) |
Represents the number of lenders with fundings advanced in each respective currency, as well as the total number of facility lenders.
|
(2) |
Based on the earlier of (i) the maximum maturity date of each secured credit facility, or (ii) the maximum maturity date of the collateral loans.
|
(3) |
Represents the principal balance of the collateral assets.
|
(4) |
Maximum maturity assumes all extension options are exercised by the borrower, however our loans may be repaid prior to such date.
|
(5) |
Includes Swedish Krona, Australian Dollar, and Canadian Dollar currencies.
|
Nine Months Ended
September 30, 2021 |
September 30, 2021
|
|||||||||||||||||||||||||||
Spread
(1)
|
New Financings
(2)
|
Total
Borrowings
|
Wtd. Avg.
All-in Cost
(1)(3)(4)
|
Collateral
(5)
|
Wtd. Avg.
All-in Yield
(1)(6)
|
Net Interest
Margin
(7)
|
||||||||||||||||||||||
+ 1.50% or less
|
$ | 3,065,115 | $ | 6,288,807 | + 1.54 | % |
|
$ | 8,176,251 | + 3.09 | % |
|
+ 1.55 | % | ||||||||||||||
+ 1.51% to + 1.75%
|
1,268,796 | 2,780,867 | + 1.88 | % |
|
3,851,597 | + 3.40 | % |
|
+ 1.52 | % | |||||||||||||||||
+ 1.76% to + 2.00%
|
479,767 | 897,258 | + 2.08 | % |
|
1,253,906 | + 3.95 | % |
|
+ 1.87 | % | |||||||||||||||||
+ 2.01% or more
|
465,872 | 1,221,923 | + 2.42 | % |
|
1,977,237 | + 4.42 | % |
|
+ 2.00 | % | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Total
|
$ | 5,279,550 | $ | 11,188,855 | + 1.77 | % | $ | 15,258,991 | + 3.41 | % | + 1.64 | % | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
Year Ended
December 31, 2020 |
December 31, 2020
|
|||||||||||||||||||||||||||
Spread
(1)
|
New Financings
(2)
|
Total
Borrowings
|
Wtd. Avg.
All-in Cost
(1)(3)(4)
|
Collateral
(5)
|
Wtd. Avg.
All-in Yield
(1)(6)
|
Net Interest
Margin
(7)
|
||||||||||||||||||||||
+ 1.50% or less
|
$ | 376,085 | $ | 4,192,280 | + 1.59 | % | $ | 6,338,626 | + 3.09 | % | + 1.50 | % | ||||||||||||||||
+ 1.51% to + 1.75%
|
172,447 | 1,945,692 | + 1.95 | % |
|
2,975,581 | + 3.43 | % |
|
+ 1.48 | % | |||||||||||||||||
+ 1.76% to + 2.00%
|
215,056 | 926,666 | + 2.06 | % |
|
1,212,546 | + 3.83 | % |
|
+ 1.77 | % | |||||||||||||||||
+ 2.01% or more
|
134,928 | 832,225 | + 2.49 | % |
|
1,514,154 | + 4.34 | % |
|
+ 1.85 | % | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Total
|
$ | 898,516 | $ | 7,896,863 | + 1.83 | % | $ | 12,040,907 | + 3.40 | % | + 1.57 | % | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
(1) |
The spread,
all-in
cost, and
all-in
yield are expressed over the relevant floating benchmark rates, which include USD LIBOR, GBP LIBOR, SONIA, EURIBOR, STIBOR, BBSY, and CDOR, as applicable.
|
(2) |
Represents borrowings outstanding as of September 30, 2021 and December 31, 2020, respectively, for new financings during the nine months ended September 30, 2021 and year ended December 31, 2020, respectively, based on the date collateral was initially pledged to each credit facility.
|
(3) |
In addition to spread, the cost includes the associated deferred fees and expenses related to the respective borrowings.
|
(4) |
Represents the weighted-average
all-in
cost as of September 30, 2021 and December 31, 2020, respectively, and is not necessarily indicative of the spread applicable to recent or future borrowings.
|
(5) |
Represents the principal balance of the collateral assets.
|
(6) |
In addition to cash coupon,
all-in
yield includes the amortization of deferred origination and extension fees, loan origination costs, and purchase discounts, as well as the accrual of exit fees.
|
(7) |
Represents the difference between the weighted-average
all-in
yield and weighted-average
all-in
cost.
|
September 30, 2021
|
||||||||||||||||||
Securitized Debt Obligations
|
Count
|
Principal
Balance
|
Book Value
|
Wtd. Avg.
Yield/Cost
(1)
(2)
|
Term
(3)
|
|||||||||||||
2021 FL4 Collateralized Loan Obligation
|
||||||||||||||||||
Collateral assets
|
35 | $ | 1,000,000 | $ | 1,000,000 | + 3.41 | % | July 2024 | ||||||||||
Financing provided
|
1 | 803,750 | 796,864 | + 1.65 | % | May 2038 | ||||||||||||
2020 FL3 Collateralized Loan Obligation
|
||||||||||||||||||
Collateral assets
|
21 | 1,000,000 | 1,000,000 | + 3.02 | % | April 2024 | ||||||||||||
Financing provided
(2)
|
1 | 808,750 | 803,378 | + 2.10 | % | November 2037 | ||||||||||||
2020 FL2 Collateralized Loan Obligation
|
||||||||||||||||||
Collateral assets
|
24 | 1,500,000 | 1,500,000 | + 3.10 | % | March 2024 | ||||||||||||
Financing provided
(2)
|
1 | 1,243,125 | 1,235,807 | + 1.45 | % | February 2038 | ||||||||||||
Total
|
||||||||||||||||||
Collateral assets
|
80 | $ | 3,500,000 | $ | 3,500,000 | + 3.17 | % | |||||||||||
|
|
|
|
|
|
|
||||||||||||
Financing provided
(4)
|
3 | $ | 2,855,625 | $ | 2,836,049 | + 1.69 | % | |||||||||||
|
|
|
|
|
|
|
|
||
(1)
|
In addition to cash coupon,
all-in
yield includes the amortization of deferred origination and extension fees, loan origination costs, purchase discounts, and accrual of exit fees.
|
|
(2)
|
The weighted-average
all-in
yield and cost are expressed as a spread over the relevant floating benchmark rates, which include USD LIBOR and SOFR, as applicable to each securitized debt obligation. As of September 30, 2021, the floating benchmark rate for the financing provided on the 2020 FL3 and 2020 FL2 CLOs is the
30-day
average compounded SOFR, plus a credit spread adjustment of 0.11%. As of September 30, 2021, the
30-day
average compounded SOFR was 0.05% and
one-month
USD LIBOR was 0.08%.
|
|
(3)
|
Loan term represents weighted-average final maturity, assuming all extension options are exercised by the borrower. Repayments of securitized debt obligations are tied to timing of the related collateral loan asset repayments. The term of these obligations represents the rated final distribution date of the securitizations.
|
|
(4)
|
During the three and nine months ended September 30, 2021, we recorded $10.7 million and $35.2 million, respectively, of interest expense related to our securitized debt obligations.
|
December 31, 2020
|
||||||||||||||||||
Securitized Debt Obligations
|
Count
|
Principal
Balance |
Book Value
|
Wtd. Avg.
Yield/Cost
(1)
(2)
|
Term
(3)
|
|||||||||||||
2020 FL3 Collateralized Loan Obligation
|
||||||||||||||||||
Collateral assets
|
25 | $ | 1,000,000 | $ | 1,000,000 | + 3.09 | % | February 2024 | ||||||||||
Financing provided
|
1 | 808,750 | 800,993 | + 2.08 | % | November 2037 | ||||||||||||
2020 FL2 Collateralized Loan Obligation
|
||||||||||||||||||
Collateral assets
|
31 | 1,500,000 | 1,500,000 | + 3.17 | % | January 2024 | ||||||||||||
Financing provided
|
1 | 1,243,125 | 1,233,464 | + 1.44 | % | February 2038 | ||||||||||||
2017 FL1 Collateralized Loan Obligation
|
||||||||||||||||||
Collateral assets
|
15 | 666,334 | 666,334 | + 3.39 | % | January 2023 | ||||||||||||
Financing provided
|
1 | 483,834 | 483,113 | + 1.83 | % | June 2035 | ||||||||||||
2017 Single Asset Securitization
|
||||||||||||||||||
Collateral assets
(4)
|
1 | 619,194 | 618,766 | + 3.57 | % | June 2023 | ||||||||||||
Financing provided
|
1 | 404,929 | 404,929 | + 1.63 | % | June 2033 | ||||||||||||
Total
|
||||||||||||||||||
Collateral assets
|
72 | $ | 3,785,528 | $ | 3,785,100 | + 3.25 | % | |||||||||||
|
|
|
|
|
|
|
|
|||||||||||
Financing provided
(5)
|
4 | $ | 2,940,638 | $ | 2,922,499 | + 1.70 | % | |||||||||||
|
|
|
|
|
|
|
|
|
(1)
|
In addition to cash coupon,
all-in
yield includes the amortization of deferred origination and extension fees, loan origination costs, purchase discounts, and accrual of exit fees.
|
|
(2)
|
The weighted-average
all-in
yield and cost are expressed as a spread over USD LIBOR.
|
|
(3)
|
Loan term represents weighted-average final maturity, assuming all extension options are exercised by the borrower. Repayments of securitized debt obligations are tied to timing of the related collateral loan asset repayments. The term of these obligations represents the rated final distribution date of the securitizations.
|
|
(4)
|
The collateral assets for the 2017 Single Asset Securitization include the total loan amount, of which we securitized $500.0 million.
|
|
(5)
|
During the three and nine months ended September 30, 2020, we recorded $9.1 million and $31.8 million, respectively, of interest expense related to our securitized debt obligations.
|
September 30, 2021
|
||||||||||||||||||
Asset-Specific Debt
|
Count
|
Principal
Balance
|
Book Value
|
Wtd. Avg.
Yield/Cost
(1)
|
Wtd. Avg.
Term
(2)
|
|||||||||||||
Collateral assets
|
3 | $ | 436,562 | $ | 424,650 | + 4.34 | % | Dec. 2024 | ||||||||||
Financing provided
|
3 | $ | 328,068 | $ | 320,895 | + 3.13 | % | Dec. 2024 |
December 31, 2020
|
||||||||||||||||||
Asset-Specific Debt
|
Count
|
Principal
Balance
|
Book Value
|
Wtd. Avg.
Yield/Cost
(1)
|
Wtd. Avg.
Term
(2)
|
|||||||||||||
Collateral assets
|
4 | $ | 512,794 | $ | 499,085 | + 4.65 | % | Oct. 2023 | ||||||||||
Financing provided
|
4 | $ | 399,699 | $ | 391,269 | + 3.48 | % | Oct. 2023 | ||||||||||
|
|
(1)
|
These floating rate loans and related liabilities are indexed to the various benchmark rates relevant in each arrangement in terms of currency and payment frequency. Therefore the net exposure to each benchmark rate is in direct proportion to our net assets indexed to that rate. In addition to cash coupon, yield/cost includes the amortization of deferred origination fees / financing costs.
|
|
(2)
|
The weighted-average term is determined based on the maximum maturity of the corresponding loans, assuming all extension options are exercised by the borrower. Each of our asset-specific debt is term-matched to the corresponding collateral loans.
|
Term Loans
|
Face Value
|
Interest Rate
(1)
|
All-in Cost
(1)(2)
|
Maturity
|
||||||||||||
B-1
Term Loan
|
$ | 932,256 | + 2.25 | % | + 2.53 | % | April 23, 2026 | |||||||||
B-2
Term Loan
|
$ | 420,450 | + 2.75 | % | + 3.42 | % | April 23, 2026 | |||||||||
|
|
(1)
|
The
B-2
Term Loan borrowing is subject to a LIBOR floor of 0.50%.
|
|
(2)
|
Includes issue discount and transaction expenses that are amortized through interest expense over the life of the Term Loans.
|
September 30, 2021
|
December 31, 2020
|
|||||||
Face value
|
$ | 1,352,706 | $ | 1,062,766 | ||||
Unamortized discount
|
(9,748 | ) | (9,807 | ) | ||||
Deferred financing costs
|
(13,321 | ) | (11,255 | ) | ||||
|
|
|
|
|||||
Net book value
|
$ | 1,329,637 | $ | 1,041,704 | ||||
|
|
|
|
Convertible Notes
Issuance |
Face Value
|
Interest Rate
|
All-in Cost
(1)
|
Conversion Rate
(2)
|
Maturity
|
|||||||||||||||
May 2017
|
$ | 402,500 | 4.38 | % | 4.85 | % | 28.0324 | May 5, 2022 | ||||||||||||
March 2018
|
$ | 220,000 | 4.75 | % | 5.33 | % | 27.6052 | March 15, 2023 | ||||||||||||
|
|
(1)
|
Includes issuance costs that are amortized through interest expense over the life of the Convertible Notes using the effective interest method.
|
|
(2)
|
Represents the shares of class A common stock per $1,000 principal amount of Convertible Notes, which is equivalent to a conversion price of $35.67 and $36.23 per share of class A common stock, respectively, for the May 2017 and March 2018 convertible notes. The cumulative dividend threshold as defined in the respective May 2017 and March 2018 convertible notes supplemental indentures have not been exceeded as of September 30, 2021.
|
September 30, 2021
|
December 31, 2020
|
|||||||
Face value
|
$ | 622,500 | $ | 622,500 | ||||
Unamortized discount
|
(3,301 | ) | (5,715 | ) | ||||
Deferred financing costs
|
(214 | ) | (396 | ) | ||||
|
|
|
|
|||||
Net book value
|
$ | 618,985 | $ | 616,389 | ||||
|
|
|
|
Three Months Ended
|
Nine Months Ended
|
|||||||||||||||
September 30,
|
September 30,
|
|||||||||||||||
2021
|
2020
|
2021
|
2020
|
|||||||||||||
Cash coupon
|
$ | 7,015 | $ | 7,015 | $ | 21,045 | $ | 21,045 | ||||||||
Discount and issuance cost amortization
|
873 | 831 | 2,595 | 2,470 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total interest expense
|
$ | 7,888 | $ | 7,846 | $ | 23,640 | $ | 23,515 | ||||||||
|
|
|
|
|
|
|
|
September 30, 2021
|
||||||||||||||||||||||
Interest Rate Derivatives
|
Number of
Instruments |
Notional
Amount |
Strike
|
Index
|
Wtd.-Avg.
Maturity (Years) |
|||||||||||||||||
Interest Rate Caps
|
1 | C$ | 21,020 | 1.0 | % | CDOR | 0.2 |
December 31, 2020
|
||||||||||||||||||||||
Interest Rate Derivatives
|
Number of
Instruments |
Notional
Amount |
Strike
|
Index
|
Wtd.-Avg.
Maturity (Years) |
|||||||||||||||||
Interest Rate Caps
|
2 | C$ | 38,293 | 1.0 | % | CDOR | 0.8 |
September 30, 2021
|
December 31, 2020
|
|||||||||||||||
Foreign Currency Derivatives
|
Number of
Instruments |
Notional
Amount
|
Foreign Currency Derivatives
|
Number of
Instruments
|
Notional
Amount
|
|||||||||||
Buy USD / Sell SEK Forward
|
1 | kr | 999,500 |
Buy USD / Sell EUR Forward
|
8 | € | 754,722 | |||||||||
Buy USD / Sell EUR Forward
|
6 | € | 817,642 |
Buy USD / Sell GBP Forward
|
4 | € | 372,487 | |||||||||
Buy USD / Sell GBP Forward
|
1 | £ | 542,551 |
Buy USD / Sell AUD Forward
|
1 | A$ | 92,800 | |||||||||
Buy USD / Sell AUD Forward
|
1 | A$ | 89,500 |
Buy USD / Sell CAD Forward
|
1 | C$ | 26,200 | |||||||||
Buy USD / Sell CAD Forward
|
1 | C$ | 21,000 |
September 30, 2021
|
December 31, 2020
|
|||||||||||||||
Non-designated
Hedges
|
Number of
Instruments |
Notional
Amount |
Non-designated
Hedges
|
Number of
Instruments |
Notional
Amount |
|||||||||||
Buy GBP / Sell EUR Forward
|
1 | € | 8,410 | Buy EUR / Sell GBP Forward | 2 | £ | 146,207 | |||||||||
Buy EUR / Sell USD Forward
|
1 | € | 13,900 | Buy USD / Sell EUR Forward | 1 | € | 8,410 | |||||||||
Buy USD / Sell EUR Forward
|
1 | € | 13,900 |
Increase (Decrease) to Net Interest Income
Recognized
from Foreign Exchange Contracts
|
||||||||||||||||||||
Three Months
|
Three Months
|
Nine Months
|
Nine Months
|
|||||||||||||||||
Foreign Exchange Contracts
|
Location of Income
|
Ended
|
Ended
|
Ended
|
Ended
|
|||||||||||||||
in Hedging Relationships
|
(Expense) Recognized
|
September 30, 2021
|
September 30, 2020
|
September 30, 2021
|
September 30, 2020
|
|||||||||||||||
Designated Hedges
|
Interest Income |
(1)
|
$ | 1,542 | $ | 1,794 | $ | 5,294 | $ | 2,303 | ||||||||||
Non-Designated
Hedges
|
Interest Income |
(1)
|
34 | (227 | ) | (340 | ) | (222 | ) | |||||||||||
Non-Designated
Hedges
|
Interest Expense |
(2)
|
(8 | ) | 669 | (7,139 | ) | (846 | ) | |||||||||||
|
|
|
|
|
|
|
|
|||||||||||||
Total
|
$ | 1,568 | $ | 2,236 | $ | (2,185 | ) | $ | 1,235 | |||||||||||
|
|
|
|
|
|
|
|
|
||
(1)
|
Represents the forward points earned on our foreign currency forward contracts, which reflect the interest rate differentials between the applicable base rate for our foreign currency investments and USD LIBOR. These forward contracts effectively convert the rate exposure to USD LIBOR, resulting in additional interest income earned in U.S. dollar terms.
|
|
(2)
|
Represents the spot rate movement in our
non-designated
hedges, which are
marked-to-market
|
Fair Value of Derivatives in an Asset
Position
(1)
as of
|
Fair Value of Derivatives in a Liability
Position
(2)
as of
|
|||||||||||||||
September 30, 2021
|
December 31, 2020
|
September 30, 2021
|
December 31, 2020
|
|||||||||||||
Derivatives designated as hedging instruments:
|
||||||||||||||||
Foreign exchange contracts
|
$ | 35,460 | $ | 521 | $ | — | $ | 55,758 | ||||||||
Interest rate derivatives
|
— | 1 | — | — | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total
|
$ | 35,460 | $ | 522 | $ | — | $ | 55,758 | ||||||||
|
|
|
|
|
|
|
|
|||||||||
Derivatives not designated as hedging instruments:
|
||||||||||||||||
Foreign exchange contracts
|
$ | 398 | $ | — | $ | 355 | $ | 3,157 | ||||||||
Interest rate derivatives
|
— | — | — | — | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total
|
$ | 398 | $ | — | $ | 355 | $ | 3,157 | ||||||||
|
|
|
|
|
|
|
|
|||||||||
Total Derivatives
|
$ | 35,858 | $ | 522 | $ | 355 | $ | 58,915 | ||||||||
|
|
|
|
|
|
|
|
|||||||||
|
|
(1) |
Included in other assets in our consolidated balance sheets.
|
(2) |
Included in other liabilities in our consolidated balance sheets.
|
Amount of Gain
Recognized in OCI on
Derivatives
|
Location of Gain
(Loss)
|
Amount of Loss
Reclassified from
Accumulated OCI into
Income
|
||||||||||||||||||
Three Months
|
Nine Months
|
Reclassified from
Accumulated
|
Three Months
|
Nine Months
|
||||||||||||||||
Derivatives in
|
Ended
|
Ended
|
Ended
|
Ended
|
||||||||||||||||
Hedging Relationships
|
September 30, 2021
|
September 30, 2021
|
OCI into Income
|
September 30, 2021
|
September 30, 2021
|
|||||||||||||||
Net Investment Hedges
|
||||||||||||||||||||
Foreign exchange contracts
(1)
|
$ | 46,078 | $ | 65,052 | Interest Expense | $ | — | $ | — | |||||||||||
Cash Flow Hedges
|
||||||||||||||||||||
Interest rate derivatives
|
— | — | Interest Expense |
(2)
|
(5 | ) | (7 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||||||
Total
|
$ | 46,078 | $ | 65,052 | $ | (5 | ) | $ | (7 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
||
(1)
|
During the three and nine months ended September 30, 2021, we received net cash settlements of $18.3 million and paid net cash settlements of $31.0 million, respectively, on our foreign currency forward contracts. Those amounts are included as a component of accumulated other comprehensive income (loss) on our consolidated balance sheets.
|
|
(2)
|
During the three months ended September 30, 2021, we recorded total interest and related expenses of $82.7 million, which included interest expense of $5,000 related to our cash flow hedges. During the nine months ended September 30, 2021, we recorded total interest and related expenses of $243.4 million, which included interest expense of $7,000.
|
Class A Common Stock Offerings
|
||||
September 2021
|
||||
Shares issued
|
10,000,000 | |||
Gross / net issue price per share
(1)
|
$31.45 / $31.24 | |||
Net proceeds
(2)
|
$311,955 |
|
||
(1)
|
|
Represents the gross price per share issued, as well as the net proceeds per share after underwriting or sales discounts and commissions.
|
(2)
|
|
Net proceeds represents proceeds received from the underwriters less applicable transaction costs.
|
Nine Months Ended September 30,
|
||||||||
Common Stock Outstanding
(1)
|
2021
|
2020
|
||||||
Beginning balance
|
147,086,722 | 135,263,728 | ||||||
Issuance of class A common stock
(2)
|
10,001,429 | 10,842,295 | ||||||
Issuance of restricted class A common stock, net
(3)
|
234,229 | 351,333 | ||||||
Issuance of deferred stock units
|
50,009 | 33,790 | ||||||
|
|
|
|
|||||
Ending balance
|
157,372,389 | 146,491,146 | ||||||
|
|
|
|
|
||
(1)
|
Includes 356,700 and 293,856 deferred stock units held by members of our board of directors as of September 30, 2021 and 2020, respectively.
|
|
(2)
|
Includes 1,429 and 1,599 shares issued under our dividend reinvestment program during the nine months ended September 30, 2021 and 2020, respectively.
|
|
(3)
|
The amounts are net of 29,580 and 249 shares of restricted class A common stock forfeited under our stock-based incentive plans during the nine months ended September 30, 2021 and 2020, respectively. See Note 14 for further discussion of our stock-based incentive plans.
|
Three Months Ended September 30,
|
Nine Months Ended September 30,
|
|||||||||||||||
2021
|
2020
|
2021
|
2020
|
|||||||||||||
Dividends declared per share of common stock
|
$ | 0.62 | $ | 0.62 | $ | 1.86 | $ | 1.86 | ||||||||
Class A common stock dividends declared
|
$ | 97,350 | $ | 90,642 | $ | 279,659 | $ | 265,205 | ||||||||
Deferred stock unit dividends declared
|
202 | 174 | 591 | 502 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total dividends declared
|
$ | 97,552 | $ | 90,816 | $ | 280,250 | $ | 265,707 | ||||||||
|
|
|
|
|
|
|
|
Three Months Ended September 30,
|
Nine Months Ended September 30,
|
|||||||||||||||
2021
|
2020
|
2021
|
2020
|
|||||||||||||
Net income
(1)
|
$ | 83,757 | $ | 89,860 | $ | 295,254 | $ | 54,054 | ||||||||
Weighted-average shares outstanding, basic and diluted
|
149,214,819 | 146,484,651 | 147,971,737 | 140,157,620 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Per share amount, basic and diluted
|
$ | 0.56 | $ | 0.61 | $ | 2.00 | $ | 0.39 | ||||||||
|
|
|
|
|
|
|
|
|
||||
(1)
|
Represents net income attributable to Blackstone Mortgage Trust.
|
Three Months Ended September 30,
|
Nine Months Ended September 30,
|
|||||||||||||||
2021
|
2020
|
2021
|
2020
|
|||||||||||||
Professional services
(1)
|
$ | 1,969 | $ | 1,715 | $ | 5,831 | $ | 5,130 | ||||||||
Operating and other costs
(1)
|
792 | 878 | 2,093 | 3,212 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Subtotal
|
2,761 | 2,593 | 7,924 | 8,342 | ||||||||||||
Non-cash
compensation expenses
|
||||||||||||||||
Restricted class A common stock earned
|
7,907 | 8,524 | 23,762 | 25,603 | ||||||||||||
Director stock-based compensation
|
173 | 125 | 422 | 375 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Subtotal
|
8,080 | 8,649 | 24,184 | 25,978 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total general and administrative expenses
|
$ | 10,841 | $ | 11,242 | $ | 32,108 | $ | 34,320 | ||||||||
|
|
|
|
|
|
|
|
|||||||||
|
(1)
|
During the three and nine months ended September 30, 2021, we recognized an aggregate $110,000 and $543,000, respectively, of expenses related to our Multifamily Joint Venture. During the three and nine months ended September 30, 2020, we recognized an aggregate $293,000 and $869,000, respectively, of expenses related to our Multifamily Joint Venture.
|
Restricted Class A
Common Stock |
Weighted-Average
Grant Date Fair Value Per Share |
|||||||
Balance as of December 31, 2020
|
1,627,890 | $ | 33.14 | |||||
Granted
|
263,809 | 26.16 | ||||||
Vested
|
(718,799 | ) | 33.08 | |||||
Forfeited
|
(29,580 | ) | 31.52 | |||||
|
|
|
|
|||||
Balance as of September 30, 2021
|
1,143,320 | $ | 31.60 | |||||
|
|
|
|
September 30, 2021
|
December 31, 2020
|
|||||||||||||||||||||||||||||||
Level 1
|
Level 2
|
Level 3
|
Total
|
Level 1
|
Level 2
|
Level 3
|
Total
|
|||||||||||||||||||||||||
Assets
|
||||||||||||||||||||||||||||||||
Derivatives
|
$ | — | $ | 35,858 | $ | — | $ | 35,858 | $ | — | $ | 522 | $ | — | $ | 522 | ||||||||||||||||
Liabilities
|
||||||||||||||||||||||||||||||||
Derivatives
|
$ | — | $ | 355 | $ | — | $ | 355 | $ | — | $ | 58,915 | $ | — | $ | 58,915 |
September 30, 2021
|
December 31, 2020
|
|||||||||||||||||||||||
Book
|
Face
|
Fair
|
Book
|
Face
|
Fair
|
|||||||||||||||||||
Value
|
Amount
|
Value
|
Value
|
Amount
|
Value
|
|||||||||||||||||||
Financial assets
|
||||||||||||||||||||||||
Cash and cash equivalents
|
$ | 211,180 | $ | 211,180 | $ | 211,180 | $ | 289,970 | $ | 289,970 | $ | 289,970 | ||||||||||||
Loans receivable, net
|
20,276,078 | 20,522,560 | 20,358,824 | 16,399,166 | 16,652,824 | 16,447,192 | ||||||||||||||||||
Debt securities
held-to-maturity
(1)
|
77,636 | 79,200 | 78,633 | 75,722 | 79,200 | 70,127 | ||||||||||||||||||
Financial liabilities
|
||||||||||||||||||||||||
Secured debt, net
|
11,170,330 | 11,188,855 | 11,188,855 | 7,880,536 | 7,896,863 | 7,896,863 | ||||||||||||||||||
Securitized debt obligations, net
|
2,836,049 | 2,855,625 | 2,855,589 | 2,922,499 | 2,940,638 | 2,923,489 | ||||||||||||||||||
Asset-specific debt, net
|
320,895 | 328,068 | 328,068 | 391,269 | 399,699 | 399,699 | ||||||||||||||||||
Term loans, net
|
1,329,637 | 1,352,706 | 1,343,771 | 1,041,704 | 1,062,766 | 1,053,060 | ||||||||||||||||||
Convertible notes, net
|
618,985 | 622,500 | 633,845 | 616,389 | 622,500 | 621,568 |
September 30, 2021
|
December 31, 2020
|
|||||||
Assets:
|
||||||||
Loans receivable
|
$ | 3,475,000 | $ | 3,520,130 | ||||
Current expected credit loss reserve
|
(4,044 | ) | (13,454 | ) | ||||
|
|
|
|
|||||
Loans receivable, net
|
3,470,956 | 3,506,676 | ||||||
Other assets
|
32,406 | 81,274 | ||||||
|
|
|
|
|||||
Total assets
|
$ | 3,503,362 | $ | 3,587,950 | ||||
|
|
|
|
|||||
Liabilities:
|
||||||||
Securitized debt obligations, net
|
$ | 2,836,049 | $ | 2,922,499 | ||||
Other liabilities
|
1,631 | 2,104 | ||||||
|
|
|
|
|||||
Total liabilities
|
$ | 2,837,680 | $ | 2,924,603 | ||||
|
|
|
|
Secured
|
Asset-Specific
|
Term
|
Convertible
|
|||||||||||||||||
Year
|
Debt
(1)
|
Debt
(1)
|
Loans
(2)
|
Notes
(3)
|
Total
(4)
|
|||||||||||||||
2021 (remainder of the year)
|
$ | 130,668 | $ | — | $ | 3,436 | $ | — | $ | 134,104 | ||||||||||
2022
|
228,030 | — | 13,738 | 402,500 | 644,268 | |||||||||||||||
2023
|
1,834,836 | 149,896 | 13,738 | 220,000 | 2,218,470 | |||||||||||||||
2024
|
3,937,001 | — | 13,738 | — | 3,950,739 | |||||||||||||||
2025
|
1,231,023 | 178,172 | 13,738 | — | 1,422,933 | |||||||||||||||
2026
|
3,725,205 | — | 1,294,318 | — | 5,019,523 | |||||||||||||||
Thereafter
|
102,092 | — | — | — | 102,092 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total obligation
|
$ | 11,188,855 | $ | 328,068 | $ | 1,352,706 | $ | 622,500 | $ | 13,492,129 | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
|
(1) |
The allocation of repayments under our secured debt and asset-specific debt is based on the earlier of (i) the maturity date of each agreement, or (ii) the maximum maturity date of the collateral loans, assuming all extension options are exercised by the borrower.
|
(2) |
The Term Loans are partially amortizing, with an amount equal to 1.0% per annum of the principal balance due in quarterly installments. Refer to Note 8 for further details on our term loans.
|
(3) |
Reflects the outstanding principal balance of Convertible Notes, excluding any potential conversion premium. Refer to Note 9 for further details on our Convertible Notes.
|
(4) |
Total does not include $2.9 billion of consolidated securitized debt obligations, $997.6 million of
non-consolidated
senior interests, and $414.1 million of
non-consolidated
securitized debt obligations, as the satisfaction of these liabilities will not require cash outlays from us.
|
ITEM 2.
|
MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
|
Three Months Ended
|
||||||||
September 30, 2021
|
June 30, 2021
|
|||||||
Net income
(1)
|
$ | 83,757 | $ | 131,595 | ||||
Weighted-average shares outstanding, basic and diluted
|
149,214,819 | 147,342,822 | ||||||
|
|
|
|
|||||
Net income per share, basic and diluted
|
$ | 0.56 | $ | 0.89 | ||||
|
|
|
|
|||||
Dividends declared per share
|
$ | 0.62 | $ | 0.62 | ||||
|
|
|
|
|||||
|
(1) |
Represents net income attributable to Blackstone Mortgage Trust.
|
Three Months Ended
|
||||||||
September 30, 2021
|
June 30, 2021
|
|||||||
Net income
(1)
|
$ | 83,757 | $ | 131,595 | ||||
Increase (decrease) in current expected credit loss reserve
|
2,767 | (50,906 | ) | |||||
Non-cash
compensation expense
|
8,080 | 8,020 | ||||||
Realized hedging and foreign currency (loss) income, net
(2)
|
(768 | ) | 744 | |||||
Other items
|
116 | 194 | ||||||
Adjustments attributable to
non-controlling
interests, net
|
(39 | ) | 248 | |||||
|
|
|
|
|||||
Distributable Earnings
|
$ | 93,913 | $ | 89,895 | ||||
|
|
|
|
|||||
Weighted-average shares outstanding, basic and diluted
|
149,214,819 | 147,342,822 | ||||||
|
|
|
|
|||||
Distributable Earnings per share, basic and diluted
|
$ | 0.63 | $ | 0.61 | ||||
|
|
|
|
|||||
|
(1) |
Represents net income attributable to Blackstone Mortgage Trust.
|
(2) |
Represents realized gains and losses on the repatriation of unhedged foreign currency. These amounts are not included in GAAP net income, but rather as a component of Other Comprehensive Income in our consolidated financial statements.
|
September 30, 2021
|
June 30, 2021
|
|||||||
Stockholders’ equity
|
$ | 4,236,550 | $ | 3,930,961 | ||||
Shares
|
||||||||
Class A common stock
|
157,015,689 | 147,015,818 | ||||||
Deferred stock units
|
356,700 | 328,065 | ||||||
|
|
|
|
|||||
Total outstanding
|
157,372,389 | 147,343,883 | ||||||
|
|
|
|
|||||
Book value per share
|
$ | 26.92 | $ | 26.68 | ||||
|
|
|
|
Three Months Ended
|
Nine Months Ended
|
|||||||
September 30, 2021
|
September 30, 2021
|
|||||||
Loan originations
(1)
|
$ | 4,704,489 | $ | 8,604,600 | ||||
Loan fundings
(2)
|
$ | 3,902,460 | $ | 7,734,135 | ||||
Loan repayments and sales
(3)
|
(886,180 | ) | (3,678,372 | ) | ||||
|
|
|
|
|||||
Total net (repayments) fundings
|
$ | 3,016,280 | $ | 4,055,763 | ||||
|
|
|
|
|||||
|
(1) |
Includes new loan originations and additional commitments made under existing loans.
|
(2) |
Loan fundings during the three and nine months ended September 30, 2021 include $89.0 million and $284.6 million, respectively, of additional fundings under related
non-consolidated
senior interests.
|
(3) |
Loan repayments and sales during the three and nine months ended September 30, 2021 include $213.4 million and $327.3 million, respectively, of additional repayments or reduction of loan exposure of loans held by our
non-consolidated
securitized debt obligations and our
non-consolidated
senior interests.
|
Total Investment Exposure
|
||||||||||||||||||||
Balance Sheet
Portfolio
(1)
|
Loan
Exposure
(1)(2)
|
Other
Investments
(3)
|
Total Investment
Portfolio |
|||||||||||||||||
Number of investments
|
156 | 156 | 1 |
|
157 | |||||||||||||||
Principal balance
|
$ | 20,522,560 | $ | 21,520,167 | $ | 493,283 |
|
$ | 22,013,450 | |||||||||||
Net book value
|
$ | 20,276,078 | $ | 20,276,078 | $ | 77,636 |
|
$ | 20,353,714 | |||||||||||
Unfunded loan commitments
(4)
|
$ | 4,220,214 | $ | 4,737,564 | $ | — |
|
$ | 4,737,564 | |||||||||||
Weighted-average spread
(5)
|
+ 3.18 | % | + 3.22 | % | + 2.75 | % |
|
+ 3.22 | % | |||||||||||
Weighted-average
all-in
yield
(5)
|
+ 3.51 | % | + 3.55 | % | + 2.98 | % |
|
+ 3.54 | % | |||||||||||
Weighted-average maximum maturity (years)
(6)
|
3.3 | 3.3 | 3.7 |
|
3.3 | |||||||||||||||
Origination loan to value (LTV)
(7)
|
65.5 | % | 65.6 | % | 42.6 | % |
|
65.1 | % | |||||||||||
|
(1)
|
Excludes investment exposure to the $79.2 million subordinate position we own in the $493.3 million 2018 Single Asset Securitization. Refer to Notes 4 and 16 to our consolidated financial statements for further discussion of the 2018 Single Asset Securitization.
|
|
(2)
|
In certain instances, we finance our loans through the
non-recourse
sale of a senior loan interest that is not included in our consolidated financial statements. Total loan exposure encompasses the entire loan we originated and financed, including $997.6 million of such
non-consolidated
senior interests that are not included in our balance sheet portfolio.
|
|
(3)
|
Includes investment exposure to the $493.3 million 2018 Single Asset Securitization. We do not consolidate the 2018 Single Asset Securitization on our consolidated financial statements, and instead reflect our $79.2 million subordinate position as a component of other assets on our consolidated balance sheet. Refer to Notes 4 and 16 to our consolidated financial statements for further discussion of the 2018 Single Asset Securitization.
|
|
(4)
|
Unfunded commitments will primarily be funded to finance our borrowers’ construction or development of real estate-related assets, capital improvements of existing assets, or lease-related expenditures. These commitments will generally be funded over the term of each loan, subject in certain cases to an expiration date.
|
|
(5)
|
The weighted-average spread and
all-in
yield are expressed as a spread over the relevant floating benchmark rates, which include USD LIBOR, GBP LIBOR, SONIA, EURIBOR, STIBOR, BBSY, and CDOR, as applicable to each investment. As of September 30, 2021, 98% of our investments by total investment exposure earned a floating rate of interest, primarily indexed to USD LIBOR. The other 2% of our investments earned a fixed rate of interest, which we reflect as a spread over the relevant floating benchmark rates, as of September 30, 2021, for purposes of the weighted-averages. In addition to spread,
all-in
yield includes the amortization of deferred origination and extension fees, loan origination costs, and purchase discounts, as well as the accrual of exit fees. Excludes loans accounted for under the cost-recovery method.
|
|
(6)
|
Maximum maturity assumes all extension options are exercised by the borrower, however our loans and other investments may be repaid prior to such date. As of September 30, 2021, 45% of our loans and other investments by total investment exposure were subject to yield maintenance or other prepayment restrictions and 55% were open to repayment by the borrower without penalty.
|
|
(7)
|
Based on LTV as of the dates loans and other investments were originated or acquired by us.
|
Loans Receivable Principal Balance
|
||||||||||||
Index rate floors
|
USD
|
Non-USD
(1)
|
Total
|
|||||||||
Fixed rate
|
$ | — | $ | 344,370 | $ | 344,370 | ||||||
0.00% or no floor
(2)
|
3,265,850 | 4,912,696 | 8,178,546 | |||||||||
0.01% to 0.24% floor
|
3,910,133 | 112,026 | 4,022,159 | |||||||||
0.25% to 0.99% floor
|
1,363,685 | 271,616 | 1,635,301 | |||||||||
1.00% or more floor
|
6,794,344 | 545,447 | 7,339,791 | |||||||||
|
|
|
|
|
|
|||||||
Total
(3)(4)(5)
|
$ | 15,334,012 | $ | 6,186,155 | $ | 21,520,167 | ||||||
|
|
|
|
|
|
|||||||
|
(1)
|
Includes Euro, British Pound Sterling, Swedish Krona, Australian Dollar, and Canadian Dollar Currencies.
|
|
(2)
|
Includes $338.7 million of loans accounted for under the cost-recovery method.
|
|
(3)
|
Excludes investment exposure to the $79.2 million subordinate position we own in the $493.3 million 2018 Single Asset Securitization. Refer to Notes 4 and 16 to our consolidated financial statements for further discussion of the 2018 Single Asset Securitization.
|
|
(4)
|
In certain instances, we finance our loans through the
non-recourse
sale of a senior loan interest that is not included in our consolidated financial statements. Total loan exposure encompasses the entire loan we originated and financed, including $997.6 million of such
non-consolidated
senior interests that are not included in our balance sheet portfolio.
|
|
(5)
|
As of September 30, 2021, the weighted-average index rate floor of our loan portfolio was 0.58%. Excluding 0.0% index rate floors, the weighted-average index rate floor was 0.94%.
|
Investment
Count |
Currency
|
Total Investment
Portfolio |
Floating Rate Index
(1)
|
Cash Coupon
(2)
|
All-in
Yield
(2)
|
|||||||||||||||||
128 | $ | $ | 15,827,294 | USD LIBOR | + 3.14% | + 3.45% | ||||||||||||||||
10 | € | € | 2,866,354 | EURIBOR | + 3.02% | + 3.39% | ||||||||||||||||
14 | £ | £ | 1,524,699 |
GBP LIBOR / SONIA
(3)
|
+ 4.01% | + 4.35% | ||||||||||||||||
1 | kr | kr | 4,990,212 | STIBOR | + 3.20% | + 3.41% | ||||||||||||||||
2 | A$ | A$ | 243,731 | BBSY | + 4.21% | + 4.48% | ||||||||||||||||
2 | C$ | C$ | 84,784 | CDOR | + 3.78% | + 4.18% | ||||||||||||||||
|
|
|
|
|
||||||||||||||||||
157 | $ | 22,013,450 | Applicable Index | + 3.22% | + 3.54% | |||||||||||||||||
|
|
|
|
|
(1) |
We use foreign currency forward contracts to protect the value or fix the amount of certain investments or cash flows in terms of the U.S. dollar. We earn forward points on our forward contracts that reflect the interest rate differentials between the applicable base rate for our foreign currency investments and USD LIBOR. These forward contracts effectively convert the foreign currency rate exposure for such investments to USD LIBOR.
|
(2) |
The cash coupon and
all-in
yield of our fixed rate loans are reflected as a spread over USD LIBOR for purposes of the weighted-averages. In addition to cash coupon,
all-in
yield includes the amortization of deferred origination and extension fees, loan origination costs, and purchase discounts, as well as the accrual of exit fees. Excludes loans accounted for under the cost-recovery method.
|
(3) |
As of September 30, 2021, £917.6 million and £373.1 million of loans were indexed to GBP LIBOR and SONIA, respectively. The remaining £234.0 million of our British Pound Sterling loans are fixed rate. As of September 30, 2021, three-month GBP LIBOR was 0.08% and SONIA was 0.05%.
|
September 30, 2021
|
||||||||||
Risk
|
Number
|
Net Book
|
Total Loan
|
|||||||
Rating
|
of Loans
|
Value
|
Exposure
(1)(2)
|
|||||||
1 | 8 | $ | 931,330 | $ | 931,831 | |||||
2 | 27 | 4,800,884 | 4,836,029 | |||||||
3 | 110 | 12,060,623 | 13,129,870 | |||||||
4 | 9 | 2,276,394 | 2,283,701 | |||||||
5 | 2 | 337,235 | 338,736 | |||||||
|
|
|
|
|
||||||
Loans receivable
|
156 | $ | 20,406,466 | $ | 21,520,167 | |||||
|
|
|
|
|
||||||
CECL reserve
|
(130,388 | ) | ||||||||
|
|
|||||||||
Loans receivable, net
|
$ | 20,276,078 | ||||||||
|
|
|||||||||
|
(1) |
In certain instances, we finance our loans through the
non-recourse
sale of a senior loan interest that is not included in our consolidated financial statements. See Note 2 to our consolidated financial statements for further discussion. Total loan exposure encompasses the entire loan we originated and financed, including $997.6 million of such
non-consolidated
senior interests as of September 30, 2021.
|
(2) |
Excludes investment exposure to the $493.3 million 2018 Single Asset Securitization. Refer to Notes 4 and 16 to our consolidated financial statements for details of the subordinate position we own in the 2018 Single Asset Securitization.
|
Portfolio Financing
|
||||||||
Outstanding Principal Balance
|
||||||||
September 30, 2021
|
December 31, 2020
|
|||||||
Secured debt
|
$ | 11,188,855 | $ | 7,896,863 | ||||
Securitizations
(1)
|
3,269,708 | 3,596,980 | ||||||
Asset-specific financings
(2)
|
1,325,674 | 1,201,495 | ||||||
|
|
|
|
|||||
Total portfolio financing
|
$ | 15,784,237 | $ | 12,695,338 | ||||
|
|
|
|
|||||
|
(1) |
Includes our consolidated securitized debt obligations of $2.9 billion and our
non-consolidated
securitized debt obligations of $414.1 million as of September 30, 2021, and our consolidated securitized debt obligations of $2.9 billion and our
non-consolidated
securitized debt obligations of $656.3 million as of December 31, 2020. The
non-consolidated
securitized debt obligation represents the senior
non-consolidated
investment exposure to the 2018 Single Asset Securitization. We own the related subordinate position, which is classified as a
held-to-maturity
|
(2) |
Includes our consolidated asset-specific debt of $328.1 million and our
non-consolidated
senior interests of $997.6 million as of September 30, 2021, and our consolidated asset-specific debt of $399.7 million and our
non-consolidated
senior interests of $801.8 million as of December 31, 2020. The
non-consolidated
senior interests provide structural leverage for our net investments which are reflected in the form of mezzanine loans or other subordinate interests on our balance sheet and in our results of operations.
|
Secured Debt
|
||||||||
Borrowings Outstanding
|
||||||||
September 30, 2021
|
December 31, 2020
|
|||||||
Secured credit facilities
|
$ | 11,188,855 | $ | 7,896,863 | ||||
Acquisition facility
|
— | — | ||||||
|
|
|
|
|||||
Total secured debt
|
$ | 11,188,855 | $ | 7,896,863 | ||||
|
|
|
|
Nine Months Ended
|
||||||||||||||||||||||||||||
September 30, 2021
|
September 30, 2021
|
|||||||||||||||||||||||||||
Total
|
Wtd. Avg.
|
Wtd. Avg.
|
Net Interest
|
|||||||||||||||||||||||||
Spread
(1)
|
New Financings
(2)
|
Borrowings
|
All-in Cost
(1)(3)(4)
|
Collateral
(5)
|
All-in Yield
(1)(6)
|
Margin
(7)
|
||||||||||||||||||||||
+ 1.50% or less
|
$ | 3,065,115 | $ | 6,288,807 | + 1.54 | % |
|
$ | 8,176,251 | + 3.09 | % |
|
+ 1.55 | % | ||||||||||||||
+ 1.51% to + 1.75%
|
1,268,796 | 2,780,867 | + 1.88 | % |
|
3,851,597 | + 3.40 | % |
|
+ 1.52 | % | |||||||||||||||||
+ 1.76% to + 2.00%
|
479,767 | 897,258 | + 2.08 | % |
|
1,253,906 | + 3.95 | % |
|
+ 1.87 | % | |||||||||||||||||
+ 2.01% or more
|
465,872 | 1,221,923 | + 2.42 | % |
|
1,977,237 | + 4.42 | % |
|
+ 2.00 | % | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Total
|
$ | 5,279,550 | $ | 11,188,855 | + 1.77 | % | $ | 15,258,991 | + 3.41 | % | + 1.64 | % | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
(1) |
The spread,
all-in
cost, and
all-in
yield are expressed over the relevant floating benchmark rates, which include USD LIBOR, GBP LIBOR, SONIA, EURIBOR, STIBOR, BBSY, and CDOR, as applicable.
|
(2) |
Represents borrowings outstanding as of September 30, 2021, for new financings during the nine months ended September 30, 2021, based on the date collateral was initially pledged to each credit facility.
|
(3) |
In addition to spread, the cost includes the associated deferred fees and expenses related to the respective borrowings.
|
(4) |
Represents the weighted-average
all-in
cost as of September 30, 2021 and is not necessarily indicative of the spread applicable to recent or future borrowings.
|
(5) |
Represents the principal balance of the collateral assets.
|
(6) |
In addition to cash coupon,
all-in
yield includes the amortization of deferred origination and extension fees, loan origination costs, and purchase discounts, as well as the accrual of exit fees.
|
(7) |
Represents the difference between the weighted-average
all-in
yield and weighted average all in cost.
|
Securitizations Outstanding
|
||||||||
September 30, 2021
|
December 31, 2020
|
|||||||
Securitized debt obligations
|
$ | 2,855,625 | $ | 2,940,638 | ||||
Non-consolidated
securitized debt obligation
(1)
|
414,083 | 656,342 | ||||||
|
|
|
|
|||||
Total securitizations
|
$ | 3,269,708 | $ | 3,596,980 | ||||
|
|
|
|
|
(1)
|
These
non-consolidated
securitized debt obligations represent the senior
non-consolidated
investment exposure to the 2018 Single Asset Securitization. We own the related subordinate position, which is classified as a
held-to-maturity
|
September 30, 2021
|
||||||||||||||||||||
Securitized Debt Obligations
|
Count
|
Principal
Balance |
Book Value
|
Wtd. Avg.
Yield/Cost
(1)
(2)
|
Term
(3)
|
|||||||||||||||
2021 FL4 Collateralized Loan Obligation
|
||||||||||||||||||||
Collateral assets
|
35 | $ | 1,000,000 | $ | 1,000,000 | + 3.41 | % | July 2024 | ||||||||||||
Financing provided
|
1 | 803,750 | 796,864 | + 1.65 | % | May 2038 | ||||||||||||||
2020 FL3 Collateralized Loan Obligation
|
||||||||||||||||||||
Collateral assets
|
21 | 1,000,000 | 1,000,000 | + 3.02 | % | April 2024 | ||||||||||||||
Financing provided
|
1 | 808,750 | 803,378 | + 2.10 | % | November 2037 | ||||||||||||||
2020 FL2 Collateralized Loan Obligation
|
||||||||||||||||||||
Collateral assets
|
24 | 1,500,000 | 1,500,000 | + 3.10 | % | March 2024 | ||||||||||||||
Financing provided
|
1 | 1,243,125 | 1,235,807 | + 1.45 | % | February 2038 | ||||||||||||||
Total
|
||||||||||||||||||||
Collateral assets
|
80 | $ | 3,500,000 | $ | 3,500,000 | + 3.17 | % | |||||||||||||
|
|
|
|
|
|
|
|
|||||||||||||
Financing provided
(4)
|
3 | $ | 2,855,625 | $ | 2,836,049 | + 1.69 | % | |||||||||||||
|
|
|
|
|
|
|
|
|
||
(1)
|
In addition to cash coupon,
all-in
yield includes the amortization of deferred origination and extension fees, loan origination costs, purchase discounts, and accrual of exit fees.
|
|
(2)
|
The weighted-average
all-in
yield and cost are expressed as a spread over the relevant floating benchmark rates, which include USD LIBOR and SOFR, as applicable to each securitized debt obligation. As of September 30, 2021, the floating benchmark rate for the financing provided on the 2020 FL3 and 2020 FL2 CLOs is the
30-day
average compounded SOFR, plus a credit spread adjustment of 0.11%. As of September 30, 2021, the
30-day
average compounded SOFR was 0.05% and
one-month
USD LIBOR was 0.08%.
|
|
(3)
|
Loan term represents weighted-average final maturity, assuming all extension options are exercised by the borrower. Repayments of securitized debt obligations are tied to timing of the related collateral loan asset repayments. The term of these obligations represents the rated final distribution date of the securitizations.
|
|
(4)
|
During the three and nine months ended September 30, 2021, we recorded $10.7 million and $35.2 million, respectively, of interest expense related to our securitized debt obligations.
|
September 30, 2021
|
||||||||||||||||||
Non-Consolidated
Securitized Debt Obligation
|
Count
|
Principal
Balance |
Book
Value |
Wtd. Avg.
Yield/Cost
(1)
|
Wtd. Avg.
Term
(2)
|
|||||||||||||
Collateral assets
|
1 | $ | 493,283 | n / a | + 2.98 | % | June 2025 | |||||||||||
Financing provided
|
1 | $ | 414,083 | n / a | + 2.45 | % | June 2035 |
|
||
(1)
|
In addition to cash coupon,
all-in
yield includes the amortization of deferred origination and extension fees, loan origination costs, and purchase discounts.
|
|
(2)
|
Loan term represents weighted-average final maturity, assuming all extension options are exercised by the borrower. Repayments of
non-consolidated
securitized debt obligations are tied to timing of the related collateral loan asset repayments. The term of these obligations represents the rated final distribution date of the securitizations.
|
Asset-Specific Financings
|
||||||||
Outstanding Principal Balance
|
||||||||
September 30, 2021
|
December 31, 2020
|
|||||||
Asset-specific debt
|
$ | 328,068 | $ | 399,699 | ||||
Non-consolidated
senior interests
(1)
|
997,606 | 801,796 | ||||||
|
|
|
|
|||||
Total asset-specific financings
|
$ | 1,325,674 | $ | 1,201,495 | ||||
|
|
|
|
|||||
|
(1)
|
These
non-consolidated
senior interests provide structural leverage for our net investments which are reflected in the form of mezzanine loans or other subordinate interests on our balance sheet and in our results of operations.
|
September 30, 2021
|
||||||||||||||||||
Asset-Specific Debt
|
Count
|
Principal
Balance |
Book
Value |
Wtd. Avg.
Yield/Cost
(1)
|
Wtd. Avg.
Term
(2)
|
|||||||||||||
Collateral assets
|
3 | $ | 436,562 | $ | 424,650 | + 4.34 | % | Dec. 2024 | ||||||||||
Financing provided
|
3 | $ | 328,068 | $ | 320,895 | + 3.13 | % | Dec. 2024 |
|
||
(1)
|
These floating rate loans and related liabilities are indexed to the various benchmark rates relevant in each arrangement in terms of currency and payment frequency. Therefore the net exposure to each benchmark rate is in direct proportion to our net assets indexed to that rate. In addition to cash coupon, yield/cost includes the amortization of deferred origination fees / financing costs.
|
|
(2)
|
The weighted-average term is determined based on the maximum maturity of the corresponding loans, assuming all extension options are exercised by the borrower. Each of our asset-specific financings is term-matched to the corresponding collateral loans.
|
September 30, 2021
|
||||||||||||||||||
Non-Consolidated
Senior Interests
|
Count
|
Principal
Balance |
Book
Value |
Wtd. Avg.
Yield/Cost
(1)
|
Wtd. Avg.
Term |
|||||||||||||
Total loan
|
4 | $ | 1,241,327 | n / a | + 4.43 | % | Nov. 2024 | |||||||||||
Senior participation
|
4 | $ | 997,606 | n / a | + 3.19 | % | Nov. 2024 | |||||||||||
|
(1) |
The weighted-average spread and
all-in
yield are expressed as a spread over the relevant floating benchmark rates, which include USD LIBOR and GBP LIBOR, as applicable to each investment. As of September 30, 2021, 73% of these loans’ total investment exposure earned a floating rate of interest indexed to USD LIBOR. The other 27% of our investments earned a fixed rate of interest, which we reflect as a spread over GBP LIBOR, as of September 30, 2021, for purposes of the weighted-averages. In addition to spread,
all-in
yield includes the amortization of deferred origination and extension fees, loan origination costs, and purchase discounts, as well as the accrual of exit fees.
|
Corporate Financing
|
||||||||
Outstanding Principal Balance
|
||||||||
September 30, 2021
|
December 31, 2020
|
|||||||
Term loans
|
$ | 1,352,706 | $ | 1,062,766 | ||||
Convertible notes
|
622,500 | 622,500 | ||||||
|
|
|
|
|||||
Total corporate financing
|
$ | 1,975,206 | $ | 1,685,266 | ||||
|
|
|
|
Term Loans
|
Face Value
|
Interest Rate
(1)
|
All-in Cost
(1)(2)
|
Maturity
|
||||||||||||
B-1
Term Loan
|
$ | 932,256 | + 2.25 | % | + 2.53 | % | April 23, 2026 | |||||||||
B-2
Term Loan
|
$ | 420,450 | + 2.75 | % | + 3.42 | % | April 23, 2026 | |||||||||
|
(1)
|
The
B-2
Term Loan borrowing is subject to a LIBOR floor of 0.50%.
|
|
(2)
|
Includes issue discount and transaction expenses that are amortized through interest expense over the life of the Term Loans.
|
Convertible Notes Issuance
|
Face Value
|
Interest Rate
|
All-in Cost
(1)
|
Maturity
|
||||||||||||
May 2017
|
$ | 402,500 | 4.38 | % | 4.85 | % | May 5, 2022 | |||||||||
March 2018
|
$ | 220,000 | 4.75 | % | 5.33 | % | March 15, 2023 | |||||||||
|
(1)
|
Includes issuance costs that are amortized through interest expense over the life of the Convertible Notes using the effective interest method.
|
USD
|
EUR
|
GBP
|
SEK
|
AUD
|
CAD
|
|||||||||||||||||||
Floating rate loans
(1)(2)(3)
|
$ | 15,827,294 | € | 2,858,050 | £ | 1,290,724 | kr | 4,990,212 | A$ | 243,731 | C$ | 60,064 | ||||||||||||
Floating rate debt
(1)(2)(3)(4)(5)
|
(12,704,353 | ) | (2,045,780 | ) | (863,451 | ) | (3,992,169 | ) | (177,127 | ) | (64,250 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Net floating rate exposure
(6)
|
$ | 3,122,941 | € | 812,270 | £ | 427,273 | kr | 998,043 | A$ | 66,604 | C$ | (4,186 | ) | |||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Net floating rate exposure in USD
(6)(7)
|
$ | 3,122,941 | $ | 940,609 | $ | 575,707 | $ | 113,906 | $ | 48,134 | $ | (3,301 | ) | |||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Our floating rate investments and related liabilities are indexed to the various benchmark rates relevant in each case in terms of currency and payment frequency. Therefore the net exposure to each benchmark rate is in direct proportion to our net assets indexed to that rate.
|
|
(2)
|
Includes investment exposure and related financing of the 2018 Single Asset Securitization. Refer to Notes 4 and 16 to our consolidated financial statements for details of the subordinate position we own in the 2018 Single Asset Securitization.
|
|
(3)
|
As of September 30, 2021, £917.6 million and £373.1 million of floating rate loans were indexed to GBP LIBOR and SONIA, respectively. As of September 30, 2021, £472.6 million and £390.8 million of floating rate debt was indexed to GBP LIBOR and SONIA, respectively. As of September 30, 2021, three-month GBP LIBOR was 0.08% and SONIA was 0.05%.
|
|
(4)
|
Includes borrowings under secured debt, securitizations, asset-specific financings, and term loans.
|
|
(5)
|
As of September 30, 2021, $10.7 billion and $2.1 billion of floating rate debt was indexed to USD LIBOR and SOFR, respectively. As of September 30, 2021, the floating benchmark rate for the financing provided on the 2020 FL3 and 2020 FL2 CLOs is the
30-day
average compounded SOFR, plus a credit spread adjustment of 0.11%. As of September 30, 2021, the
30-day
average compounded SOFR was 0.05% and
one-month
USD LIBOR was 0.08%.
|
|
(6)
|
In addition, we have one interest rate cap of C$21.0 million ($16.6 million as of September 30, 2021) to limit our exposure to increases in interest rates.
|
|
(7)
|
Represents the U.S. Dollar equivalent as of September 30, 2021.
|
Three Months Ended
|
Change
|
|||||||||||
September 30,
2021 |
June 30,
2021 |
$
|
||||||||||
Income from loans and other investments
|
||||||||||||
Interest and related income
|
$ | 200,114 | $ | 196,303 | $ | 3,811 | ||||||
Less: Interest and related expenses
|
82,690 | 82,352 | 338 | |||||||||
|
|
|
|
|
|
|||||||
Income from loans and other investments, net
|
117,424 | 113,951 | 3,473 | |||||||||
Other expenses
|
||||||||||||
Management and incentive fees
|
19,342 | 21,545 | (2,203 | ) | ||||||||
General and administrative expenses
|
10,841 | 10,669 | 172 | |||||||||
|
|
|
|
|
|
|||||||
Total other expenses
|
30,183 | 32,214 | (2,031 | ) | ||||||||
(Increase) decrease in current expected credit loss reserve
|
(2,767 | ) | 50,906 | (53,673 | ) | |||||||
|
|
|
|
|
|
|||||||
Income before income taxes
|
84,474 | 132,643 | (48,169 | ) | ||||||||
Income tax provision
|
70 | 175 | (105 | ) | ||||||||
|
|
|
|
|
|
|||||||
Net income
|
84,404 | 132,468 | (48,064 | ) | ||||||||
|
|
|
|
|
|
|||||||
Net income attributable to
non-controlling
interests
|
(647 | ) | (873 | ) | 226 | |||||||
|
|
|
|
|
|
|||||||
Net income attributable to
|
||||||||||||
Blackstone Mortgage Trust, Inc.
|
$ | 83,757 | $ | 131,595 | $ | (47,838 | ) | |||||
|
|
|
|
|
|
|||||||
Net income per share - basic and diluted
|
$ | 0.56 | $ | 0.89 | $ | (0.33 | ) | |||||
Dividends declared per share
|
$ | 0.62 | $ | 0.62 | $ | — |
Nine Months Ended
|
Change
|
|||||||||||
September 30,
2021 |
September 30,
2020 |
$
|
||||||||||
Income from loans and other investments
|
||||||||||||
Interest and related income
|
$ | 583,941 | $ | 590,797 | $ | (6,856 | ) | |||||
Less: Interest and related expenses
|
243,414 | 268,070 | (24,656 | ) | ||||||||
|
|
|
|
|
|
|||||||
Income from loans and other investments, net
|
340,527 | 322,727 | 17,800 | |||||||||
Other expenses
|
||||||||||||
Management and incentive fees
|
60,094 | 58,758 | 1,336 | |||||||||
General and administrative expenses
|
32,107 | 34,320 | (2,213 | ) | ||||||||
|
|
|
|
|
|
|||||||
Total other expenses
|
92,201 | 93,078 | (877 | ) | ||||||||
Decrease (increase) in current expected credit loss reserve
|
49,432 | (173,466 | ) | 222,898 | ||||||||
|
|
|
|
|
|
|||||||
Income before income taxes
|
297,758 | 56,183 | 241,575 | |||||||||
Income tax provision
|
346 | 192 | 154 | |||||||||
|
|
|
|
|
|
|||||||
Net income
|
297,412 | 55,991 | 241,421 | |||||||||
|
|
|
|
|
|
|||||||
Net income attributable to
non-controlling
interests
|
(2,158 | ) | (1,937 | ) | (221 | ) | ||||||
|
|
|
|
|
|
|||||||
Net income attributable to Blackstone Mortgage Trust, Inc.
|
$ | 295,254 | $ | 54,054 | $ | 241,200 | ||||||
|
|
|
|
|
|
|||||||
Net income per share - basic and diluted
|
$ | 2.00 | $ | 0.39 | $ | 1.61 | ||||||
Dividends declared per share
|
$ | 1.86 | $ | 1.86 | $ | — |
September 30, 2021
|
December 31, 2020
|
|||
Debt-to-equity
(1)
|
3.1x | 2.5x | ||
Total leverage ratio
(2)
|
4.1x | 3.6x |
|
(1)
|
Represents (i) total outstanding secured debt, asset-specific debt, term loans, and convertible notes, less cash, to (ii) total equity, in each case at period end.
|
|
(2)
|
Represents (i) total outstanding secured debt, securitizations, asset-specific financings, term loans, and convertible notes, less cash, to (ii) total equity, in each case at period end.
|
September 30, 2021
|
December 31, 2020
|
|||||||
Cash and cash equivalents
|
$ | 211,180 | $ | 289,970 | ||||
Senior secured notes, net
(1)
|
395,000 | — | ||||||
Available borrowings under secured debt
|
452,438 | 829,165 | ||||||
Loan principal payments held by servicer, net
(2)
|
299 | 19,460 | ||||||
|
|
|
|
|||||
$ | 1,058,917 | $ | 1,138,595 | |||||
|
|
|
|
|
(1)
|
On September 24, 2021 we priced $400.0 million aggregate principal amount of 3.75% senior secured notes due 2027, which were issued on October 5, 2021.
|
|
(2)
|
Represents loan principal payments held by our third-party servicer as of the balance sheet date which were remitted to us during the subsequent remittance cycle, net of the related secured debt balance.
|
Payment Timing
|
||||||||||||||||||||
Total
|
Less Than
|
1 to 3
|
3 to 5
|
More Than
|
||||||||||||||||
Obligation
|
1 Year
(1)
|
Years
|
Years
|
5 Years
|
||||||||||||||||
Unfunded loan commitments
(2)
|
$ | 4,220,214 | $ | 449,885 | $ | 1,798,514 | $ | 1,441,808 | $ | 530,007 | ||||||||||
Principal repayments under secured debt
(3)
|
11,188,855 | 270,865 | 3,877,134 | 6,265,773 | 775,083 | |||||||||||||||
Principal repayments under asset-specific debt
(3)
|
328,068 | — | 149,897 | 178,171 | — | |||||||||||||||
Principal repayments of term loans
(4)
|
1,352,706 | 13,738 | 27,477 | 1,311,491 | — | |||||||||||||||
Principal repayments of convertible notes
(5)
|
622,500 | 402,500 | 220,000 | — | — | |||||||||||||||
Interest payments
(3)(6)
|
882,878 | 282,365 | 405,211 | 193,045 | 2,257 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total
(7)
|
$ | 18,595,221 | $ | 1,419,353 | $ | 6,478,233 | $ | 9,390,288 | $ | 1,307,347 | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
|
(1)
|
Represents our known, estimated short-term cash requirements related to our contractual obligations and commitments. Refer to the sources of liquidity section above for our sources of funds to satisfy our short-term cash requirements.
|
|
(2)
|
The allocation of our unfunded loan commitments is based on the earlier of the commitment expiration date or the final loan maturity date, however we may be obligated to fund these commitments earlier than such date
.
|
|
(3)
|
The allocation of repayments under our secured debt and asset-specific debt for both principal and interest payments is based on the earlier of (i) the maturity date of each agreement, or (ii) the maximum maturity date of the collateral loans, assuming all extension options are exercised by the borrower.
|
|
(4)
|
The Term Loans are partially amortizing, with an amount equal to 1.0% per annum of the principal balance due in quarterly installments. Refer to Note 8 to our consolidated financial statements for further details on our term loans.
|
|
(5)
|
Reflects the outstanding principal balance of convertible notes, excluding any potential conversion premium. Refer to Note 9 to our consolidated financial statements for further details on our convertible notes.
|
|
(6)
|
Represents interest payments on our secured debt, asset-specific debt, Term Loans, and convertible notes. Future interest payment obligations are estimated assuming the interest rates in effect as of September 30, 2021 will remain constant into the future. This is only an estimate as actual amounts borrowed and interest rates will vary over time.
|
|
(7)
|
Total does not include $2.9 billion of consolidated securitized debt obligations, $997.6 million of
non-consolidated
senior interests, and $414.1 million of
non-consolidated
securitized debt obligations, as the satisfaction of these liabilities will not require cash outlays from us.
|
Nine Months Ended September 30,
|
||||||||
2021
|
2020
|
|||||||
Cash flows provided by operating activities
|
$ | 255,022 | $ | 261,296 | ||||
Cash flows used in investing activities
|
(3,926,040 | ) | (105,726 | ) | ||||
Cash flows provided by financing activities
|
3,616,649 | 120,778 | ||||||
|
|
|
|
|||||
Net (decrease) increase in cash, cash equivalents, and restricted cash
|
$ | (54,369 | ) | $ | 276,348 | |||
|
|
|
|
• |
Historical loan loss reference data
loan-to-value,
|
• |
Expected timing and amount of future loan fundings and repayments:
|
• |
Current credit quality of our portfolio:
|
• |
Expectations of performance and market conditions:
|
• |
Impairment:
|
deemed relevant by our Manager. Actual losses, if any, could ultimately differ materially from these estimates. We only expect to realize the impairment losses if and when such amounts are deemed nonrecoverable upon a realization event. This is generally at the time a loan is repaid, or in the case of foreclosure, when the underlying asset is sold, but
non-recoverability
may also be concluded if, in our determination, it is nearly certain that all amounts due will not be collected.
|
Loan Type
(1)
|
Origination
Date
(2)
|
Total
Loan
(3)(4)
|
Principal
Balance
(4)
|
Net Book
Value |
Cash
Coupon
(5)
|
All-in
Yield
(5)
|
Maximum
Maturity
(6)
|
Location
|
Property
Type |
Loan Per
SQFT / Unit / Key
|
Origination
LTV
(2)
|
Risk
Rating |
||||||||||||||||||||||||||
1
|
Senior loan
|
8/14/2019
|
$
|
1,274.8
|
|
$
|
1,237.5
|
|
$
|
1,233.3
|
|
|
+ 2.53
|
%
|
|
+ 2.99
|
%
|
12/23/2024
|
Dublin - IE
|
Office
|
$450 / sqft
|
|
74
|
%
|
2
|
|||||||||||||
2
|
Senior loan
|
3/22/2018
|
|
858.0
|
|
|
858.0
|
|
|
856.6
|
|
|
+ 3.25
|
%
|
|
+ 3.42
|
%
|
3/15/2023
|
Diversified - Spain
|
Mixed-Use
|
n / a
|
|
71
|
%
|
4
|
|||||||||||||
3
|
Senior loan
|
11/25/2019
|
|
724.2
|
|
|
689.8
|
|
|
691.8
|
|
|
+ 2.30
|
%
|
|
+ 2.59
|
%
|
12/9/2024
|
New York
|
Office
|
$988 / sqft
|
|
65
|
%
|
3
|
|||||||||||||
4
|
Senior loan
|
3/30/2021
|
|
569.5
|
|
|
569.5
|
|
|
564.3
|
|
|
+ 3.20
|
%
|
|
+ 3.41
|
%
|
5/15/2026
|
Diversified - SE
|
Industrial
|
$104 / sqft
|
|
76
|
%
|
2
|
|||||||||||||
5
|
Senior loan
(4)
|
8/7/2019
|
|
745.8
|
|
|
440.5
|
|
|
87.1
|
|
|
+ 3.12
|
%
|
|
+ 3.60
|
%
|
9/9/2025
|
Los Angeles
|
Office
|
$298 / sqft
|
|
59
|
%
|
3
|
|||||||||||||
6
|
Senior loan
|
8/22/2018
|
|
362.5
|
|
|
362.5
|
|
|
362.1
|
|
|
+ 3.15
|
%
|
|
+ 3.28
|
%
|
8/9/2023
|
Maui
|
Hospitality
|
$471,391 / key
|
|
61
|
%
|
3
|
|||||||||||||
7
|
Senior loan
|
9/23/2019
|
|
405.3
|
|
|
348.8
|
|
|
346.1
|
|
|
+ 3.00
|
%
|
|
+ 3.22
|
%
|
11/15/2024
|
Diversified - Spain
|
Hospitality
|
$190,703 / key
|
|
62
|
%
|
4
|
|||||||||||||
8
|
Senior loan
|
4/11/2018
|
|
355.0
|
|
|
344.5
|
|
|
344.0
|
|
|
+ 2.85
|
%
|
|
+ 3.10
|
%
|
5/1/2023
|
New York
|
Office
|
$437 / sqft
|
|
71
|
%
|
3
|
|||||||||||||
9
|
Senior loan
(4)
|
8/6/2015
|
|
324.9
|
|
|
324.9
|
|
|
58.9
|
|
|
5.75
|
%
|
|
5.85
|
%
|
10/29/2022
|
Diversified - EUR
|
Other
|
n / a
|
|
71
|
%
|
3
|
|||||||||||||
10
|
Senior loan
|
1/11/2019
|
|
323.5
|
|
|
323.5
|
|
|
321.2
|
|
|
+ 4.35
|
%
|
|
+ 4.70
|
%
|
1/11/2026
|
Diversified - UK
|
Other
|
$320 / sqft
|
|
74
|
%
|
4
|
|||||||||||||
11
|
Senior loan
|
3/16/2021
|
|
490.8
|
|
|
309.9
|
|
|
305.9
|
|
|
+ 3.85
|
%
|
|
+ 4.15
|
%
|
4/9/2026
|
Boston
|
Life Sciences
|
$765 / sqft
|
|
66
|
%
|
2
|
|||||||||||||
12
|
Senior loan
|
2/27/2020
|
|
300.0
|
|
|
297.3
|
|
|
295.9
|
|
|
+ 2.70
|
%
|
|
+ 3.04
|
%
|
3/9/2025
|
New York
|
Mixed-Use
|
$933 / sqft
|
|
59
|
%
|
3
|
|||||||||||||
13
|
Senior loan
|
9/30/2019
|
|
305.5
|
|
|
296.6
|
|
|
297.1
|
|
|
+ 3.66
|
%
|
|
+ 3.75
|
%
|
9/9/2024
|
Chicago
|
Office
|
$257 / sqft
|
|
58
|
%
|
1
|
|||||||||||||
14
|
Senior loan
|
11/30/2018
|
|
286.3
|
|
|
286.3
|
|
|
284.8
|
|
|
n/m
|
(7)
|
|
n/m
|
(7)
|
8/9/2025
|
New York
|
Hospitality
|
$306,870 / key
|
|
73
|
%
|
5
|
|||||||||||||
15
|
Senior loan
|
10/23/2018
|
|
290.4
|
|
|
273.9
|
|
|
273.2
|
|
|
+ 2.80
|
%
|
|
+ 3.04
|
%
|
11/9/2024
|
Atlanta
|
Office
|
$255 / sqft
|
|
64
|
%
|
2
|
|||||||||||||
16
|
Senior loan
|
12/11/2018
|
|
310.0
|
|
|
265.0
|
|
|
264.6
|
|
|
+ 2.55
|
%
|
|
+ 2.96
|
%
|
12/9/2023
|
Chicago
|
Office
|
$223 / sqft
|
|
78
|
%
|
3
|
|||||||||||||
17
|
Senior loan
|
9/30/2021
|
|
280.0
|
|
|
264.8
|
|
|
262.7
|
|
|
+ 2.50
|
%
|
|
+ 2.77
|
%
|
9/30/2026
|
Dallas
|
Multi
|
$139,884 / unit
|
|
74
|
%
|
3
|
|||||||||||||
18
|
Senior loan
|
4/26/2021
|
|
263.5
|
|
|
263.5
|
|
|
261.7
|
|
|
+ 2.45
|
%
|
|
+ 2.63
|
%
|
5/9/2026
|
Diversified - US
|
Multi
|
$156,393 / unit
|
|
75
|
%
|
3
|
|||||||||||||
19
|
Senior loan
(4)
|
11/22/2019
|
|
470.0
|
|
|
260.4
|
|
|
51.3
|
|
|
+ 3.70
|
%
|
|
+ 4.15
|
%
|
12/9/2025
|
Los Angeles
|
Office
|
$243 / sqft
|
|
69
|
%
|
3
|
|||||||||||||
20
|
Senior loan
|
9/14/2021
|
|
257.9
|
|
|
251.0
|
|
|
249.9
|
|
|
+ 2.50
|
%
|
|
+ 2.76
|
%
|
9/14/2026
|
Dallas
|
Multi
|
$203,644 / unit
|
|
72
|
%
|
3
|
|||||||||||||
21
|
Senior loan
|
10/1/2019
|
|
354.1
|
|
|
249.2
|
|
|
246.3
|
|
|
+ 3.75
|
%
|
|
+ 4.26
|
%
|
10/9/2025
|
Atlanta
|
Mixed-Use
|
$365 / sqft
|
|
70
|
%
|
2
|
|||||||||||||
22
|
Senior loan
|
11/30/2018
|
|
263.9
|
|
|
248.9
|
|
|
248.6
|
|
|
+ 2.80
|
%
|
|
+ 3.34
|
%
|
12/9/2024
|
San Francisco
|
Hospitality
|
$365,544 / key
|
|
73
|
%
|
4
|
|||||||||||||
23
|
Senior loan
|
9/29/2021
|
|
312.2
|
|
|
248.6
|
|
|
246.2
|
|
|
+ 2.70
|
%
|
|
+ 2.92
|
%
|
10/9/2026
|
Washington DC
|
Office
|
$324 / unit
|
|
66
|
%
|
3
|
|||||||||||||
24
|
Senior loan
|
7/23/2021
|
|
500.0
|
|
|
245.6
|
|
|
240.6
|
|
|
+ 4.00
|
%
|
|
+ 4.34
|
%
|
8/9/2027
|
New York
|
Multi
|
$329,600 / unit
|
|
58
|
%
|
3
|
|||||||||||||
25
|
Senior loan
|
7/20/2017
|
|
250.0
|
|
|
222.6
|
|
|
221.6
|
|
|
+ 3.70
|
%
|
|
+ 4.16
|
%
|
8/9/2023
|
San Francisco
|
Office
|
$369 / sqft
|
|
58
|
%
|
2
|
|||||||||||||
26
|
Senior loan
|
12/12/2019
|
|
260.5
|
|
|
220.9
|
|
|
220.7
|
|
|
+ 2.40
|
%
|
|
+ 2.69
|
%
|
12/9/2024
|
New York
|
Office
|
$105 / sqft
|
|
42
|
%
|
1
|
|||||||||||||
27
|
Senior loan
(4)
|
3/23/2020
|
|
348.6
|
|
|
215.6
|
|
|
42.2
|
|
|
+ 3.75
|
%
|
|
+ 4.41
|
%
|
1/9/2025
|
Nashville
|
Mixed-Use
|
$298 / sqft
|
|
78
|
%
|
3
|
|||||||||||||
28
|
Senior loan
|
4/23/2021
|
|
219.0
|
|
|
209.0
|
|
|
208.6
|
|
|
+ 3.65
|
%
|
|
+ 3.77
|
%
|
5/8/2024
|
Washington DC
|
Office
|
$234 / sqft
|
|
57
|
%
|
3
|
|||||||||||||
29
|
Senior loan
|
9/16/2021
|
|
246.6
|
|
|
208.2
|
|
|
205.8
|
|
|
+ 3.80
|
%
|
|
+ 4.49
|
%
|
4/9/2024
|
San Francisco
|
Office
|
$262 / unit
|
|
53
|
%
|
3
|
|||||||||||||
30
|
Senior loan
|
8/31/2017
|
|
203.0
|
|
|
201.7
|
|
|
201.3
|
|
|
+ 2.50
|
%
|
|
+ 2.85
|
%
|
9/9/2023
|
Orange County
|
Office
|
$235 / sqft
|
|
64
|
%
|
3
|
Loan Type
(1)
|
Origination
Date
(2)
|
Total
Loan
(3)(4)
|
Principal
Balance
(4)
|
Net Book
Value |
Cash
Coupon
(5)
|
All-in
Yield
(5)
|
Maximum
Maturity
(6)
|
Location
|
Property
Type |
Loan Per
SQFT / Unit / Key
|
Origination
LTV
(2)
|
Risk
Rating |
||||||||||||||||||||||||||
31
|
Senior loan | 6/27/2019 | 222.1 | 201.3 | 200.6 | + 2.80 | % | + 3.16 | % | 8/15/2026 | Berlin - DEU | Office | $432 / sqft | 62 | % | 3 | ||||||||||||||||||||||
32
|
Senior loan | 11/5/2019 | 213.7 | 200.7 | 200.1 | + 3.85 | % | + 4.45 | % | 2/21/2025 | Diversified - IT | Office | $396 / sqft | 66 | % | 3 | ||||||||||||||||||||||
33
|
Senior loan | 9/25/2019 | 198.3 | 198.3 | 197.3 | + 4.35 | % | + 4.93 | % | 9/26/2023 | London - UK | Office | $904 / sqft | 72 | % | 3 | ||||||||||||||||||||||
34
|
Senior loan | 11/23/2018 | 197.2 | 197.2 | 196.1 | + 2.62 | % | + 2.87 | % | 2/15/2024 | Diversified - UK | Office | $1,196 / sqft | 50 | % | 3 | ||||||||||||||||||||||
35
|
Senior loan | 9/30/2021 | 195.0 | 195.0 | 193.1 | + 3.75 | % | + 4.10 | % | 10/9/2026 | Boca Raton | Multi | $532,787 / unit | 77 | % | 3 | ||||||||||||||||||||||
36
|
Senior loan | 12/22/2016 | 204.5 | 192.1 | 192.0 | + 2.90 | % | + 3.13 | % | 12/9/2022 | New York | Office | $270 / sqft | 64 | % | 3 | ||||||||||||||||||||||
37
|
Senior loan | 6/4/2018 | 187.8 | 187.8 | 187.4 | + 3.50 | % | + 3.76 | % | 6/9/2024 | New York | Hospitality | $309,308 / key | 52 | % | 4 | ||||||||||||||||||||||
38
|
Senior loan | 11/16/2018 | 211.9 | 187.4 | 187.0 | + 4.10 | % | + 4.73 | % | 12/9/2023 | Fort Lauderdale |
Mixed-Use
|
$527 / sqft | 59 | % | 2 | ||||||||||||||||||||||
39
|
Senior loan | 4/9/2018 | 1,486.5 | 185.0 | 173.6 | + 8.50 | % | + 10.64 | % | 6/9/2025 | New York | Office | $525 / sqft | 48 | % | 2 | ||||||||||||||||||||||
40
|
Senior loan | 2/18/2021 | 184.0 | 184.0 | 182.5 | + 3.20 | % | + 3.54 | % | 3/9/2026 | Durham | Multi | $314 / sqft | 72 | % | 3 | ||||||||||||||||||||||
41
|
Senior loan | 4/25/2019 | 210.0 | 179.4 | 179.0 | + 3.50 | % | + 3.75 | % | 9/1/2025 | Los Angeles | Office | $806 / sqft | 73 | % | 1 | ||||||||||||||||||||||
42
|
Senior loan | 4/3/2018 | 178.6 | 177.5 | 177.2 | + 2.75 | % | + 2.99 | % | 4/9/2024 | Dallas |
Mixed-Use
|
$502 / sqft | 64 | % | 3 | ||||||||||||||||||||||
43
|
Senior loan | 9/26/2019 | 175.0 | 175.0 | 175.2 | + 3.10 | % | + 3.54 | % | 1/9/2023 | New York | Office | $256 / sqft | 65 | % | 3 | ||||||||||||||||||||||
44
|
Senior loan | 9/30/2021 | 256.0 | 171.6 | 169.4 | + 3.00 | % | + 3.35 | % | 10/9/2028 | Chicago | Office | $190 / unit | 74 | % | 3 | ||||||||||||||||||||||
45
|
Senior loan | 12/21/2017 | 197.5 | 170.3 | 170.2 | + 2.65 | % | + 2.87 | % | 1/9/2023 | Atlanta | Office | $127 / sqft | 51 | % | 2 | ||||||||||||||||||||||
46
|
Senior loan | 9/5/2019 | 198.4 | 165.6 | 164.7 | + 2.75 | % | + 3.26 | % | 9/9/2024 | New York | Life Sciences | $1,033 / sqft | 62 | % | 3 | ||||||||||||||||||||||
47
|
Senior loan | 6/28/2019 | 220.6 | 164.8 | 162.7 | + 3.70 | % | + 4.01 | % | 6/27/2024 | London - UK | Office | $538 / sqft | 71 | % | 3 | ||||||||||||||||||||||
48
|
Senior loan | 9/30/2021 | 212.6 | 159.5 | 157.3 | + 4.00 | % | + 4.52 | % | 9/30/2026 | Diversified - Spain | Hospitality | $143,571 / unit | 60 | % | 3 | ||||||||||||||||||||||
49
|
Senior loan | 9/4/2018 | 172.7 | 158.0 | 157.6 | + 3.00 | % | + 3.39 | % | 9/9/2023 | Las Vegas | Hospitality | $191,321 / key | 70 | % | 3 | ||||||||||||||||||||||
50
|
Senior loan | 8/23/2017 | 165.0 | 157.9 | 157.9 | + 3.25 | % | + 3.48 | % | 10/9/2022 | Los Angeles | Office | $320 / sqft | 74 | % | 3 | ||||||||||||||||||||||
51
|
Senior loan | 5/27/2021 | 205.4 | 153.8 | 152.4 | + 2.70 | % | + 2.99 | % | 6/9/2026 | Atlanta | Office | $130 / sqft | 66 | % | 3 | ||||||||||||||||||||||
52
|
Senior loan | 8/24/2021 | 179.3 | 153.0 | 151.5 | + 3.10 | % | + 3.41 | % | 9/9/2026 | San Jose | Office | $365 / unit | 65 | % | 3 | ||||||||||||||||||||||
53
|
Senior loan | 12/20/2019 | 151.4 | 151.4 | 150.4 | + 3.10 | % | + 3.32 | % | 12/18/2026 | London - UK | Office | $753 / sqft | 75 | % | 2 | ||||||||||||||||||||||
54
|
Senior loan | 1/17/2020 | 203.0 | 136.4 | 135.5 | + 2.75 | % | + 3.07 | % | 2/9/2025 | New York |
Mixed-Use
|
$113 / sqft | 43 | % | 3 | ||||||||||||||||||||||
55
|
Senior loan | 7/23/2021 | 243.6 | 135.4 | 133.1 | + 5.00 | % | + 5.33 | % | 8/9/2027 | New York |
Mixed-Use
|
$438 / unit | 53 | % | 3 | ||||||||||||||||||||||
56
|
Senior loan | 11/14/2017 | 133.0 | 133.0 | 132.9 | + 2.75 | % | + 2.86 | % | 6/9/2023 | Los Angeles | Hospitality | $532,000 / key | 56 | % | 3 | ||||||||||||||||||||||
57
|
Senior loan | 7/15/2021 | 213.9 | 132.5 | 130.9 | + 4.25 | % | + 4.49 | % | 7/15/2026 | Diversified - EUR | Hospitality | $154,254 / unit | 53 | % | 3 | ||||||||||||||||||||||
58
|
Senior loan | 11/30/2018 | 151.1 | 129.9 | 129.4 | + 2.55 | % | + 2.82 | % | 12/9/2024 | Washington DC | Office | $364 / sqft | 60 | % | 2 | ||||||||||||||||||||||
59
|
Senior loan | 9/14/2021 | 131.5 | 127.4 | 126.4 | + 2.70 | % | + 2.95 | % | 10/9/2026 | San Bernardino | Multi | $256,774 / unit | 75 | % | 3 | ||||||||||||||||||||||
60
|
Senior loan
(4)
|
11/27/2019 | 146.3 | 123.8 | 123.1 | + 2.75 | % | + 3.13 | % | 12/9/2024 | Minneapolis | Office | $124 / sqft | 64 | % | 3 |
Loan Type
(1)
|
Origination
Date
(2)
|
Total
Loan
(3)(4)
|
Principal
Balance
(4)
|
Net Book
Value |
Cash
Coupon
(5)
|
All-in
Yield
(5)
|
Maximum
Maturity
(6)
|
Location
|
Property
Type |
Loan Per
SQFT / Unit / Key
|
Origination
LTV
(2)
|
Risk
Rating |
||||||||||||||||||||||||||
61
|
Senior loan
|
4/30/2018
|
|
172.7
|
|
|
122.3
|
|
|
121.7
|
|
|
+ 3.25
|
%
|
|
+ 3.51
|
%
|
4/30/2023
|
London - UK
|
Office
|
$550 / sqft
|
|
60
|
%
|
3
|
|||||||||||||
62
|
Senior loan
|
3/10/2020
|
|
140.0
|
|
|
118.9
|
|
|
118.9
|
|
|
+ 2.50
|
%
|
|
+ 2.67
|
%
|
1/9/2025
|
New York
|
Mixed-Use
|
$77 / sqft
|
|
53
|
%
|
3
|
|||||||||||||
63
|
Senior loan
|
6/28/2019
|
|
125.0
|
|
|
117.2
|
|
|
117.0
|
|
|
+ 2.75
|
%
|
|
+ 2.91
|
%
|
2/1/2024
|
Los Angeles
|
Office
|
$591 / sqft
|
|
48
|
%
|
3
|
|||||||||||||
64
|
Senior loan
|
4/6/2021
|
|
122.7
|
|
|
116.6
|
|
|
115.7
|
|
|
+ 3.20
|
%
|
|
+ 3.52
|
%
|
4/9/2026
|
Los Angeles
|
Office
|
$492 / sqft
|
|
65
|
%
|
3
|
|||||||||||||
65
|
Senior loan
|
7/15/2019
|
|
144.6
|
|
|
116.5
|
|
|
116.0
|
|
|
+ 2.90
|
%
|
|
+ 3.25
|
%
|
8/9/2024
|
Houston
|
Office
|
$211 / sqft
|
|
58
|
%
|
3
|
|||||||||||||
66
|
Senior loan
|
9/14/2018
|
|
114.0
|
|
|
114.0
|
|
|
113.6
|
|
|
+ 3.50
|
%
|
|
+ 3.84
|
%
|
9/14/2023
|
Canberra - AU
|
Mixed-Use
|
$335 / sqft
|
|
68
|
%
|
3
|
|||||||||||||
67
|
Senior loan
|
8/27/2021
|
|
122.4
|
|
|
114.0
|
|
|
113.0
|
|
|
+ 3.00
|
%
|
|
+ 3.29
|
%
|
9/9/2026
|
San Diego
|
Retail
|
$430 / unit
|
|
58
|
%
|
3
|
|||||||||||||
68
|
Senior loan
|
12/21/2018
|
|
123.1
|
|
|
113.7
|
|
|
113.6
|
|
|
+ 2.60
|
%
|
|
+ 2.99
|
%
|
1/9/2024
|
Chicago
|
Office
|
$222 / key
|
|
72
|
%
|
3
|
|||||||||||||
69
|
Senior loan
|
3/29/2021
|
|
137.6
|
|
|
112.0
|
|
|
110.4
|
|
|
+ 3.90
|
%
|
|
+ 4.55
|
%
|
3/29/2026
|
Diversified - UK
|
Multi
|
$49,113 / unit
|
|
61
|
%
|
3
|
|||||||||||||
70
|
Senior loan
|
10/17/2016
|
|
110.8
|
|
|
110.8
|
|
|
110.8
|
|
|
+ 3.95
|
%
|
|
+ 3.96
|
%
|
10/21/2021
|
Diversified - UK
|
Self-Storage
|
$152 / sqft
|
|
73
|
%
|
2
|
|||||||||||||
71
|
Senior loan
|
5/20/2021
|
|
148.2
|
|
|
106.4
|
|
|
105.1
|
|
|
+ 3.60
|
%
|
|
+ 4.00
|
%
|
6/9/2026
|
San Jose
|
Office
|
$273 / sqft
|
|
65
|
%
|
3
|
|||||||||||||
72
|
Senior loan
|
10/16/2018
|
|
113.7
|
|
|
104.8
|
|
|
104.8
|
|
|
+ 3.25
|
%
|
|
+ 3.57
|
%
|
11/9/2023
|
San Francisco
|
Hospitality
|
$228,299 / key
|
|
72
|
%
|
4
|
|||||||||||||
73
|
Senior loan
|
3/13/2018
|
|
123.0
|
|
|
103.6
|
|
|
103.4
|
|
|
+ 3.00
|
%
|
|
+ 3.27
|
%
|
4/9/2027
|
Honolulu
|
Hospitality
|
$160,580 / key
|
|
50
|
%
|
3
|
|||||||||||||
74
|
Senior loan
|
5/13/2021
|
|
199.1
|
|
|
103.3
|
|
|
101.6
|
|
|
+ 3.55
|
%
|
|
+ 3.96
|
%
|
6/9/2026
|
Boston
|
Life Sciences
|
$524 / sqft
|
|
64
|
%
|
3
|
|||||||||||||
75
|
Senior loan
|
3/25/2020
|
|
123.4
|
|
|
100.7
|
|
|
100.1
|
|
|
+ 2.40
|
%
|
|
+ 2.78
|
%
|
3/31/2025
|
Diversified - NL
|
Multi
|
$123,005 / unit
|
|
65
|
%
|
2
|
|||||||||||||
76
|
Senior loan
|
7/1/2021
|
|
104.0
|
|
|
99.0
|
|
|
98.3
|
|
|
+ 3.10
|
%
|
|
+ 3.35
|
%
|
7/9/2026
|
Diversified - US
|
Retail
|
$281 / sqft
|
|
61
|
%
|
3
|
|||||||||||||
77
|
Senior loan
|
6/18/2021
|
|
98.5
|
|
|
98.5
|
|
|
97.6
|
|
|
+ 2.60
|
%
|
|
+ 2.83
|
%
|
7/9/2026
|
New York
|
Industrial
|
$52 / sqft
|
|
55
|
%
|
2
|
|||||||||||||
78
|
Senior loan
|
12/23/2019
|
|
109.7
|
|
|
97.9
|
|
|
97.5
|
|
|
+ 2.70
|
%
|
|
+ 3.03
|
%
|
1/9/2025
|
Miami
|
Multi
|
$338,713 / unit
|
|
68
|
%
|
2
|
|||||||||||||
79
|
Senior loan
|
12/10/2018
|
|
119.7
|
|
|
97.1
|
|
|
96.1
|
|
|
+ 2.95
|
%
|
|
+ 3.95
|
%
|
12/3/2024
|
London - UK
|
Office
|
$464 / sqft
|
|
72
|
%
|
3
|
|||||||||||||
80
|
Senior loan
|
3/28/2019
|
|
98.4
|
|
|
96.5
|
|
|
96.5
|
|
|
+ 3.25
|
%
|
|
+ 3.40
|
%
|
1/9/2024
|
New York
|
Hospitality
|
$249,435 / key
|
|
63
|
%
|
4
|
|||||||||||||
81
|
Senior loan
|
2/20/2019
|
|
181.9
|
|
|
94.9
|
|
|
93.0
|
|
|
+ 3.95
|
%
|
|
+ 4.43
|
%
|
2/19/2024
|
London - UK
|
Office
|
$466 / sqft
|
|
61
|
%
|
3
|
|||||||||||||
82
|
Senior loan
|
6/14/2021
|
|
100.0
|
|
|
92.4
|
|
|
91.8
|
|
|
+ 3.70
|
%
|
|
+ 4.04
|
%
|
7/9/2024
|
Miami
|
Office
|
$195 / sqft
|
|
65
|
%
|
3
|
|||||||||||||
83
|
Senior loan
|
6/1/2021
|
|
95.0
|
|
|
91.3
|
|
|
90.9
|
|
|
+ 2.85
|
%
|
|
+ 3.05
|
%
|
6/9/2026
|
Miami
|
Multi
|
$226,673 / unit
|
|
61
|
%
|
3
|
|||||||||||||
84
|
Senior loan
|
3/31/2017
|
|
96.9
|
|
|
90.6
|
|
|
90.9
|
|
|
+ 4.30
|
%
|
|
+ 4.24
|
%
|
4/9/2023
|
New York
|
Office
|
$444 / sqft
|
|
64
|
%
|
3
|
|||||||||||||
85
|
Senior loan
|
8/18/2017
|
|
90.0
|
|
|
90.0
|
|
|
89.8
|
|
|
+ 4.10
|
%
|
|
+ 4.41
|
%
|
8/18/2022
|
Brussels - BE
|
Office
|
$140 / sqft
|
|
59
|
%
|
1
|
|||||||||||||
86
|
Senior loan
|
2/3/2021
|
|
110.5
|
|
|
89.6
|
|
|
88.7
|
|
|
+ 3.20
|
%
|
|
+ 3.57
|
%
|
2/9/2026
|
Austin
|
Office
|
$371 / sqft
|
|
56
|
%
|
2
|
|||||||||||||
87
|
Senior loan
|
6/25/2021
|
|
85.4
|
|
|
85.4
|
|
|
84.8
|
|
|
+ 2.75
|
%
|
|
+ 3.10
|
%
|
7/1/2026
|
St. Louis
|
Multi
|
$80,339 / unit
|
|
70
|
%
|
3
|
|||||||||||||
88
|
Senior loan
|
11/22/2019
|
|
85.0
|
|
|
85.0
|
|
|
85.0
|
|
|
+ 2.99
|
%
|
|
+ 3.27
|
%
|
12/1/2024
|
San Jose
|
Multi
|
$317,164 / unit
|
|
62
|
%
|
2
|
|||||||||||||
89
|
Senior loan
|
2/1/2021
|
|
82.5
|
|
|
82.5
|
|
|
82.4
|
|
|
+ 4.05
|
%
|
|
+ 4.18
|
%
|
8/1/2022
|
Washington DC
|
Multi
|
$214,844 / unit
|
|
67
|
%
|
2
|
|||||||||||||
90
|
Senior loan
|
6/29/2016
|
|
83.4
|
|
|
81.4
|
|
|
81.3
|
|
|
+ 2.80
|
%
|
|
+ 3.04
|
%
|
7/8/2022
|
Miami
|
Office
|
$314 / sqft
|
|
64
|
%
|
2
|
Loan Type
(1)
|
Origination
Date
(2)
|
Total
Loan
(3)(4)
|
Principal
Balance
(4)
|
Net Book
Value |
Cash
Coupon
(5)
|
All-in
Yield
(5)
|
Maximum
Maturity
(6)
|
Location
|
Property
Type |
Loan Per
SQFT / Unit / Key
|
Origination
LTV
(2)
|
Risk
Rating |
||||||||||||||||||||||||||
91
|
Senior loan
|
7/30/2021
|
|
86.9
|
|
|
79.5
|
|
|
79.1
|
|
|
+ 2.50
|
%
|
|
+ 2.84
|
%
|
8/9/2026
|
Los Angeles
|
Multi
|
$157,772 / unit
|
|
70
|
%
|
3
|
|||||||||||||
92
|
Senior loan
|
7/29/2021
|
|
81.9
|
|
|
77.7
|
|
|
76.9
|
|
|
+ 2.65
|
%
|
|
+ 3.02
|
%
|
6/9/2026
|
Charlotte
|
Multi
|
$212,295 / unit
|
|
78
|
%
|
3
|
|||||||||||||
93
|
Senior loan
|
6/27/2019
|
|
84.0
|
|
|
75.2
|
|
|
75.0
|
|
|
+ 2.50
|
%
|
|
+ 2.77
|
%
|
7/9/2024
|
West Palm Beach
|
Office
|
$258 / sqft
|
|
70
|
%
|
2
|
|||||||||||||
94
|
Senior loan
|
6/18/2019
|
|
75.0
|
|
|
75.0
|
|
|
74.8
|
|
|
+ 2.75
|
%
|
|
+ 3.15
|
%
|
7/9/2024
|
Napa Valley
|
Hospitality
|
$785,340 / key
|
|
74
|
%
|
3
|
|||||||||||||
95
|
Senior loan
|
4/1/2021
|
|
102.1
|
|
|
73.9
|
|
|
73.0
|
|
|
+ 3.30
|
%
|
|
+ 3.71
|
%
|
4/9/2026
|
San Jose
|
Office
|
$493 / sqft
|
|
67
|
%
|
3
|
|||||||||||||
96
|
Senior loan
|
3/21/2018
|
|
74.3
|
|
|
72.3
|
|
|
72.2
|
|
|
+ 3.10
|
%
|
|
+ 3.33
|
%
|
3/21/2024
|
Jacksonville
|
Office
|
$94 / sqft
|
|
72
|
%
|
2
|
|||||||||||||
97
|
Senior loan
|
7/23/2021
|
|
72.7
|
|
|
70.7
|
|
|
70.7
|
|
|
+ 3.00
|
%
|
|
+ 3.02
|
%
|
7/9/2024
|
New York
|
Multi
|
$399 / unit
|
|
62
|
%
|
3
|
|||||||||||||
98
|
Senior loan
|
9/22/2021
|
|
67.0
|
|
|
67.0
|
|
|
66.8
|
|
|
+ 3.00
|
%
|
|
+ 3.16
|
%
|
4/1/2024
|
Jacksonville
|
Multi
|
$181,081 / unit
|
|
62
|
%
|
3
|
|||||||||||||
99
|
Senior loan
|
1/30/2020
|
|
104.4
|
|
|
66.7
|
|
|
66.2
|
|
|
+ 2.85
|
%
|
|
+ 3.22
|
%
|
2/9/2026
|
Honolulu
|
Hospitality
|
$214,341 / key
|
|
63
|
%
|
3
|
|||||||||||||
100
|
Senior loan
|
8/22/2019
|
|
74.3
|
|
|
65.0
|
|
|
64.8
|
|
|
+ 2.55
|
%
|
|
+ 2.93
|
%
|
9/9/2024
|
Los Angeles
|
Office
|
$389 / sqft
|
|
63
|
%
|
3
|
|||||||||||||
101
|
Senior loan
|
6/29/2017
|
|
63.4
|
|
|
63.4
|
|
|
63.4
|
|
|
+ 3.40
|
%
|
|
+ 4.16
|
%
|
7/9/2023
|
New York
|
Multi
|
$184,768 / unit
|
|
69
|
%
|
4
|
|||||||||||||
102
|
Senior loan
|
10/5/2018
|
|
62.2
|
|
|
62.2
|
|
|
62.1
|
|
|
+ 5.50
|
%
|
|
+ 5.65
|
%
|
10/5/2021
|
Sydney - AU
|
Office
|
$660 / sqft
|
|
78
|
%
|
3
|
|||||||||||||
103
|
Senior loan
|
3/31/2021
|
|
62.0
|
|
|
62.0
|
|
|
61.9
|
|
|
+ 3.73
|
%
|
|
+ 3.86
|
%
|
4/1/2024
|
Boston
|
Multi
|
$316,327 / unit
|
|
75
|
%
|
2
|
|||||||||||||
104
|
Senior loan
|
7/30/2021
|
|
61.9
|
|
|
61.9
|
|
|
61.4
|
|
|
+ 2.75
|
%
|
|
+ 2.94
|
%
|
8/9/2026
|
Salt Lake City
|
Multi
|
$224,185 / unit
|
|
73
|
%
|
3
|
|||||||||||||
105
|
Senior loan
|
9/29/2021
|
|
61.5
|
|
|
58.0
|
|
|
57.8
|
|
|
+ 2.85
|
%
|
|
+ 3.02
|
%
|
10/1/2025
|
Houston
|
Multi
|
$52,968 / unit
|
|
61
|
%
|
3
|
|||||||||||||
106
|
Senior loan
|
7/16/2021
|
|
57.9
|
|
|
57.9
|
|
|
57.5
|
|
|
+ 2.75
|
%
|
|
+ 3.03
|
%
|
8/1/2025
|
Orlando
|
Multi
|
$195,750 / unit
|
|
74
|
%
|
2
|
|||||||||||||
107
|
Senior loan
|
6/28/2021
|
|
57.9
|
|
|
57.9
|
|
|
56.9
|
|
|
+ 3.60
|
%
|
|
+ 4.86
|
%
|
2/15/2023
|
Diversified - Spain
|
Hospitality
|
$135,660 / key
|
|
56
|
%
|
3
|
|||||||||||||
108
|
Senior loan
|
6/30/2021
|
|
64.6
|
|
|
57.2
|
|
|
56.7
|
|
|
+ 2.90
|
%
|
|
+ 3.19
|
%
|
7/9/2026
|
Nashville
|
Office
|
$235 / sqft
|
|
71
|
%
|
3
|
|||||||||||||
109
|
Senior loan
|
4/15/2021
|
|
66.3
|
|
|
56.7
|
|
|
56.2
|
|
|
+ 3.00
|
%
|
|
+ 3.30
|
%
|
5/9/2026
|
Austin
|
Office
|
$275 / sqft
|
|
73
|
%
|
3
|
|||||||||||||
110
|
Senior loan
|
8/14/2019
|
|
70.3
|
|
|
56.3
|
|
|
56.0
|
|
|
+ 2.45
|
%
|
|
+ 2.87
|
%
|
9/9/2024
|
Los Angeles
|
Office
|
$645 / sqft
|
|
57
|
%
|
3
|
|||||||||||||
111
|
Senior loan
|
12/10/2020
|
|
61.2
|
|
|
54.3
|
|
|
53.9
|
|
|
+ 3.25
|
%
|
|
+ 3.54
|
%
|
1/9/2026
|
Fort Lauderdale
|
Office
|
$187 / sqft
|
|
68
|
%
|
3
|
|||||||||||||
112
|
Senior loan
|
6/26/2019
|
|
69.8
|
|
|
54.3
|
|
|
54.0
|
|
|
+ 3.35
|
%
|
|
+ 3.66
|
%
|
6/20/2024
|
London - UK
|
Office
|
$614 / sqft
|
|
61
|
%
|
3
|
|||||||||||||
113
|
Senior loan
|
3/11/2014
|
|
52.4
|
|
|
52.4
|
|
|
52.4
|
|
|
n/m
|
(7)
|
|
n/m
|
(7)
|
10/9/2021
|
New York
|
Multi
|
$589,065 / unit
|
|
65
|
%
|
5
|
|||||||||||||
114
|
Senior loan
|
12/14/2018
|
|
60.2
|
|
|
52.2
|
|
|
52.4
|
|
|
+ 2.90
|
%
|
|
+ 3.33
|
%
|
1/9/2024
|
Diversified - US
|
Industrial
|
$39 / sqft
|
|
57
|
%
|
2
|
|||||||||||||
115
|
Senior loan
|
11/30/2016
|
|
60.5
|
|
|
52.0
|
|
|
51.9
|
|
|
+ 3.10
|
%
|
|
+ 3.22
|
%
|
12/9/2023
|
Chicago
|
Retail
|
$1,014 / sqft
|
|
54
|
%
|
4
|
|||||||||||||
116
|
Senior loan
|
2/17/2021
|
|
53.0
|
|
|
50.9
|
|
|
50.6
|
|
|
+ 3.55
|
%
|
|
+ 3.75
|
%
|
3/9/2026
|
Miami
|
Multi
|
$290,985 / unit
|
|
64
|
%
|
3
|
|||||||||||||
117
|
Senior loan
|
7/30/2021
|
|
58.8
|
|
|
50.7
|
|
|
50.3
|
|
|
+ 2.75
|
%
|
|
+ 2.96
|
%
|
8/9/2026
|
Tampa Bay
|
Multi
|
$128,134 / unit
|
|
71
|
%
|
3
|
|||||||||||||
118
|
Senior loan
|
9/23/2021
|
|
49.2
|
|
|
49.2
|
|
|
49.0
|
|
|
+ 2.75
|
%
|
|
+ 2.86
|
%
|
10/1/2026
|
Portland
|
Multi
|
$232,938 / unit
|
|
65
|
%
|
3
|
|||||||||||||
119
|
Senior loan
|
8/31/2021
|
|
84.1
|
|
|
49.2
|
|
|
48.8
|
|
|
+ 3.05
|
%
|
|
+ 3.31
|
%
|
9/9/2026
|
Diversified - US
|
Retail
|
$186 / sqft
|
|
65
|
%
|
3
|
|||||||||||||
120
|
Senior loan
|
8/5/2021
|
|
56.6
|
|
|
49.1
|
|
|
48.6
|
|
|
+ 2.90
|
%
|
|
+ 3.04
|
%
|
8/9/2026
|
Denver
|
Office
|
$186 / sqft
|
|
70
|
%
|
3
|
Loan Type
(1)
|
Origination
Date
(2)
|
Total
Loan
(3)(4)
|
Principal
Balance
(4)
|
Net Book
Value |
Cash
Coupon
(5)
|
All-in
Yield
(5)
|
Maximum
Maturity
(6)
|
Location
|
Property
Type |
Loan Per
SQFT / Unit / Key
|
Origination
LTV
(2)
|
Risk
Rating |
||||||||||||||||||||||||||
121
|
Senior loan
|
7/20/2021
|
|
48.0
|
|
|
48.0
|
|
|
47.6
|
|
|
+ 2.75
|
%
|
|
+ 3.09
|
%
|
8/9/2026
|
Los Angeles
|
Multi
|
$366,412 / unit
|
|
60
|
%
|
3
|
|||||||||||||
122
|
Senior loan
|
2/20/2019
|
|
52.8
|
|
|
45.8
|
|
|
45.7
|
|
|
+ 3.50
|
%
|
|
+ 3.92
|
%
|
3/9/2024
|
Calgary - CAN
|
Office
|
$126 / sqft
|
|
52
|
%
|
2
|
|||||||||||||
123
|
Senior loan
|
11/3/2017
|
|
45.0
|
|
|
45.0
|
|
|
45.0
|
|
|
+ 3.00
|
%
|
|
+ 3.26
|
%
|
11/1/2022
|
Los Angeles
|
Office
|
$209 / sqft
|
|
50
|
%
|
1
|
|||||||||||||
124
|
Senior loan
|
7/30/2021
|
|
44.9
|
|
|
44.9
|
|
|
44.7
|
|
|
+ 2.75
|
%
|
|
+ 2.86
|
%
|
8/1/2026
|
Portland
|
Multi
|
$62,378 / unit
|
|
64
|
%
|
3
|
|||||||||||||
125
|
Senior loan
|
2/21/2020
|
|
43.8
|
|
|
43.8
|
|
|
43.7
|
|
|
+ 2.95
|
%
|
|
+ 3.27
|
%
|
3/1/2025
|
Atlanta
|
Multi
|
$137,304 / unit
|
|
68
|
%
|
1
|
|||||||||||||
126
|
Senior loan
|
7/29/2021
|
|
42.1
|
|
|
42.1
|
|
|
41.8
|
|
|
+ 2.75
|
%
|
|
+ 2.95
|
%
|
8/9/2026
|
Las Vegas
|
Multi
|
$167,113 / unit
|
|
72
|
%
|
3
|
|||||||||||||
127
|
Senior loan
|
6/26/2015
|
|
41.3
|
|
|
41.3
|
|
|
41.2
|
|
|
+ 5.50
|
%
|
|
+ 5.63
|
%
|
10/8/2021
|
San Diego
|
Office
|
$188 / sqft
|
|
73
|
%
|
3
|
|||||||||||||
128
|
Senior loan
|
8/27/2021
|
|
39.8
|
|
|
37.4
|
|
|
37.0
|
|
|
+ 3.75
|
%
|
|
+ 4.29
|
%
|
9/9/2026
|
Diversified - US
|
Hospitality
|
$109,762 / unit
|
|
67
|
%
|
3
|
|||||||||||||
129
|
Senior loan
|
2/26/2021
|
|
37.0
|
|
|
36.1
|
|
|
35.8
|
|
|
+ 3.50
|
%
|
|
+ 3.85
|
%
|
3/9/2026
|
Austin
|
Multi
|
$196,228 / unit
|
|
64
|
%
|
3
|
|||||||||||||
130
|
Senior loan
|
6/9/2021
|
|
36.0
|
|
|
36.0
|
|
|
35.9
|
|
|
+ 3.25
|
%
|
|
+ 3.40
|
%
|
7/1/2024
|
Washington DC
|
Multi
|
$230,769 / unit
|
|
65
|
%
|
3
|
|||||||||||||
131
|
Senior loan
|
12/27/2016
|
|
36.0
|
|
|
36.0
|
|
|
35.9
|
|
|
+ 3.10
|
%
|
|
+ 3.26
|
%
|
7/9/2023
|
New York
|
Multi
|
$617,619 / unit
|
|
64
|
%
|
3
|
|||||||||||||
132
|
Senior loan
|
7/20/2021
|
|
35.0
|
|
|
35.0
|
|
|
34.7
|
|
|
+ 2.75
|
%
|
|
+ 3.09
|
%
|
8/9/2026
|
Los Angeles
|
Multi
|
$357,143 / unit
|
|
58
|
%
|
3
|
|||||||||||||
133
|
Senior loan
|
12/13/2019
|
|
37.1
|
|
|
35.0
|
|
|
34.9
|
|
|
+ 3.55
|
%
|
|
+ 4.49
|
%
|
6/12/2024
|
Diversified - FR
|
Industrial
|
$25 / sqft
|
|
55
|
%
|
1
|
|||||||||||||
134
|
Senior loan
|
11/19/2020
|
|
34.7
|
|
|
34.7
|
|
|
34.5
|
|
|
+ 3.50
|
%
|
|
+ 3.85
|
%
|
12/9/2025
|
Scottsdale
|
Multi
|
$204,248 / unit
|
|
59
|
%
|
3
|
|||||||||||||
135
|
Senior loan
|
10/31/2019
|
|
33.9
|
|
|
33.8
|
|
|
33.8
|
|
|
+ 3.25
|
%
|
|
+ 3.34
|
%
|
11/1/2024
|
Raleigh
|
Multi
|
$166,624 / unit
|
|
52
|
%
|
3
|
|||||||||||||
136
|
Senior loan
|
5/12/2021
|
|
36.1
|
|
|
33.6
|
|
|
33.4
|
|
|
+ 2.85
|
%
|
|
+ 3.19
|
%
|
6/9/2026
|
San Bernardino
|
Multi
|
$156,804 / unit
|
|
66
|
%
|
3
|
|||||||||||||
137
|
Senior loan
|
8/24/2021
|
|
34.5
|
|
|
33.0
|
|
|
32.9
|
|
|
+ 3.35
|
%
|
|
+ 3.68
|
%
|
3/1/2023
|
Dallas
|
Multi
|
$138,655 / unit
|
|
75
|
%
|
3
|
|||||||||||||
138
|
Senior loan
|
7/28/2021
|
|
39.8
|
|
|
32.6
|
|
|
32.2
|
|
|
+ 2.70
|
%
|
|
+ 3.08
|
%
|
8/9/2026
|
Los Angeles
|
Multi
|
$235,870 / unit
|
|
71
|
%
|
3
|
|||||||||||||
139
|
Senior loan
|
5/4/2021
|
|
33.9
|
|
|
32.0
|
|
|
31.9
|
|
|
+ 3.25
|
%
|
|
+ 3.35
|
%
|
6/1/2026
|
San Antonio
|
Multi
|
$82,421 / unit
|
|
69
|
%
|
3
|
|||||||||||||
140
|
Senior loan
|
10/31/2019
|
|
31.5
|
|
|
31.5
|
|
|
31.5
|
|
|
+ 3.25
|
%
|
|
+ 3.33
|
%
|
11/1/2024
|
Atlanta
|
Multi
|
$165,789 / unit
|
|
60
|
%
|
3
|
|||||||||||||
141
|
Senior loan
|
9/1/2021
|
|
35.6
|
|
|
31.2
|
|
|
31.0
|
|
|
+ 2.75
|
%
|
|
+ 3.10
|
%
|
9/9/2026
|
Phoenix
|
Multi
|
$113,043 / unit
|
|
70
|
%
|
3
|
|||||||||||||
142
|
Senior loan
|
10/31/2019
|
|
30.2
|
|
|
30.2
|
|
|
30.2
|
|
|
+ 3.25
|
%
|
|
+ 3.33
|
%
|
11/1/2024
|
Austin
|
Multi
|
$159,788 / unit
|
|
52
|
%
|
3
|
|||||||||||||
143
|
Senior loan
|
6/29/2021
|
|
39.5
|
|
|
29.1
|
|
|
29.0
|
|
|
+ 3.45
|
%
|
|
+ 3.63
|
%
|
7/1/2025
|
Memphis
|
Multi
|
$79,076 / unit
|
|
54
|
%
|
3
|
|||||||||||||
144
|
Senior loan
|
11/19/2020
|
|
37.8
|
|
|
28.3
|
|
|
28.0
|
|
|
+ 3.50
|
%
|
|
+ 3.90
|
%
|
12/9/2025
|
Chicago
|
Multi
|
$161,685 / unit
|
|
53
|
%
|
3
|
|||||||||||||
145
|
Senior loan
|
11/19/2020
|
|
28.2
|
|
|
28.1
|
|
|
27.9
|
|
|
+ 3.50
|
%
|
|
+ 3.85
|
%
|
12/9/2025
|
Charlotte
|
Multi
|
$178,019 / unit
|
|
61
|
%
|
3
|
|||||||||||||
146
|
Senior loan
|
11/19/2020
|
|
33.7
|
|
|
27.7
|
|
|
27.4
|
|
|
+ 3.50
|
%
|
|
+ 3.88
|
%
|
12/9/2025
|
Virginia Beach
|
Multi
|
$160,839 / unit
|
|
61
|
%
|
3
|
|||||||||||||
147
|
Senior loan
|
8/12/2021
|
|
31.6
|
|
|
27.3
|
|
|
27.1
|
|
|
+ 2.75
|
%
|
|
+ 3.10
|
%
|
9/9/2026
|
Phoenix
|
Multi
|
$117,466 / unit
|
|
71
|
%
|
3
|
|||||||||||||
148
|
Senior loan
|
10/31/2019
|
|
27.2
|
|
|
27.2
|
|
|
27.2
|
|
|
+ 3.25
|
%
|
|
+ 3.32
|
%
|
11/1/2024
|
Austin
|
Multi
|
$135,323 / unit
|
|
53
|
%
|
3
|
|||||||||||||
149
|
Senior loan
|
12/23/2019
|
|
26.2
|
|
|
22.8
|
|
|
22.7
|
|
|
+ 2.85
|
%
|
|
+ 3.23
|
%
|
1/9/2025
|
Miami
|
Office
|
$383 / sqft
|
|
68
|
%
|
2
|
|||||||||||||
150
|
Senior loan
|
8/4/2021
|
|
21.6
|
|
|
21.6
|
|
|
21.4
|
|
|
+ 2.75
|
%
|
|
+ 3.01
|
%
|
8/9/2026
|
Las Vegas
|
Multi
|
$180,000 / unit
|
|
73
|
%
|
3
|
(1) |
Senior loans include senior mortgages and similar credit quality loans, including related contiguous subordinate loans and pari passu participations in senior mortgage loans.
|
(2) |
Date loan was originated or acquired by us, and the LTV as of such date. Origination dates are subsequently updated to reflect material loan modifications.
|
(3) |
Total loan amount reflects outstanding principal balance as well as any related unfunded loan commitment.
|
(4) |
In certain instances, we finance our loans through the
non-recourse
sale of a senior loan interest that is not included in our consolidated financial statements. As of September 30, 2021, four loans in our portfolio have been financed with an aggregate $997.6 million of
non-consolidated
senior interest, which are included in the table above. Portfolio excludes our $79.2 million subordinate position in the $493.3 million 2018 Single Asset Securitization. Refer to Notes 4 and 16 to our consolidated financial statements for details of the 2018 Single Asset Securitization.
|
(5) |
The weighted-average spread and
all-in
yield are expressed as a spread over the relevant floating benchmark rates, which include USD LIBOR, GBP LIBOR, SONIA, EURIBOR, STIBOR, BBSY, and CDOR, as applicable to each loan. As of September 30, 2021, 98% of our loans by total loan exposure earned a floating rate of interest, primarily indexed to USD LIBOR. The other 2% of our loans earned a fixed rate of interest, which we reflect as a spread over the relevant floating benchmark rates, as of September 30, 2021, for purposes of the weighted-averages. In addition to spread,
all-in
yield includes the amortization of deferred origination and extension fees, loan origination costs, and purchase discounts, as well as the accrual of exit fees. Excludes loans accounted for under the cost-recovery method.
|
(6) |
Maximum maturity assumes all extension options are exercised, however our loans may be repaid prior to such date.
|
(7) |
Loans are accounted for under the cost-recovery method.
|
(8) |
Loan consists of one or more floating and fixed rate tranches. Coupon and
all-in
yield assume applicable floating benchmark rates for weighted-average calculation.
|
ITEM 3.
|
QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK
|
Interest Rate Sensitivity as of September 30, 2021
|
||||||||||||||||||||||||
Assets (Liabilities)
Sensitive to Changes in
Interest Rates
(1)(2)(3)
|
Increase in Rates
|
Decrease in Rates
(4)
|
||||||||||||||||||||||
Currency
|
25 Basis
Points |
50 Basis
Points |
25 Basis
Points |
50 Basis
Points |
||||||||||||||||||||
USD
|
$ | 15,827,294 | Income | $ | 13,422 | $ | 29,892 | $ | (2,196 | ) | $ | (2,196 | ) | |||||||||||
(12,704,353 | ) | Expense | (21,950 | ) | (44,144 | ) | 8,417 | 8,417 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
$ | 3,122,941 | Net interest | $ | (8,528 | ) | $ | (14,252 | ) | $ | 6,221 | $ | 6,221 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
EUR
|
$ | 3,309,622 | Income | $ | — | $ | — | $ | — | $ | — | |||||||||||||
(2,369,013 | ) | Expense | — | — | — | — | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
$ | 940,609 | Net interest | $ | — | $ | — | $ | — | $ | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
GBP
|
$ | 1,739,121 | Income | $ | 2,308 | $ | 4,786 | $ | (619 | ) | $ | (619 | ) | |||||||||||
(1,163,414 | ) | Expense | (2,327 | ) | (4,654 | ) | 619 | 619 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
$ | 575,707 | Net interest | $ | (19 | ) | $ | 132 | $ | — | $ | — | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
SEK
|
$ | 569,529 | Income | $ | 688 | $ | 1,827 | $ | — | $ | — | |||||||||||||
(455,623 | ) | Expense | (550 | ) | (1,462 | ) | — | — | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
$ | 113,906 | Net interest | $ | 138 | $ | 365 | $ | — | $ | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
AUD
|
$ | 176,144 | Income | $ | — | $ | — | $ | — | $ | — | |||||||||||||
(128,010 | ) | Expense | (256 | ) | (512 | ) | 68 | 68 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
$ | 48,134 | Net interest | $ | (256 | ) | $ | (512 | ) | $ | 68 | $ | 68 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
CAD
|
$ | 47,369 | Income | $ | 3 | $ | 6 | $ | (3 | ) | $ | (5 | ) | |||||||||||
(50,670 | ) | Expense | (101 | ) | (203 | ) | 101 | 173 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
$ | (3,301 | ) | Net interest | $ | (98 | ) | $ | (197 | ) | $ | 98 | $ | 168 | |||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Total net interest | $ | (8,763 | ) | $ | (14,464 | ) | $ | 6,387 | $ | 6,457 | ||||||||||||||
|
|
|
|
|
|
|
|
(1) |
Our floating rate loans and related liabilities are indexed to the various benchmark rates relevant in each case in terms of currency and payment frequency. Therefore the net exposure to each benchmark rate is in direct proportion to our net assets indexed to that rate. Increases (decreases) in interest income and expense are presented net of incentive fees. Refer to Note 12 to our consolidated financial statements for additional details of our incentive fee calculation.
|
(2) |
Includes investment exposure to the 2018 Single Asset Securitization. Refer to Notes 4 and 16 to our consolidated financial statements for details of the subordinate position we own in the 2018 Single Asset Securitization.
|
(3) |
Includes amounts outstanding under secured debt, securitizations, asset-specific financings, and term loans.
|
(4) |
Decrease in rates assumes the applicable benchmark rate for each currency does not decrease below 0%.
|
September 30, 2021
|
||||||||||||||||||||
Foreign currency assets
(1)(2)
|
€ | 2,882,412 | £ | 1,616,393 | kr | 5,012,396 | C$ | 87,450 | A$ | 269,428 | ||||||||||
Foreign currency liabilities
(1)
|
(2,049,226 | ) | (1,065,464 | ) | (3,996,277 | ) | (64,315 | ) | (177,684 | ) | ||||||||||
Foreign currency contracts - notional
|
(817,642 | ) | (542,551 | ) | (999,500 | ) | (21,000 | ) | (89,500 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net exposure to exchange rate fluctuations
|
€ | 15,544 | £ | 8,378 | kr | 16,619 | C$ | 2,135 | A$ | 2,244 | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net exposure to exchange rate fluctuations in USD
(3)
|
$ | 18,000 | $ | 11,287 | $ | 1,897 | $ | 1,684 | $ | 1,622 | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
____________
|
(1)
|
Balances include
non-consolidated
senior interests of £197.3 million.
|
|
(2)
|
British Pound Sterling balance includes a loan tranche denominated in Euro, with an outstanding principal balance of €8.3 million as of September 30, 2021, that is hedged to British Pound Sterling exposure through a foreign currency forward contract. Refer to Note 10 to our consolidated financial statements for additional discussion of our foreign currency derivatives.
|
|
(3)
|
Represents the U.S. Dollar equivalent as of September 30, 2021.
|
ITEM 4.
|
CONTROLS AND PROCEDURES
|
ITEM 1.
|
LEGAL PROCEEDINGS
|
ITEM 1A.
|
RISK FACTORS
|
ITEM 2.
|
UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS
|
ITEM 3.
|
DEFAULTS UPON SENIOR SECURITIES
|
ITEM 4.
|
MINE SAFETY DISCLOSURES
|
ITEM 5.
|
OTHER INFORMATION
|
ITEM 6.
|
EXHIBITS
|
+ |
This exhibit shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”) or otherwise subject to the liability of that Section. Such exhibit shall not be deemed incorporated into any filing under the Securities Act of 1933, as amended (the “Securities Act”), or the Exchange Act.
|
BLACKSTONE MORTGAGE TRUST, INC.
|
||||
October 27, 2021
|
/s/ Katharine A. Keenan
|
|||
Date
|
Katharine A. Keenan
|
|||
Chief Executive Officer
|
||||
(Principal Executive Officer)
|
||||
October 27, 2021
|
/s/ Anthony F. Marone, Jr.
|
|||
Date
|
Anthony F. Marone, Jr.
|
|||
Chief Financial Officer
|
||||
(Principal Financial Officer and
|
||||
Principal Accounting Officer)
|
Exhibit 10.1
FIRST AMENDMENT TO FIFTH AMENDED AND RESTATED MASTER REPURCHASE AGREEMENT
THIS FIRST AMENDMENT TO FIFTH AMENDED AND RESTATED MASTER REPURCHASE AGREEMENT (this Amendment), dated as of August 26, 2021 (the Effective Date), is made by and among PARLEX 2 FINANCE, LLC, a Delaware limited liability company (Parlex 2), PARLEX 2A FINCO, LLC, a Delaware limited liability company (Parlex 2A), PARLEX 2 UK FINCO, LLC, a Delaware limited liability company (Parlex 2 UK), PARLEX 2 EUR FINCO, LLC, a Delaware limited liability company (Parlex 2 EUR), PARLEX 2 AU FINCO, LLC, a Delaware limited liability company (Parlex 2 AU), PARLEX 2 CAD FINCO, LLC, a Delaware limited liability company (Parlex 2 CAD, and together with Parlex 2, Parlex 2A, Parlex 2 UK, Parlex 2 EUR and Parlex 2 AU, Existing Sellers), WISPAR 5 FINCO, LLC, a Delaware limited liability company (New Seller, and together with Existing Sellers and any other Person when such Person joins as a Seller hereunder from time to time, individually and/or collectively as the context may require, Seller), and CITIBANK, N.A., a national banking association (Buyer).
W I T N E S S E T H:
WHEREAS, Existing Sellers and Buyer have entered into that certain Fifth Amended and Restated Master Repurchase Agreement, dated as of April 16, 2021 (as the same may be amended, supplemented, extended, restated, replaced or otherwise modified from time to time, the Repurchase Agreement);
WHEREAS, all capitalized terms used herein and not otherwise defined shall have the respective meanings set forth in the Repurchase Agreement;
WHEREAS, Seller and Buyer entered into a Joinder Agreement, dated as of the date hereof (the New Seller Joinder), pursuant to which New Seller has been admitted to the Repurchase Agreement and the other Transaction Documents as a Seller (as such term is defined in the Repurchase Agreement) in accordance with the New Seller Joinder;
WHEREAS, in connection with the New Seller Joinder, Seller and Buyer desire to modify certain terms and provisions of the Repurchase Agreement as set forth herein.
NOW, THEREFORE, in consideration of ten dollars ($10) and for other good and valuable consideration, the receipt and legal sufficiency of which are hereby acknowledged, Seller and Buyer covenant and agree as follows as of the Effective Date:
1. Modification of Repurchase Agreement. The Repurchase Agreement is hereby modified as of the Effective Date as follows:
(a) The following definitions in Section 2 of the Repurchase Agreement are hereby deleted in their entirety and the following corresponding definitions are substituted therefor:
Blocked Account Agreement shall mean, individually or collectively, as the context may require, (i) that certain Deposit Account Control Agreement, dated as of June 12, 2013, among Buyer, Parlex 2, Servicer and the Depository, relating to the Cash
Management Account established by Parlex 2, as the same may be amended, modified and/or restated from time to time, (ii) that certain Deposit Account Control Agreement, dated as of January 31, 2014, among Buyer, Parlex 2A, Servicer and the Depository, relating to the Cash Management Account established by Parlex 2A, as the same may be amended, modified and/or restated from time to time, (iii) that certain Deposit Account Control Agreement, dated as of the Second Amendment and Restatement Date, among Buyer, Parlex 2 UK, Servicer and the Depository, relating to the Cash Management Account established by Parlex 2 UK, as the same may be amended, modified and/or restated from time to time, (iv) that certain Deposit Account Control Agreement, dated as of the Second Amendment and Restatement Date, among Buyer, Parlex 2 EUR, Servicer and the Depository, relating to the Cash Management Account established by Parlex 2 EUR, as the same may be amended, modified and/or restated from time to time, (v) that certain Deposit Account Control Agreement, dated as of the Third Amendment and Restatement Date, among Buyer, Parlex 2 AU, Servicer and the Depository, relating to the Cash Management Account established by Parlex 2 AU, as the same may be amended, modified and/or restated from time to time, (vi) that certain Deposit Account Control Agreement, dated as of the Fourth Amendment and Restatement Date, among Buyer, Parlex 2 CAD, Servicer and the Depository, relating to the Cash Management Account established by Parlex 2 CAD, as the same may be amended, modified and/or restated from time to time, (vii) that certain Deposit Account Control Agreement, dated as of August 26, 2021, among Buyer, Wispar 5, Midland Loan Services, a division of PNC Bank, National Association and the Depository, relating to the Cash Management Account established by Wispar 5, as the same may be amended, modified and/or restated from time to time, and (viii) each additional Deposit Account Control Agreement entered into among a new Seller admitted to this Agreement pursuant to a Joinder Agreement, Buyer, Servicer and the Depository and relating to a Cash Management Account established pursuant to this Agreement by such new Seller, as the same may be amended, modified and/or restated from time to time.
Change of Control shall mean any of the following events shall have occurred without the prior approval of Buyer:
(i) with respect to each Seller other than Wispar 5, Guarantor shall no longer own, directly or indirectly, 100% of the ownership interest in such Seller and Control, directly or indirectly, such Seller;
(ii) with respect to Wispar 5, Guarantor shall no longer own, directly or indirectly, 80% of the ownership interest in Wispar 5 and Control, directly or indirectly, Wispar 5;
(iii) any merger, reorganization or consolidation of Guarantor where Guarantor is not the surviving entity; or
(iv) any conveyance, transfer, lease or disposal of all or substantially all assets of any Seller or Guarantor to any Person or entity other than an Affiliate of such entity.
2
Seller shall mean, collectively, Parlex 2, Parlex 2A, Parlex 2 UK, Parlex 2 EUR, Parlex 2 AU, Parlex 2 CAD, Wispar 5 and each other Person as and when same may be approved by Buyer in its sole discretion from time to time and admitted to this Agreement as a Seller by a joinder agreement executed and delivered by Buyer, Seller and such approved other Seller in the form of Exhibit XI to this Agreement (a Joinder Agreement).
Servicer shall mean: (x) Midland Loan Services, a division of PNC Bank, National Association, (y) with respect to the Purchased Loans sold to Buyer by Wispar Seller, (a) Walker & Dunlop, LLC, a Delaware limited liability company, as Servicer for such Purchased Loan, and (b) Midland Loan Services, a division of PNC Bank, National Association, as sub-servicer for such Purchased Loan, or (z) any other third party servicer selected by Seller and approved by Buyer in its sole discretion; provided, that notwithstanding the foregoing, such other third party servicer selected by Seller shall be approved by Buyer in its reasonable discretion, so long as such Persons primary servicer rating shall be at least above average by Standard & Poors Ratings Service.
Servicing Agreement shall mean, individually or collectively, as the context may require (a) other than with respect to each CLO Participation issued pursuant to a CLO Participation Agreement, (i) that certain Servicing Agreement, dated as of June 12, 2013, among Parlex 2, Buyer and Servicer, as the same may be amended, modified and/or restated from time to time, (ii) that certain Servicing Agreement, dated as of January 31, 2014, among Parlex 2A, Buyer, and Servicer, as the same may be amended, modified and/or restated from time to time, (iii) that certain Servicing Agreement, dated as of the Second Amendment and Restatement Date, among Parlex 2 UK, Buyer, and Servicer, as the same may be amended, modified and/or restated from time to time, (iv) that certain Servicing Agreement, dated as of the Second Amendment and Restatement Date, among Parlex 2 EUR, Buyer, and Servicer, as the same may be amended, modified and/or restated from time to time, (v) that certain Servicing Agreement, dated as of the Third Amendment and Restatement Date, among Parlex 2 AU, Buyer, and Servicer, as the same may be amended, modified and/or restated from time to time, (vi) that certain Servicing Agreement, dated as of the Fourth Amendment and Restatement Date, among Parlex 2 CAD, Buyer, and Servicer, as the same may be amended, modified and/or restated from time to time, (vii) with respect to the Purchased Loans sold to Buyer by Wispar Seller, (A) for the servicing of such Purchased Loans, that certain Origination and Loan Administration Agreement, dated as of April 24, 2017, between WD-BXMT Lending LLC and Walker & Dunlop, LLC, as the same may be amended, modified and/or restated from time to time, and (B) for the sub-servicing of such Purchased Loans, that certain Servicing Agreement, dated as of August 26, 2021, among Wispar 5, Buyer and Midland Loan Services, a division of PNC Bank, National Association, as the same may be amended, modified and/or restated from time to time, and (viii) any other servicing agreement entered into by a Seller, Buyer and any Servicer approved by Buyer for the servicing of Purchased Loans, as the same may be amended, modified and/or restated from time to time, and (b) with respect to each CLO Participation issued pursuant to a CLO Participation Agreement, (x) for so long as the corresponding CLO Non-Controlling Participation is an asset of the applicable CLO, the corresponding CLO Servicing Agreement and (y) at any time such corresponding CLO Non-Controlling Participation is not an asset of such CLO, the servicing agreement entered into in accordance with the applicable CLO Participation Agreement.
3
(b) The following defined term is hereby added to Section 2 of the Repurchase Agreement in its appropriate alphabetical location as follows:
Wispar 5 shall mean Wispar 5 Finco, LLC, a Delaware limited liability company.
(c) Section 5(a) of the Repurchase Agreement is hereby deleted in its entirety and replaced with the following:
(a) Each Cash Management Account shall be established at the Depository, which (i) in the case of the Cash Management Account established by Parlex 2, shall have been established on June 12, 2013, (ii) in the case of the Cash Management Account established by Parlex 2A, shall have been established on January 31, 2014, (iii) in the case of the Cash Management Account established by Parlex 2 UK, shall have been established on the Second Amendment and Restatement Date, (iv) in the case of the Cash Management Account established by Parlex 2 EUR, shall have been established on the Second Amendment and Restatement Date, (v) in the case of the Cash Management Account established by Parlex 2 AU, shall have been established on the Third Amendment and Restatement Date, (vi) in the case of the Cash Management Account established by Parlex 2 CAD, shall have been established on the Fourth Amendment and Restatement Date, (vi) in the case of the Cash Management Account established by Wispar 5, shall have been established on August 26, 2021, and (viii) in the case of any Cash Management Account established by any Person that joins as a Seller under this Agreement from time to time, shall be established concurrently with the execution and delivery of the Joinder Agreement by which such Person joins as a Seller under this Agreement. Buyer shall have sole dominion and control over each Cash Management Account. All Income in respect of the Purchased Loans and any payments in respect of associated Hedging Transactions, as well as any interest received from the reinvestment of such Income, shall be deposited directly into the applicable Cash Management Account and shall be remitted by the Depository in accordance with the provisions of the applicable Blocked Account Agreement and Servicing Agreement (which remittances shall be in conformity to the applicable provisions of Sections 5(d), 5(e), 5(f) and 14(b)(iii) of this Agreement).
(d) Section 29(a) of the Repurchase Agreement is hereby modified by the addition of the following after the final sentence of such section:
With respect to the Purchased Loans sold to Buyer by Wispar Seller, Buyer consents to the appointment of Walker & Dunlop, LLC, as Servicer, and Midland Loan Services, a division of PNC Bank, National Association, as sub-servicer, for purposes of servicing such Purchased Loans and, with respect to Wispar Seller, the initial Servicing Agreement with Walker & Dunlop, LLC, as initial Servicer.
4
(e) Section 29(d) of the Repurchase Agreement is hereby deleted in its entirety and replaced with the following:
(d) Seller shall not employ or permit Servicer to employ sub-servicers to service the Purchased Loans without (x) in the case of U.S. Purchased Loans only, the prior written approval of Buyer in its sole discretion, except to the extent permitted in the applicable Servicing Agreement so long as, such employment of a sub-servicer constitutes a delegation of duties by Servicer which does not relieve Servicer of its primary obligation to perform such duties or (y) in the case of Foreign Purchased Loans, prior to consummating any such appointment, a consultation with Buyer. With respect to the Purchased Loans sold to Buyer by Wispar Seller, Buyer consents to the appointment of Walker & Dunlop, LLC, as Servicer, and Midland Loan Services, a division of PNC Bank, National Association, as sub-servicer, for purposes of servicing such Purchased Loan.
2. Sellers Representations. Seller has taken all necessary action to authorize the execution, delivery and performance of this Amendment. This Amendment has been duly executed and delivered by or on behalf of Seller and constitutes the legal, valid and binding obligation of Seller enforceable against Seller in accordance with its terms subject to bankruptcy, insolvency, and other limitations on creditors rights generally and to equitable principles. No Event of Default has occurred and is continuing, and no Event of Default will occur as a result of the execution, delivery and performance by Seller of this Amendment. Any consent, approval, authorization, order, registration or qualification of or with any Governmental Authority required for the execution, delivery and performance by Seller of this Amendment has been obtained and is in full force and effect (other than consents, approvals, authorizations, orders, registrations or qualifications that if not obtained, are not reasonably likely to have a Material Adverse Effect).
3. Full Force and Effect. Except as expressly modified hereby, all of the terms, covenants and conditions of the Repurchase Agreement and the other Transaction Documents remain unmodified and in full force and effect and are hereby ratified and confirmed by Seller. Any inconsistency between this Amendment and the Repurchase Agreement (as it existed before this Amendment) shall be resolved in favor of this Amendment, whether or not this Amendment specifically modifies the particular provision(s) in the Repurchase Agreement inconsistent with this Amendment. All references to the Agreement in the Repurchase Agreement or to the Repurchase Agreement in any of the other Transaction Documents shall mean and refer to the Repurchase Agreement as modified and amended hereby.
4. No Waiver. The execution, delivery and effectiveness of this Amendment shall not operate as a waiver of any right, power or remedy of Buyer under the Repurchase Agreement, any of the other Transaction Documents or any other document, instrument or agreement executed and/or delivered in connection therewith.
5. Headings. Each of the captions contained in this Amendment are for the convenience of reference only and shall not define or limit the provisions hereof.
6. Counterparts. This Amendment may be executed in any number of counterparts, and all such counterparts shall together constitute the same agreement. Signatures delivered by email (in PDF format) shall be considered binding with the same force and effect as original signatures
5
7. Governing Law. This Amendment shall be governed in accordance with the terms and provisions of Section 20 of the Repurchase Agreement.
[No Further Text on this Page; Signature Pages Follow]
6
IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be executed by their duly authorized representatives as of the day and year first above written and effective as of the Effective Date.
BUYER: |
||
CITIBANK, N.A. | ||
By: |
/s/ Richard B. Schlenger |
|
Name: |
Richard B. Schlenger |
|
Title: |
Authorized Signatory |
[SIGNATURES CONTINUE ON NEXT PAGE]
[Signature Page to First Amendment to Fifth Amended and Restated Master Repurchase Agreement]
SELLER: |
||||
PARLEX 2 FINANCE, LLC, a Delaware limited liability company |
||||
By: |
/s/ Douglas N. Armer |
|||
Name: |
Douglas N. Armer |
|||
Title: |
Executive Vice President, Capital
Markets and Treasurer |
|||
PARLEX 2A FINCO, LLC, a Delaware limited liability company |
||||
By: |
/s/ Douglas N. Armer |
|||
Name: |
Douglas N. Armer |
|||
Title: |
Executive Vice President, Capital
Markets and Treasurer |
|||
PARLEX 2 UK FINCO, LLC, a Delaware limited liability company |
||||
By: |
/s/ Douglas N. Armer |
|||
Name: |
Douglas N. Armer |
|||
Title: |
Executive Vice President, Capital
Markets and Treasurer |
|||
PARLEX 2 EUR FINCO, LLC, a Delaware limited liability company |
||||
By: |
/s/ Douglas N. Armer |
|||
Name: |
Douglas N. Armer |
|||
Title: |
Executive Vice President, Capital
Markets and Treasurer |
[SIGNATURES CONTINUE ON NEXT PAGE]
[Signature Page to First Amendment to Fifth Amended and Restated Master Repurchase Agreement]
PARLEX 2 AU FINCO, LLC, a Delaware limited liability company |
||||
By: |
/s/ Douglas N. Armer |
|||
Name: |
Douglas N. Armer |
|||
Title: |
Executive Vice President, Capital
Markets and Treasurer |
|||
PARLEX 2 CAD FINCO, LLC, a Delaware limited liability company |
||||
By: |
/s/ Douglas N. Armer |
|||
Name: |
Douglas N. Armer |
|||
Title: |
Executive Vice President, Capital
Markets and Treasurer |
|||
WISPAR 5 FINCO, LLC, a Delaware limited liability company |
||||
By: |
/s/ Douglas N. Armer |
|||
Name: |
Douglas N. Armer |
|||
Title: |
Executive Vice President, Capital
Markets and Treasurer |
[Signature Page to First Amendment to Fifth Amended and Restated Master Repurchase Agreement]
Exhibit 31.1
CERTIFICATION
PURSUANT TO 17 CFR 240.13a-14
PROMULGATED UNDER
SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002
I, Katharine A. Keenan, certify that:
1. |
I have reviewed this quarterly report on Form 10-Q of Blackstone Mortgage Trust, Inc.; |
2. |
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; |
3. |
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report; |
4. |
The registrants other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have: |
(a) |
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; |
(b) |
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; |
(c) |
Evaluated the effectiveness of the registrants disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and |
(d) |
Disclosed in this report any change in the registrants internal control over financial reporting that occurred during the registrants most recent fiscal quarter (the registrants fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrants internal control over financial reporting; and |
5. |
The registrants other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrants auditors and the audit committee of the registrants board of directors (or persons performing the equivalent functions): |
(a) |
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrants ability to record, process, summarize and report financial information; and |
(b) |
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrants internal control over financial reporting. |
Date: October 27, 2021
/s/ Katharine A. Keenan |
Katharine A. Keenan |
Chief Executive Officer |
Exhibit 31.2
CERTIFICATION
PURSUANT TO 17 CFR 240.13a-14
PROMULGATED UNDER
SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002
I, Anthony F. Marone, Jr., certify that:
1. |
I have reviewed this quarterly report on Form 10-Q of Blackstone Mortgage Trust, Inc.; |
2. |
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; |
3. |
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report; |
4. |
The registrants other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have: |
(a) |
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; |
(b) |
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; |
(c) |
Evaluated the effectiveness of the registrants disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and |
(d) |
Disclosed in this report any change in the registrants internal control over financial reporting that occurred during the registrants most recent fiscal quarter (the registrants fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrants internal control over financial reporting; and |
5. |
The registrants other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrants auditors and the audit committee of the registrants board of directors (or persons performing the equivalent functions): |
(a) |
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrants ability to record, process, summarize and report financial information; and |
(b) |
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrants internal control over financial reporting. |
Date: October 27, 2021
/s/ Anthony F. Marone |
Anthony F. Marone, Jr. |
Chief Financial Officer |
Exhibit 32.1
CERTIFICATION PURSUANT TO
18 U.S.C. SECTION 1350,
AS ADOPTED PURSUANT TO
SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002
In connection with the Quarterly Report of Blackstone Mortgage Trust, Inc. (the Company) on Form 10-Q for the period ended September 30, 2021 as filed with the Securities and Exchange Commission on the date hereof (the Report), I, Katharine A. Keenan, Chief Executive Officer of the Company, certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:
1. |
The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and |
2. |
The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company. |
/s/ Katharine A. Keenan |
Katharine A. Keenan |
Chief Executive Officer |
October 27, 2021 |
This certification accompanies each Report pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 and shall not, except to the extent required by the Sarbanes-Oxley Act of 2002, be deemed filed by the Company for purposes of Section 18 of the Securities Exchange Act of 1934, as amended.
A signed original of this written statement required by Section 906 has been provided by the Company and will be retained by the Company and furnished to the Securities and Exchange Commission or its staff upon request.
Exhibit 32.2
CERTIFICATION PURSUANT TO
18 U.S.C. SECTION 1350,
AS ADOPTED PURSUANT TO
SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002
In connection with the Quarterly Report of Blackstone Mortgage Trust, Inc. (the Company) on Form 10-Q for the period ended September 30, 2021 as filed with the Securities and Exchange Commission on the date hereof (the Report), I, Anthony F. Marone, Jr., Chief Financial Officer of the Company, certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:
1. |
The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and |
2. |
The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company. |
/s/ Anthony F. Marone |
Anthony F. Marone, Jr. |
Chief Financial Officer |
October 27, 2021 |
This certification accompanies each Report pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 and shall not, except to the extent required by the Sarbanes-Oxley Act of 2002, be deemed filed by the Company for purposes of Section 18 of the Securities Exchange Act of 1934, as amended.
A signed original of this written statement required by Section 906 has been provided by the Company and will be retained by the Company and furnished to the Securities and Exchange Commission or its staff upon request.