Drive Shack (DSHK) 10-Q 10 Aug 15 2015 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2015	Jul. 27, 2015
Document And Entity Information
Entity Registrant Name	NEWCASTLE INVESTMENT CORP
Entity Central Index Key	1,175,483
Document Type	10-Q
Document Period End Date	Jun. 30, 2015
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Is Entity a Well-known Seasoned Issuer?	No
Is Entity a Voluntary Filer?	No
Is Entity's Reporting Status Current?	Yes
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		66,486,652
Document Fiscal Period Focus	Q2
Document Fiscal Year Focus	2,015

CONSOLIDATED BALANCE SHEETS (Un

CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Assets
Real estate securities, available-for-sale	$ 65,499	$ 231,754
Real estate securities, pledged as collateral	208,041	407,689
Real estate related and other loans, held-for-sale, net	141,826	230,200
Residential mortgage loans, held-for-sale, net	3,527	3,854
Subprime mortgage loans subject to call option	404,149	406,217
Investments in other real estate, net of accumulated depreciation	231,268	239,283
Intangibles, net of accumulated amortization	79,702	84,686
Other investments	19,925	26,788
Cash and cash equivalents	114,338	73,727
Restricted cash	3,385	15,714
Receivables from brokers, dealers and clearing organizations	392,289
Receivables and other assets	39,724	35,191
Assets of discontinued operations	53	6,803
Total Assets	1,703,726	1,761,906
Liabilities
CDO bonds payable	92,693	227,673
Other bonds and notes payable	9,871	27,069
Repurchase agreements	375,704	441,176
Credit facilities and obligations under capital leases, golf	165,006	161,474
Financing of subprime mortgage loans subject to call option	404,149	406,217
Junior subordinated notes payable	51,228	51,231
Dividends payable	8,907	8,901
Payables to brokers, dealers and clearing organizations	207,732
Accounts payable, accrued expenses and other liabilities	160,692	179,390
Liabilities of discontinued operations		447
Total Liabilities	$ 1,475,982	$ 1,503,578
Commitments and contingencies
Equity
Preferred stock, $0.01 par value, 100,000,000 shares authorized, 1,347,321 shares of 9.75% Series B Cumulative Redeemable Preferred Stock, 496,000 shares of 8.05% Series C Cumulative Redeemable Preferred Stock, and 620,000 shares of 8.375% Series D Cumulative Redeemable Preferred Stock, liquidation preference $25.00 per share, issued and outstanding as of June 30, 2015 and December 31, 2014	$ 61,583	$ 61,583
Common stock, $0.01 par value, 1,000,000,000 shares authorized, 66,476,285 and 66,424,508 shares issued and outstanding, at June 30, 2015 and December 31, 2014, respectively	665	664
Additional paid-in capital	3,172,297	3,172,060
Accumulated deficit	(3,042,901)	(3,041,880)
Accumulated other comprehensive income	36,294	65,865
Total Newcastle Stockholders' Equity	227,938	258,292
Noncontrolling interests	(194)	36
Total Equity	227,744	258,328
Total Liabilities and Equity	$ 1,703,726	$ 1,761,906

CONSOLIDATED BALANCE SHEETS (U3

CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) - $ / shares	6 Months Ended	12 Months Ended
	Jun. 30, 2015	Dec. 31, 2014
Preferred stock, par value	$ 0.01	$ 0.01
Preferred stock, shares authorized	100,000,000	100,000,000
Preferred stock liquidation preference, per share	$ 25	$ 25
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	1,000,000,000	1,000,000,000
Common stock, shares issued	66,476,285	66,424,508
Common stock, shares outstanding	66,476,285	66,424,508
Series B Cumulative Redeemable Preferred Stock [Member]
Preferred stock, dividend rate	9.75%	9.75%
Preferred stock, shares issued	1,347,321	1,347,321
Preferred stock, shares outstanding	1,347,321	1,347,321
Series C Cumulative Redeemable Preferred Stock [Member]
Preferred stock, dividend rate	8.05%	8.05%
Preferred stock, shares issued	496,000	496,000
Preferred stock, shares outstanding	496,000	496,000
Series D Cumulative Redemable Preferred [Member]
Preferred stock, dividend rate	8.375%	8.375%
Preferred stock, shares issued	620,000	620,000
Preferred stock, shares outstanding	620,000	620,000

CONSOLIDATED STATEMENTS OF OPER

CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) $ in Thousands	3 Months Ended				6 Months Ended
	Jun. 30, 2015		Jun. 30, 2014		Jun. 30, 2015		Jun. 30, 2014
Income Statement [Abstract]
Interest income	$ 24,265		$ 29,893		$ 51,343		$ 76,345
Interest expense	16,950		20,328		33,677		42,498
Net interest income	7,315		9,565		17,666		33,847
Impairment/(Reversal)
Valuation allowance (reversal) on loans	4,317		$ 1,526		4,674		$ 2,772
Other-than-temporary impairment on securities	9,128				9,472
Portion of other-than-temporary impairment on securities recognized in other comprehensive income (loss), net of the reversal of other comprehensive loss into net income (loss)	234				(62)
Total impairment (reversal)	13,679		$ 1,526		14,084		$ 2,772
Net interest income after impairment/reversal	(6,364)		8,039		3,582		31,075
Operating Revenues
Golf course operations	48,778		50,513		87,732		90,285
Sales of food and beverages - golf	20,944		19,923		33,956		33,462
Other golf revenue	13,081		12,301		21,941		21,622
Total operating revenues	82,803		82,737		143,629		145,369
Other Income (Loss)
Gain on settlement of investments, net	26,776		40,435		27,791		42,769
Gain (loss) on extinguishment of debt	489		(3,410)		489		(3,410)
Other income (loss), net	2,108		4,682		1,594		18,156
Total other income	29,373		41,707		29,874		57,515
Expenses
Loan and security servicing expense	118		408		214		1,265
Operating expenses - golf	65,438		66,482		120,375		126,129
Cost of sales - golf	9,108		8,807		15,161		14,763
General and administrative expense	3,487		4,767		5,200		8,331
Management fee to affiliate	2,674		5,296		5,342		11,189
Depreciation and amortization	7,119		6,317		13,872		12,180
Total expenses	87,944		92,077		160,164		173,857
Income from continuing operations before income tax	17,868		40,406		16,921		60,102
Income tax expense	27		4		73		144
Income from continuing operations	17,841		40,402		16,848		59,958
Income (loss) from discontinued operations, net of tax	524		(8,504)		639		(23,803)
Net Income	18,365		31,898		17,487		36,155
Preferred dividends	(1,395)		(1,395)		(2,790)		(2,790)
Net loss attributable to noncontrolling interests	49		29		230		690
Income Applicable to Common Stockholders	$ 17,019		$ 30,532		$ 14,927		$ 34,055
Income Applicable to Common Stock, per share
Basic	$ .26	[1]	$ 0.52	[1]	$ .22	[1]	$ 0.58
Diluted	.25	[1]	0.50	[1]	.22	[1]	0.56
Income from Continuing Operations per share of Common Stock, after preferred dividends and noncontrolling interests
Basic	.25	[1]	0.67	[1]	.22	[1]	0.99
Diluted	.24	[1]	0.65	[1]	.21	[1]	0.96
Income (Loss) from Discontinued Operations per share of Common Stock
Basic	0.01	[1]	(0.15)	[1]	0.01	[1]	(0.41)
Diluted	$ 0.01	[1]	$ (0.15)	[1]	$ 0.01	[1]	$ (0.41)
Weighted Average Number of Shares of Common Stock Outstanding
Basic	66,426,980	[1]	58,599,666	[1]	66,425,751	[1]	58,587,691
Diluted	69,204,717	[1]	60,477,084	[1]	69,055,495	[1]	60,493,844
Dividends Declared per Share of Common Stock	$ 0.12	[1]	$ 0.60	[1]	$ 0.24	[1]	$ 1.20
[1]	All per share amounts and shares outstanding for all periods reflect the 1-for-3 reverse stock split, which was effective after the close of trading on August 18, 2014 and the 1-for-2 reverse stock split, which was effective after the close of trading on October 22, 2014.

CONSOLIDATED STATEMENTS OF OPE5

CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) (Parenthetical) - 6 months ended Jun. 30, 2015	Total
Reverse Stock Split 1 [Member]
Reverse stock-split ratio	0.33
Stock split effective date	August 18, 2014 close of trading
Reverse Stock Split 2 [Member]
Reverse stock-split ratio	0.50
Stock split effective date	October 22, 2014 close of trading

CONSOLIDATED STATEMENTS OF COMP

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Statement of Comprehensive Income [Abstract]
Net income	$ 18,365	$ 31,898	$ 17,487	$ 36,155
Other comprehensive income (loss):
Net unrealized gain (loss) on available-for-sale securities	(6,610)	3,889	(2,572)	8,477
Reclassification of net realized (gain) loss on securities into earnings	(22,694)	(15,698)	(28,876)	(18,032)
Net unrecognized gain and pension prior service cost (discontinued operations)				9
Net unrealized gain (loss) on derivatives designated as cash flow hedges	(27)	(75)	(60)	(152)
Reclassification of net realized (gain) loss on derivatives designated as cash flow hedges into earnings	1,248	904	1,937	2,171
Other comprehensive (loss) income	(28,083)	(10,980)	(29,571)	(7,527)
Total comprehensive (loss) income	(9,718)	20,918	(12,084)	28,628
Comprehensive (loss) income attributable to Newcastle stockholders' equity	(9,669)	20,947	(11,854)	29,318
Comprehensive loss attributable to noncontrolling interests	$ (49)	$ (29)	$ (230)	$ (690)

CONSOLIDATED STATEMENT OF EQUIT

CONSOLIDATED STATEMENT OF EQUITY (Unaudited) - 6 months ended Jun. 30, 2015 - USD ($) $ in Thousands	Preferred Stock [Member]	Common Stock [Member]	Additional Paid-in Capital [Member]	Accumulated Deficit [Member]	Accumulated Other Comprehensive Income (Loss) [Member]	Total Newcastle Stockholders' Equity [Member]	Noncontrolling Interests [Member]	Total
Balance, beginning at Dec. 31, 2014	$ 61,583	$ 664	$ 3,172,060	$ (3,041,880)	$ 65,865	$ 258,292	$ 36	$ 258,328
Balance, beginning - shares at Dec. 31, 2014	2,463,321	66,424,508
Dividends declared				(18,738)		(18,738)		(18,738)
Issuance of common stock (directors)		$ 1	237			238		238
Issuance of common stock (directors), shares		51,777
Comprehensive income (loss)
Net income				17,717		17,717	(230)	17,487
Other comprehensive loss					(29,571)	(29,571)		(29,571)
Total comprehensive income (loss)						(11,854)	(230)	(12,084)
Balance, ending at Jun. 30, 2015	$ 61,583	$ 665	$ 3,172,297	$ (3,042,901)	$ 36,294	$ 227,938	$ (194)	$ 227,744
Balance, ending - shares at Jun. 30, 2015	2,463,321	66,476,285

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Cash Flows From Operating Activities
Net income	$ 17,487	$ 36,155
Adjustments to reconcile net income to net cash provided by operating activities (inclusive of amounts related to discontinued operations):
Depreciation and amortization	13,883	62,913
Accretion of discount and other amortization	1,997	(10,074)
Net interest income on investments accrued to principal balance	(11,485)	(11,054)
Non-cash directors' compensation	238	200
Valuation allowance on loans	4,674	2,772
Other-than-temporary impairment on securities	$ 9,410
Straight-lining of rental income		(12,138)
Equity in earnings from equity method investments, net of distributions	$ (642)	(289)
Gain on settlement of investments (net)	(27,877)	(42,735)
Unrealized gain on non-hedge derivatives and hedge ineffectiveness	(293)	(16,862)
Loss/(gain) on extinguishment of debt	(489)	3,410
Change in:
Restricted cash	(1,055)	1,941
Receivables and other assets	(1,765)	6,572
Accounts payable, accrued expenses and other liabilities	(18,670)	(4,587)
Net cash (used in) provided by operating activities	(14,587)	16,224
Cash Flows From Investing Activities
Principal repayments from investments	112,084	$ 189,723
Purchase of real estate securities	(415,917)
Proceeds from sale of investments	406,269	$ 763,336
Acquisition and additions to investments in real estate	(1,934)	(237,197)
Change in restricted cash from investing activities	$ 56,774
Deposit paid on investments		(650)
Net cash provided by investing activities	$ 157,276	715,212
Cash Flows From Financing Activities
Repurchase of CDO bonds payable	(10,983)
Borrowings under debt obligations	391,752	103,065
Repayments of debt obligations	(462,180)	(763,347)
Margin deposits under repurchase agreements and derivatives	(60,046)	(12,277)
Return of margin deposits under repurchase agreements and derivatives	$ 60,531	12,277
Issuance of common stock		240
Contribution of cash to New Media/New Residential upon spin-off		(23,845)
Common stock dividends paid	$ (15,942)	(70,290)
Preferred stock dividends paid	$ (2,790)	(2,790)
Payment of deferred financing costs		$ (2,491)
Proceeds (payments) from settlement of derivative instruments	$ (2,555)
Net cash used in financing activities	(102,213)	$ (759,458)
Net (Decrease) Increase in Cash and Cash Equivalents	40,476	(28,022)
Cash and Cash Equivalents, Beginning of Period	73,727	42,721
Cash and Cash Equivalents of Discontinued Operations, Beginning of Period	135	63,223
Cash and Cash Equivalents, End of Period	114,338	77,922
Cash and Cash Equivalents of Continuing Operations, End of Period	114,338	29,928
Cash and Cash Equivalents of Discontinued Operations, End of Period		47,994
Supplemental Disclosure of Cash Flow Information
Cash paid during the period for interest expense	260	1,153
Cash paid during the period for income taxes	10,129	39,409
Supplemental Schedule of Non-Cash Investing and Financing Activities
Preferred stock dividends declared but not paid	930	930
Common stock dividends declared but not paid	7,977	35,171
Additions to capital lease assets and liabilities	$ 2,634
Reduction of Assets and Liabilities relating to the spin-off of New Media
Property, plant and equipment		266,385
Goodwill and intangibles, net		271,350
Restricted cash		6,477
Receivables and other assets		101,940
Credit facilities, media		177,955
Accounts payable, accrued expenses and other liabilities		$ 100,695

GENERAL

GENERAL	6 Months Ended
	Jun. 30, 2015
Organization, Consolidation and Presentation of Financial Statements [Abstract]
GENERAL	1. GENERAL Newcastle Investment Corp. (and its subsidiaries, “Newcastle” or the "Company") is a Maryland corporation that was formed in 2002. Newcastle focuses on opportunistically investing in, and actively managing, a variety of real estate-related and other investments. Newcastle is organized and conducts its operations to qualify as a real estate investment trust (“REIT”) for U.S. federal income tax purposes. As such, Newcastle will generally not be subject to U.S. federal corporate income tax on that portion of its net income that is distributed to stockholders if it distributes at least 90% of its REIT taxable income to its stockholders by prescribed dates and complies with various other requirements. However, certain of our activities are conducted through taxable REIT subsidiaries ("TRS") and therefore are subject to federal and state income taxes at regular corporate tax rates. Newcastle's common stock is traded on the New York Stock Exchange under the symbol "NCT". Newcastle conducts its business through the following segments: (i) debt investments financed with collateralized debt obligations (“CDOs”), (ii) other debt investments (“Other Debt”), (iii) investments in golf properties and facilities (“Golf”) and (iv) corporate. With respect to the CDOs and other debt investments, subject to the passing of certain periodic coverage tests, Newcastle is generally entitled to receive the net cash flows from these structures on a periodic basis. Newcastle is party to a management agreement (the "Management Agreement") with FIG LLC (the "Manager"), a subsidiary of Fortress Investment Group LLC (“Fortress”), under which the Manager advises Newcastle on various aspects of its business and manages its day-to-day operations, subject to the supervision of Newcastle's board of directors. For its services, the Manager is entitled to an annual management fee and incentive compensation, both as defined in, and in accordance with the terms of the Management Agreement. Approximately 1.0 million shares of Newcastle’s common stock were held by Fortress, through its affiliates, and its principals at June 30, 2015 . In addition, Fortress, through its affiliates, held options to purchase approximately 5.1 million shares of Newcastle’s common stock at June 30, 2015 . A principal of the Manager owned or leased aircraft that Newcastle chartered from a third-party aircraft operator for business purposes in the course of operations. Newcastle paid market rates for the charters.

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	6 Months Ended
	Jun. 30, 2015
Accounting Policies [Abstract]
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation - The accompanying consolidated financial statements and related notes of Newcastle have been prepared in accordance with accounting principles generally accepted in the United States for interim financial reporting and the instructions to Form 10-Q and Rule 10-01 of Regulation S-X. Accordingly, certain information and footnote disclosures normally included in financial statements prepared under U.S. generally accepted accounting principles (“GAAP”) have been condensed or omitted. In the opinion of management, all adjustments considered necessary for a fair presentation of Newcastle's financial position, results of operations and cash flows have been included and are of a normal and recurring nature. The operating results presented for interim periods are not necessarily indicative of the results that may be expected for any other interim period or for the entire year. These financial statements should be read in conjunction with Newcastle's consolidated financial statements for the year ended December 31, 2014 and notes thereto included in Newcastle’s Annual Report on Form 10-K filed with the SEC on March 2, 2015. Capitalized terms used herein, and not otherwise defined, are defined in Newcastle’s consolidated financial statements for the year ended December 31, 2014 . Certain prior period amounts have been reclassified to conform to the current period’s presentation. All per share amounts, common shares outstanding and options for all prior periods reflect Newcastle's 1-for-3 reverse stock split, which was effective August 18, 2014 and Newcastle's 1-for-2 reverse stock split, which was effective October 22, 2014. As of June 30, 2015 , Newcastle's significant accounting policies for these financial statements are summarized below and should be read in conjunction with the Summary of Significant Accounting Policies detailed in the Company's Annual Report on Form 10-K for the year ended December 31, 2014. Golf Revenues - Revenue from green fees, cart rentals, food and beverage sales, merchandise sales and other income (consisting primarily of range income, banquets, instruction, and club and other rental income) are generally recognized at the time of sale, when services are rendered and collection is reasonably assured. Revenue from membership dues is recognized in the month earned. Membership dues received in advance are included in deferred revenues and recognized as revenue ratably over the appropriate period, which is generally twelve months or less. The monthly dues are generally structured to cover the club operating costs and membership services. Private country club members generally pay an advance initiation fee deposit upon their acceptance as a member to the country club. Initiation fee deposits are refundable 30 years after the date of acceptance as a member. The difference between the initiation fee deposit paid by the member and the present value of the refund obligation is deferred and recognized into revenue in the consolidated statements of operations on a straight-line basis over the expected life of an active membership, which is estimated to be seven years. The present value of the refund obligation is recorded as a membership deposit liability in the consolidated balance sheet and accretes over a 30-year nonrefundable term using the effective interest method. This accretion is recorded as interest expense in the consolidated statements of operations. EXPENSE RECOGNITION Derivatives and Hedging Activities - All derivatives are recognized as either assets or liabilities on the balance sheet and measured at fair value. Newcastle reports the fair value of derivative instruments gross of cash paid or received pursuant to credit support agreements and fair value is reflected on a net counterparty basis when Newcastle believes a legal right of offset exists under an enforceable netting agreement. Fair value adjustments affect either equity or net income depending on whether the derivative instrument qualifies as a hedge for accounting purposes and, if so, the nature of the hedging activity. For those derivative instruments that are designated and qualify as hedging instruments, Newcastle designates the hedging instrument, based upon the exposure being hedged, as either a cash flow hedge, a fair value hedge or a hedge of a net investment in a foreign operation. Derivative transactions are entered into by Newcastle solely for risk management purposes, except for total rate of return swaps. Such total rate of return swaps are essentially financings of certain reference assets which are treated as derivatives for accounting purposes. The decision of whether or not a given transaction/position (or portion thereof) is hedged is made on a case-by-case basis, based on the risks involved and other factors as determined by management, including restrictions imposed by the Code among others. In determining whether to hedge a risk, Newcastle may consider whether other assets, liabilities, firm commitments and anticipated transactions already offset or reduce the risk. All transactions undertaken as hedges are entered into with a view towards minimizing the potential for economic losses that could be incurred by Newcastle. Generally, all derivatives entered into are intended to qualify as hedges under GAAP, unless specifically stated otherwise. To this end, terms of hedges are matched closely to the terms of hedged items. Description of the risks being hedged 1) Interest rate risk, existing debt obligations - Newcastle has hedged (and may continue to hedge, when feasible and appropriate) the risk of interest rate fluctuations with respect to its borrowings, regardless of the form of such borrowings, which require payments based on a variable interest rate index. Newcastle generally intends to hedge only the risk related to changes in the benchmark interest rate (LIBOR or a Treasury rate). In order to reduce such risks, Newcastle may enter into swap agreements whereby Newcastle would receive floating rate payments in exchange for fixed rate payments, effectively converting the borrowing to fixed rate. Newcastle may also enter into cap agreements whereby, in exchange for a premium, Newcastle would be reimbursed for interest paid in excess of a certain cap rate. 2) Interest rate risk, anticipated transactions - Newcastle may hedge the aggregate risk of interest rate fluctuations with respect to anticipated transactions, primarily anticipated borrowings. The primary risk involved in an anticipated borrowing is that interest rates may increase between the date the transaction becomes probable and the date of consummation. Newcastle generally intends to hedge only the risk related to changes in the benchmark interest rate (LIBOR or a Treasury rate). This is generally accomplished through the use of interest rate swaps. Cash Flow Hedges To qualify for cash flow hedge accounting, interest rate swaps and caps must meet certain criteria, including (1) the items to be hedged expose Newcastle to interest rate risk, (2) the interest rate swaps or caps are highly effective in reducing Newcastle’s exposure to interest rate risk, and (3) with respect to an anticipated transaction, such transaction is probable. Correlation and effectiveness are periodically assessed based upon a comparison of the relative changes in the fair values or cash flows of the interest rate swaps and caps and the items being hedged, or using regression analysis on an ongoing basis to assess retrospective and prospective hedge effectiveness. For derivative instruments that are designated and qualify as a cash flow hedge (i.e., hedging the exposure to variability in expected future cash flows that is attributable to a particular risk), the effective portion of the gain or loss, and net payments received or made, on the derivative instrument are reported as a component of other comprehensive income and reclassified into earnings in the same period or periods during which the hedged transaction affects earnings. The remaining gain or loss on the derivative instrument in excess of the cumulative change in the present value of future cash flows of the hedged item, if any, is recognized in current earnings during the period of change. The premiums paid for interest rate caps, treated as cash flow hedges, are amortized into interest expense based on the estimated value of such cap for each period covered by such cap. With respect to interest rate swaps which have been designated as hedges of anticipated financings, periodic net payments are recognized currently as adjustments to interest expense; any gain or loss from fluctuations in the fair value of the interest rate swaps is recorded as a deferred hedge gain or loss in accumulated other comprehensive income and treated as a component of the anticipated transaction. In the event the anticipated refinancing failed to occur as expected, the deferred hedge credit or charge would be recognized immediately in earnings. Newcastle’s hedges of such financings were terminated upon the consummation of such financings. Newcastle designated certain of its derivatives, and in some cases re-designated all or a portion thereof as hedges. As a result of these designations, in the cases where the originally hedged items were still owned by Newcastle, the unrealized gain or loss was recorded in accumulated other comprehensive income as a deferred hedge gain or loss and is being amortized over the life of the hedged item. As of June 30, 2015 , Newcastle did not have any interest rate swaps. Newcastle terminated two interest rate swaps in connection with the liquidation of CDO VIII and the interest rate swap in CDO VI matured in March 2015. Non-Hedge Derivatives With respect to interest rate swaps and caps that have not been designated as hedges, any net payments under, or fluctuations in the fair value of, such swaps and caps have been recognized currently in other income (loss). These derivatives may, to some extent, be economically effective as hedges. Under these agreements, we paid fixed monthly coupons at fixed rates of 4.85% of the notional amount to the counterparty and received floating rate LIBOR. Our interest rate swaps not designated as hedges matured in March 2015. Newcastle has entered into certain transactions which financed the purchase of certain assets with the seller of these assets. The contemporaneous purchase of the asset and the associated financing are treated as a linked transaction and accordingly recorded on a net basis as a non-hedge derivative instrument, with changes in market value recorded on the statement of operations. In May 2014, the CDO VIII Class 1 notes were repaid in full and the repurchase agreement was terminated. Therefore, the associated linked transaction was effectively terminated. Newcastle also transacts in the to be announced mortgage backed securities ("TBA") market. TBA contracts are forward contracts to purchase mortgage-backed securities that will be issued by a U.S. government sponsored enterprise in the future. Newcastle primarily engages in TBA transactions for purposes of managing interest rate risk and market risk associated with our investment strategies. For example, Newcastle takes short positions in TBAs to offset - to varying degrees - changes in the values of our Agency residential mortgage backed securities ("RMBS") investments for which we have exposure to interest rate volatility; therefore, these derivatives may, to some extent, be economically effective as hedges. Newcastle typically does not take delivery of TBAs, but rather settles the associated receivable and payable with its trading counterparties on a net basis. As part of its TBA activities, Newcastle may "roll" its TBA positions, whereby we may sell (buy) securities for delivery (receipt) in an earlier month and simultaneously contract to repurchase (sell) similar securities at an agreed-upon price on a fixed date in a later month. Newcastle accounts for its TBA transactions as non-hedge instruments, with changes in market value recorded on the statement of operations. As of June 30, 2015 , Newcastle held TBA contracts consisting of four short contracts totaling $600.0 million notional amount and three long contracts totaling $400.0 million notional amount of Agency RMBS. Newcastle’s derivative financial instruments contain credit risk to the extent that its bank counterparties may be unable to meet the terms of the agreements. Newcastle reduces such risk by limiting its counterparties to major financial institutions. In addition, the potential risk of loss with any one party resulting from this type of credit risk is monitored. Management does not expect any material losses as a result of default by other parties. Newcastle does not require collateral for the derivative financial instruments within its CDO financing structures. Operating Leases and Other Operating Expenses - Other operating expenses for the Golf business consist primarily of equipment leases, utilities, repairs and maintenance, supplies, seed, soil and fertilizer, and marketing. Many of the golf properties and related facilities are leased under long-term operating leases. In addition to minimum payments, certain leases require payment of the excess of various percentages of gross revenue or net operating income over the minimum rental payments. The leases generally require the payment of taxes assessed against the leased property and the cost of insurance and maintenance. The majority of lease terms range from 10 to 20 years, and typically, the leases contain renewal options. Certain leases include minimum scheduled increases in rental payments at various times during the term of the lease. These scheduled rent increases are recognized on a straight-line basis over the term of the lease, resulting in an accrual, which is included in accounts payable, accrued expenses and other liabilities, for the amount by which the cumulative straight-line rent exceeds the contractual cash rent. BALANCE SHEET MEASUREMENT Investments in CDO Servicing Rights - In February 2011, Newcastle, through one of its subsidiaries, purchased the management rights with respect to certain C-BASS Investment Management LLC (“C-BASS”) CDOs for $2.2 million pursuant to a bankruptcy proceeding. Newcastle initially recorded the cost of acquiring the collateral management rights as a servicing asset and subsequently amortizes this asset in proportion to, and over the period of, estimated net servicing income. Servicing assets are assessed for impairment on a quarterly basis, with impairment recognized as a valuation allowance. Key economic assumptions used in measuring any potential impairment of the servicing assets include the prepayment speeds of the underlying loans, default rates, loss severities and discount rates. During the three and six months ended June 30, 2015 , Newcastle recorded $0.1 million and $0.2 million of servicing rights amortization and no servicing rights impairment. As of June 30, 2015 , Newcastle’s servicing assets had a carrying value of $0.9 million, which is reported within receivables and other assets. Investments in Other Real Estate, Net - Real estate and related improvements are recorded at cost less accumulated depreciation. Costs that both materially add value and appreciably extend the useful life of an asset are capitalized. Fees and costs incurred in the successful negotiation of leases are deferred and amortized on a straight-line basis over the terms of the respective leases. With respect to golf course improvements (included in buildings and improvements), only costs associated with original construction, significant replacements, or the addition of new trees, permanent landscaping, sand traps, fairways, tee boxes or greens are capitalized. Expenditures for repairs and maintenance are expensed as incurred. Long-lived assets to be disposed of by sale, which meet certain criteria, are reclassified to real estate held-for-sale and measured at the lower of their carrying amount or fair value less costs of sale. The results of operations for such disposal, assuming such disposal qualifies as a “component of an entity” that represents a strategic shift that had (or will have) a major effect on the operations or financial results as defined, are retroactively reclassified to income (loss) from discontinued operations for all periods presented. The Golf business leases certain golf carts and other equipment that are classified as capital leases. The value of capital leases is recorded as an asset on the balance sheet, along with a liability related to the associated payments. Amortization of capital lease assets is calculated using the straight-line method over the shorter of the estimated useful lives and the initial lease terms. The cost of equipment under capital leases is included in investments in other real estate in the consolidated balance sheets. Payments under the lease are treated as reductions of the liability, with a portion being recorded as interest expense under the effective interest method. Depreciation is calculated using the straight-line method based on the lesser of the lease term or the following estimated useful lives: Buildings and improvements 10-30 years Furniture, fixtures and equipment 3-10 years Capital leases - equipment 4-6 years Intangibles - Intangible assets relating to the Golf business consist primarily of leasehold advantages (disadvantages), management contracts and membership base. A leasehold advantage (disadvantage) exists to Newcastle when it pays a contracted rent that is below (above) market rents at the date of the transaction. The value of a leasehold advantage (disadvantage) is calculated based on the differential between market and contracted rent, which is tax effected and discounted to present value based on an after-tax discount rate corresponding to each golf property. The management contract intangible represents Newcastle’s golf course management contracts for both leased and managed properties. The management contract intangible for leased and managed properties is valued utilizing a discounted cash flow methodology under the income approach and is amortized over the term of the underlying lease or management agreements, respectively. The membership base intangible represents Newcastle’s relationship with its private golf club members. The membership base intangible is valued using the multi-period excess earnings method under the income approach, and is amortized over the weighted average remaining useful life of the private memberships. Amortization of leasehold intangible assets is included within operating expense - golf and amortization of all other intangible assets is included within depreciation and amortization on the consolidated statements of operations. Other Investment - Newcastle owns 23% of equity interest in a commercial real estate project which is recorded as an equity method investment. As of June 30, 2015 and December 31, 2014, the carrying value of this investment was $19.9 million and $26.8 million , respectively. Newcastle evaluates its equity method investment for impairment whenever events or changes in circumstances indicate that the carrying amount of the investment might not be recoverable. The evaluation of recoverability is based on management’s assessment of the financial condition and near term prospects of the investee, the length of time and the extent to which the market value of the investment has been less than cost and the intent and ability of Newcastle to retain its investment. Impairment of Real Estate and Finite-lived Intangible Assets - Newcastle periodically reviews the carrying amounts of its long-lived assets, including real estate and finite-lived intangible assets, to determine whether current events or circumstances indicate that such carrying amounts may not be recoverable. The assessment of recoverability is based on management’s estimates by comparing the sum of the estimated undiscounted cash flows generated by the underlying asset, or other appropriate grouping of assets, to its carrying value to determine whether an impairment existed at its lowest level of identifiable cash flows. If the carrying amount of the asset is greater than the expected undiscounted cash flows to be generated by such asset, an impairment is recognized to the extent the carrying value of such asset exceeds its fair value. Newcastle generally measures fair value by considering sale prices for similar assets or by discounting estimated future cash flows using an appropriate discount rate. Assets to be disposed of are carried at the lower of their financial statement carrying amount or fair value less costs to sell. Recent Accounting Pronouncements In May 2014, the Financial Accounting Standards Board ("FASB") and the International Accounting Standards Board ("IASB") issued Accounting Standards Update ("ASU") 2014-09 Revenues from Contracts with Customers (Topic 606) . The standard’s core principle is that a company will recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services. In doing so, companies will need to use more judgment and make more estimates than under today’s guidance. These may include identifying performance obligations in the contract, estimating the amount of variable consideration to include in the transaction price and allocating the transaction price to each separate performance obligation. On July 9, 2015, the FASB decided to defer the effective date by one year though the FASB still needs to issue an ASU to make the change, the standard will be effective for annual and interim periods beginning after December 15, 2017, however all entities are allowed to adopt the standard as early as the original effective date (annual periods beginning after December 15, 2016). Entities have the option of using either a full retrospective or a modified approach to adopt the guidance. We are currently reviewing the guidance to determine the impact to the consolidated financial statements. In February 2015, the FASB issued ASU 2015-02, Consolidation (Topic 810): Amendments to the Consolidation Analysis . The standard amends the consolidation considerations when evaluating certain limited partnerships, variable interest entities and investment funds. The ASU is effective for Newcastle in the first quarter of 2016 and early adoption is permitted. Newcastle is currently evaluating the new guidance to determine the impact it may have to its consolidated financial statements. In April 2015, the FASB issued ASU 2015-03, Interest-Imputation of Interest (Topic 835): Simplifying the Presentation of Debt Issuance Costs . The standard requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. The new guidance is effective in the first quarter of 2016 and early adoption is permitted. Newcastle elected to early adopt this new guidance effective for the first quarter of 2015 to simplify presentation of debt issuance costs and has applied the changes retrospectively to all periods presented. Accordingly, "Receivables and other assets" excludes deferred financing costs and "Credit facilities and obligations under capital leases" is reported net of deferred financing costs of $0.3 million and $0.4 million as of June 30, 2015 and December 31, 2014, respectively in the Consolidated Balance Sheets. The FASB has recently issued or discussed a number of proposed standards on such topics as financial statement presentation, leases, financial instruments and hedging. Some of the proposed changes are significant and could have a material impact on Newcastle’s reporting. Newcastle has not yet fully evaluated the potential impact of these proposals, but will make such an evaluation as the standards are finalized.

DISCONTINUED OPERATIONS

DISCONTINUED OPERATIONS	6 Months Ended
	Jun. 30, 2015
Discontinued Operations and Disposal Groups [Abstract]
DISCONTINUED OPERATIONS	3. DISCONTINUED OPERATIONS On February 13, 2014, Newcastle completed the spin-off of New Media Investment Group Inc. ("New Media") from Newcastle. On November 6, 2014, Newcastle completed the spin-off of New Senior Investment Group Inc. ("New Senior") from Newcastle. In April 2015, Newcastle closed the sale of its commercial real estate properties in Beavercreek, OH for $7.0 million, net of closing costs, and recognized a net gain on the sale of these assets of approximately $0.3 million. In addition, Newcastle repaid the related debt on this property of $6.0 million held within CDO IX, which was eliminated in consolidation. As a result of the spin-offs and the sale of the commercial real estate properties in Beavercreek, OH (which was initially reported as held-for-sale as of September 30, 2014), the assets, liabilities and results of operations of those components of Newcastle’s operations that (i) were part of the spin-offs, and/or (ii) represent operations in which Newcastle has no significant continuing involvement, are presented separately in discontinued operations in Newcastle’s consolidated financial statements for all periods presented. With respect to the sale of the commercial real estate properties in Beavercreek, OH, the assets of discontinued operations include zero investments in other real estate as of June 30, 2015 and $6.6 million as of December 31, 2014 , and cash and cash equivalents, restricted cash and receivables and other assets in the total amount of $0.1 million and $0.2 million as of June 30, 2015 and December 31, 2014 , respectively. There were no liabilities of discontinued operations as of June 30, 2015 . The liabilities of discontinued operations include accounts payable, accrued liabilities and other liabilities of $0.5 million as of December 31, 2014 . Results from discontinued operations were as follows: Three Months Ended Six Months Ended 2015 2014 2015 2014 Interest income $ — $ — $ — $ — Interest expense — 13,592 — 29,389 Net interest income (loss) — (13,592 ) — (29,389 ) Media income — — — 68,213 Rental income 50 54,595 549 107,485 Care and ancillary income — 5,666 — 11,127 Gain on settlement of investments 318 — 318 — Other income (loss) — (22 ) — (22 ) Total media, rental and other income 368 60,239 867 186,803 Media operating expenses — — — 65,826 Property operating expenses (157 ) 26,459 187 52,419 General and administrative expenses (A) 1 4,911 30 12,463 Depreciation and amortization — 23,245 11 50,733 Income tax (benefit) expense — 536 — (224 ) Total expenses (156 ) 55,151 228 181,217 Income (loss) from discontinued operations $ 524 $ (8,504 ) $ 639 $ (23,803 ) Net income attributable to noncontrolling interests $ — $ — $ — $ 522 (A) Includes acquisition and spin-off related expenses of $3.4 million and $10.7 million for the three and six months ended June 30, 2014. The February 13, 2014 spin-off of New Media resulted in a $0.4 billion reduction in the basis upon which Newcastle’s management fees are computed (and an equivalent reduction in the basis upon which the incentive compensation threshold is computed), as well as a reduction in the strike price of Newcastle’s then outstanding options. The November 6, 2014 spin-off of New Senior resulted in a $0.7 billion reduction in the basis upon which Newcastle’s management fees are computed (and an equivalent reduction in the basis upon which the incentive compensation threshold is computed), as well as a reduction in the strike price of Newcastle’s then outstanding options.

SEGMENT REPORTING AND VARIABLE

SEGMENT REPORTING AND VARIABLE INTEREST ENTITIES	6 Months Ended
	Jun. 30, 2015
Segment Reporting [Abstract]
SEGMENT REPORTING AND VARIABLE INTEREST ENTITIES	4. SEGMENT REPORTING AND VARIABLE INTEREST ENTITIES Newcastle conducts its business through the following segments: (i) debt investments financed with collateralized debt obligations (“CDOs”), (ii) other debt investments (“Other Debt”), (iii) investment in golf properties and facilities (“Golf”) and (iv) corporate. With respect to the CDOs and Other Debt segments, Newcastle is generally entitled to receive net cash flows from these structures on a periodic basis. The corporate segment consists primarily of interest income on short term investments, general and administrative expenses, interest expense on the junior subordinated notes payable and management fees pursuant to the Management Agreement. Summary financial data on Newcastle's segments is given below, together with reconciliation to the same data for Newcastle as a whole: Debt Investments (A) Discontinued CDOs Other Debt (B) Golf Corporate Operations Eliminations Total Six Months Ended June 30, 2015 Interest income $ 29,607 $ 24,660 $ 72 $ 9 $ — $ (3,005 ) $ 51,343 Interest expense (5,313 ) (19,173 ) (10,305 ) (1,891 ) — 3,005 (33,677 ) Inter-segment elimination (3,005 ) — 3,005 — — — — Net interest income (expense) 21,289 5,487 (7,228 ) (1,882 ) — — 17,666 Impairment (reversal) 12,206 1,878 — — — — 14,084 Operating revenues — — 143,629 — — — 143,629 Other income (loss), net 30,271 (177 ) (228 ) 8 — — 29,874 Loan and security servicing expense 214 — — — — — 214 Operating expenses - golf (C) — — 115,988 — — — 115,988 Repairs and maintenance expenses - golf — — 4,387 — — — 4,387 Cost of sales - golf — — 15,161 — — — 15,161 General and administrative expense — — 1,041 3,821 — — 4,862 Acquisition and transaction expenses (D) — — 321 17 — — 338 Management fee to affiliate — — — 5,342 — — 5,342 Depreciation and amortization — — 13,872 — — — 13,872 Income tax expense — — 73 — — — 73 Income (loss) from continuing operations 39,140 3,432 (14,670 ) (11,054 ) — — 16,848 Income from discontinued operations, net of tax — — — — 639 — 639 Net income (loss) 39,140 3,432 (14,670 ) (11,054 ) 639 — 17,487 Preferred dividends — — — (2,790 ) — — (2,790 ) Net loss attributable to noncontrolling interests — — 230 — — — 230 Income (loss) applicable to common stockholders $ 39,140 $ 3,432 $ (14,440 ) $ (13,844 ) $ 639 $ — $ 14,927 Debt Investments (A) Discontinued CDOs Other Debt (B) Golf Corporate Operations Eliminations Total Three Months Ended June 30, 2015 Interest income $ 13,685 $ 12,065 $ 36 $ 5 $ — $ (1,526 ) $ 24,265 Interest expense (2,730 ) (9,594 ) (5,207 ) (945 ) — 1,526 (16,950 ) Inter-segment elimination (1,526 ) — 1,526 — — — — Net interest income (expense) 9,429 2,471 (3,645 ) (940 ) — — 7,315 Impairment (reversal) 11,869 1,810 — — — — 13,679 Operating revenues — — 82,803 — — — 82,803 Other income (loss), net 29,740 (140 ) (235 ) 8 — — 29,373 Loan and security servicing expense 118 — — — — — 118 Operating expenses - golf (C) — — 63,017 — — — 63,017 Repairs and maintenance expenses - golf — — 2,421 — — — 2,421 Cost of sales - golf — — 9,108 — — — 9,108 General and administrative expense — — 793 2,392 — — 3,185 Acquisition and transaction expenses (D) — — 285 17 — — 302 Management fee to affiliate — — — 2,674 — — 2,674 Depreciation and amortization — — 7,119 — — — 7,119 Income tax expense — — 27 — — — 27 Income (loss) from continuing operations 27,182 521 (3,847 ) (6,015 ) — — 17,841 Income from discontinued operations, net of tax — — — — 524 — 524 Net income (loss) 27,182 521 (3,847 ) (6,015 ) 524 — 18,365 Preferred dividends — — — (1,395 ) — — (1,395 ) Net loss attributable to noncontrolling interests — — 49 — — — 49 Income (loss) applicable to common stockholders $ 27,182 $ 521 $ (3,798 ) $ (7,410 ) $ 524 $ — $ 17,019 Debt Investments (A) Discontinued CDOs Other Debt (B) Golf Corporate Operations Total June 30, 2015 Investments, net (E) $ 52,139 $ 790,828 $ 310,970 $ — $ — $ 1,153,937 Cash and restricted cash 163 200 9,320 108,040 — 117,723 Other assets 98 397,812 33,434 669 — 432,013 Assets of discontinued operations — — — — 53 53 Total assets 52,400 1,188,840 353,724 108,709 53 1,703,726 Debt, net (E) 102,564 779,853 165,006 51,228 — 1,098,651 Other liabilities 31 211,748 151,944 13,608 — 377,331 Liabilities of discontinued operations — — — — — — Total liabilities 102,595 991,601 316,950 64,836 — 1,475,982 Preferred stock — — — 61,583 — 61,583 Noncontrolling interests — — (194 ) — — (194 ) Equity attributable to common stockholders $ (50,195 ) $ 197,239 $ 36,968 $ (17,710 ) $ 53 $ 166,355 Additions to investments in real estate excluding intangibles and other liabilities, net of other assets acquired $ — $ — $ 3,863 $ — $ — $ 3,863 Debt Investments (A) Discontinued CDOs Other Debt (B) Golf Corporate Operations Eliminations Total Six Months Ended June 30, 2014 Interest income $ 51,319 $ 29,353 $ 74 $ 35 $ — $ (4,436 ) $ 76,345 Interest expense (12,109 ) (23,001 ) (9,916 ) (1,908 ) — 4,436 (42,498 ) Inter-segment elimination (4,436 ) 1,635 2,801 — — — — Net interest income (expense) 34,774 7,987 (7,041 ) (1,873 ) — — 33,847 Impairment (reversal) 1,958 814 — — — — 2,772 Operating revenues — — 145,369 — — — 145,369 Other income (loss), net 32,895 24,630 (10 ) — — — 57,515 Loan and security servicing expense 310 955 — — — — 1,265 Operating expenses - golf (C) — — 121,527 — — — 121,527 Repairs and maintenance expenses - golf — — 4,602 — — — 4,602 Cost of sales - golf — — 14,763 — — — 14,763 General and administrative expense — 1,869 459 3,725 — — 6,053 Acquisition and transaction expenses (D) — — 1,503 775 — — 2,278 Management fee to affiliate — — — 11,189 — — 11,189 Depreciation and amortization — — 12,106 74 — — 12,180 Income tax expense — — 144 — — — 144 Income (loss) from continuing operations 65,401 28,979 (16,786 ) (17,636 ) — — 59,958 Income (loss) from discontinued operations — — — — (23,803 ) — (23,803 ) Net income (loss) 65,401 28,979 (16,786 ) (17,636 ) (23,803 ) — 36,155 Preferred dividends — — — (2,790 ) — — (2,790 ) Net loss attributable to non-controlling interests — — 168 — 522 — 690 Income (loss) applicable to common stockholders $ 65,401 $ 28,979 $ (16,618 ) $ (20,426 ) $ (23,281 ) $ — $ 34,055 Debt Investments (A) Discontinued CDOs Other Debt (B) Golf Corporate Operations Eliminations Total Three Months Ended June 30, 2014 Interest income $ 20,596 $ 12,401 $ 34 $ 25 $ — $ (3,163 ) $ 29,893 Interest expense (5,983 ) (10,338 ) (6,217 ) (953 ) — 3,163 (20,328 ) Inter-segment elimination (3,163 ) 362 2,801 — — — — Net interest income (expense) 11,450 2,425 (3,382 ) (928 ) — — 9,565 Impairment (reversal) 1,526 — — — — — 1,526 Operating revenues — — 82,737 — — — 82,737 Other income (loss), net 19,343 22,375 (11 ) — — — 41,707 Loan and security servicing expense 154 254 — — — — 408 Operating expenses - golf (C) — — 64,398 — — — 64,398 Repairs and maintenance expenses - golf — — 2,084 — — — 2,084 Cost of sales - golf — — 8,807 — — — 8,807 General and administrative expense — 1,870 152 1,629 — — 3,651 Acquisition and transaction expenses (D) — — 728 388 — — 1,116 Management fee to affiliate — — — 5,296 — — 5,296 Depreciation and amortization — — 6,280 37 — — 6,317 Income tax expense — 4 — — — — — 4 Income (loss) from continuing operations 29,113 22,676 (3,109 ) (8,278 ) — — 40,402 Loss from discontinued operations — — — — (8,504 ) — (8,504 ) Net income (loss) 29,113 22,676 (3,109 ) (8,278 ) (8,504 ) — 31,898 Preferred dividends — — — (1,395 ) — — (1,395 ) Net loss attributable to non-controlling interests — — 29 — — — 29 Income (loss) applicable to common stockholders $ 29,113 $ 22,676 $ (3,080 ) $ (9,673 ) $ (8,504 ) $ — $ 30,532 (A) Assets held within non-recourse structures, including all of the assets in the CDO segment, are not available to satisfy obligations outside of such financings, except to the extent net cash flow distributions are received from such structures. Furthermore, creditors or beneficial interest holders of these structures generally have no recourse to the general credit of Newcastle. Therefore, the exposure to the economic losses from such structures generally is limited to invested equity in them and economically their book value cannot be less than zero. Therefore, impairment recorded in excess of Newcastle’s investment, which results in negative GAAP book value for a given non-recourse financing structure, cannot economically be incurred and will eventually be reversed through amortization, sales at gains, or as gains at the deconsolidation or termination of such non-recourse financing structure. (B) The following table summarizes the investments and debt in the other debt segment: June 30, 2015 Investments Debt Non-Recourse Outstanding Carrying Outstanding Carrying Subprime mortgage loans subject to call options $ 404,149 $ 404,149 $ 404,149 $ 404,149 Other Unlevered real estate securities (F) 48,211 13,360 — — Levered real estate securities 201,928 208,041 375,704 375,704 Real estate related and other loans 226,243 141,826 — — Other investments N/A 19,925 — — Residential mortgage loans 4,206 3,527 — — $ 884,737 $ 790,828 $ 779,853 $ 779,853 (C) Operating expenses-golf includes rental expenses recorded under operating leases for carts and equipment in the amount of $1.2 million and $2.3 million for the three and six months ended June 30, 2015 , respectively and $1.4 million and $2.7 million for the three and six months ended June 30, 2014 . (D) Includes all transaction related and spin-off related expenses. (E) Net of $38.2 million of inter-segment eliminations. (F) Excludes 8 securities with zero value, which had an aggregate face amount of $115.0 million . Variable Interest Entities (“VIEs”) The consolidated variable interest entities ("VIEs") in which Newcastle has a significant interest include Newcastle’s CDOs, in which Newcastle has been determined to be the primary beneficiary and therefore consolidates them (with the exception of CDO V), since it has the power to direct the activities that most significantly impact the CDOs’ economic performance and would absorb a significant portion of their expected losses and receive a significant portion of their expected residual returns. Newcastle’s CDOs are held in special purpose entities whose debt is treated as non-recourse secured borrowings of Newcastle. The following table presents certain assets of VIEs, which are included in the Consolidated Balance Sheets. The assets in the table below include those assets that can only be used to settle obligations of consolidated VIEs, and are in excess of those obligations. Additionally, the assets in the table below exclude intercompany balances that eliminate in consolidation. June 30, 2015 (Unaudited) December 31, 2014 Assets of consolidated VIEs that can only be used to settle obligations of consolidated VIEs Real estate securities, available-for-sale $ 52,140 $ 219,490 Real estate related and other loans, held-for-sale, net — 230,200 Residential mortgage loans, held-for-sale, net — 3,211 Subprime mortgage loans subject to call option 404,149 406,217 Other investments — 20,308 Restricted cash 163 11,790 Receivables and other assets 98 1,927 Assets of discontinued operations — 6,803 Total assets of consolidated VIEs that can only be used to settle obligations of consolidated VIEs $ 456,550 $ 899,946 The following table presents certain liabilities of consolidated VIEs, which are included in the Consolidated Balance Sheets above. The liabilities in the table below include liabilities of consolidated VIEs due to third parties only, and exclude intercompany balances that eliminate in consolidation. The liabilities also exclude amounts where creditors or beneficial interest holders have recourse to the general credit of Newcastle. June 30, 2015 (Unaudited) December 31, 2014 Liabilities of consolidated VIEs for which creditors or beneficial interest holders do not have recourse to the general credit of Newcastle CDO bonds payable $ 92,693 $ 227,673 Other bonds and notes payable 9,871 27,069 Financing of subprime mortgage loans subject to call option 404,149 406,217 Accounts payable, accrued expenses and other liabilities 30 2,391 Liabilities of discontinued operations — 447 Total liabilities of consolidated VIEs for which creditors or beneficial interest holders do not have recourse to the general credit of Newcastle $ 506,743 $ 663,797 Newcastle’s subprime securitizations and CDO V are also considered VIEs, but Newcastle does not control the decisions that most significantly impact their economic performance and, no longer receives a significant portion of their returns, and therefore does not consolidate them. In addition, Newcastle’s investments in RMBS, commercial mortgage backed securities (“CMBS”), CDO securities and real estate related and other loans may be deemed to be variable interests in VIEs, depending on their structure. Newcastle monitors these investments and analyzes the potential need to consolidate the related securitization entities pursuant to the VIE consolidation requirements. These analyses require considerable judgment in determining whether an entity is a VIE and determining the primary beneficiary of a VIE since they involve subjective determinations of significance, with respect to both power and economics. The result could be the consolidation of an entity that otherwise would not have been consolidated or the deconsolidation of an entity that otherwise would have been consolidated. As of June 30, 2015 , Newcastle has not consolidated these potential VIEs. This determination is based, in part, on the assessment that Newcastle does not have the power to direct the activities that most significantly impact the economic performance of these entities, such as if Newcastle owned a majority of the currently controlling class. In addition, Newcastle is not obligated to provide, and has not provided, any financial support to these entities. Newcastle had variable interests in the following unconsolidated VIEs at June 30, 2015 , in addition to the subprime securitizations which are described in Note 6: Entity Gross Assets (A) Debt (A) (B) Carrying Value of Newcastle's Investment (C) Newcastle CDO V $ 95,475 $ 122,368 $ 10,187 (A) Face amount. (B) Newcastle CDO V includes $42.9 million face amount of debt owned by Newcastle with a carrying value of $10.2 million at June 30, 2015 . (C) This amount represents Newcastle’s maximum exposure to loss from this entity.

REAL ESTATE SECURITIES

REAL ESTATE SECURITIES	6 Months Ended
	Jun. 30, 2015
Investments, Debt and Equity Securities [Abstract]
REAL ESTATE SECURITIES	5. REAL ESTATE SECURITIES The following is a summary of Newcastle’s real estate securities at June 30, 2015 , all of which are classified as available-for-sale and are, therefore, reported at fair value with changes in fair value recorded in other comprehensive income, except for securities that are other-than-temporarily impaired. Amortized Cost Basis Gross Unrealized Weighted Average Asset Type Outstanding Face Amount Before Impairment Other-Than- Temporary Impairment After Impairment Gains Losses Carrying Number of Securities Rating (B) Coupon Yield Life Principal Subordination (D) CMBS $ 83,283 $ 94,055 $ (67,437 ) $ 26,618 $ 18,847 $ (57 ) $ 45,408 17 B- 5.13 % 15.80 % 1.3 22.1 % Non-Agency RMBS 17,032 23,537 (20,667 ) 2,870 6,975 (28 ) 9,817 9 CC 1.59 % 11.35 % 12.1 8.3 % ABS-Franchise 8,464 7,647 (7,647 ) — — — — 1 C 6.69 % 0.00 % — 0.0 % CDO (E) 14,520 — — — 10,187 — 10,187 2 C 1.49 % 0.00 % 6.5 20.3 % Debt Security Total / Average (F) $ 123,299 $ 125,239 $ (95,751 ) $ 29,488 $ 36,009 $ (85 ) $ 65,412 29 CCC+ 4.32 % 15.37 % 3.3 Equity Securities 367 (280 ) 87 — — 87 2 Total Securities, Available-for-Sale $ 125,606 $ (96,031 ) $ 29,575 $ 36,009 $ (85 ) $ 65,499 31 FNMA/FHLMC 201,928 207,731 — 207,731 310 — 208,041 4 AAA 3.50 % 3.09 % 8.8 N/A Total Securities, Pledged as Collateral (F) $ 201,928 $ 207,731 $ — $ 207,731 $ 310 $ — $ 208,041 4 (A) See Note 13 regarding the estimation of fair value, which is equal to carrying value for all securities. (B) Represents the weighted average of the ratings of all securities in each asset type, expressed as an S&P equivalent rating. For each security rated by multiple rating agencies, the lowest rating is used. Newcastle uses an implied AAA rating for the FNMA/FHLMC securities. Ratings provided were determined by third party rating agencies, represent the most recent credit ratings available as of the reporting date and may not be current. (C) The weighted average life is based on the timing of expected principal reduction on the assets. (D) Percentage of the outstanding face amount of securities and interests that is subordinate to Newcastle’s investments. (E) Represents non-consolidated CDO securities, excluding 8 securities with zero value, which had an aggregate face amount of $115.0 million . (F) The total outstanding face amount was $283.3 million for fixed rate securities and $41.9 million for floating rate securities. Unrealized losses that are considered other-than-temporary are recognized currently in earnings. During the six months ended June 30, 2015 , Newcastle recorded other-than-temporary impairment charges (“OTTI”) of $2.0 million with respect to real estate securities (gross of $0.1 million of other-than-temporary impairment recognized in other comprehensive income). Based on management’s analysis of the securities, the performance of the underlying loans and changes in market factors, Newcastle noted adverse changes in the expected cash flows on certain of these securities and concluded that they were other-than-temporarily impaired. Any remaining unrealized losses on Newcastle’s securities were primarily the result of changes in market factors, rather than issue-specific credit impairment. Newcastle performed analyses in relation to such securities, using management’s best estimate of their cash flows, which support that the carrying values of such securities were fully recoverable over their expected holding period. The following table summarizes Newcastle’s securities in an unrealized loss position as of June 30, 2015 . Amortized Cost Basis Securities in Outstanding Other-than- Number Weighted Average an Unrealized Face Before Temporary After Gross Unrealized Carrying of Life Loss Position Amount Impairment Impairment Impairment Gains Losses Value Securities Rating Coupon Yield (Years) Less Than Twelve $ 5,072 $ 5,735 $ (3,068 ) $ 2,667 $ — $ (85 ) $ 2,582 4 CC 4.16 % 5.77 % 6.3 Twelve or More — — — — — — — — — — % — % — Total $ 5,072 $ 5,735 $ (3,068 ) $ 2,667 $ — $ (85 ) $ 2,582 4 CC 4.16 % 5.77 % 6.3 Newcastle performed an assessment of all of its debt securities that are in an unrealized loss position (unrealized loss position exists when a security’s amortized cost basis, excluding the effect of OTTI, exceeds its fair value) and determined the following: June 30, 2015 Amortized Cost Basis Unrealized Losses Fair Value After Impairment Credit (B) Non-Credit (C) Securities Newcastle intends to sell $ — $ — $ — $ N/A Securities Newcastle is more likely than not to be required to sell (A) — — — N/A Securities Newcastle has no intent to sell and is not more likely than not to be required to sell: Credit impaired securities 2,218 2,302 (3,068 ) (84 ) Non credit impaired securities 364 365 — (1 ) Total debt securities in an unrealized loss position $ 2,582 $ 2,667 $ (3,068 ) $ (85 ) (A) Newcastle may, at times, be more likely than not to be required to sell certain securities for liquidity purposes. While the amount of the securities to be sold may be an estimate, and the securities to be sold have not yet been identified, Newcastle must make its best estimate, which is subject to significant judgment regarding future events, and may differ materially from actual future sales. (B) This amount is required to be recorded as other-than-temporary impairment through earnings. In measuring the portion of credit losses, Newcastle’s management estimates the expected cash flows for each of the securities. This evaluation includes a review of the credit status and the performance of the collateral supporting those securities, including the credit of the issuer, key terms of the securities and the effect of local, industry and broader economic trends. Significant inputs in estimating the cash flows include management’s expectations of prepayment speeds, default rates and loss severities. Credit losses are measured as the decline in the present value of the expected future cash flows discounted at the investment’s effective interest rate. (C) This amount represents unrealized losses on securities that are due to non-credit factors and is required to be recorded through other comprehensive income. The following table summarizes the activity related to credit losses on debt securities for the six months ended June 30, 2015 : Beginning balance of credit losses on debt securities for which a portion of an OTTI was recognized in other comprehensive income $ (4,174 ) Additions for credit losses on securities for which an OTTI was not previously recognized (1,625 ) Additions for credit losses on securities for which an OTTI was previously recognized without any portion of OTTI recognized in other comprehensive income (1,443 ) Reduction for credit losses on securities for which no OTTI was recognized in other comprehensive income at the current measurement date 4,174 Reduction for securities sold/written off during the period — Reduction for increases in cash flows expected to be collected that are recognized over the remaining life of the security — Ending balance of credit losses on debt securities for which a portion of an OTTI was recognized in other comprehensive income $ (3,068 ) The table below summarizes the geographic distribution of the collateral securing Newcastle’s CMBS and asset backed securities (“ABS”) at June 30, 2015 : CMBS ABS Geographic Location Outstanding Face Amount Percentage Outstanding Face Amount Percentage Western U.S. $ 12,939 15.5 % $ 4,790 18.8 % Northeastern U.S. 15,761 18.9 % 7,083 27.8 % Southeastern U.S. 19,277 23.2 % 4,226 16.6 % Midwestern U.S. 24,651 29.6 % 5,481 21.5 % Southwestern U.S. 10,655 12.8 % 3,910 15.3 % Other — — % 6 — % Foreign — — % — — % $ 83,283 100.0 % $ 25,496 100.0 % Geographic concentrations of investments expose Newcastle to the risk of economic downturns within the relevant regions, particularly given the current unfavorable market conditions. These market conditions may make regions more vulnerable to downturns in certain market factors. Any such downturn in a region where Newcastle holds significant investments could have a material, negative impact on Newcastle. In March 2015, Newcastle sold $380.4 million face amount of agency FNMA/FHLMC fixed-rate securities at an average price of 104.72% for total proceeds of $398.4 million and repaid $385.6 million of repurchase agreements associated with these securities and recognized a gain of approximately $5.9 million . Additionally, in March 2015, Newcastle purchased $389.1 million face amount of agency FNMA/FHLMC fixed-rate securities at an average price of 104.77% for total proceeds of $407.6 million . This transaction was financed with repurchase financing of $386.1 million . In May 2015, Newcastle sold $98.6 million face amount of CMBS securities at an average price of 104.03% of par for total proceeds of $102.6 million and recognized a gain of $14.0 million . Newcastle also sold $42.8 million face amount of non-Agency RMBS securities at an average price of 85.54% of par for total proceeds of $36.7 million and recognized a gain of $14.1 million . The proceeds from these CMBS and non-Agency sales were used to repay the associated outstanding notes in CDO VI, CDO VIII and CDO IX. Additionally in May 2015, Newcastle received a $25.0 million par paydown of CMBS securities held in CDO IX. These funds were used to repay the associated outstanding notes in CDO IX. In May 2015, Newcastle also sold $3.9 million face amount of unencumbered non-Agency RMBS at an average price of 24.11% of par for total proceeds of $0.9 million and recognized a gain of $0.8 million . In June 2015, Newcastle entered into a trade to sell $380.4 million face amount of agency RMBS at an average price of 103.13% of par for total proceeds of approximately $392.3 million and recognized a loss of $5.9 million . This transaction settled in July 2015 and Newcastle repaid $375.7 million of outstanding repurchase agreement liabilities in connection with this sale. In June 2015, Newcastle entered into a trade to purchase $201.9 million face amount of agency RMBS at an average price of 102.87% of par for total proceeds of approximately $207.7 million . This transaction settled in July 2015 and was financed with $196.7 million of repurchase agreements. Securities Pledged as Collateral These government agency securities were sold under agreements to repurchase which will be treated as collateralized financing transactions. Although being pledged as collateral, securities financed through a repurchase agreement remains on Newcastle's consolidated balance sheet as an asset and cash received from the purchaser is recorded on Newcastle's consolidated balance sheet as a liability.

REAL ESTATE RELATED AND OTHER L

REAL ESTATE RELATED AND OTHER LOANS, RESIDENTIAL MORTGAGE LOANS AND SUBPRIME MORTGAGE LOANS	6 Months Ended
	Jun. 30, 2015
Receivables [Abstract]
REAL ESTATE RELATED AND OTHER LOANS, RESIDENTIAL MORTGAGE LOANS AND SUBPRIME MORTGAGE LOANS	6. REAL ESTATE RELATED AND OTHER LOANS, RESIDENTIAL MORTGAGE LOANS AND SUBPRIME MORTGAGE LOANS Loans are accounted for based on management’s strategy for the loan, and on whether the loan was credit-impaired at the date of acquisition. Purchased loans that Newcastle has the intent and ability to hold for the foreseeable future or until maturity or payoff are classified as held-for-investment. Alternatively, loans acquired with the intent to sell are classified as held-for-sale. The following is a summary of real estate related and other loans, residential mortgage loans and subprime mortgage loans at June 30, 2015 . The loans contain various terms, including fixed and floating rates, self-amortizing and interest only. They are generally subject to prepayment. Loan Type Outstanding Carrying Loan Weighted Weighted Average Coupon Weighted Average Life Floating Rate Loans as a % of Face Amount Delinquent Face Amount (C) Mezzanine Loans $ 40,995 $ 23,228 3 8.00 % 8.24 % 0.6 100.0 % $ — Corporate Bank Loans 185,248 118,598 4 22.01 % 18.16 % 1.3 — % — Total Real Estate Related and other Loans Held-for-Sale, Net $ 226,243 $ 141,826 7 19.71 % 16.37 % 1.2 18.1 % $ — Residential Mortgage Loans Held-for-Sale, Net (D) $ 4,206 $ 3,527 6 13.06 % 1.92 % 1.8 100.0 % $ 766 Subprime Mortgage Loans Subject to Call Option $ 404,149 $ 404,149 (A) Carrying value includes negligible interest receivable for the residential housing loans. (B) The weighted average life is based on the timing of expected principal reduction on the assets. (C) Includes loans that are 60 or more days past due (including loans that are in foreclosure, or borrower’s in bankruptcy) or considered real estate owned (“REO”). As of June 30, 2015 , $63.5 million face amount of real estate related and other loans was on non-accrual status. (D) Loans acquired at a discount for credit quality. The following is a summary of real estate related and other loans by maturities at June 30, 2015 : Outstanding Number of Year of Maturity (1) Face Amount Carrying Value Loans Period from July 1, 2015 to December 31, 2015 $ 63,454 $ — 4 2016 23,228 23,228 1 2017 — — — 2018 — — — 2019 139,561 118,598 2 2020 — — — Thereafter — — — Total $ 226,243 $ 141,826 7 (1) Based on the final extended maturity date of each loan investment as of June 30, 2015 . Activities relating to the carrying value of Newcastle’s real estate related and other loans and residential mortgage loans are as follows: Held-for-Sale Real Estate Related and Other Loans Residential Mortgage Loans Balance at December 31, 2014 $ 230,200 $ 3,854 Purchases / additional fundings — — Interest accrued to principal balance 11,716 — Principal paydowns (42,901 ) (103 ) Sales (55,574 ) — Valuation (allowance) reversal on loans (4,451 ) (223 ) Accretion of loan discount, other amortization and other income 3,203 — Other (367 ) (1 ) Balance at June 30, 2015 $ 141,826 $ 3,527 The following is a rollforward of the related loss allowance. Held-For-Sale Real Estate Related and Other Loans Residential Mortgage Loans Balance at December 31, 2014 $ (75,926 ) $ (154 ) Charge-offs (A) 14,454 — Valuation (allowance) reversal on loans (4,451 ) (223 ) Balance at June 30, 2015 $ (65,923 ) $ (377 ) (A) The charge-offs for real estate related loans represent four loans. Two loans were sold, one loan was restructured, and one loan was written off. The table below summarizes the geographic distribution of real estate related and other loans and residential mortgage loans at June 30, 2015 : Real Estate Related Residential Mortgage Loans Geographic Location Outstanding Face Amount Percentage Outstanding Face Amount Percentage Western U.S. $ — — % $ 932 22.2 % Northeastern U.S. 8,432 9.7 % 523 12.5 % Southeastern U.S. 13,217 15.3 % 2,612 62.1 % Midwestern U.S. — — % 139 3.2 % Southwestern U.S. 1,579 1.8 % — — % Foreign 63,454 73.2 % — — % $ 86,682 100.0 % $ 4,206 100.0 % Other 139,561 (A) $ 226,243 (A) Primarily includes corporate bank loans which are not directly secured by real estate assets. In June 2015, Newcastle sold $12.0 million face amount of commercial real estate related loans from CDO VIII at a price of 100.01% of par for total proceeds of $12.0 million and recognized a gain of $0.9 million . Newcastle also sold $45.7 million face amount of commercial real estate related loans from CDO IX at an average price of 95.35% for total proceeds of $43.5 million and recognized a gain of $0.6 million . These proceeds were used to repay the outstanding notes in CDO VIII and CDO IX, respectively. Securitization of Subprime Mortgage Loans The following table presents information on the retained interests in Newcastle’s securitizations of subprime mortgage loans at June 30, 2015 : Subprime Portfolio I II Total Total securitized loans (unpaid principal balance) (A) $ 297,108 $ 422,490 $ 719,598 Loans subject to call option (carrying value) $ 297,108 $ 107,041 $ 404,149 Retained bonds (fair value) (B) $ 2,977 $ — $ 2,977 (A) Average loan seasoning of 119 months and 101 months for Subprime Portfolios I and II, respectively, at June 30, 2015 . (B) The retained interests include retained bonds of the securitizations with negligible monthly interest cash flows until principal payment is available. The fair value of which is estimated based on pricing service quotation. The weighted average yield of the retained bonds was 21.25% as of June 30, 2015. Newcastle has no obligation to repurchase any loans from either of its subprime securitizations. Therefore, it is expected that its exposure to loss is limited to the carrying amount of its retained interests in the securitization entities, as described above. A subsidiary of Newcastle gave limited representations and warranties with respect to Subprime Portfolio II and is required to pay the difference, if any, between the repurchase price of any loan in such portfolio and the price required to be paid by a third party originator for such loan. Such subsidiary, however, has no assets and does not have recourse to the general credit of Newcastle. The following table summarizes certain characteristics of the underlying subprime mortgage loans, and related financing, in the securitizations as of June 30, 2015 : Subprime Portfolio I II Loan unpaid principal balance (UPB) $ 297,108 $ 422,490 Weighted average coupon rate of loans 5.65 % 4.51 % Delinquencies of 60 or more days (UPB) (A) $ 64,834 $ 131,780 Net credit losses for the six months ended June 30, 2015 $ 10,348 $ 12,629 Cumulative net credit losses $ 282,378 $ 349,725 Cumulative net credit losses as a % of original UPB 18.8 % 32.2 % Percentage of ARM loans (B) 50.9 % 63.6 % Percentage of loans with original loan-to-value ratio >90% 10.7 % 17.1 % Percentage of interest-only loans 1.9 % 4.1 % Face amount of debt (C) $ 293,108 $ 422,490 Weighted average funding cost of debt (D) 0.55 % 0.34 % (A) Delinquencies include loans 60 or more days past due, in foreclosure, under bankruptcy filing or REO. (B) ARM loans are adjustable-rate mortgage loans. An option ARM is an adjustable-rate mortgage that provides the borrower with an option to choose from several payment amounts each month for a specified period of the loan term. None of the loans in the subprime portfolios are option ARMs. (C) Excludes face amount of $4.0 million of retained notes for Subprime Portfolio I at June 30, 2015 . (D) Includes the effect of applicable hedges. Newcastle received negligible cash inflows from the retained interests of Subprime Portfolios I and II during the six months ended June 30, 2015 and 2014 . The loans subject to call option and the corresponding financing recognize interest income and expense based on the expected weighted average coupons of the loans subject to call option at the call date of 9.24% and 8.68% for Subprime Portfolio’s I and II, respectively.

INVESTMENTS IN OTHER REAL ESTAT

INVESTMENTS IN OTHER REAL ESTATE, NET OF ACCUMULATED DEPRECIATION	6 Months Ended
	Jun. 30, 2015
Real Estate [Abstract]
INVESTMENTS IN OTHER REAL ESTATE, NET OF ACCUMULATED DEPRECIATION	7. INVESTMENTS IN OTHER REAL ESTATE, NET OF ACCUMULATED DEPRECIATION The following table summarizes Newcastle’s investments in real estate related to its Golf business: June 30, 2015 December 31, 2014 Gross Carrying Amount Accumulated Depreciation Net Carrying Value Gross Carrying Amount Accumulated Depreciation Net Carrying Value Golf Land $ 90,324 $ — $ 90,324 $ 90,324 $ — $ 90,324 Buildings and improvements 141,256 (21,891 ) 119,365 139,949 (17,729 ) 122,220 Furniture, fixtures and equipment 24,534 (12,911 ) 11,623 23,621 (5,544 ) 18,077 Capital leases - equipment 8,929 (989 ) 7,940 6,528 (547 ) 5,981 Construction in progress 1,923 — 1,923 2,681 — 2,681 Investments in Other Real Estate $ 266,966 $ (35,791 ) $ 231,175 $ 263,103 $ (23,820 ) $ 239,283 In March 2015 , Golf entered into a lease for a 27 -hole municipal golf property owned by Los Angeles County, California. The lease is for a term of 21 years and encompasses the golf course, a driving range, food and beverage facilities and a pro shop.

INTANGIBLES, NET OF ACCUMULATED

INTANGIBLES, NET OF ACCUMULATED AMORTIZATION	6 Months Ended
	Jun. 30, 2015
Goodwill and Intangible Assets Disclosure [Abstract]
INTANGIBLES, NET OF ACCUMULATED AMORTIZATION	8. INTANGIBLES, NET OF ACCUMULATED AMORTIZATION The following table summarizes Newcastle’s intangible assets related to its Golf business: June 30, 2015 December 31, 2014 Gross Carrying Amount Accumulated Amortization Net Carrying Value Gross Carrying Amount Accumulated Amortization Net Carrying Value Trade name $ 700 $ (35 ) $ 665 $ 700 $ (23 ) $ 677 Leasehold intangibles (1) 49,962 (7,356 ) 42,606 50,275 (5,206 ) 45,069 Management contracts 37,114 (6,222 ) 30,892 37,650 (4,666 ) 32,984 Internally-developed software 800 (240 ) 560 800 (160 ) 640 Membership base 5,236 (1,122 ) 4,114 5,214 (748 ) 4,466 Nonamortizable liquor license 865 — 865 850 — 850 Total Intangibles $ 94,677 $ (14,975 ) $ 79,702 $ 95,489 $ (10,803 ) $ 84,686 (1) The amortization expense for leasehold intangibles is reported in operating expense - golf on the consolidated statements of operations. Intangible assets are amortized on a straight-line basis over the following estimated useful lives: 30 years for trade name; 1-26 years for leasehold intangibles and management contracts; 5 years for internally-developed software and 7 years for the membership base.

RECEIVABLES AND OTHER ASSETS

RECEIVABLES AND OTHER ASSETS	6 Months Ended
	Jun. 30, 2015
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
RECEIVABLES AND OTHER ASSETS	9. RECEIVABLES AND OTHER ASSETS The following table summarizes Newcastle's receivables and other assets: June 30, 2015 December 31, 2014 Accounts receivable, net $ 8,983 $ 7,369 Prepaid expenses 7,445 6,639 Interest receivable 1,268 2,324 Deposits 7,468 7,339 Inventory 5,631 4,964 Derivative assets 8 — Miscellaneous assets, net (1) 8,921 6,556 $ 39,724 $ 35,191 (1) In the first quarter of 2015, Newcastle adopted ASU 2015-03 (see Note 2) which requires retrospective application to all prior periods. Accordingly, "Miscellaneous assets, net" is reduced by $0.4 million for deferred financing costs as of December 31, 2014.

DEBT OBLIGATIONS

DEBT OBLIGATIONS	6 Months Ended
	Jun. 30, 2015
Debt Disclosure [Abstract]
DEBT OBLIGATIONS	10. DEBT OBLIGATIONS The following table presents certain information regarding Newcastle’s debt obligations at June 30, 2015 : June 30, 2015 Collateral Debt Obligation/Collateral Month Issued Outstanding Carrying Final Stated Maturity Weighted Weighted Average Weighted Average Life(Years) Face Amount of Outstanding Face Amount (C) Amortized Carrying Weighted Average Life Floating Rate Face Amount (C) CDO Bonds Payable CDO VI (D) Apr 2005 $ 92,693 $ 92,693 Apr 2040 0.88% 0.88 % 3.5 $ 89,064 $ 75,088 $ 28,886 $ 52,140 3.4 $ 13,032 92,693 92,693 0.88 % 3.5 89,064 75,088 28,886 52,140 3.4 13,032 Other Bonds and Notes Payable NCT 2013-VI IMM-1 (E) Nov 2013 11,014 9,871 Apr 2040 LIBOR+0.25% 5.92 % 0.7 11,014 N/A N/A N/A N/A N/A 11,014 9,871 5.92 % 0.7 11,014 N/A N/A N/A N/A N/A Repurchase Agreements (F) FNMA/FHLMC Securities Jun 2015 375,704 375,704 Jul 2015 0.41% 0.41 % 0.1 — 380,399 392,289 392,289 7.0 — 375,704 375,704 0.41 % 0.1 — 380,399 392,289 392,289 7.0 — Golf Credit Facilities (G) First Lien Loan Dec 2013 51,423 51,318 Dec 2017 LIBOR+4.00% (H) 4.59 % 2.5 51,423 N/A N/A N/A N/A N/A Second Lien Loan Dec 2013 105,575 105,360 Dec 2017 5.50% 5.58 % 2.5 — N/A N/A N/A N/A N/A Vineyard II Dec 1993 200 200 Dec 2043 2.11% 2.11 % 28.5 200 N/A N/A N/A N/A N/A Capital Leases (Equipment) May 2014 - Jun 2015 8,128 8,128 Sep 2020 3.53% to 7.83% 6.69 % 4.8 — N/A N/A N/A N/A N/A 165,326 165,006 5.32 % 2.6 51,623 N/A N/A N/A N/A N/A Corporate Junior subordinated notes payable Mar 2006 51,004 51,228 Apr 2035 7.57% (I) 7.36 % 19.8 — N/A N/A N/A N/A N/A 51,004 51,228 7.36 % 19.8 — N/A N/A N/A N/A N/A Subtotal debt obligations 695,741 694,502 2.23 % 2.6 $ 151,701 $ 455,487 $ 421,175 $ 444,429 6.0 $ 13,032 Financing on subprime mortgage loans subject to call option (J) 404,149 404,149 Total debt obligations $ 1,099,890 $ 1,098,651 See notes on next page. (A) Weighted average, including floating and fixed rate classes. (B) Including the effect of applicable hedges and deferred financing cost. For fixed rate mortgage notes payable, the weighted average funding cost is calculated based on the average rate during the six months ended June 30, 2015 . (C) Excluding restricted cash held in CDOs to be used for principal and interest payments of CDO debt. (D) This CDO was not in compliance with its applicable over collateralization tests as of June 30, 2015 . Newcastle is not receiving cash flows from this CDO (other than senior management fees and cash flows on senior classes of bonds that were repurchased), since net interest is being used to repay debt, and expects this CDO to remain out of compliance for the foreseeable future. (E) Represents financings of previously repurchased Newcastle CDO bonds for which the collateral is eliminated in consolidation. (F) These repurchase agreements had $0.1 million of accrued interest payable at June 30, 2015 . The counterparty on these repurchase agreements is Nomura. Newcastle has margin exposures on a total of $375.7 million repurchase agreements related to the financing of FNMA/FHLMC securities. To the extent that the value of the collateral underlying these repurchase agreements declines, Newcastle may be required to post margin, which could significantly impact its liquidity. The $375.7 million repurchase agreements were repaid in July 2015 as part of the sale of the FNMA/FHLMC securities. (G) The golf credit facilities are collateralized by assets of the Golf business. The carrying value of the golf credit facilities are reported net of deferred financing costs of $0.3 million as of June 30, 2015 . (H) Interest rate based on 3 month LIBOR with a LIBOR floor of 0.5%. (I) LIBOR +2.25% after April 2016. (J) Issued in April 2006 and July 2007 and secured by the general credit of Newcastle. See Note 6 regarding the securitizations of Subprime Portfolio I and II. Each CDO financing is subject to tests that measure the amount of over collateralization and excess interest in the transaction. Failure to satisfy these tests would cause the principal and/or interest cashflows that would otherwise be distributed to more junior classes of securities (including those held by Newcastle) to be redirected to pay down the most senior class of securities outstanding until the tests are satisfied. As of June 30, 2015 , CDO VI was not in compliance with its over collateralization tests and as a result, Newcastle’s cashflows and liquidity were negatively impacted due to the failure. Based upon Newcastle's current calculations, Newcastle expects this CDO to remain out of compliance for the foreseeable future. In March 2015, Newcastle sold Agency RMBS with a face amount of approximately $380.4 million at an average price of 104.72% for a gain of $5.9 million and repaid associated repurchase agreements. Also in March 2015, Newcastle financed $389.1 million face amount of purchased FNMA/FHLMC securities with repurchase agreements with carrying value of $386.1 million as of March 31, 2015. These repurchase agreements bear interest at 0.37%, mature in April 2015 and are subject to customary margin provisions. During the second quarter of 2015, approximately $60.3 million of Newcastle CDO VIII notes were repaid primarily due to the sale of securities and loans. See Notes 5 and 6. As a result of the repayment of the Newcastle CDO VIII notes, Newcastle also repaid $13.3 million of repurchase agreements associated with Newcastle CDO VIII. During the second quarter of 2015, approximately $51.4 million of Newcastle CDO IX notes were repaid primarily due to the sales and paydown of securities and loans. See Notes 5 and 6. As a result of the repayment of the Newcastle CDO IX notes, Newcastle also repaid $22.3 million of repurchase agreements associated with Newcastle CDO IX. In June 2015, Newcastle repurchased $11.5 million face amount of CDO bonds payable issued by Newcastle CDO VIII at a price of 95.50% of par for total proceeds of $11.0 million . As a result, Newcastle extinguished $11.5 million face amount of CDO bonds payable and recorded a gain on extinguishment of debt of $0.5 million . In June 2015, Newcastle entered into a trade to sell $380.4 million face amount of agency RMBS at an average price of 103.13% for total proceeds of approximately $392.3 million and recognized a loss of approximately $5.9 million . This transaction settled in July 2015 and Newcastle repaid $375.7 million of outstanding repurchase agreement liabilities in connection with this sale. As of June 30, 2015 , Newcastle has unused borrowing capacity of $3.1 million on the golf credit facilities. The Golf business leases certain golf carts and other equipment under capital leases. The agreements typically provide for minimum rentals plus executory costs. Lease terms range from 48 to 66 months with a purchase price option at the termination of the lease. The future minimum lease payments required under the capital leases and the present value of the net minimum lease payments as of June 30, 2015 are as follows: July 1, 2015 - December 31, 2015 $ 887 2016 1,829 2017 1,829 2018 1,829 2019 1,883 2020 and thereafter 1,420 Total minimum lease payments 9,677 Less: imputed interest 1,549 Present value of net minimum lease payments $ 8,128 Newcastle’s non-CDO financings and golf credit facilities contain various customary loan covenants. Newcastle was in compliance with all of these covenants as of June 30, 2015 .

ACCOUNTS PAYABLE, ACCRUED EXPEN

ACCOUNTS PAYABLE, ACCRUED EXPENSES AND OTHER LIABILITIES	6 Months Ended
	Jun. 30, 2015
Payables and Accruals [Abstract]
ACCOUNTS PAYABLE, ACCRUED EXPENSES AND OTHER LIABILITIES	11. ACCOUNTS PAYABLE, ACCRUED EXPENSES AND OTHER LIABILITIES The following table summarizes Newcastle's accounts payable, accrued expenses and other liabilities: June 30, 2015 December 31, 2014 Accounts payable and accrued expenses $ 26,996 $ 35,854 Membership deposit liabilities 83,684 79,678 Deferred revenue 16,282 29,322 Security deposit payable 7,525 5,293 Unfavorable leasehold interests 6,240 6,443 Derivative liabilities 2,037 4,328 Accrued rent 4,138 2,605 Due to affiliates 1,031 1,125 Miscellaneous liabilities 12,759 14,742 $ 160,692 $ 179,390

DERIVATIVES

DERIVATIVES	6 Months Ended
	Jun. 30, 2015
Derivative Instruments and Hedging Activities Disclosure [Abstract]
DERIVATIVES	12. DERIVATIVES Newcastle's derivative instruments are comprised of interest rate swaps and TBAs. The table below presents the fair value of the derivative financial instruments as well as their classification on the consolidated balance sheets as of June 30, 2015 and December 31, 2014: Fair Value June 30, 2015 December 31, 2014 Balance Sheet Location Derivative assets TBAs, not designated as hedges Receivables and other assets $ 8 $ — $ 8 $ — Derivative liabilities Interest rate swaps, designated as hedges Accounts payable, accrued expenses and other liabilities $ — $ 1,963 Interest rate swaps, not designated as hedges Accounts payable, accrued expenses and other liabilities — 334 TBAs, not designated as hedges Accounts payable, accrued expenses and other liabilities 2,037 2,031 $ 2,037 $ 4,328 The following table summarizes gains (losses) recorded in relation to derivatives: Three Months Ended June 30, Six Months Ended June 30, Income Statement Location 2015 2014 2015 2014 Cash flow hedges Gain on the ineffective portion Other income (loss) $ — $ 259 $ — $ 259 Loss recognized on termination of hedge Gain (loss) on settlement of investments (612 ) — (612 ) — Deferred hedge gain reclassified from AOCI into earnings Interest expense 19 14 38 27 Amount of loss reclassified from AOCI into income (effective portion) Interest expense (655 ) (1,177 ) (1,363 ) (2,457 ) Amount of unrealized loss recognized in OCI on derivatives (effective portion) None (27 ) (75 ) (60 ) (152 ) Non-hedge derivatives Gain recognized related to interest rate swaps Other income (loss) $ — $ 2,029 $ 292 $ 4,104 Gain recognized related to linked transactions Other income (loss) 1,825 — 12,498 Loss recognized related to linked transactions Interest expense — (89 ) — (211 ) Gain recognized related to TBAs Other income (loss) 1,322 — 1 — Gain (loss) on settlement of TBAs Gain (loss) on settlement of investments, net 2,928 — (1,943 ) — The following table presents additional information about cash flow hedge transactions: June 30, 2015 December 31, 2014 Cash flow hedges Expected reclassification of deferred hedges from AOCI into earnings over the next 12 months $ 60 $ 78 Expected reclassification of current hedges from AOCI into earnings over the next 12 months — (1,730 )

FAIR VALUE

FAIR VALUE	6 Months Ended
	Jun. 30, 2015
Fair Value Disclosures [Abstract]
FAIR VALUE	13. FAIR VALUE Fair Value Summary Table The following table summarizes the carrying values and estimated fair values of Newcastle’s financial instruments at June 30, 2015 : Carrying Estimated Fair Value Method (A) Assets Real estate securities, available-for-sale $ 65,499 $ 65,499 Broker/counterparty quotations, pricing services, pricing models Real estate securities, pledged as collateral 208,041 208,041 Broker/counterparty quotations Real estate related and other loans, held-for-sale, net 141,826 157,898 Broker/counterparty quotations, pricing services, pricing models Residential mortgage loans, held-for-sale, net 3,527 3,576 Broker/counterparty quotations Subprime mortgage loans subject to call option (B) 404,149 404,149 (B) Restricted cash 3,385 3,385 Cash and cash equivalents 114,338 114,338 Non-hedge derivative assets (C) 8 8 Counterparty quotations Liabilities CDO bonds payable (D) $ 92,693 $ 14,447 Pricing models Other bonds and notes payable (D) 9,871 10,609 Broker quotations, pricing models Repurchase agreements 375,704 375,704 Market comparables Credit facilities and obligations under capital leases 165,006 149,626 Pricing models Financing of subprime mortgage loans subject to call option (B) 404,149 404,149 (B) Junior subordinated notes payable 51,228 40,033 Pricing models Non-hedge derivatives (C) 2,037 2,037 Counterparty quotations (A) Methods are listed in order of priority. In the case of real estate securities and real estate related and other loans, broker quotations are obtained if available and practicable, otherwise counterparty quotations or pricing service valuations are obtained or, finally, internal pricing models are used. Internal pricing models are only used for (i) securities and loans that are not traded in an active market, and, therefore, have little or no price transparency, and for which significant unobservable inputs must be used in estimating fair value, or (ii) loans or debt obligations which are private and untraded. (B) Represents an option, not an obligation, to repurchase loans from Newcastle’s subprime mortgage loan securitizations (Note 6). (C) Represents derivative liabilities including TBA forward contracts (Note 12). (D) Newcastle notes that the unrealized gain on the liabilities within such structures cannot be fully realized. Assets held within CDOs and other non-recourse structures are generally not available to satisfy obligations outside of such financings, except to the extent Newcastle receives net cash flow distributions from such structures. Therefore, Newcastle’s exposure to the economic losses from such structures is limited to its invested equity in them and economically their book value cannot be less than zero. As a result, the fair value of Newcastle’s net investments in these non-recourse financing structures is equal to the present value of their expected future net cash flows. Fair Value Measurements Valuation Hierarchy The fair value of financial instruments is categorized based on the priority of the inputs to the valuation technique and categorized into a three-level fair value hierarchy. The fair value hierarchy gives the highest priority to quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). Newcastle follows this hierarchy for its financial instruments measured at fair value. Level 1 - Quoted prices in active markets for identical instruments. Level 2 - Valuations based principally on observable market parameters, including • quoted prices for similar assets or liabilities in active markets, • inputs other than quoted prices that are observable for the asset or liability (such as interest rates and yield curves observable at commonly quoted intervals, implied volatilities and credit spreads), and • market corroborated inputs (derived principally from or corroborated by observable market data). Level 3 - Valuations determined using unobservable inputs that are supported by little or no market activity, and that are significant to the overall fair value measurement. Level 3 assets and liabilities include financial instruments whose value is determined using non-binding market quotations, pricing models, discounted cash flow methodologies, or similar techniques where significant inputs are unobservable, as well as instruments for which the determination of fair value requires significant management judgment or estimation. Fair value may be based upon broker quotations, counterparty quotations or pricing services quotations, which provide valuation estimates based upon reasonable market order indications or management's good faith estimate, and are subject to significant variability based on market conditions, such as interest rates, credit spreads and market liquidity. A significant portion of Newcastle’s loans, securities and debt obligations are currently not traded in active markets and therefore have little or no price transparency. As a result, Newcastle has estimated the fair value of illiquid instruments based on internal pricing models or quotations subject to Newcastle's controls described below. Newcastle has various processes and controls in place to ensure that fair value measurements are reasonably estimated. With respect to broker and pricing service quotations, and in order to ensure these quotes represent a reasonable estimate of fair value, Newcastle’s quarterly procedures include a comparison of such quotations to quotations from different sources, outputs generated from its internal pricing models and transactions completed, as well as on its knowledge and experience of these markets. With respect to fair value estimates generated based on Newcastle’s internal pricing models, Newcastle’s management validates the inputs and outputs of the internal pricing models by comparing them to available independent third party market parameters and models, where available, for reasonableness. Newcastle believes its valuation methods and the assumptions used are appropriate and consistent with other market participants. Fair value measurements categorized within Level 3 are sensitive to changes in the assumptions or methodology used to determine fair value and such changes could result in a significant increase or decrease in the fair value. For Newcastle’s investments in real estate securities, real estate related and other loans and residential mortgage loans categorized within Level 3 of the fair value hierarchy, the significant unobservable inputs include the discount rates, assumptions relating to prepayments, default rates and loss severities. Significant increases (decreases) in any of the discount rates, default rates or loss severities in isolation would result in a significantly lower (higher) fair value measurement. The impact of changes in prepayment speeds would have differing impacts on fair value, depending on the seniority of the investment. Generally, a change in the default assumption is accompanied by directionally similar changes in the assumptions used for the loss severity and the prepayment speed. Recurring Fair Value Measurements - Real Estate Securities and Derivatives The following table summarizes financial assets and liabilities measured at fair value on a recurring basis at June 30, 2015 : Fair Value Carrying Value Level 2 Level 3 Total Market Quotations (Observable) Market Quotations (Unobservable) Internal Pricing Models Assets Real estate securities, available-for-sale: CMBS $ 45,408 $ — $ 45,408 $ — $ 45,408 Non-Agency RMBS 9,817 — 9,817 — 9,817 CDO (A) 10,187 — — 10,187 10,187 Equity securities 87 — 87 — 87 Real estate securities, available-for-sale total $ 65,499 $ — $ 55,312 $ 10,187 $ 65,499 Real estate securities, pledged as collateral: FNMA/FHLMC $ 208,041 $ 208,041 $ — $ — $ 208,041 Real estate securities, pledged as collateral total $ 208,041 $ 208,041 $ — $ — $ 208,041 Derivative assets: TBAs, not treated as hedges $ 8 $ 8 $ — $ — $ 8 Derivative assets total $ 8 $ 8 $ — $ — $ 8 Liabilities Derivative liabilities: TBAs, not treated as hedges $ 2,037 $ 2,037 $ — $ — $ 2,037 Derivative liabilities total $ 2,037 $ 2,037 $ — $ — $ 2,037 (A) Represents non-consolidated CDO securities, excluding 8 securities with zero value, which had an aggregate face amount of $115.0 million as of June 30, 2015 . Significant Unobservable Inputs The following table provides quantitative information regarding the significant unobservable inputs used by Newcastle for assets and liabilities measured at fair value on a recurring basis as of June 30, 2015 . This table excludes inputs used to measure fair value that are not developed by Newcastle, such as broker prices and other third-party pricing service valuations. Weighted Average Significant Input Asset Type Amortized Fair Value Discount Prepayment Cumulative Loss CDO $ — $ 10,187 11.5 % 4.2 % 20.9 % 65.8 % Total $ — $ 10,187 All of the inputs used in the table have some degree of market observability, based on Newcastle’s knowledge of the market, relationships with market participants, and use of common market data sources. Collateral prepayment, default and loss severity projections are in the form of “curves” or “vectors” that vary for each monthly collateral cash flow projection. Methods used to develop these projections vary by asset class (e.g., CMBS projections are developed differently than home equity ABS projections)but conform to industry conventions. Newcastle uses assumptions that generate its best estimate of future cash flows of each respective security. The prepayment vector specifies the percentage of the collateral balance that is expected to voluntarily pay off at each point in the future. The prepayment vector is based on projections from a widely published investment bank model which considers factors such as collateral FICO score, loan-to-value ratio, debt-to-income ratio, and vintage on a loan level basis. This vector is scaled up or down to match recent collateral-specific prepayment experience, as obtained from remittance reports and market data services. Loss severities are based on recent collateral-specific experience with additional consideration given to collateral characteristics. Collateral age is taken into consideration because severities tend to initially increase with collateral age before eventually stabilizing. Newcastle typically uses projected severities that are higher than the historic experience for collateral that is relatively new to account for this effect. Collateral characteristics such as loan size, lien position, and location (state) also effect loss severity. Newcastle considers whether a collateral pool has experienced a significant change in its composition with respect to these factors when assigning severity projections. Default rates are determined from the current “pipeline” of loans that are more than 90 days delinquent, in foreclosure, or are REO. These significantly delinquent loans determine the first 24 months of the default vector. Beyond month 24, the default vector transitions to a steady-state value that is generally equal to or greater than that given by the widely published investment bank model. The discount rates Newcastle uses are derived from a range of observable pricing on securities backed by similar collateral and offered in a live market. As the markets in which Newcastle transacts have become less liquid, Newcastle has had to rely on fewer data points in this analysis. Newcastle’s investments in instruments measured at fair value on a recurring basis using Level 3 inputs changed during the six months ended June 30, 2015 as follows: CMBS Non-Agency RMBS Equity/Other Securities Total Balance at December 31, 2014 $ 178,763 45,035 $ 7,956 $ 231,754 Transfers Transfers into Level 3 — — 367 367 Total gains (losses) Included in net income (A) 12,402 14,827 (280 ) 26,949 Included in other comprehensive income (loss) (16,646 ) (12,868 ) 2,231 (27,283 ) Amortization included in interest income 4,518 2,554 — 7,072 Purchases, sales and repayments Purchases — — — — Proceeds from sales (102,607 ) (37,582 ) — (140,189 ) Proceeds from repayments (31,022 ) (2,149 ) — (33,171 ) Balance at June 30, 2015 $ 45,408 9,817 $ 10,274 $ 65,499 (A) These gains (losses) are recorded in the following line items in the consolidated statements of operations: Six Months Ended June 30, 2015 Gain (loss) on settlement of investments, net $ 28,854 Other income (loss), net — OTTI, net (1,905 ) Total $ 26,949 Non-Recurring Fair Value Measurements - Loans Loans which Newcastle does not have the ability or intent to hold into the foreseeable future are classified as held-for-sale. As a result, these held-for-sale loans are carried at the lower of amortized cost or fair value and are therefore recorded at fair value on a non-recurring basis. These loans were written down to fair value at the time of the impairment, based on broker quotations, pricing service quotations or internal pricing models. All the loans were within Level 3 of the fair value hierarchy. For real estate related and other loans, the most significant inputs used in the valuations are the amount and timing of expected future cash flows, market yields and the estimated collateral value of such loan investments. For residential mortgage loans, significant inputs include management’s expectations of prepayment speeds, default rates, loss severities and discount rates that market participants would use in determining the fair values of similar pools of residential mortgage loans. The following tables summarize certain information for real estate related and other loans and residential mortgage loans held-for-sale as of June 30, 2015 : Significant Input Range Weighted Average Carrying Fair Discount Loss Discount Loss Loan Type Value Value Rate Severity Rate Severity Mezzanine $ 23,228 $ 23,228 0.0%-8.0% 0%-100% 8.0 % 43.3 % Bank Loan 118,598 134,670 0.0%-22.5% 0%-100% 22.0 % 24.7 % Total Real Estate Related and other Loans Held-for-Sale, Net $ 141,826 $ 157,898 Significant Input (Weighted Average) Carrying Fair Discount Prepayment Constant Loss Loan Type Value Value Rate Speed Default Rate Severity Residential Loans 3,527 3,576 13.1 % 0.2 % 18.4 % 4.9 % Total Residential Mortgage Loans, Held-for-Sale, Net $ 3,527 $ 3,576 Liabilities for Which Fair Value Is Only Disclosed The following table summarizes the level of the fair value hierarchy, valuation techniques and inputs used for estimating each class of liabilities not measured at fair value in the statement of financial position but for which fair value is disclosed: Type of Liabilities Not Measured At Fair Value for Which Fair Value Is Disclosed Fair Value Hierarchy Valuation Techniques and Significant Inputs CDO bonds payable Level 3 Valuation technique is based on discounted cash flows. Significant inputs include: l Underlying security and loan prepayment, default and cumulative loss expectations l Amount and timing of expected future cash flows l Market yields and credit spreads implied by comparisons to transactions of similar tranches of CDO debt by the varying levels of subordination Other bonds and notes payable Level 3 Valuation technique is based on discounted cash flows. Significant inputs include: l Amount and timing of expected future cash flows l Interest rates l Broker quotations l Market yields and credit spreads implied by comparisons to transactions of similar tranches of securitized debt by the varying levels of subordination Repurchase agreements Level 2 Valuation technique is based on market comparables. Significant variables include: l Amount and timing of expected future cash flows l Interest rates l Collateral funding spreads Golf credit facilities Level 3 Valuation technique is based on discounted cash flows. l Amount and timing of expected future cash flows l Interest rates l Credit spread of golf Junior subordinated notes payable Level 3 Valuation technique is based on discounted cash flows. Significant inputs include: l Amount and timing of expected future cash flows l Interest rates l Market yields and the credit spread of Newcastle

EQUITY AND EARNINGS PER SHARE

EQUITY AND EARNINGS PER SHARE	6 Months Ended
	Jun. 30, 2015
Stockholders' Equity Note [Abstract]
EQUITY AND EARNINGS PER SHARE	14. EQUITY AND EARNINGS PER SHARE A. Stockholder's Equity The following is a summary of the changes in Newcastle's outstanding options for the six months ended June 30, 2015 : Number of Options Weighted Average Strike Price Weighted Average Life Remaining (in years) Outstanding at December 31, 2014 5,500,599 $ 4.26 Granted 178,740 1.00 Exercised — — Expired 54,999 14.92 Forfeited — — Outstanding at June 30, 2015 5,624,340 $ 2.79 7.28 Exercisable at June 30, 2015 4,505,630 $ 2.58 6.80 On May 7, 2015, and pursuant to the anti-dilution provisions of the NCT Option Plans, Newcastle’s board of directors approved an equitable adjustment of all outstanding options in order to account for the impact of the 2014 return of capital distributions. The equitable adjustment entails a strike price adjustment and the issuance of additional options which were determined so as to compensate for the loss in value that would have otherwise occurred as a result of the 2014 return of capital distributions. As a result of this adjustment, a total of 178,740 options were issued on May 7, 2015 at a strike price of $1.00. As of June 30, 2015 , Newcastle’s outstanding options were summarized as follows: Issued Prior to 2011 Issued in 2011 and thereafter Total Held by the Manager 114,479 5,001,443 5,115,922 Issued to the Manager and subsequently transferred to certain of the Manager's employees 30,182 477,903 508,085 Issued to the independent directors 333 — 333 Total 144,994 5,479,346 5,624,340 Weighted average strike price $ 13.18 $ 2.51 $ 2.79 On March 16, 2015 , Newcastle declared a quarterly dividend of $0.12 per common share, and declared dividends of $0.609375 , $0.503125 and $0.523438 per share on the 9.750% Series B, 8.050% Series C and 8.375% Series D preferred stock, respectively, for the quarter ended March 31, 2015 . Dividends totaling $9.4 million were paid in April 2015 . On June 22, 2015 , Newcastle declared a quarterly dividend of $0.12 per common share, and declared dividends of $0.609375 , $0.503125 and $0.523438 per share on the 9.750% Series B, 8.050% Series C and 8.375% Series D preferred stock, respectively, for the quarter ended June 30, 2015 . Dividends totaling $9.4 million were paid in July 2015 . In June 2015, Newcastle issued a total of 51,777 shares of its common stock to its independent directors as a component of their annual compensation. B. Earnings Per Share Newcastle is required to present both basic and diluted earnings per share (“EPS”). The following table shows the amounts used in computing basic and diluted EPS: Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Numerator for basis and diluted earnings per share: Income from continuing operations after preferred dividends and noncontrolling interests $ 16,495 $ 39,036 $ 14,288 $ 57,858 Income (loss) from discontinued operations, net of tax 524 (8,504 ) 639 (23,803 ) Income Applicable to Common Stockholders $ 17,019 $ 30,532 $ 14,927 $ 34,055 Denominator: Denominator for basic earnings per share - weighted average shares 66,427 58,600 66,426 58,588 Effect of dilutive securities Options 2,778 1,877 2,630 1,906 Denominator for diluted earnings per share - adjusted weighted average shares 69,205 60,477 69,055 60,494 Basic earnings per share: Income from continuing operations per share of common stock, after preferred dividends and noncontrolling interests $ 0.25 $ 0.67 $ 0.22 $ 0.99 Income (loss) from discontinued operations per share of common stock $ 0.01 $ (0.15 ) $ 0.01 $ (0.41 ) Income Applicable to Common Stock, per share $ 0.26 $ 0.52 $ 0.22 $ 0.58 Diluted earnings per share: Income from continuing operations per share of common stock, after preferred dividends and noncontrolling interests $ 0.24 $ 0.65 $ 0.21 $ 0.96 Income (loss) from discontinued operations per share of common stock $ 0.01 $ (0.15 ) $ 0.01 $ (0.41 ) Income Applicable to Common Stock, per share $ 0.25 $ 0.50 $ 0.22 $ 0.56 Basic EPS is calculated by dividing net income available for common stockholders by the weighted average number of shares of common stock outstanding during each period. Diluted EPS is calculated by dividing net income available for common stockholders by the weighted average number of shares of common stock outstanding plus the additional dilutive effect of common stock equivalents during each period. Due to rounding, income per share from continuing operations and income per share from discontinued operations may not sum to the income per share of common stock. Newcastle’s common stock equivalents are its outstanding stock options. As of June 30, 2015 and 2014 , Newcastle had 250,486 and 227,083 antidilutive options. During the three months ended June 30, 2015 and 2014 , based on the treasury stock method, Newcastle had 2,777,737 and 1,877,084 dilutive common stock equivalents, respectively, resulting from its outstanding options. During the six months ended June 30, 2015 and 2014 , Newcastle had 2,629,745 and 1,906,153 dilutive common stock equivalents, respectively, resulting from its outstanding options. Net income available for common stockholders is equal to net income less preferred dividends and net income attributable to noncontrolling interests.

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	6 Months Ended
	Jun. 30, 2015
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	15. COMMITMENTS AND CONTINGENCIES Newcastle is, from time to time, a defendant in legal actions from transactions conducted in the ordinary course of business. Management, after consultation with legal counsel, believes the ultimate liability arising from such actions, individually and in the aggregate, that existed at June 30, 2015 , if any, will not materially affect Newcastle’s consolidated results of operations or financial position.

INCOME TAXES

INCOME TAXES	6 Months Ended
	Jun. 30, 2015
Income Tax Disclosure [Abstract]
INCOME TAXES	16. INCOME TAXES The provision for income taxes (including discontinued operations) consists of the following: Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Current: Federal $ 34 $ 518 $ 80 $ 590 State and Local 8 103 20 164 Total Current Provision $ 42 $ 621 $ 100 $ 754 Deferred: Federal $ (13 ) $ (74 ) $ (23 ) $ (314 ) State and Local (2 ) (7 ) (4 ) (520 ) Total Deferred Provision $ (15 ) $ (81 ) $ (27 ) $ (834 ) Total Provision (benefit) for Income Taxes $ 27 $ 540 $ 73 $ (80 ) Provision (benefit) for income taxes from continuing operations $ 27 $ 4 $ 73 $ 144 Provision (benefit) for income taxes from discontinued operations $ — $ 536 $ — $ (224 ) The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities as of June 30, 2015 are presented below: June 30, 2015 December 31, 2014 Deferred tax assets: Allowance for loan losses $ 395 $ 366 Depreciation and amortization 16,765 13,938 Accrued expenses 1,436 2,006 Net operating losses 29,510 26,543 Other 172 2,365 Total deferred tax assets 48,278 45,218 Less valuation allowance (31,920 ) (27,434 ) Net deferred tax assets $ 16,358 $ 17,784 Deferred tax liabilities: Leaseholds 16,289 17,741 Total deferred tax liabilities $ 16,289 $ 17,741 Net deferred income tax assets (A) $ 69 $ 43 (A) Recorded in Receivables and Other Assets on the consolidated balance sheets. In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which temporary differences become deductible. Newcastle had recorded a valuation allowance against a significant portion of its deferred tax assets as of June 30, 2015 as management does not believe that it is more likely than not that the deferred tax assets will be realized.

GAINS (LOSSES) ON SETTLEMENT OF

GAINS (LOSSES) ON SETTLEMENT OF INVESTMENTS, NET AND OTHER INCOME (LOSS), NET	6 Months Ended
	Jun. 30, 2015
Gains Losses On Settlement Of Investments Net And Other Income Loss Net
GAINS (LOSSES) ON SETTLEMENT OF INVESTMENTS, NET AND OTHER INCOME (LOSS), NET	17. GAINS (LOSSES) ON SETTLEMENT OF INVESTMENTS, NET AND OTHER INCOME (LOSS), NET These items are comprised of the following: Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Gain (loss) on settlement of investments, net Gain on settlement of real estate securities $ 28,854 $ 15,698 $ 34,740 $ 18,032 Loss on settlement of real estate securities (5,926 ) — (5,926 ) — Gain on repayment/disposition of loans held-for-sale 1,532 24,737 1,532 24,737 Gain (loss) recognized on termination of hedge (612 ) — (612 ) — Gain (loss) on settlement of TBAs 2,928 — (1,943 ) — $ 26,776 $ 40,435 $ 27,791 $ 42,769 Other income (loss), net Gain (loss) on non-hedge derivative instruments $ 1,322 $ 3,855 $ 293 $ 16,603 Hedge ineffectiveness — 259 — 259 Collateral management fee income, net 186 250 379 515 Equity in earnings of equity method investees 328 328 642 289 Gain (loss) on disposal of long-lived assets — (32 ) — (34 ) Other income 272 22 280 524 $ 2,108 $ 4,682 $ 1,594 $ 18,156

RECLASSIFICATION FROM ACCUMULAT

RECLASSIFICATION FROM ACCUMULATED OTHER COMPREHENSIVE INCOME INTO NET INCOME	6 Months Ended
	Jun. 30, 2015
Reclassification From Accumulated Other Comprehensive Income Into Net Income
RECLASSIFICATION FROM ACCUMULATED OTHER COMPREHENSIVE INCOME INTO NET INCOME	18. RECLASSIFICATION FROM ACCUMULATED OTHER COMPREHENSIVE INCOME INTO NET INCOME The following table summarizes the amounts reclassified out of accumulated other comprehensive income into net income: Accumulated Other Comprehensive Income Statement Three Months Ended June 30, Six Months Ended June 30, Income Components Location 2015 2014 2015 2014 Net realized gain (loss) on securities Impairment Other-than-temporary impairment on securities, net of portion of other-than-temporary impairment on securities recognized in other comprehensive income $ (234 ) $ — $ 62 $ — Gain on settlement of real estate securities Gain (loss) on settlement of investments, net 28,854 15,698 34,740 18,032 Loss on settlement of real estate securities Gain (loss) on settlement of investments, net (5,926 ) — (5,926 ) — $ 22,694 $ 15,698 $ 28,876 $ 18,032 Net realized gain (loss) on derivatives designated as cash flow hedges Loss recognized on termination of hedge Gain (loss) on settlement of investments, net $ (612 ) $ — (612 ) — Hedge ineffectiveness Other income (loss) $ — $ 259 — 259 Amortization of deferred gain Interest expense $ 19 $ 14 38 27 Realized loss reclassified from AOCI into income, related to effective portion Interest expense (655 ) (1,177 ) (1,363 ) (2,457 ) $ (1,248 ) $ (904 ) $ (1,937 ) $ (2,171 ) Total reclassifications $ 21,446 $ 14,794 $ 26,939 $ 15,861

OTHER-THAN-TEMPORARY-IMPAIRMENT

OTHER-THAN-TEMPORARY-IMPAIRMENT	6 Months Ended
	Jun. 30, 2015
Other-than-temporary-impairment
OTHER-THAN-TEMPORARY-IMPAIRMENT	20. SUPPLEMENTAL NON-CASH INVESTING AND FINANCING ACTIVITIES RELATED TO CDOs Newcastle considers all activity in its CDOs’ restricted cash accounts to be non-cash activity for purposes of its consolidated statement of cash flows since transactions conducted with restricted cash have no effect on its cash and cash equivalents. Supplemental non-cash investing and financing activities relating to CDOs are disclosed below: Six Months Ended June 30, 2015 2014 Restricted cash generated from sale of securities $ 139,257 $ 72,422 Restricted cash generated from sale of loans $ 55,574 $ — Restricted cash generated from paydowns on securities and loans $ 73,914 $ 221,549 Restricted cash used for repayments of CDO bonds payable $ 142,937 $ 288,206

SUPPLEMENTAL NON-CASH INVESTING

SUPPLEMENTAL NON-CASH INVESTING AND FINANCING ACTIVITIES RELATED TO CDOs	6 Months Ended
	Jun. 30, 2015
Supplemental Non-cash Investing And Financing Activities Related To Cdos
SUPPLEMENTAL NON-CASH INVESTING AND FINANCING ACTIVITIES RELATED TO CDOs	20. SUPPLEMENTAL NON-CASH INVESTING AND FINANCING ACTIVITIES RELATED TO CDOs Newcastle considers all activity in its CDOs’ restricted cash accounts to be non-cash activity for purposes of its consolidated statement of cash flows since transactions conducted with restricted cash have no effect on its cash and cash equivalents. Supplemental non-cash investing and financing activities relating to CDOs are disclosed below: Six Months Ended June 30, 2015 2014 Restricted cash generated from sale of securities $ 139,257 $ 72,422 Restricted cash generated from sale of loans $ 55,574 $ — Restricted cash generated from paydowns on securities and loans $ 74,381 $ 221,549 Restricted cash used for repayments of CDO bonds payable $ 142,937 $ 288,206

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	6 Months Ended
	Jun. 30, 2015
Subsequent Events [Abstract]
SUBSEQUENT EVENTS	21. SUBSEQUENT EVENTS These financial statements include a discussion of material events, if any, that have occurred subsequent to June 30, 2015 (referred to as “subsequent events”) through the issuance of these consolidated financial statements. Events subsequent to that date have not been considered in these financial statements. On July 14, 2015, Newcastle settled on a trade to sell $380.4 million face amount of agency RMBS at an average price of 103.13% of par for total proceeds of approximately $392.3 million and recognized a loss of $5.9 million . Newcastle repaid $375.7 million of outstanding repurchase agreement liabilities in connection with this sale. On July 14, 2015, Newcastle settled on a trade to purchase $201.9 million face amount of agency RMBS at an average price of 102.87% of par for total proceeds of approximately $207.7 million . This transaction was financed with $196.7 million of repurchase agreements. On July 14, 2015, Newcastle settled on a trade to purchase $403.9 million face amount of agency RMBS at an average price of 102.88% of par for total proceeds of approximately $415.6 million. This transaction was financed with $393.8 million of repurchase agreements. On August 3, 2015, Newcastle closed on the sale of two residential mortgage loans with face amount of $3.3 million for total proceeds of $2.8 million net of transaction expenses. On August 4, 2015, Newcastle agreed to acquire from a third party $51.4 million outstanding face amount of first lien golf debt at a price of 90.0% of par, or $46.3 million, and $105.6 million outstanding face amount of second lien golf debt at a price of 90.0% of par, or $95.0 million. The purchases are expected to close in the third quarter 2015 and be funded with cash and short-term debt financing.

SUMMARY OF SIGNIFICANT ACCOUN30

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	6 Months Ended
	Jun. 30, 2015
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation - The accompanying consolidated financial statements and related notes of Newcastle have been prepared in accordance with accounting principles generally accepted in the United States for interim financial reporting and the instructions to Form 10-Q and Rule 10-01 of Regulation S-X. Accordingly, certain information and footnote disclosures normally included in financial statements prepared under U.S. generally accepted accounting principles (“GAAP”) have been condensed or omitted. In the opinion of management, all adjustments considered necessary for a fair presentation of Newcastle's financial position, results of operations and cash flows have been included and are of a normal and recurring nature. The operating results presented for interim periods are not necessarily indicative of the results that may be expected for any other interim period or for the entire year. These financial statements should be read in conjunction with Newcastle's consolidated financial statements for the year ended December 31, 2014 and notes thereto included in Newcastle’s Annual Report on Form 10-K filed with the SEC on March 2, 2015. Capitalized terms used herein, and not otherwise defined, are defined in Newcastle’s consolidated financial statements for the year ended December 31, 2014 . Certain prior period amounts have been reclassified to conform to the current period’s presentation. All per share amounts, common shares outstanding and options for all prior periods reflect Newcastle's 1-for-3 reverse stock split, which was effective August 18, 2014 and Newcastle's 1-for-2 reverse stock split, which was effective October 22, 2014. As of June 30, 2015 , Newcastle's significant accounting policies for these financial statements are summarized below and should be read in conjunction with the Summary of Significant Accounting Policies detailed in the Company's Annual Report on Form 10-K for the year ended December 31, 2014.
Golf Revenues	Golf Revenues - Revenue from green fees, cart rentals, food and beverage sales, merchandise sales and other income (consisting primarily of range income, banquets, instruction, and club and other rental income) are generally recognized at the time of sale, when services are rendered and collection is reasonably assured. Revenue from membership dues is recognized in the month earned. Membership dues received in advance are included in deferred revenues and recognized as revenue ratably over the appropriate period, which is generally twelve months or less. The monthly dues are generally structured to cover the club operating costs and membership services. Private country club members generally pay an advance initiation fee deposit upon their acceptance as a member to the country club. Initiation fee deposits are refundable 30 years after the date of acceptance as a member. The difference between the initiation fee deposit paid by the member and the present value of the refund obligation is deferred and recognized into revenue in the consolidated statements of operations on a straight-line basis over the expected life of an active membership, which is estimated to be seven years. The present value of the refund obligation is recorded as a membership deposit liability in the consolidated balance sheet and accretes over a 30-year nonrefundable term using the effective interest method. This accretion is recorded as interest expense in the consolidated statements of operations.
Derivatives and Hedging Activities	Derivatives and Hedging Activities - All derivatives are recognized as either assets or liabilities on the balance sheet and measured at fair value. Newcastle reports the fair value of derivative instruments gross of cash paid or received pursuant to credit support agreements and fair value is reflected on a net counterparty basis when Newcastle believes a legal right of offset exists under an enforceable netting agreement. Fair value adjustments affect either equity or net income depending on whether the derivative instrument qualifies as a hedge for accounting purposes and, if so, the nature of the hedging activity. For those derivative instruments that are designated and qualify as hedging instruments, Newcastle designates the hedging instrument, based upon the exposure being hedged, as either a cash flow hedge, a fair value hedge or a hedge of a net investment in a foreign operation. Derivative transactions are entered into by Newcastle solely for risk management purposes, except for total rate of return swaps. Such total rate of return swaps are essentially financings of certain reference assets which are treated as derivatives for accounting purposes. The decision of whether or not a given transaction/position (or portion thereof) is hedged is made on a case-by-case basis, based on the risks involved and other factors as determined by management, including restrictions imposed by the Code among others. In determining whether to hedge a risk, Newcastle may consider whether other assets, liabilities, firm commitments and anticipated transactions already offset or reduce the risk. All transactions undertaken as hedges are entered into with a view towards minimizing the potential for economic losses that could be incurred by Newcastle. Generally, all derivatives entered into are intended to qualify as hedges under GAAP, unless specifically stated otherwise. To this end, terms of hedges are matched closely to the terms of hedged items. Description of the risks being hedged 1) Interest rate risk, existing debt obligations - Newcastle has hedged (and may continue to hedge, when feasible and appropriate) the risk of interest rate fluctuations with respect to its borrowings, regardless of the form of such borrowings, which require payments based on a variable interest rate index. Newcastle generally intends to hedge only the risk related to changes in the benchmark interest rate (LIBOR or a Treasury rate). In order to reduce such risks, Newcastle may enter into swap agreements whereby Newcastle would receive floating rate payments in exchange for fixed rate payments, effectively converting the borrowing to fixed rate. Newcastle may also enter into cap agreements whereby, in exchange for a premium, Newcastle would be reimbursed for interest paid in excess of a certain cap rate. 2) Interest rate risk, anticipated transactions - Newcastle may hedge the aggregate risk of interest rate fluctuations with respect to anticipated transactions, primarily anticipated borrowings. The primary risk involved in an anticipated borrowing is that interest rates may increase between the date the transaction becomes probable and the date of consummation. Newcastle generally intends to hedge only the risk related to changes in the benchmark interest rate (LIBOR or a Treasury rate). This is generally accomplished through the use of interest rate swaps. Cash Flow Hedges To qualify for cash flow hedge accounting, interest rate swaps and caps must meet certain criteria, including (1) the items to be hedged expose Newcastle to interest rate risk, (2) the interest rate swaps or caps are highly effective in reducing Newcastle’s exposure to interest rate risk, and (3) with respect to an anticipated transaction, such transaction is probable. Correlation and effectiveness are periodically assessed based upon a comparison of the relative changes in the fair values or cash flows of the interest rate swaps and caps and the items being hedged, or using regression analysis on an ongoing basis to assess retrospective and prospective hedge effectiveness. For derivative instruments that are designated and qualify as a cash flow hedge (i.e., hedging the exposure to variability in expected future cash flows that is attributable to a particular risk), the effective portion of the gain or loss, and net payments received or made, on the derivative instrument are reported as a component of other comprehensive income and reclassified into earnings in the same period or periods during which the hedged transaction affects earnings. The remaining gain or loss on the derivative instrument in excess of the cumulative change in the present value of future cash flows of the hedged item, if any, is recognized in current earnings during the period of change. The premiums paid for interest rate caps, treated as cash flow hedges, are amortized into interest expense based on the estimated value of such cap for each period covered by such cap. With respect to interest rate swaps which have been designated as hedges of anticipated financings, periodic net payments are recognized currently as adjustments to interest expense; any gain or loss from fluctuations in the fair value of the interest rate swaps is recorded as a deferred hedge gain or loss in accumulated other comprehensive income and treated as a component of the anticipated transaction. In the event the anticipated refinancing failed to occur as expected, the deferred hedge credit or charge would be recognized immediately in earnings. Newcastle’s hedges of such financings were terminated upon the consummation of such financings. Newcastle designated certain of its derivatives, and in some cases re-designated all or a portion thereof as hedges. As a result of these designations, in the cases where the originally hedged items were still owned by Newcastle, the unrealized gain or loss was recorded in accumulated other comprehensive income as a deferred hedge gain or loss and is being amortized over the life of the hedged item. As of June 30, 2015 , Newcastle did not have any interest rate swaps. Newcastle terminated two interest rate swaps in connection with the liquidation of CDO VIII and the interest rate swap in CDO VI matured in March 2015. Non-Hedge Derivatives With respect to interest rate swaps and caps that have not been designated as hedges, any net payments under, or fluctuations in the fair value of, such swaps and caps have been recognized currently in other income (loss). These derivatives may, to some extent, be economically effective as hedges. Under these agreements, we paid fixed monthly coupons at fixed rates of 4.85% of the notional amount to the counterparty and received floating rate LIBOR. Our interest rate swaps not designated as hedges matured in March 2015. Newcastle has entered into certain transactions which financed the purchase of certain assets with the seller of these assets. The contemporaneous purchase of the asset and the associated financing are treated as a linked transaction and accordingly recorded on a net basis as a non-hedge derivative instrument, with changes in market value recorded on the statement of operations. In May 2014, the CDO VIII Class 1 notes were repaid in full and the repurchase agreement was terminated. Therefore, the associated linked transaction was effectively terminated. Newcastle also transacts in the to be announced mortgage backed securities ("TBA") market. TBA contracts are forward contracts to purchase mortgage-backed securities that will be issued by a U.S. government sponsored enterprise in the future. Newcastle primarily engages in TBA transactions for purposes of managing interest rate risk and market risk associated with our investment strategies. For example, Newcastle takes short positions in TBAs to offset - to varying degrees - changes in the values of our Agency residential mortgage backed securities ("RMBS") investments for which we have exposure to interest rate volatility; therefore, these derivatives may, to some extent, be economically effective as hedges. Newcastle typically does not take delivery of TBAs, but rather settles the associated receivable and payable with its trading counterparties on a net basis. As part of its TBA activities, Newcastle may "roll" its TBA positions, whereby we may sell (buy) securities for delivery (receipt) in an earlier month and simultaneously contract to repurchase (sell) similar securities at an agreed-upon price on a fixed date in a later month. Newcastle accounts for its TBA transactions as non-hedge instruments, with changes in market value recorded on the statement of operations. As of June 30, 2015 , Newcastle held TBA contracts consisting of four short contracts totaling $600.0 million notional amount and three long contracts totaling $400.0 million notional amount of Agency RMBS. Newcastle’s derivative financial instruments contain credit risk to the extent that its bank counterparties may be unable to meet the terms of the agreements. Newcastle reduces such risk by limiting its counterparties to major financial institutions. In addition, the potential risk of loss with any one party resulting from this type of credit risk is monitored. Management does not expect any material losses as a result of default by other parties. Newcastle does not require collateral for the derivative financial instruments within its CDO financing structures.
Operating Leases and Other Operating Expenses	Operating Leases and Other Operating Expenses - Other operating expenses for the Golf business consist primarily of equipment leases, utilities, repairs and maintenance, supplies, seed, soil and fertilizer, and marketing. Many of the golf properties and related facilities are leased under long-term operating leases. In addition to minimum payments, certain leases require payment of the excess of various percentages of gross revenue or net operating income over the minimum rental payments. The leases generally require the payment of taxes assessed against the leased property and the cost of insurance and maintenance. The majority of lease terms range from 10 to 20 years, and typically, the leases contain renewal options. Certain leases include minimum scheduled increases in rental payments at various times during the term of the lease. These scheduled rent increases are recognized on a straight-line basis over the term of the lease, resulting in an accrual, which is included in accounts payable, accrued expenses and other liabilities, for the amount by which the cumulative straight-line rent exceeds the contractual cash rent.
Investment in CDO Servicing Rights	Investments in CDO Servicing Rights - In February 2011, Newcastle, through one of its subsidiaries, purchased the management rights with respect to certain C-BASS Investment Management LLC (“C-BASS”) CDOs for $2.2 million pursuant to a bankruptcy proceeding. Newcastle initially recorded the cost of acquiring the collateral management rights as a servicing asset and subsequently amortizes this asset in proportion to, and over the period of, estimated net servicing income. Servicing assets are assessed for impairment on a quarterly basis, with impairment recognized as a valuation allowance. Key economic assumptions used in measuring any potential impairment of the servicing assets include the prepayment speeds of the underlying loans, default rates, loss severities and discount rates. During the three and six months ended June 30, 2015 , Newcastle recorded $0.1 million and $0.2 million of servicing rights amortization and no servicing rights impairment. As of June 30, 2015 , Newcastle’s servicing assets had a carrying value of $0.9 million, which is reported within receivables and other assets.
Investments in Other Real Estate, Net	Investments in Other Real Estate, Net - Real estate and related improvements are recorded at cost less accumulated depreciation. Costs that both materially add value and appreciably extend the useful life of an asset are capitalized. Fees and costs incurred in the successful negotiation of leases are deferred and amortized on a straight-line basis over the terms of the respective leases. With respect to golf course improvements (included in buildings and improvements), only costs associated with original construction, significant replacements, or the addition of new trees, permanent landscaping, sand traps, fairways, tee boxes or greens are capitalized. Expenditures for repairs and maintenance are expensed as incurred. Long-lived assets to be disposed of by sale, which meet certain criteria, are reclassified to real estate held-for-sale and measured at the lower of their carrying amount or fair value less costs of sale. The results of operations for such disposal, assuming such disposal qualifies as a “component of an entity” that represents a strategic shift that had (or will have) a major effect on the operations or financial results as defined, are retroactively reclassified to income (loss) from discontinued operations for all periods presented. The Golf business leases certain golf carts and other equipment that are classified as capital leases. The value of capital leases is recorded as an asset on the balance sheet, along with a liability related to the associated payments. Amortization of capital lease assets is calculated using the straight-line method over the shorter of the estimated useful lives and the initial lease terms. The cost of equipment under capital leases is included in investments in other real estate in the consolidated balance sheets. Payments under the lease are treated as reductions of the liability, with a portion being recorded as interest expense under the effective interest method. Depreciation is calculated using the straight-line method based on the lesser of the lease term or the following estimated useful lives: Buildings and improvements 10-30 years Furniture, fixtures and equipment 3-10 years Capital leases - equipment 4-6 years
Intangibles	Intangibles - Intangible assets relating to the Golf business consist primarily of leasehold advantages (disadvantages), management contracts and membership base. A leasehold advantage (disadvantage) exists to Newcastle when it pays a contracted rent that is below (above) market rents at the date of the transaction. The value of a leasehold advantage (disadvantage) is calculated based on the differential between market and contracted rent, which is tax effected and discounted to present value based on an after-tax discount rate corresponding to each golf property. The management contract intangible represents Newcastle’s golf course management contracts for both leased and managed properties. The management contract intangible for leased and managed properties is valued utilizing a discounted cash flow methodology under the income approach and is amortized over the term of the underlying lease or management agreements, respectively. The membership base intangible represents Newcastle’s relationship with its private golf club members. The membership base intangible is valued using the multi-period excess earnings method under the income approach, and is amortized over the weighted average remaining useful life of the private memberships. Amortization of leasehold intangible assets is included within operating expense - golf and amortization of all other intangible assets is included within depreciation and amortization on the consolidated statements of operations.
Other Investment	Other Investment - Newcastle owns 23% of equity interest in a commercial real estate project which is recorded as an equity method investment. As of June 30, 2015 and December 31, 2014, the carrying value of this investment was $19.9 million and $26.8 million , respectively. Newcastle evaluates its equity method investment for impairment whenever events or changes in circumstances indicate that the carrying amount of the investment might not be recoverable. The evaluation of recoverability is based on management’s assessment of the financial condition and near term prospects of the investee, the length of time and the extent to which the market value of the investment has been less than cost and the intent and ability of Newcastle to retain its investment.
Impairment of Real Estate and Finite-lived Intangible Assets	Impairment of Real Estate and Finite-lived Intangible Assets - Newcastle periodically reviews the carrying amounts of its long-lived assets, including real estate and finite-lived intangible assets, to determine whether current events or circumstances indicate that such carrying amounts may not be recoverable. The assessment of recoverability is based on management’s estimates by comparing the sum of the estimated undiscounted cash flows generated by the underlying asset, or other appropriate grouping of assets, to its carrying value to determine whether an impairment existed at its lowest level of identifiable cash flows. If the carrying amount of the asset is greater than the expected undiscounted cash flows to be generated by such asset, an impairment is recognized to the extent the carrying value of such asset exceeds its fair value. Newcastle generally measures fair value by considering sale prices for similar assets or by discounting estimated future cash flows using an appropriate discount rate. Assets to be disposed of are carried at the lower of their financial statement carrying amount or fair value less costs to sell.
Recent Accounting Pronouncements	Recent Accounting Pronouncements In May 2014, the Financial Accounting Standards Board ("FASB") and the International Accounting Standards Board ("IASB") issued Accounting Standards Update ("ASU") 2014-09 Revenues from Contracts with Customers (Topic 606) . The standard’s core principle is that a company will recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services. In doing so, companies will need to use more judgment and make more estimates than under today’s guidance. These may include identifying performance obligations in the contract, estimating the amount of variable consideration to include in the transaction price and allocating the transaction price to each separate performance obligation. On July 9, 2015, the FASB decided to defer the effective date by one year though the FASB still needs to issue an ASU to make the change, the standard will be effective for annual and interim periods beginning after December 15, 2017, however all entities are allowed to adopt the standard as early as the original effective date (annual periods beginning after December 15, 2016). Entities have the option of using either a full retrospective or a modified approach to adopt the guidance. We are currently reviewing the guidance to determine the impact to the consolidated financial statements. In February 2015, the FASB issued ASU 2015-02, Consolidation (Topic 810): Amendments to the Consolidation Analysis . The standard amends the consolidation considerations when evaluating certain limited partnerships, variable interest entities and investment funds. The ASU is effective for Newcastle in the first quarter of 2016 and early adoption is permitted. Newcastle is currently evaluating the new guidance to determine the impact it may have to its consolidated financial statements. In April 2015, the FASB issued ASU 2015-03, Interest-Imputation of Interest (Topic 835): Simplifying the Presentation of Debt Issuance Costs . The standard requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. The new guidance is effective in the first quarter of 2016 and early adoption is permitted. Newcastle elected to early adopt this new guidance effective for the first quarter of 2015 to simplify presentation of debt issuance costs and has applied the changes retrospectively to all periods presented. Accordingly, "Receivables and other assets" excludes deferred financing costs and "Credit facilities and obligations under capital leases" is reported net of deferred financing costs of $0.3 million and $0.4 million as of June 30, 2015 and December 31, 2014, respectively in the Consolidated Balance Sheets. The FASB has recently issued or discussed a number of proposed standards on such topics as financial statement presentation, leases, financial instruments and hedging. Some of the proposed changes are significant and could have a material impact on Newcastle’s reporting. Newcastle has not yet fully evaluated the potential impact of these proposals, but will make such an evaluation as the standards are finalized.

SUMMARY OF SIGNIFICANT ACCOUN31

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)	6 Months Ended
	Jun. 30, 2015
Accounting Policies [Abstract]
Schedule of useful lives of property, plant, and equipment	Depreciation is calculated using the straight-line method based on the lesser of the lease term or the following estimated useful lives: Buildings and improvements 10-30 years Furniture, fixtures and equipment 3-10 years Capital leases - equipment 4-6 years

DISCONTINUED OPERATIONS (Tables

DISCONTINUED OPERATIONS (Tables)	6 Months Ended
	Jun. 30, 2015
Discontinued Operations and Disposal Groups [Abstract]
Schedule of results of operations from discontinued operations	Results from discontinued operations were as follows: Three Months Ended Six Months Ended 2015 2014 2015 2014 Interest income $ — $ — $ — $ — Interest expense — 13,592 — 29,389 Net interest income (loss) — (13,592 ) — (29,389 ) Media income — — — 68,213 Rental income 50 54,595 549 107,485 Care and ancillary income — 5,666 — 11,127 Gain on settlement of investments 318 — 318 — Other income (loss) — (22 ) — (22 ) Total media, rental and other income 368 60,239 867 186,803 Media operating expenses — — — 65,826 Property operating expenses (157 ) 26,459 187 52,419 General and administrative expenses (A) 1 4,911 30 12,463 Depreciation and amortization — 23,245 11 50,733 Income tax (benefit) expense — 536 — (224 ) Total expenses (156 ) 55,151 228 181,217 Income (loss) from discontinued operations $ 524 $ (8,504 ) $ 639 $ (23,803 ) Net income attributable to noncontrolling interests $ — $ — $ — $ 522 (A) Includes acquisition and spin-off related expenses of $3.4 million and $10.7 million for the three and six months ended June 30, 2014.

SEGMENT REPORTING AND VARIABL33

SEGMENT REPORTING AND VARIABLE INTEREST ENTITIES (Tables)	6 Months Ended
	Jun. 30, 2015
Segment Reporting [Abstract]
Schedule of segment reporting	Summary financial data on Newcastle's segments is given below, together with reconciliation to the same data for Newcastle as a whole: Debt Investments (A) Discontinued CDOs Other Debt (B) Golf Corporate Operations Eliminations Total Six Months Ended June 30, 2015 Interest income $ 29,607 $ 24,660 $ 72 $ 9 $ — $ (3,005 ) $ 51,343 Interest expense (5,313 ) (19,173 ) (10,305 ) (1,891 ) — 3,005 (33,677 ) Inter-segment elimination (3,005 ) — 3,005 — — — — Net interest income (expense) 21,289 5,487 (7,228 ) (1,882 ) — — 17,666 Impairment (reversal) 12,206 1,878 — — — — 14,084 Operating revenues — — 143,629 — — — 143,629 Other income (loss), net 30,271 (177 ) (228 ) 8 — — 29,874 Loan and security servicing expense 214 — — — — — 214 Operating expenses - golf (C) — — 115,988 — — — 115,988 Repairs and maintenance expenses - golf — — 4,387 — — — 4,387 Cost of sales - golf — — 15,161 — — — 15,161 General and administrative expense — — 1,041 3,821 — — 4,862 Acquisition and transaction expenses (D) — — 321 17 — — 338 Management fee to affiliate — — — 5,342 — — 5,342 Depreciation and amortization — — 13,872 — — — 13,872 Income tax expense — — 73 — — — 73 Income (loss) from continuing operations 39,140 3,432 (14,670 ) (11,054 ) — — 16,848 Income from discontinued operations, net of tax — — — — 639 — 639 Net income (loss) 39,140 3,432 (14,670 ) (11,054 ) 639 — 17,487 Preferred dividends — — — (2,790 ) — — (2,790 ) Net loss attributable to noncontrolling interests — — 230 — — — 230 Income (loss) applicable to common stockholders $ 39,140 $ 3,432 $ (14,440 ) $ (13,844 ) $ 639 $ — $ 14,927 Debt Investments (A) Discontinued CDOs Other Debt (B) Golf Corporate Operations Eliminations Total Three Months Ended June 30, 2015 Interest income $ 13,685 $ 12,065 $ 36 $ 5 $ — $ (1,526 ) $ 24,265 Interest expense (2,730 ) (9,594 ) (5,207 ) (945 ) — 1,526 (16,950 ) Inter-segment elimination (1,526 ) — 1,526 — — — — Net interest income (expense) 9,429 2,471 (3,645 ) (940 ) — — 7,315 Impairment (reversal) 11,869 1,810 — — — — 13,679 Operating revenues — — 82,803 — — — 82,803 Other income (loss), net 29,740 (140 ) (235 ) 8 — — 29,373 Loan and security servicing expense 118 — — — — — 118 Operating expenses - golf (C) — — 63,017 — — — 63,017 Repairs and maintenance expenses - golf — — 2,421 — — — 2,421 Cost of sales - golf — — 9,108 — — — 9,108 General and administrative expense — — 793 2,392 — — 3,185 Acquisition and transaction expenses (D) — — 285 17 — — 302 Management fee to affiliate — — — 2,674 — — 2,674 Depreciation and amortization — — 7,119 — — — 7,119 Income tax expense — — 27 — — — 27 Income (loss) from continuing operations 27,182 521 (3,847 ) (6,015 ) — — 17,841 Income from discontinued operations, net of tax — — — — 524 — 524 Net income (loss) 27,182 521 (3,847 ) (6,015 ) 524 — 18,365 Preferred dividends — — — (1,395 ) — — (1,395 ) Net loss attributable to noncontrolling interests — — 49 — — — 49 Income (loss) applicable to common stockholders $ 27,182 $ 521 $ (3,798 ) $ (7,410 ) $ 524 $ — $ 17,019 Debt Investments (A) Discontinued CDOs Other Debt (B) Golf Corporate Operations Total June 30, 2015 Investments, net (E) $ 52,139 $ 790,828 $ 310,970 $ — $ — $ 1,153,937 Cash and restricted cash 163 200 9,320 108,040 — 117,723 Other assets 98 397,812 33,434 669 — 432,013 Assets of discontinued operations — — — — 53 53 Total assets 52,400 1,188,840 353,724 108,709 53 1,703,726 Debt, net (E) 102,564 779,853 165,006 51,228 — 1,098,651 Other liabilities 31 211,748 151,944 13,608 — 377,331 Liabilities of discontinued operations — — — — — — Total liabilities 102,595 991,601 316,950 64,836 — 1,475,982 Preferred stock — — — 61,583 — 61,583 Noncontrolling interests — — (194 ) — — (194 ) Equity attributable to common stockholders $ (50,195 ) $ 197,239 $ 36,968 $ (17,710 ) $ 53 $ 166,355 Additions to investments in real estate excluding intangibles and other liabilities, net of other assets acquired $ — $ — $ 3,863 $ — $ — $ 3,863 Debt Investments (A) Discontinued CDOs Other Debt (B) Golf Corporate Operations Eliminations Total Six Months Ended June 30, 2014 Interest income $ 51,319 $ 29,353 $ 74 $ 35 $ — $ (4,436 ) $ 76,345 Interest expense (12,109 ) (23,001 ) (9,916 ) (1,908 ) — 4,436 (42,498 ) Inter-segment elimination (4,436 ) 1,635 2,801 — — — — Net interest income (expense) 34,774 7,987 (7,041 ) (1,873 ) — — 33,847 Impairment (reversal) 1,958 814 — — — — 2,772 Operating revenues — — 145,369 — — — 145,369 Other income (loss), net 32,895 24,630 (10 ) — — — 57,515 Loan and security servicing expense 310 955 — — — — 1,265 Operating expenses - golf (C) — — 121,527 — — — 121,527 Repairs and maintenance expenses - golf — — 4,602 — — — 4,602 Cost of sales - golf — — 14,763 — — — 14,763 General and administrative expense — 1,869 459 3,725 — — 6,053 Acquisition and transaction expenses (D) — — 1,503 775 — — 2,278 Management fee to affiliate — — — 11,189 — — 11,189 Depreciation and amortization — — 12,106 74 — — 12,180 Income tax expense — — 144 — — — 144 Income (loss) from continuing operations 65,401 28,979 (16,786 ) (17,636 ) — — 59,958 Income (loss) from discontinued operations — — — — (23,803 ) — (23,803 ) Net income (loss) 65,401 28,979 (16,786 ) (17,636 ) (23,803 ) — 36,155 Preferred dividends — — — (2,790 ) — — (2,790 ) Net loss attributable to non-controlling interests — — 168 — 522 — 690 Income (loss) applicable to common stockholders $ 65,401 $ 28,979 $ (16,618 ) $ (20,426 ) $ (23,281 ) $ — $ 34,055 Debt Investments (A) Discontinued CDOs Other Debt (B) Golf Corporate Operations Eliminations Total Three Months Ended June 30, 2014 Interest income $ 20,596 $ 12,401 $ 34 $ 25 $ — $ (3,163 ) $ 29,893 Interest expense (5,983 ) (10,338 ) (6,217 ) (953 ) — 3,163 (20,328 ) Inter-segment elimination (3,163 ) 362 2,801 — — — — Net interest income (expense) 11,450 2,425 (3,382 ) (928 ) — — 9,565 Impairment (reversal) 1,526 — — — — — 1,526 Operating revenues — — 82,737 — — — 82,737 Other income (loss), net 19,343 22,375 (11 ) — — — 41,707 Loan and security servicing expense 154 254 — — — — 408 Operating expenses - golf (C) — — 64,398 — — — 64,398 Repairs and maintenance expenses - golf — — 2,084 — — — 2,084 Cost of sales - golf — — 8,807 — — — 8,807 General and administrative expense — 1,870 152 1,629 — — 3,651 Acquisition and transaction expenses (D) — — 728 388 — — 1,116 Management fee to affiliate — — — 5,296 — — 5,296 Depreciation and amortization — — 6,280 37 — — 6,317 Income tax expense — 4 — — — — — 4 Income (loss) from continuing operations 29,113 22,676 (3,109 ) (8,278 ) — — 40,402 Loss from discontinued operations — — — — (8,504 ) — (8,504 ) Net income (loss) 29,113 22,676 (3,109 ) (8,278 ) (8,504 ) — 31,898 Preferred dividends — — — (1,395 ) — — (1,395 ) Net loss attributable to non-controlling interests — — 29 — — — 29 Income (loss) applicable to common stockholders $ 29,113 $ 22,676 $ (3,080 ) $ (9,673 ) $ (8,504 ) $ — $ 30,532 (A) Assets held within non-recourse structures, including all of the assets in the CDO segment, are not available to satisfy obligations outside of such financings, except to the extent net cash flow distributions are received from such structures. Furthermore, creditors or beneficial interest holders of these structures generally have no recourse to the general credit of Newcastle. Therefore, the exposure to the economic losses from such structures generally is limited to invested equity in them and economically their book value cannot be less than zero. Therefore, impairment recorded in excess of Newcastle’s investment, which results in negative GAAP book value for a given non-recourse financing structure, cannot economically be incurred and will eventually be reversed through amortization, sales at gains, or as gains at the deconsolidation or termination of such non-recourse financing structure. (B) The following table summarizes the investments and debt in the other debt segment: June 30, 2015 Investments Debt Non-Recourse Outstanding Carrying Outstanding Carrying Subprime mortgage loans subject to call options $ 404,149 $ 404,149 $ 404,149 $ 404,149 Other Unlevered real estate securities (F) 48,211 13,360 — — Levered real estate securities 201,928 208,041 375,704 375,704 Real estate related and other loans 226,243 141,826 — — Other investments N/A 19,925 — — Residential mortgage loans 4,206 3,527 — — $ 884,737 $ 790,828 $ 779,853 $ 779,853 (C) Operating expenses-golf includes rental expenses recorded under operating leases for carts and equipment in the amount of $1.2 million and $2.3 million for the three and six months ended June 30, 2015 , respectively and $1.4 million and $2.7 million for the three and six months ended June 30, 2014 . (D) Includes all transaction related and spin-off related expenses. (E) Net of $38.2 million of inter-segment eliminations. (F) Excludes 8 securities with zero value, which had an aggregate face amount of $115.0 million .
Schedule of other debt segment investments and debt	(B) The following table summarizes the investments and debt in the other debt segment: June 30, 2015 Investments Debt Non-Recourse Outstanding Carrying Outstanding Carrying Subprime mortgage loans subject to call options $ 404,149 $ 404,149 $ 404,149 $ 404,149 Other Unlevered real estate securities (F) 48,211 13,360 — — Levered real estate securities 201,928 208,041 375,704 375,704 Real estate related and other loans 226,243 141,826 — — Other investments N/A 19,925 — — Residential mortgage loans 4,206 3,527 — — $ 884,737 $ 790,828 $ 779,853 $ 779,853
Schedule of certain assets and liabilities of Variable Interest Entities	The following table presents certain assets of VIEs, which are included in the Consolidated Balance Sheets. The assets in the table below include those assets that can only be used to settle obligations of consolidated VIEs, and are in excess of those obligations. Additionally, the assets in the table below exclude intercompany balances that eliminate in consolidation. June 30, 2015 (Unaudited) December 31, 2014 Assets of consolidated VIEs that can only be used to settle obligations of consolidated VIEs Real estate securities, available-for-sale $ 52,140 $ 219,490 Real estate related and other loans, held-for-sale, net — 230,200 Residential mortgage loans, held-for-sale, net — 3,211 Subprime mortgage loans subject to call option 404,149 406,217 Other investments — 20,308 Restricted cash 163 11,790 Receivables and other assets 98 1,927 Assets of discontinued operations — 6,803 Total assets of consolidated VIEs that can only be used to settle obligations of consolidated VIEs $ 456,550 $ 899,946 The following table presents certain liabilities of consolidated VIEs, which are included in the Consolidated Balance Sheets above. The liabilities in the table below include liabilities of consolidated VIEs due to third parties only, and exclude intercompany balances that eliminate in consolidation. The liabilities also exclude amounts where creditors or beneficial interest holders have recourse to the general credit of Newcastle. June 30, 2015 (Unaudited) December 31, 2014 Liabilities of consolidated VIEs for which creditors or beneficial interest holders do not have recourse to the general credit of Newcastle CDO bonds payable $ 92,693 $ 227,673 Other bonds and notes payable 9,871 27,069 Financing of subprime mortgage loans subject to call option 404,149 406,217 Accounts payable, accrued expenses and other liabilities 30 2,391 Liabilities of discontinued operations — 447 Total liabilities of consolidated VIEs for which creditors or beneficial interest holders do not have recourse to the general credit of Newcastle $ 506,743 $ 663,797
Schedule of holdings in variable interests	Newcastle had variable interests in the following unconsolidated VIEs at June 30, 2015 , in addition to the subprime securitizations which are described in Note 6: Entity Gross Assets (A) Debt (A) (B) Carrying Value of Newcastle's Investment (C) Newcastle CDO V $ 95,475 $ 122,368 $ 10,187 (A) Face amount. (B) Newcastle CDO V includes $42.9 million face amount of debt owned by Newcastle with a carrying value of $10.2 million at June 30, 2015 . (C) This amount represents Newcastle’s maximum exposure to loss from this entity.

REAL ESTATE SECURITIES (Tables)

REAL ESTATE SECURITIES (Tables)	6 Months Ended
	Jun. 30, 2015
Investments, Debt and Equity Securities [Abstract]
Schedule of real estate securities holdings	The following is a summary of Newcastle’s real estate securities at June 30, 2015 , all of which are classified as available-for-sale and are, therefore, reported at fair value with changes in fair value recorded in other comprehensive income, except for securities that are other-than-temporarily impaired. Amortized Cost Basis Gross Unrealized Weighted Average Asset Type Outstanding Face Amount Before Impairment Other-Than- Temporary Impairment After Impairment Gains Losses Carrying Number of Securities Rating (B) Coupon Yield Life Principal Subordination (D) CMBS $ 83,283 $ 94,055 $ (67,437 ) $ 26,618 $ 18,847 $ (57 ) $ 45,408 17 B- 5.13 % 15.80 % 1.3 22.1 % Non-Agency RMBS 17,032 23,537 (20,667 ) 2,870 6,975 (28 ) 9,817 9 CC 1.59 % 11.35 % 12.1 8.3 % ABS-Franchise 8,464 7,647 (7,647 ) — — — — 1 C 6.69 % 0.00 % — 0.0 % CDO (E) 14,520 — — — 10,187 — 10,187 2 C 1.49 % 0.00 % 6.5 20.3 % Debt Security Total / Average (F) $ 123,299 $ 125,239 $ (95,751 ) $ 29,488 $ 36,009 $ (85 ) $ 65,412 29 CCC+ 4.32 % 15.37 % 3.3 Equity Securities 367 (280 ) 87 — — 87 2 Total Securities, Available-for-Sale $ 125,606 $ (96,031 ) $ 29,575 $ 36,009 $ (85 ) $ 65,499 31 FNMA/FHLMC 201,928 207,731 — 207,731 310 — 208,041 4 AAA 3.50 % 3.09 % 8.8 N/A Total Securities, Pledged as Collateral (F) $ 201,928 $ 207,731 $ — $ 207,731 $ 310 $ — $ 208,041 4 (A) See Note 13 regarding the estimation of fair value, which is equal to carrying value for all securities. (B) Represents the weighted average of the ratings of all securities in each asset type, expressed as an S&P equivalent rating. For each security rated by multiple rating agencies, the lowest rating is used. Newcastle uses an implied AAA rating for the FNMA/FHLMC securities. Ratings provided were determined by third party rating agencies, represent the most recent credit ratings available as of the reporting date and may not be current. (C) The weighted average life is based on the timing of expected principal reduction on the assets. (D) Percentage of the outstanding face amount of securities and interests that is subordinate to Newcastle’s investments. (E) Represents non-consolidated CDO securities, excluding 8 securities with zero value, which had an aggregate face amount of $115.0 million . (F) The total outstanding face amount was $283.3 million for fixed rate securities and $41.9 million for floating rate securities.
Schedule of real estate securities holdings in an unrealized loss position	The following table summarizes Newcastle’s securities in an unrealized loss position as of June 30, 2015 . Amortized Cost Basis Securities in Outstanding Other-than- Number Weighted Average an Unrealized Face Before Temporary After Gross Unrealized Carrying of Life Loss Position Amount Impairment Impairment Impairment Gains Losses Value Securities Rating Coupon Yield (Years) Less Than Twelve $ 5,072 $ 5,735 $ (3,068 ) $ 2,667 $ — $ (85 ) $ 2,582 4 CC 4.16 % 5.77 % 6.3 Twelve or More — — — — — — — — — — % — % — Total $ 5,072 $ 5,735 $ (3,068 ) $ 2,667 $ — $ (85 ) $ 2,582 4 CC 4.16 % 5.77 % 6.3 Newcastle performed an assessment of all of its debt securities that are in an unrealized loss position (unrealized loss position exists when a security’s amortized cost basis, excluding the effect of OTTI, exceeds its fair value) and determined the following: June 30, 2015 Amortized Cost Basis Unrealized Losses Fair Value After Impairment Credit (B) Non-Credit (C) Securities Newcastle intends to sell $ — $ — $ — $ N/A Securities Newcastle is more likely than not to be required to sell (A) — — — N/A Securities Newcastle has no intent to sell and is not more likely than not to be required to sell: Credit impaired securities 2,218 2,302 (3,068 ) (84 ) Non credit impaired securities 364 365 — (1 ) Total debt securities in an unrealized loss position $ 2,582 $ 2,667 $ (3,068 ) $ (85 ) (A) Newcastle may, at times, be more likely than not to be required to sell certain securities for liquidity purposes. While the amount of the securities to be sold may be an estimate, and the securities to be sold have not yet been identified, Newcastle must make its best estimate, which is subject to significant judgment regarding future events, and may differ materially from actual future sales. (B) This amount is required to be recorded as other-than-temporary impairment through earnings. In measuring the portion of credit losses, Newcastle’s management estimates the expected cash flows for each of the securities. This evaluation includes a review of the credit status and the performance of the collateral supporting those securities, including the credit of the issuer, key terms of the securities and the effect of local, industry and broader economic trends. Significant inputs in estimating the cash flows include management’s expectations of prepayment speeds, default rates and loss severities. Credit losses are measured as the decline in the present value of the expected future cash flows discounted at the investment’s effective interest rate. (C) This amount represents unrealized losses on securities that are due to non-credit factors and is required to be recorded through other comprehensive income.
Schedule of activity related to credit losses on debt securities	The following table summarizes the activity related to credit losses on debt securities for the six months ended June 30, 2015 : Beginning balance of credit losses on debt securities for which a portion of an OTTI was recognized in other comprehensive income $ (4,174 ) Additions for credit losses on securities for which an OTTI was not previously recognized (1,625 ) Additions for credit losses on securities for which an OTTI was previously recognized without any portion of OTTI recognized in other comprehensive income (1,443 ) Reduction for credit losses on securities for which no OTTI was recognized in other comprehensive income at the current measurement date 4,174 Reduction for securities sold/written off during the period — Reduction for increases in cash flows expected to be collected that are recognized over the remaining life of the security — Ending balance of credit losses on debt securities for which a portion of an OTTI was recognized in other comprehensive income $ (3,068 )
Schedule of geographic distribution of collateral securing Newcastle's CMBS and ABS	The table below summarizes the geographic distribution of the collateral securing Newcastle’s CMBS and asset backed securities (“ABS”) at June 30, 2015 : CMBS ABS Geographic Location Outstanding Face Amount Percentage Outstanding Face Amount Percentage Western U.S. $ 12,939 15.5 % $ 4,790 18.8 % Northeastern U.S. 15,761 18.9 % 7,083 27.8 % Southeastern U.S. 19,277 23.2 % 4,226 16.6 % Midwestern U.S. 24,651 29.6 % 5,481 21.5 % Southwestern U.S. 10,655 12.8 % 3,910 15.3 % Other — — % 6 — % Foreign — — % — — % $ 83,283 100.0 % $ 25,496 100.0 %

REAL ESTATE RELATED AND OTHER35

REAL ESTATE RELATED AND OTHER LOANS, RESIDENTIAL MORTGAGE LOANS AND SUBPRIME MORTGAGE LOANS (Tables)	6 Months Ended
	Jun. 30, 2015
Receivables [Abstract]
Schedule of real estate and other related loans, residential mortgage loans and subprime mortgage loans	The following is a summary of real estate related and other loans, residential mortgage loans and subprime mortgage loans at June 30, 2015 . The loans contain various terms, including fixed and floating rates, self-amortizing and interest only. They are generally subject to prepayment. Loan Type Outstanding Carrying Loan Weighted Weighted Average Coupon Weighted Average Life Floating Rate Loans as a % of Face Amount Delinquent Face Amount (C) Mezzanine Loans $ 40,995 $ 23,228 3 8.00 % 8.24 % 0.6 100.0 % $ — Corporate Bank Loans 185,248 118,598 4 22.01 % 18.16 % 1.3 — % — Total Real Estate Related and other Loans Held-for-Sale, Net $ 226,243 $ 141,826 7 19.71 % 16.37 % 1.2 18.1 % $ — Residential Mortgage Loans Held-for-Sale, Net (D) $ 4,206 $ 3,527 6 13.06 % 1.92 % 1.8 100.0 % $ 766 Subprime Mortgage Loans Subject to Call Option $ 404,149 $ 404,149 (A) Carrying value includes negligible interest receivable for the residential housing loans. (B) The weighted average life is based on the timing of expected principal reduction on the assets. (C) Includes loans that are 60 or more days past due (including loans that are in foreclosure, or borrower’s in bankruptcy) or considered real estate owned (“REO”). As of June 30, 2015 , $63.5 million face amount of real estate related and other loans was on non-accrual status. (D) Loans acquired at a discount for credit quality.
Schedule of real estate related and other loans by maturity	The following is a summary of real estate related and other loans by maturities at June 30, 2015 : Outstanding Number of Year of Maturity (1) Face Amount Carrying Value Loans Period from July 1, 2015 to December 31, 2015 $ 63,454 $ — 4 2016 23,228 23,228 1 2017 — — — 2018 — — — 2019 139,561 118,598 2 2020 — — — Thereafter — — — Total $ 226,243 $ 141,826 7 (1) Based on the final extended maturity date of each loan investment as of June 30, 2015 .
Schedule of activity in carrying value of real estate related and other loans and residential mortgage loans	Activities relating to the carrying value of Newcastle’s real estate related and other loans and residential mortgage loans are as follows: Held-for-Sale Real Estate Related and Other Loans Residential Mortgage Loans Balance at December 31, 2014 $ 230,200 $ 3,854 Purchases / additional fundings — — Interest accrued to principal balance 11,716 — Principal paydowns (42,901 ) (103 ) Sales (55,574 ) — Valuation (allowance) reversal on loans (4,451 ) (223 ) Accretion of loan discount, other amortization and other income 3,203 — Other (367 ) (1 ) Balance at June 30, 2015 $ 141,826 $ 3,527
Rollforward of loss allowance for real estate related and other loans and residential mortgage loans	The following is a rollforward of the related loss allowance. Held-For-Sale Real Estate Related and Other Loans Residential Mortgage Loans Balance at December 31, 2014 $ (75,926 ) $ (154 ) Charge-offs (A) 14,454 — Valuation (allowance) reversal on loans (4,451 ) (223 ) Balance at June 30, 2015 $ (65,923 ) $ (377 ) (A) The charge-offs for real estate related loans represent four loans. Two loans were sold, one loan was restructured, and one loan was written off.
Schedule of geographic distribution of real estate related and other loans and residential mortgage loans	The table below summarizes the geographic distribution of real estate related and other loans and residential mortgage loans at June 30, 2015 : Real Estate Related Residential Mortgage Loans Geographic Location Outstanding Face Amount Percentage Outstanding Face Amount Percentage Western U.S. $ — — % $ 932 22.2 % Northeastern U.S. 8,432 9.7 % 523 12.5 % Southeastern U.S. 13,217 15.3 % 2,612 62.1 % Midwestern U.S. — — % 139 3.2 % Southwestern U.S. 1,579 1.8 % — — % Foreign 63,454 73.2 % — — % $ 86,682 100.0 % $ 4,206 100.0 % Other 139,561 (A) $ 226,243 (A) Primarily includes corporate bank loans which are not directly secured by real estate assets.
Schedule of retained interests in securitizations of subprime mortgage loans	The following table presents information on the retained interests in Newcastle’s securitizations of subprime mortgage loans at June 30, 2015 : Subprime Portfolio I II Total Total securitized loans (unpaid principal balance) (A) $ 297,108 $ 422,490 $ 719,598 Loans subject to call option (carrying value) $ 297,108 $ 107,041 $ 404,149 Retained bonds (fair value) (B) $ 2,977 $ — $ 2,977 (A) Average loan seasoning of 119 months and 101 months for Subprime Portfolios I and II, respectively, at June 30, 2015 . (B) The retained interests include retained bonds of the securitizations with negligible monthly interest cash flows until principal payment is available. The fair value of which is estimated based on pricing service quotation. The weighted average yield of the retained bonds was 21.25% as of June 30, 2015 .
Schedule of details regarding subprime mortgage loans and related financing in the securitizations	The following table summarizes certain characteristics of the underlying subprime mortgage loans, and related financing, in the securitizations as of June 30, 2015 : Subprime Portfolio I II Loan unpaid principal balance (UPB) $ 297,108 $ 422,490 Weighted average coupon rate of loans 5.65 % 4.51 % Delinquencies of 60 or more days (UPB) (A) $ 64,834 $ 131,780 Net credit losses for the six months ended June 30, 2015 $ 10,348 $ 12,629 Cumulative net credit losses $ 282,378 $ 349,725 Cumulative net credit losses as a % of original UPB 18.8 % 32.2 % Percentage of ARM loans (B) 50.9 % 63.6 % Percentage of loans with original loan-to-value ratio >90% 10.7 % 17.1 % Percentage of interest-only loans 1.9 % 4.1 % Face amount of debt (C) $ 293,108 $ 422,490 Weighted average funding cost of debt (D) 0.55 % 0.34 % (A) Delinquencies include loans 60 or more days past due, in foreclosure, under bankruptcy filing or REO. (B) ARM loans are adjustable-rate mortgage loans. An option ARM is an adjustable-rate mortgage that provides the borrower with an option to choose from several payment amounts each month for a specified period of the loan term. None of the loans in the subprime portfolios are option ARMs. (C) Excludes face amount of $4.0 million of retained notes for Subprime Portfolio I at June 30, 2015 . (D) Includes the effect of applicable hedges.

INVESTMENTS IN OTHER REAL EST36

INVESTMENTS IN OTHER REAL ESTATE, NET OF ACCUMULATED DEPRECIATION (Tables)	6 Months Ended
	Jun. 30, 2015
Real Estate [Abstract]
Schedule of investments in real estate related to its Golf business	The following table summarizes Newcastle’s investments in real estate related to its Golf business: June 30, 2015 December 31, 2014 Gross Carrying Amount Accumulated Depreciation Net Carrying Value Gross Carrying Amount Accumulated Depreciation Net Carrying Value Golf Land $ 90,324 $ — $ 90,324 $ 90,324 $ — $ 90,324 Buildings and improvements 141,256 (21,891 ) 119,365 139,949 (17,729 ) 122,220 Furniture, fixtures and equipment 24,534 (12,818 ) 11,716 23,621 (5,544 ) 18,077 Capital leases - equipment 8,929 (989 ) 7,940 6,528 (547 ) 5,981 Construction in progress 1,923 — 1,923 2,681 — 2,681 Investments in Other Real Estate $ 266,966 $ (35,698 ) $ 231,268 $ 263,103 $ (23,820 ) $ 239,283 In March 2015 , Golf entered into a lease for a 27 -hole municipal golf property owned by Los Angeles County, California. The lease is for a term of 21 years and encompasses the golf course, a driving range, food and beverage facilities and a pro shop.

INTANGIBLES, NET OF ACCUMULAT37

INTANGIBLES, NET OF ACCUMULATED AMORTIZATION (Tables)	6 Months Ended
	Jun. 30, 2015
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of intangible assets	The following table summarizes Newcastle’s intangible assets related to its Golf business: June 30, 2015 December 31, 2014 Gross Carrying Amount Accumulated Amortization Net Carrying Value Gross Carrying Amount Accumulated Amortization Net Carrying Value Trade name $ 700 $ (35 ) $ 665 $ 700 $ (23 ) $ 677 Leasehold intangibles (1) 49,962 (7,356 ) 42,606 50,275 (5,206 ) 45,069 Management contracts 37,114 (6,222 ) 30,892 37,650 (4,666 ) 32,984 Internally-developed software 800 (240 ) 560 800 (160 ) 640 Membership base 5,236 (1,122 ) 4,114 5,214 (748 ) 4,466 Nonamortizable liquor license 865 — 865 850 — 850 Total Intangibles $ 94,677 $ (14,975 ) $ 79,702 $ 95,489 $ (10,803 ) $ 84,686 (1) The amortization expense for leasehold intangibles is reported in operating expense - golf on the consolidated statements of operations.

RECEIVABLES AND OTHER ASSETS (T

RECEIVABLES AND OTHER ASSETS (Tables)	6 Months Ended
	Jun. 30, 2015
Receivables And Other Assets Tables
Schedule of receivables and other assets	The following table summarizes Newcastle's receivables and other assets: June 30, 2015 December 31, 2014 Accounts receivable, net $ 8,983 $ 7,369 Prepaid expenses 7,445 6,639 Interest receivable 1,268 2,324 Deposits 7,468 7,339 Inventory 5,631 4,964 Derivative assets 8 — Miscellaneous assets, net (1) 8,921 6,556 $ 39,724 $ 35,191 (1) In the first quarter of 2015, Newcastle adopted ASU 2015-03 (see Note 2) which requires retrospective application to all prior periods. Accordingly, "Miscellaneous assets, net" is reduced by $0.4 million for deferred financing costs as of December 31, 2014.

DEBT OBLIGATIONS (Tables)

DEBT OBLIGATIONS (Tables)	6 Months Ended
	Jun. 30, 2015
Debt Disclosure [Abstract]
Schedule of debt obligations and related hedges	The following table presents certain information regarding Newcastle’s debt obligations at June 30, 2015 : June 30, 2015 Collateral Debt Obligation/Collateral Month Issued Outstanding Carrying Final Stated Maturity Weighted Weighted Average Weighted Average Life(Years) Face Amount of Outstanding Face Amount (C) Amortized Carrying Weighted Average Life Floating Rate Face Amount (C) CDO Bonds Payable CDO VI (D) Apr 2005 $ 92,693 $ 92,693 Apr 2040 0.88% 0.88 % 3.5 $ 89,064 $ 75,088 $ 28,886 $ 52,140 3.4 $ 13,032 92,693 92,693 0.88 % 3.5 89,064 75,088 28,886 52,140 3.4 13,032 Other Bonds and Notes Payable NCT 2013-VI IMM-1 (E) Nov 2013 11,014 9,871 Apr 2040 LIBOR+0.25% 5.92 % 0.7 11,014 N/A N/A N/A N/A N/A 11,014 9,871 5.92 % 0.7 11,014 N/A N/A N/A N/A N/A Repurchase Agreements (F) FNMA/FHLMC Securities Jun 2015 375,704 375,704 Jul 2015 0.41% 0.41 % 0.1 — 380,399 392,289 392,289 7.0 — 375,704 375,704 0.41 % 0.1 — 380,399 392,289 392,289 7.0 — Golf Credit Facilities (G) First Lien Loan Dec 2013 51,423 51,318 Dec 2017 LIBOR+4.00% (H) 4.59 % 2.5 51,423 N/A N/A N/A N/A N/A Second Lien Loan Dec 2013 105,575 105,360 Dec 2017 5.50% 5.58 % 2.5 — N/A N/A N/A N/A N/A Vineyard II Dec 1993 200 200 Dec 2043 2.11% 2.11 % 28.5 200 N/A N/A N/A N/A N/A Capital Leases (Equipment) May 2014 - Jun 2015 8,128 8,128 Sep 2020 3.53% to 7.83% 6.69 % 4.8 — N/A N/A N/A N/A N/A 165,326 165,006 5.32 % 2.6 51,623 N/A N/A N/A N/A N/A Corporate Junior subordinated notes payable Mar 2006 51,004 51,228 Apr 2035 7.57% (I) 7.36 % 19.8 — N/A N/A N/A N/A N/A 51,004 51,228 7.36 % 19.8 — N/A N/A N/A N/A N/A Subtotal debt obligations 695,741 694,502 2.23 % 2.6 $ 151,701 $ 455,487 $ 421,175 $ 444,429 6.0 $ 13,032 Financing on subprime mortgage loans subject to call option (J) 404,149 404,149 Total debt obligations $ 1,099,890 $ 1,098,651 See notes on next page. (A) Weighted average, including floating and fixed rate classes. (B) Including the effect of applicable hedges and deferred financing cost. For fixed rate mortgage notes payable, the weighted average funding cost is calculated based on the average rate during the six months ended June 30, 2015 . (C) Excluding restricted cash held in CDOs to be used for principal and interest payments of CDO debt. (D) This CDO was not in compliance with its applicable over collateralization tests as of June 30, 2015 . Newcastle is not receiving cash flows from this CDO (other than senior management fees and cash flows on senior classes of bonds that were repurchased), since net interest is being used to repay debt, and expects this CDO to remain out of compliance for the foreseeable future. (E) Represents financings of previously repurchased Newcastle CDO bonds for which the collateral is eliminated in consolidation. (F) These repurchase agreements had $0.1 million of accrued interest payable at June 30, 2015 . The counterparty on these repurchase agreements is Nomura. Newcastle has margin exposures on a total of $375.7 million repurchase agreements related to the financing of FNMA/FHLMC securities. To the extent that the value of the collateral underlying these repurchase agreements declines, Newcastle may be required to post margin, which could significantly impact its liquidity. The $375.7 million repurchase agreements were repaid in July 2015 as part of the sale of the FNMA/FHLMC securities. (G) The golf credit facilities are collateralized by assets of the Golf business. The carrying value of the golf credit facilities are reported net of deferred financing costs of $0.3 million as of June 30, 2015 . (H) Interest rate based on 3 month LIBOR with a LIBOR floor of 0.5%. (I) LIBOR +2.25% after April 2016. (J) Issued in April 2006 and July 2007 and secured by the general credit of Newcastle. See Note 6 regarding the securitizations of Subprime Portfolio I and II.
Schedule of future minimum lease payments under capital leases	The future minimum lease payments required under the capital leases and the present value of the net minimum lease payments as of June 30, 2015 are as follows: July 1, 2015 - December 31, 2015 $ 887 2016 1,829 2017 1,829 2018 1,829 2019 1,883 2020 and thereafter 1,420 Total minimum lease payments 9,677 Less: imputed interest 1,549 Present value of net minimum lease payments $ 8,128

ACCOUNTS PAYABLE, ACCRUED EXP40

ACCOUNTS PAYABLE, ACCRUED EXPENSES AND OTHER LIABILITIES (Tables)	6 Months Ended
	Jun. 30, 2015
Payables and Accruals [Abstract]
Schedule of accounts payable, accrued expenses and other liabilities	The following table summarizes Newcastle's accounts payable, accrued expenses and other liabilities: June 30, 2015 December 31, 2014 Accounts payable and accrued expenses $ 26,996 $ 35,854 Membership deposit liabilities 83,684 79,678 Deferred revenue 16,282 29,322 Security deposit payable 7,525 5,293 Unfavorable leasehold interests 6,240 6,443 Derivative liabilities 2,037 4,328 Accrued rent 4,138 2,605 Due to affiliates 1,031 1,125 Miscellaneous liabilities 12,759 14,742 $ 160,692 $ 179,390

DERIVATIVES (Tables)

DERIVATIVES (Tables)	6 Months Ended
	Jun. 30, 2015
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Schedule of fair value of derivatives financial instruments	The table below presents the fair value of the derivative financial instruments as well as their classification on the consolidated balance sheets as of June 30, 2015 and December 31, 2014: Fair Value June 30, 2015 December 31, 2014 Balance Sheet Location Derivative assets TBAs, not designated as hedges Receivables and other assets $ 8 $ — $ 8 $ — Derivative liabilities Interest rate swaps, designated as hedges Accounts payable, accrued expenses and other liabilities $ — $ 1,963 Interest rate swaps, not designated as hedges Accounts payable, accrued expenses and other liabilities — 334 TBAs, not designated as hedges Accounts payable, accrued expenses and other liabilities 2,037 2,031 $ 2,037 $ 4,328
Schedule of gains (losses) recorded in relation to derivatives	The following table summarizes gains (losses) recorded in relation to derivatives: Three Months Ended June 30, Six Months Ended June 30, Income Statement Location 2015 2014 2015 2014 Cash flow hedges Gain on the ineffective portion Other income (loss) $ — $ 259 $ — $ 259 Loss recognized on termination of hedge Gain (loss) on settlement of investments (612 ) — (612 ) — Deferred hedge gain reclassified from AOCI into earnings Interest expense 19 14 38 27 Amount of loss reclassified from AOCI into income (effective portion) Interest expense (655 ) (1,177 ) (1,363 ) (2,457 ) Amount of unrealized loss recognized in OCI on derivatives (effective portion) None (27 ) (75 ) (60 ) (152 ) Non-hedge derivatives Gain recognized related to interest rate swaps Other income (loss) $ — $ 2,029 $ 292 $ 4,104 Gain recognized related to linked transactions Other income (loss) 1,825 — 12,498 Loss recognized related to linked transactions Interest expense — (89 ) — (211 ) Gain recognized related to TBAs Other income (loss) 1,322 — 1 — Gain (loss) on settlement of TBAs Gain (loss) on settlement of investments, net 2,928 — (1,943 ) —
Schedule of additional information about cash flow hedges	The following table presents additional information about cash flow hedge transactions: June 30, 2015 December 31, 2014 Cash flow hedges Expected reclassification of deferred hedges from AOCI into earnings over the next 12 months $ 60 $ 78 Expected reclassification of current hedges from AOCI into earnings over the next 12 months — (1,730 )

FAIR VALUE (Tables)

FAIR VALUE (Tables)	6 Months Ended
	Jun. 30, 2015
Fair Value Disclosures [Abstract]
Schedule of carrying value and estimated fair value of assets and liabilities	The following table summarizes the carrying values and estimated fair values of Newcastle’s financial instruments at June 30, 2015 : Carrying Estimated Fair Value Method (A) Assets Real estate securities, available-for-sale $ 65,499 $ 65,499 Broker/counterparty quotations, pricing services, pricing models Real estate securities, pledged as collateral 208,041 208,041 Broker/counterparty quotations Real estate related and other loans, held-for-sale, net 141,826 157,898 Broker/counterparty quotations, pricing services, pricing models Residential mortgage loans, held-for-sale, net 3,527 3,576 Broker/counterparty quotations Subprime mortgage loans subject to call option (B) 404,149 404,149 (B) Restricted cash 3,385 3,385 Cash and cash equivalents 114,338 114,338 Non-hedge derivative assets (C) 8 8 Counterparty quotations Liabilities CDO bonds payable (D) $ 92,693 $ 14,447 Pricing models Other bonds and notes payable (D) 9,871 10,609 Broker quotations, pricing models Repurchase agreements 375,704 375,704 Market comparables Credit facilities and obligations under capital leases 165,006 149,626 Pricing models Financing of subprime mortgage loans subject to call option (B) 404,149 404,149 (B) Junior subordinated notes payable 51,228 40,033 Pricing models Non-hedge derivatives (C) 2,037 2,037 Counterparty quotations (A) Methods are listed in order of priority. In the case of real estate securities and real estate related and other loans, broker quotations are obtained if available and practicable, otherwise counterparty quotations or pricing service valuations are obtained or, finally, internal pricing models are used. Internal pricing models are only used for (i) securities and loans that are not traded in an active market, and, therefore, have little or no price transparency, and for which significant unobservable inputs must be used in estimating fair value, or (ii) loans or debt obligations which are private and untraded. (B) Represents an option, not an obligation, to repurchase loans from Newcastle’s subprime mortgage loan securitizations (Note 6). (C) Represents derivative liabilities including TBA forward contracts (Note 12). (D) Newcastle notes that the unrealized gain on the liabilities within such structures cannot be fully realized. Assets held within CDOs and other non-recourse structures are generally not available to satisfy obligations outside of such financings, except to the extent Newcastle receives net cash flow distributions from such structures. Therefore, Newcastle’s exposure to the economic losses from such structures is limited to its invested equity in them and economically their book value cannot be less than zero. As a result, the fair value of Newcastle’s net investments in these non-recourse financing structures is equal to the present value of their expected future net cash flows.
Schedule of assets and liabilities measured at fair value on a recurring basis	The following table summarizes financial assets and liabilities measured at fair value on a recurring basis at June 30, 2015 : Fair Value Carrying Value Level 2 Level 3 Total Market Quotations (Observable) Market Quotations (Unobservable) Internal Pricing Models Assets Real estate securities, available-for-sale: CMBS $ 45,408 $ — $ 45,408 $ — $ 45,408 Non-Agency RMBS 9,817 — 9,817 — 9,817 CDO (A) 10,187 — — 10,187 10,187 Equity securities 87 — 87 — 87 Real estate securities, available-for-sale total $ 65,499 $ — $ 55,312 $ 10,187 $ 65,499 Real estate securities, pledged as collateral: FNMA/FHLMC $ 208,041 $ 208,041 $ — $ — $ 208,041 Real estate securities, pledged as collateral total $ 208,041 $ 208,041 $ — $ — $ 208,041 Derivative assets: TBAs, not treated as hedges $ 8 $ 8 $ — $ — $ 8 Derivative assets total $ 8 $ 8 $ — $ — $ 8 Liabilities Derivative liabilities: TBAs, not treated as hedges $ 2,037 $ 2,037 $ — $ — $ 2,037 Derivative liabilities total $ 2,037 $ 2,037 $ — $ — $ 2,037 (A) Represents non-consolidated CDO securities, excluding 8 securities with zero value, which had an aggregate face amount of $115.0 million as of June 30, 2015 .
Schedule of quantitative information about significant unobservable inputs	The following table provides quantitative information regarding the significant unobservable inputs used by Newcastle for assets and liabilities measured at fair value on a recurring basis as of June 30, 2015 . This table excludes inputs used to measure fair value that are not developed by Newcastle, such as broker prices and other third-party pricing service valuations. Weighted Average Significant Input Asset Type Amortized Fair Value Discount Prepayment Cumulative Loss CDO $ — $ 10,187 11.5 % 4.2 % 20.9 % 65.8 % Total $ — $ 10,187
Schedule of change in fair value of Level 3 investments	Newcastle’s investments in instruments measured at fair value on a recurring basis using Level 3 inputs changed during the six months ended June 30, 2015 as follows: CMBS Non-Agency RMBS Equity/Other Securities Total Balance at December 31, 2014 $ 178,763 45,035 $ 7,956 $ 231,754 Transfers Transfers into Level 3 — — 367 367 Total gains (losses) Included in net income (A) 12,402 14,827 (280 ) 26,949 Included in other comprehensive income (loss) (16,646 ) (12,868 ) 2,231 (27,283 ) Amortization included in interest income 4,518 2,554 — 7,072 Purchases, sales and repayments Purchases — — — — Proceeds from sales (102,607 ) (37,582 ) — (140,189 ) Proceeds from repayments (31,022 ) (2,149 ) — (33,171 ) Balance at June 30, 2015 $ 45,408 9,817 $ 10,274 $ 65,499 (A) These gains (losses) are recorded in the following line items in the consolidated statements of operations: Six Months Ended June 30, 2015 Gain (loss) on settlement of investments, net $ 28,854 Other income (loss), net — OTTI, net (1,905 ) Total $ 26,949
Schedule of gains (losses) on investments	(A) These gains (losses) are recorded in the following line items in the consolidated statements of operations: Six Months Ended June 30, 2015 Gain (loss) on settlement of investments, net $ 28,854 Other income (loss), net — OTTI, net (1,905 ) Total $ 26,949
Schedule of fair value for real estate related and other loans and residential mortgage loans held-for-sale	The following tables summarize certain information for real estate related and other loans and residential mortgage loans held-for-sale as of June 30, 2015 : Significant Input Range Weighted Average Carrying Fair Discount Loss Discount Loss Loan Type Value Value Rate Severity Rate Severity Mezzanine $ 23,228 $ 23,228 0.0%-8.0% 0%-100% 8.0 % 43.3 % Bank Loan 118,598 134,670 0.0%-22.5% 0%-100% 22.0 % 24.7 % Total Real Estate Related and other Loans Held-for-Sale, Net $ 141,826 $ 157,898 Significant Input (Weighted Average) Carrying Fair Discount Prepayment Constant Loss Loan Type Value Value Rate Speed Default Rate Severity Residential Loans 3,527 3,576 13.1 % 0.2 % 18.4 % 4.9 % Total Residential Mortgage Loans, Held-for-Sale, Net $ 3,527 $ 3,576

EQUITY AND EARNINGS PER SHARE (

EQUITY AND EARNINGS PER SHARE (Tables)	6 Months Ended
	Jun. 30, 2015
Stockholders' Equity Note [Abstract]
Schedule of outstanding options	The following is a summary of the changes in Newcastle's outstanding options for the six months ended June 30, 2015 : Number of Options Weighted Average Strike Price Weighted Average Life Remaining (in years) Outstanding at December 31, 2014 5,500,599 $ 4.26 Granted 178,740 1.00 Exercised — — Expired 54,999 14.92 Forfeited — — Outstanding at June 30, 2015 5,624,340 $ 2.79 7.28 Exercisable at June 30, 2015 4,505,630 $ 2.58 6.80
Schedule of outstanding options summary	As of June 30, 2015 , Newcastle’s outstanding options were summarized as follows: Issued Prior to 2011 Issued in 2011 and thereafter Total Held by the Manager 114,479 5,001,443 5,115,922 Issued to the Manager and subsequently transferred to certain of the Manager's employees 30,182 477,903 508,085 Issued to the independent directors 333 — 333 Total 144,994 5,479,346 5,624,340 Weighted average strike price $ 13.18 $ 2.51 $ 2.79
Schedule of amounts used in computing basic and diluted EPS	Newcastle is required to present both basic and diluted earnings per share (“EPS”). The following table shows the amounts used in computing basic and diluted EPS: Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Numerator for basis and diluted earnings per share: Income from continuing operations after preferred dividends and noncontrolling interests $ 16,495 $ 39,036 $ 14,288 $ 57,858 Income (loss) from discontinued operations, net of tax 524 (8,504 ) 639 (23,803 ) Income Applicable to Common Stockholders $ 17,019 $ 30,532 $ 14,927 $ 34,055 Denominator: Denominator for basic earnings per share - weighted average shares 66,427 58,600 66,426 58,588 Effect of dilutive securities Options 2,778 1,877 2,630 1,906 Denominator for diluted earnings per share - adjusted weighted average shares 69,205 60,477 69,055 60,494 Basic earnings per share: Income from continuing operations per share of common stock, after preferred dividends and noncontrolling interests $ 0.25 $ 0.67 $ 0.22 $ 0.99 Income (loss) from discontinued operations per share of common stock $ 0.01 $ (0.15 ) $ 0.01 $ (0.41 ) Income Applicable to Common Stock, per share $ 0.26 $ 0.52 $ 0.22 $ 0.58 Diluted earnings per share: Income from continuing operations per share of common stock, after preferred dividends and noncontrolling interests $ 0.24 $ 0.65 $ 0.21 $ 0.96 Income (loss) from discontinued operations per share of common stock $ 0.01 $ (0.15 ) $ 0.01 $ (0.41 ) Income Applicable to Common Stock, per share $ 0.25 $ 0.50 $ 0.22 $ 0.56

INCOME TAXES (Tables)

INCOME TAXES (Tables)	6 Months Ended
	Jun. 30, 2015
Income Tax Disclosure [Abstract]
Schedule of provision for income taxes	The provision for income taxes (including discontinued operations) consists of the following: Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Current: Federal $ 34 $ 518 $ 80 $ 590 State and Local 8 103 20 164 Total Current Provision $ 42 $ 621 $ 100 $ 754 Deferred: Federal $ (13 ) $ (74 ) $ (23 ) $ (314 ) State and Local (2 ) (7 ) (4 ) (520 ) Total Deferred Provision $ (15 ) $ (81 ) $ (27 ) $ (834 ) Total Provision (benefit) for Income Taxes $ 27 $ 540 $ 73 $ (80 ) Provision (benefit) for income taxes from continuing operations $ 27 $ 4 $ 73 $ 144 Provision (benefit) for income taxes from discontinued operations $ — $ 536 $ — $ (224 )
Schedule of deferred tax assets and liabilities	The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities as of June 30, 2015 are presented below: June 30, 2015 December 31, 2014 Deferred tax assets: Allowance for loan losses $ 395 $ 366 Depreciation and amortization 16,765 13,938 Accrued expenses 1,436 2,006 Net operating losses 29,510 26,543 Other 172 2,365 Total deferred tax assets 48,278 45,218 Less valuation allowance (31,920 ) (27,434 ) Net deferred tax assets $ 16,358 $ 17,784 Deferred tax liabilities: Leaseholds 16,289 17,741 Total deferred tax liabilities $ 16,289 $ 17,741 Net deferred income tax assets (A) $ 69 $ 43 (A) Recorded in Receivables and Other Assets on the consolidated balance sheets.

GAINS (LOSSES) ON SETTLEMENT 45

GAINS (LOSSES) ON SETTLEMENT OF INVESTMENTS, NET AND OTHER INCOME (LOSS), NET (Tables)	6 Months Ended
	Jun. 30, 2015
Gains Losses On Settlement Of Investments Net And Other Income Loss Net
Schedule of gains (losses) on settlement of investments, net and other income (loss), net	These items are comprised of the following: Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Gain (loss) on settlement of investments, net Gain on settlement of real estate securities $ 28,854 $ 15,698 $ 34,740 $ 18,032 Loss on settlement of real estate securities (5,926 ) — (5,926 ) — Gain on repayment/disposition of loans held-for-sale 1,532 24,737 1,532 24,737 Gain (loss) recognized on termination of hedge (612 ) — (612 ) — Gain (loss) on settlement of TBAs 2,928 — (1,943 ) — $ 26,776 $ 40,435 $ 27,791 $ 42,769 Other income (loss), net Gain (loss) on non-hedge derivative instruments $ 1,322 $ 3,855 $ 293 $ 16,603 Hedge ineffectiveness — 259 — 259 Collateral management fee income, net 186 250 379 515 Equity in earnings of equity method investees 328 328 642 289 Gain (loss) on disposal of long-lived assets — (32 ) — (34 ) Other income 272 22 280 524 $ 2,108 $ 4,682 $ 1,594 $ 18,156

RECLASSIFICATION FROM ACCUMUL46

RECLASSIFICATION FROM ACCUMULATED OTHER COMPREHENSIVE INCOME INTO NET INCOME (Tables)	6 Months Ended
	Jun. 30, 2015
Reclassification From Accumulated Other Comprehensive Income Into Net Income
Schedule of reclassification from accumulated other comprehensive income into net income	The following table summarizes the amounts reclassified out of accumulated other comprehensive income into net income: Accumulated Other Comprehensive Income Statement Three Months Ended June 30, Six Months Ended June 30, Income Components Location 2015 2014 2015 2014 Net realized gain (loss) on securities Impairment Other-than-temporary impairment on securities, net of portion of other-than-temporary impairment on securities recognized in other comprehensive income $ (234 ) $ — $ 62 $ — Gain on settlement of real estate securities Gain (loss) on settlement of investments, net 28,854 15,698 34,740 18,032 Loss on settlement of real estate securities Gain (loss) on settlement of investments, net (5,926 ) — (5,926 ) — $ 22,694 $ 15,698 $ 28,876 $ 18,032 Net realized gain (loss) on derivatives designated as cash flow hedges Loss recognized on termination of hedge Gain (loss) on settlement of investments, net $ (612 ) $ — (612 ) — Hedge ineffectiveness Other income (loss) $ — $ 259 — 259 Amortization of deferred gain Interest expense $ 19 $ 14 38 27 Realized loss reclassified from AOCI into income, related to effective portion Interest expense (655 ) (1,177 ) (1,363 ) (2,457 ) $ (1,248 ) $ (904 ) $ (1,937 ) $ (2,171 ) Total reclassifications $ 21,446 $ 14,794 $ 26,939 $ 15,861

OTHER-THAN-TEMPORARY-IMPAIRME47

OTHER-THAN-TEMPORARY-IMPAIRMENT (Tables)	6 Months Ended
	Jun. 30, 2015
Other-than-temporary-impairment Tables
Summary of amounts recorded in the statement of operations for OTTI	The following table summarizes the amounts Newcastle recorded in the statement of operations: Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Debt securities $ 1,577 $ — $ 1,625 $ — Equity securities 280 280 Other investments 7,505 — 7,505 — Total impairment expense $ 9,362 — $ — — $ 9,410 — $ —

SUPPLEMENTAL NON-CASH INVESTI48

SUPPLEMENTAL NON-CASH INVESTING AND FINANCING ACTIVITIES RELATED TO CDOs (Tables)	6 Months Ended
	Jun. 30, 2015
Supplemental Non-cash Investing And Financing Activities Related To Cdos
Schedule of supplemental non-cash investing and financing activities relating to CDOs	Supplemental non-cash investing and financing activities relating to CDOs are disclosed below: Six Months Ended June 30, 2015 2014 Restricted cash generated from sale of securities $ 139,257 $ 72,422 Restricted cash generated from sale of loans $ 55,574 $ — Restricted cash generated from paydowns on securities and loans $ 73,914 $ 221,549 Restricted cash used for repayments of CDO bonds payable $ 142,937 $ 288,206

GENERAL (Details Narrative)

GENERAL (Details Narrative) - Jun. 30, 2015 - shares	Total
REIT distribution threshold for nontaxation	90.00%
Shares held by Fortress and affiliates in Newcastle	1,000,000
Stock options outstanding	5,624,340
Affiliates [Member]
Stock options outstanding	5,100,000

SUMMARY OF SIGNIFICANT ACCOUN50

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Useful Lives of Property, Plant and Equipment (Details)	6 Months Ended
	Jun. 30, 2015
Buildings and Improvements | Lower Range
Estimated useful lives	10 years
Buildings and Improvements | Upper Range
Estimated useful lives	30 years
Furniture, fixtures and equipment | Lower Range
Estimated useful lives	3 years
Furniture, fixtures and equipment | Upper Range
Estimated useful lives	10 years
Capital leases - equipment | Lower Range
Estimated useful lives	4 years
Capital leases - equipment | Upper Range
Estimated useful lives	6 years

SUMMARY OF SIGNIFICANT ACCOUN51

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) $ in Thousands	3 Months Ended	6 Months Ended	12 Months Ended
	Jun. 30, 2015USD ($)Contracts	Jun. 30, 2015USD ($)Contracts	Dec. 31, 2011USD ($)	Dec. 31, 2014USD ($)
Acquisition of servicing rights			$ 2,200
Amortization of servicing rights	$ 100	$ 200
Servicing assets	900	$ 900
Accrection of membership deposit liability		30 years
Refundable term for initiation fees		30 years
Deferred financing costs	300	$ 300		$ 400
Excpected life of active golf membership		7 years
TBAs [Member] | Not designated as hedging instrument [Member] | Short [Member]
Notional amount	$ 600,000	$ 600,000
Number of contracts | Contracts	4	4
TBAs [Member] | Not designated as hedging instrument [Member] | Long [Member]
Notional amount	$ 400,000	$ 400,000
Number of contracts | Contracts	3	3
Interest rate swaps [Member]
Number of contracts cancelled | Contracts	2	2
Lower Range
Operating lease term		10 years
Upper Range
Operating lease term		20 years
American Dream Project [Member]
Ownership in equity investment	23.00%	23.00%
Equity method investment	$ 19,900	$ 19,900		$ 26,800

DISCONTINUED OPERATIONS - Resul

DISCONTINUED OPERATIONS - Results of Operations from Discontinued Operations (Details) - USD ($) $ in Thousands		3 Months Ended		6 Months Ended
		Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Results of operations from discontinued operations
Net interest income		$ 7,315	$ 9,565	$ 17,666	$ 33,847
Total media, rental and other income		82,803	82,737	143,629	145,369
Income tax expense (benefit)			536		(224)
Income (loss) from discontinued operations, net of tax		$ 524	(8,504)	$ 639	(23,803)
Discontinued Operations [Member]
Results of operations from discontinued operations
Interest expense			13,592		29,389
Net interest income			$ (13,592)		(29,389)
Media income					68,213
Rental Income		$ 50	$ 54,595	$ 549	107,485
Care and ancillary income			$ 5,666		$ 11,127
Gain on settlement of investments		$ 318		$ 318
Other income (loss)			$ (22)		$ (22)
Total media, rental and other income		$ 368	$ 60,239	$ 867	186,803
Media operating expenses					65,826
Property operating costs		$ (157)	$ 26,459	$ 187	52,419
General and administrative expenses	[1]	$ 1	4,911	30	12,463
Depreciation and amortization			23,245	11	50,733
Income tax expense (benefit)			536		(224)
Total expenses		$ (156)	55,151	228	181,217
Income (loss) from discontinued operations, net of tax		$ 524	$ (8,504)	$ 639	(23,803)
Net income attributable to noncontrolling interests					$ 522
[1]	Includes acquisition and spin-off related expenses of $3.4 million and $10.7 million for the three and six months ended June 30, 2014.

DISCONTINUED OPERATIONS (Detail

DISCONTINUED OPERATIONS (Details Narrative) - USD ($) $ in Thousands	Nov. 06, 2014	Feb. 13, 2014	Apr. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Proceeds from sale of investments					$ 406,269	$ 763,336
Repayments of debt obligations					(462,180)	(763,347)
Acquisition and spin-off related expenses				$ 3,400		$ 10,700
New Media Spin-Off [Member]
Reduction in basis for management fee computation		$ 400,000
New Senior Spin-Off [Member]
Reduction in basis for management fee computation	$ 700,000
Beavercreek, OH Planned Sale [Member]
Investments in other real estate					0		$ 6,600
Cash and cash equivalents, restricted cash and receivables and other assets					$ 100		200
Accounts payable, accrued expenses and other liabilities							$ 500
Proceeds from sale of investments			$ 7,000
Gain of sale of discontinued operations			300
Repayments of debt obligations			$ 6,000

SEGMENT REPORTING AND VARIABL54

SEGMENT REPORTING AND VARIABLE INTEREST ENTITIES - Segment Reporting (Details) - USD ($) $ in Thousands		3 Months Ended				6 Months Ended
		Jun. 30, 2015		Jun. 30, 2014		Jun. 30, 2015		Jun. 30, 2014		Dec. 31, 2014
Interest income		$ 24,265		$ 29,893		$ 51,343		$ 76,345
Interest expense		(16,950)		(20,328)		(33,677)		(42,498)
Net interest income		7,315		9,565		17,666		33,847
Impairment (reversal)		13,679		1,526		14,084		2,772
Operating revenues		82,803		82,737		143,629		145,369
Other income, net		29,373		41,707		29,874		57,515
Loan and security servicing expense		118		408		214		1,265
Operating expenses - golf		63,017	[1]	64,398	[1]	115,988	[1]	121,527
Repairs and maintenance expenses - golf		2,421		2,084		4,387		4,602
Cost of sales - golf		9,108		8,807		15,161		14,763
General and administrative expense		3,185		3,651		4,862		6,053
Acquisition and transaction expenses		302	[2]	1,116	[2]	338	[2]	2,278
Management fee to affiliate		2,674		5,296		5,342		11,189
Depreciation and amortization		7,119		6,317		13,872		12,180
Income tax expense		27		4		73		144
Income from continuing operations		17,841		40,402		16,848		59,958
Income (loss) from discontinued operations, net of tax		524		(8,504)		639		(23,803)
Net Income		18,365		31,898		17,487		36,155
Preferred dividends		(1,395)		(1,395)		(2,790)		(2,790)
Net loss attributable to noncontrolling interests		49		29		230		690
Income Applicable to Common Stockholders		17,019		30,532		14,927		34,055
Investments, net	[3]	1,153,937				1,153,937
Cash and restricted cash		117,723				117,723
Other assets		432,013				432,013
Assets of discontinued operations		53				53				$ 6,803
Total Assets		1,703,726				1,703,726				1,761,906
Debt, net	[3]	1,098,651				1,098,651
Other liabilities		377,331				377,331
Liabilities of discontinued operations										447
Total Liabilities		1,475,982				1,475,982				1,503,578
Preferred Stock		61,583				61,583				61,583
Noncontrolling interests		(194)				(194)				$ 36
Equity attributable to common stockholders		166,355				166,355
Additions to investments in real estate						3,863
Inter-segment Elimination [Member]
Interest income		(1,526)		(3,163)		(3,005)		(4,436)
Interest expense		1,526		3,163		3,005		4,436
Investments, net		38,200				38,200
Discontinued Operations [Member]
Income (loss) from discontinued operations, net of tax		524		(8,504)		639		(23,803)
Net Income		524		(8,504)		639		(23,803)
Net loss attributable to noncontrolling interests								522
Income Applicable to Common Stockholders		$ 524		(8,504)		$ 639		(23,281)
Cash and restricted cash
Other assets
Assets of discontinued operations		$ 53				$ 53
Total Assets		$ 53				$ 53
Debt, net	[3]
Total Liabilities
Preferred Stock
Noncontrolling interests
Equity attributable to common stockholders		$ 53				$ 53
CDOs [Member]
Interest income		13,685		20,596		29,607	[4]	51,319	[4]
Interest expense		(2,730)		(5,983)		(5,313)	[4]	(12,109)	[4]
Inter-segment eliminations		(1,526)		(3,163)		(3,005)	[4]	(4,436)	[4]
Net interest income		9,429		11,450		21,289	[4]	34,774	[4]
Impairment (reversal)		11,869		1,526		12,206	[4]	1,958	[4]
Other income, net		29,740		19,343		30,271	[4]	32,895	[4]
Loan and security servicing expense		118		154		214	[4]	310	[4]
Income from continuing operations		27,182		29,113		39,140	[4]	65,401	[4]
Net Income		27,182		29,113		39,140	[4]	65,401	[4]
Income Applicable to Common Stockholders		27,182		29,113		39,140	[4]	65,401	[4]
Investments, net	[3]	52,139				52,139
Cash and restricted cash		163				163
Other assets		$ 98				$ 98
Assets of discontinued operations
Total Assets	[4]	$ 52,400				$ 52,400
Debt, net	[3]	102,564				102,564
Other liabilities		31				31
Total Liabilities	[4]	$ 102,595				$ 102,595
Preferred Stock
Noncontrolling interests
Equity attributable to common stockholders		$ (50,195)				$ (50,195)
Other Debt [Member]
Interest income		12,065		12,401		24,660	[4]	29,353	[4]
Interest expense		(9,594)		(10,338)		$ (19,173)	[4]	(23,001)	[4]
Inter-segment eliminations				362				1,635	[4]
Net interest income		2,471		2,425		$ 5,487	[4]	7,987	[4]
Impairment (reversal)		1,810				1,878	[4]	814	[4]
Other income, net		(140)		22,375		(177)	[4]	24,630	[4]
Loan and security servicing expense				254				955	[4]
General and administrative expense				1,870				1,869
Income from continuing operations		521		22,676		3,432	[4]	28,979	[4]
Net Income		521		22,676		3,432	[4]	28,979	[4]
Income Applicable to Common Stockholders		521		22,676		3,432	[4]	28,979	[4]
Investments, net	[3]	790,828				790,828
Cash and restricted cash		200				200
Other assets		$ 397,812				$ 397,812
Assets of discontinued operations
Total Assets	[4]	$ 1,188,840				$ 1,188,840
Debt, net	[3]	779,853				779,853
Other liabilities		211,748				211,748
Total Liabilities	[4]	$ 991,601				$ 991,601
Preferred Stock
Noncontrolling interests
Equity attributable to common stockholders		$ 197,239				$ 197,239
Golf
Interest income		36		34		72		74
Interest expense		(5,207)		(6,217)		(10,305)		(9,916)
Inter-segment eliminations		1,526		2,801		3,005		2,801
Net interest income		(3,645)		(3,382)		(7,228)		(7,041)
Operating revenues		82,803		82,737		143,629		145,369
Other income, net		(235)		$ (11)		(228)		(10)
Loan and security servicing expense
Operating expenses - golf	[1]	63,017		$ 64,398		115,988		121,527
Repairs and maintenance expenses - golf		2,421		2,084		4,387		4,602
Cost of sales - golf		9,108		8,807		15,161		14,763
General and administrative expense		793		152		1,041		459
Acquisition and transaction expenses	[2]	285		728		321		$ 1,503
Management fee to affiliate
Depreciation and amortization		7,119		6,280		13,872		$ 12,106
Income tax expense		27		4		73		144
Income from continuing operations		(3,847)		(3,109)		(14,670)		$ (16,786)
Income (loss) from discontinued operations, net of tax
Net Income		(3,847)		(3,109)		(14,670)		$ (16,786)
Net loss attributable to noncontrolling interests		49		29		230		168
Income Applicable to Common Stockholders		(3,798)		(3,080)		(14,440)		(16,618)
Investments, net	[3]	310,970				310,970
Cash and restricted cash		9,320				9,320
Other assets		$ 33,434				$ 33,434
Assets of discontinued operations
Total Assets		$ 353,724				$ 353,724
Debt, net	[3]	165,006				165,006
Other liabilities		151,944				151,944
Total Liabilities		$ 316,950				$ 316,950
Preferred Stock
Noncontrolling interests		$ (194)				$ (194)
Equity attributable to common stockholders		36,968				36,968
Additions to investments in real estate						3,863
Corporate [Member]
Interest income		5		25		9		35
Interest expense		(945)		(953)		$ (1,891)		(1,908)
Inter-segment eliminations
Net interest income		(940)		(928)		$ (1,882)		(1,873)
Other income, net		8				8
General and administrative expense		2,392		1,629		3,821		3,725
Acquisition and transaction expenses	[2]	17		388		17		775
Management fee to affiliate		2,674		5,296		5,342		11,189
Depreciation and amortization				37				$ 74
Income tax expense
Income from continuing operations		(6,015)		(8,278)		(11,054)		$ (17,636)
Income (loss) from discontinued operations, net of tax
Net Income		(6,015)		(8,278)		(11,054)		$ (17,636)
Preferred dividends		(1,395)		(1,395)		(2,790)		(2,790)
Income Applicable to Common Stockholders		(7,410)		$ (9,673)		(13,844)		$ (20,426)
Cash and restricted cash		108,040				108,040
Other assets		$ 669				$ 669
Assets of discontinued operations
Total Assets		$ 108,709				$ 108,709
Debt, net	[3]	51,228				51,228
Other liabilities		13,608				13,608
Total Liabilities		64,836				64,836
Preferred Stock		$ 61,583				$ 61,583
Noncontrolling interests
Equity attributable to common stockholders		$ (17,710)				$ (17,710)
[1]	Operating expenses-golf includes rental expenses recorded under operating leases for carts and equipment in the amount of $1.2 million and $2.3 million for the three and six months ended June 30, 2015, respectively and $1.4 million and $2.7 million for the three and six months ended June 30, 2014.
[2]	Includes all transaction related and spin-off related expenses.
[3]	Net of $38.2 million of inter-segment eliminations.
[4]	Assets held within non-recourse structures, including all of the assets in the CDO segment, are not available to satisfy obligations outside of such financings, except to the extent net cash flow distributions are received from such structures. Furthermore, creditors or beneficial interest holders of these structures generally have no recourse to the general credit of Newcastle. Therefore, the exposure to the economic losses from such structures generally is limited to invested equity in them and economically their book value cannot be less than zero. Therefore, impairment recorded in excess of Newcastle's investment, which results in negative GAAP book value for a given non-recourse financing structure, cannot economically be incurred and will eventually be reversed through amortization, sales at gains, or as gains at the deconsolidation or termination of such non-recourse financing structure.

SEGMENT REPORTING AND VARIABL55

SEGMENT REPORTING AND VARIABLE INTEREST ENTITIES - Other Debt Segment Investments and Debt (Details 1) $ in Thousands		Jun. 30, 2015USD ($)
Investments Carrying Value	[1]	$ 1,153,937
Debt Face Amount		1,099,890
Non-recourse [Member] | Subprime Mortgage Loans subject to Call Options [Member]
Investments Face Amount		404,149
Investments Carrying Value		404,149
Debt Face Amount		404,149
Debt Carrying Value		404,149
Other [Member] | Unlevered Real Estate Securities [Member]
Investments Face Amount	[2]	48,211
Investments Carrying Value	[2]	13,360
Other [Member] | Levered Real Estate Securities [Member]
Investments Face Amount		201,928
Investments Carrying Value		208,041
Debt Face Amount		375,704
Debt Carrying Value		375,704
Other [Member] | Real Estate Related and Other Loans [Member]
Investments Face Amount		226,243
Investments Carrying Value		141,826
Other [Member] | Other Investments [Member]
Investments Carrying Value		19,925
Other [Member] | Residential Mortgage Loans [Member]
Investments Face Amount		4,206
Investments Carrying Value		3,527
Other Debt [Member]
Investments Face Amount		884,737
Investments Carrying Value	[1]	790,828
Debt Face Amount		779,853
Debt Carrying Value		$ 779,853
[1]	Net of $38.2 million of inter-segment eliminations.
[2]	Excludes 8 securities with a zero value, which had an aggregate face amount of $115.0 million.

SEGMENT REPORTING AND VARIABL56

SEGMENT REPORTING AND VARIABLE INTEREST ENTITIES - Variable Interest Entities (Details 2) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Assets of consolidated VIEs that can only be used to settle obligations of consolidated VIEs
Real estate securities, available-for-sale	$ 65,499	$ 231,754
Real estate related and other loans, held-for-sale, net	141,826	230,200
Subprime mortgage loans subject to call option	404,149	406,217
Other investments	19,925	26,788
Restricted cash	3,385	15,714
Receivables and other assets	39,724	35,191
Assets of discontinued operations	53	6,803
Total Assets	1,703,726	1,761,906
Liabilities of consolidated VIEs for which creditors or beneficial interest holders do not have recourse to the general credit of Newcastle
CDO bonds payable	92,693	227,673
Other bonds and notes payable	9,871	27,069
Financing of subprime mortgage loans subject to call option	404,149	406,217
Accounts payable, accrued expenses and other liabilities	160,692	179,390
Liabilities of discontinued operations		447
Total Liabilities	1,475,982	1,503,578
Non Recourse VIE Financing Structures [Member]
Assets of consolidated VIEs that can only be used to settle obligations of consolidated VIEs
Real estate securities, available-for-sale	52,140	219,490
Real estate related and other loans, held-for-sale, net		230,200
Residential mortgage loans, held-for-investment, net		3,211
Subprime mortgage loans subject to call option	404,149	406,217
Other investments		20,308
Restricted cash	163	11,790
Receivables and other assets	98	1,927
Assets of discontinued operations		6,803
Total Assets	456,550	899,946
Liabilities of consolidated VIEs for which creditors or beneficial interest holders do not have recourse to the general credit of Newcastle
CDO bonds payable	92,693	227,673
Other bonds and notes payable	9,871	27,069
Financing of subprime mortgage loans subject to call option	404,149	406,217
Accounts payable, accrued expenses and other liabilities	30	2,391
Liabilities of discontinued operations		447
Total Liabilities	$ 506,743	$ 663,797

SEGMENT REPORTING AND VARIABL57

SEGMENT REPORTING AND VARIABLE INTEREST ENTITIES - Holdings in Variable Interest Entities (Details 3) - Non Recourse VIE Financing Structures [Member] - CDO V [Member] $ in Thousands		Jun. 30, 2015USD ($)
Gross Assets	[1]	$ 95,475
Debt	[1],[2]	122,368
Carrying Value of Newcastle's Investment	[3]	$ 10,187
[1]	Face amount.
[2]	Newcastle CDO V includes $42.9 million face amount of debt owned by Newcastle with a carrying value of $10.2 million at June 30, 2015.
[3]	This amount represents Newcastle's maximum exposure to loss from this entity.

SEGMENT REPORTING AND VARIABL58

SEGMENT REPORTING AND VARIABLE INTEREST ENTITIES (Details Narrative) $ in Thousands		3 Months Ended		6 Months Ended
		Jun. 30, 2015USD ($)Securities	Jun. 30, 2014USD ($)	Jun. 30, 2015USD ($)Securities	Jun. 30, 2014USD ($)
Investments, net	[1]	$ 1,153,937		$ 1,153,937
Debt Face Amount		1,099,890		1,099,890
Golf
Investments, net	[1]	310,970		310,970
Rental expense - carts and equipment		1,200	$ 1,400	2,300	$ 2,700
Other [Member] | Unlevered Real Estate Securities [Member]
Investments, net	[2]	13,360		13,360
Excluded from face amount of unlevered real estate securities		$ 115,000		$ 115,000
Number of securities | Securities		8		8
Inter-segment Elimination [Member]
Investments, net		$ 38,200		$ 38,200
Non Recourse VIE Financing Structures [Member] | CDO V [Member]
Debt Face Amount		42,900		42,900
Debt Carrying Value		$ 10,200		$ 10,200
[1]	Net of $38.2 million of inter-segment eliminations.
[2]	Excludes 8 securities with a zero value, which had an aggregate face amount of $115.0 million.

REAL ESTATE SECURITIES - Real E

REAL ESTATE SECURITIES - Real Estate Securities Holdings (Details) $ in Thousands		6 Months Ended
		Jun. 30, 2015USD ($)Securities	Dec. 31, 2014USD ($)
Carrying Value		$ 65,499	$ 231,754
Total Securities Pledged as Collateral [Member]
Outstanding Face Amount		201,928
Before Impairment - Amortized Cost Basis		207,731
Amortized Cost Basis After Impairment		207,731
Gains - gross unrealized		310
Carrying Value	[1]	$ 208,041
Number of securities | Securities		4
Real Estate Securities Available For Sale [Member]
Before Impairment - Amortized Cost Basis		$ 125,606
Other Than Temporary Impairment - Amortized Cost Basis		(96,031)
Amortized Cost Basis After Impairment		29,575
Gains - gross unrealized		36,009
Losses - gross unrealized		(85)
Carrying Value	[1]	$ 65,499
Number of securities | Securities		31
CMBS [Member]
Outstanding Face Amount		$ 83,283
Before Impairment - Amortized Cost Basis		94,055
Other Than Temporary Impairment - Amortized Cost Basis		(67,437)
Amortized Cost Basis After Impairment		26,618
Gains - gross unrealized		18,847
Losses - gross unrealized		(57)
Carrying Value	[1]	$ 45,408
Number of securities | Securities		17
Weighted Average Rating	[2]	B-
Weighted Average Coupon		5.13%
Weighted Average Yield		15.80%
Weighted Average Life (Years)	[3]	1 year 3 months 19 days
Weighted Average Principal Subordination	[4]	22.10%
Non-Agency RMBS [Member]
Outstanding Face Amount		$ 17,032
Before Impairment - Amortized Cost Basis		23,537
Other Than Temporary Impairment - Amortized Cost Basis		(20,667)
Amortized Cost Basis After Impairment		2,870
Gains - gross unrealized		6,975
Losses - gross unrealized		(28)
Carrying Value	[1]	$ 9,817
Number of securities | Securities		9
Weighted Average Rating	[2]	CC
Weighted Average Coupon		1.59%
Weighted Average Yield		11.35%
Weighted Average Life (Years)	[3]	12 years 1 month 6 days
Weighted Average Principal Subordination	[4]	8.30%
ABS-Franchise [Member]
Outstanding Face Amount		$ 8,464
Before Impairment - Amortized Cost Basis		7,647
Other Than Temporary Impairment - Amortized Cost Basis		$ (7,647)
Number of securities | Securities		1
Weighted Average Rating	[2]	C
Weighted Average Coupon		6.69%
Weighted Average Yield		0.00%
Weighted Average Principal Subordination	[4]	0.00%
CDO Securities [Member]
Outstanding Face Amount	[5]	$ 14,520
Gains - gross unrealized	[5]	10,187
Carrying Value	[1],[5]	$ 10,187
Number of securities | Securities	[5]	2
Weighted Average Rating	[2],[5]	C
Weighted Average Coupon	[5]	1.49%
Weighted Average Yield	[5]	0.00%
Weighted Average Life (Years)	[3],[5]	6 years 6 months
Weighted Average Principal Subordination	[4],[5]	20.30%
Debt Securities [Member]
Outstanding Face Amount	[6]	$ 123,299
Before Impairment - Amortized Cost Basis	[6]	125,239
Other Than Temporary Impairment - Amortized Cost Basis	[6]	(95,751)
Amortized Cost Basis After Impairment	[6]	29,488
Gains - gross unrealized	[6]	36,009
Losses - gross unrealized	[6]	(85)
Carrying Value	[1],[6]	$ 65,412
Number of securities | Securities	[6]	29
Weighted Average Rating	[2],[6]	CCC+
Weighted Average Coupon	[6]	4.32%
Weighted Average Yield		15.37%
Weighted Average Life (Years)	[3],[6]	3 years 3 months 19 days
Equity Securities [Member]
Before Impairment - Amortized Cost Basis		$ 367
Other Than Temporary Impairment - Amortized Cost Basis		(280)
Amortized Cost Basis After Impairment		87
Carrying Value	[1]	$ 87
Number of securities | Securities		2
FNMA/FHLMC Securities [Member]
Outstanding Face Amount		$ 201,928
Before Impairment - Amortized Cost Basis		207,731
Amortized Cost Basis After Impairment		207,731
Gains - gross unrealized		310
Carrying Value	[1]	$ 208,041
Number of securities | Securities		4
Weighted Average Rating	[2]	AAA
Weighted Average Coupon		3.50%
Weighted Average Yield		3.09%
Weighted Average Life (Years)	[3]	8 years 9 months 18 days
[1]	See Note 13 regarding the estimation of fair value, which is equal to carrying value for all securities.
[2]	Represents the weighted average of the ratings of all securities in each asset type, expressed as an S&P equivalent rating. For each security rated by multiple rating agencies, the lowest rating is used. Newcastle uses an implied AAA rating for the FNMA/FHLMC securities. Ratings provided were determined by third party rating agencies, represent the most recent credit ratings available as of the reporting date and may not be current.
[3]	The weighted average life is based on the timing of expected principal reduction on the assets.
[4]	Percentage of the outstanding face amount of securities and interests that is subordinate to Newcastle's investments.
[5]	Represents non-consolidated CDO securities, excluding 8 securities with zero value, which had an aggregate face amount of $115.0 million.
[6]	The total outstanding face amount was $283.3 million for fixed rate securities and $41.9 million for floating rate securities.

REAL ESTATE SECURITIES - Holdin

REAL ESTATE SECURITIES - Holdings in an Unrealized Loss Position (Details 1) $ in Thousands	6 Months Ended
	Jun. 30, 2015USD ($)Securities	Dec. 31, 2014USD ($)
Carrying Value	$ 65,499	$ 231,754
Securities in an Unrealized Loss Position Less than Twelve Months [Member]
Outstanding Face Amount	5,072
Before Impairment - Amortized Cost Basis	5,735
Other Than Temporary Impairment - Amortized Cost Basis	(3,068)
Amortized Cost Basis After Impairment	2,667
Gross unrealized losses - less than twelve months	(85)
Carrying value - less than twelve months	$ 2,582
Number of securities, less than twelve months | Securities	4
Weighted Average Rating	CC
Weighted Average Coupon	4.16%
Weighted Average Yield	5.77%
Weighted Average Maturity (Years)	6 years 3 months 19 days
Securities in an Unrealized Loss Position [Member]
Outstanding Face Amount	$ 5,072
Before Impairment - Amortized Cost Basis	5,735
Other Than Temporary Impairment - Amortized Cost Basis	(3,068)	$ (4,174)
Amortized Cost Basis After Impairment	2,667
Gross unrealized losses - less than twelve months	(85)
Carrying value - less than twelve months	$ 2,582
Number of securities, less than twelve months | Securities	4
Weighted Average Rating	CC
Weighted Average Coupon	4.16%
Weighted Average Yield	5.77%
Weighted Average Maturity (Years)	6 years 3 months 19 days

REAL ESTATE SECURITIES - Hold61

REAL ESTATE SECURITIES - Holdings in an Unrealized Loss Position and the Associated Intent to Sell (Details 2) $ in Thousands		Jun. 30, 2015USD ($)
RE Securities No Intent to Sell Credit Impaired [Member]
Fair Value		$ 2,218
Amortized Cost Basis		2,302
Unrealized Credit Losses	[1]	(3,068)
Unrealized Non-Credit Losses	[2]	(84)
RE Securities No Intent to Sell Non Credit Impaired [Member]
Fair Value		364
Amortized Cost Basis		365
Unrealized Non-Credit Losses	[2]	(1)
Securities in an Unrealized Loss Position [Member]
Fair Value		2,582
Amortized Cost Basis		2,667
Unrealized Credit Losses	[1]	(3,068)
Unrealized Non-Credit Losses	[2]	$ (85)
[1]	This amount is required to be recorded as other-than-temporary impairment through earnings. In measuring the portion of credit losses, Newcastle's management estimates the expected cash flows for each of the securities. This evaluation includes a review of the credit status and the performance of the collateral supporting those securities, including the credit of the issuer, key terms of the securities and the effect of local, industry and broader economic trends. Significant inputs in estimating the cash flows include management's expectations of prepayment speeds, default rates and loss severities. Credit losses are measured as the decline in the present value of the expected future cash flows discounted at the investment's effective interest rate.
[2]	This amount represents unrealized losses on securities that are due to non-credit factors and is required to be recorded through other comprehensive income.

REAL ESTATE SECURITIES - Credit

REAL ESTATE SECURITIES - Credit Losses on Debt Securities (Details 3) - Securities in an Unrealized Loss Position [Member] $ in Thousands	6 Months Ended
	Jun. 30, 2015USD ($)
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Roll Forward]
Beginning balance of credit losses on debt securities for which a portion of an OTTI was recognized in other comprehensive income	$ (4,174)
Additions for credit losses on securities for which an OTTI was not previously recognized	(1,625)
Additions for credit losses on securities for which an OTTI was previously recognized without any portion of OTTI recognized in other comprehensive income	(1,443)
Reduction for credit losses on securities for which no OTTI was recognized in other comprehensive income at the current measurement date	4,174
Ending balance of credit losses on debt securities for which a portion of an OTTI was recognized in other comprehensive income	$ (3,068)

REAL ESTATE SECURITIES - Geogra

REAL ESTATE SECURITIES - Geographic Distribution of Collateral Securing Newcastle's CMBS and ABS (Details 4) - Jun. 30, 2015 - USD ($) $ in Thousands	Total
CMBS [Member]
Principal balance	$ 83,283
Percentage of principal balance	100.00%
CMBS [Member] | Western US [Member]
Principal balance	$ 12,939
Percentage of principal balance	15.50%
CMBS [Member] | Northeastern US [Member]
Principal balance	$ 15,761
Percentage of principal balance	18.90%
CMBS [Member] | Southeastern US [Member]
Principal balance	$ 19,277
Percentage of principal balance	23.20%
CMBS [Member] | Midwestern US [Member]
Principal balance	$ 24,651
Percentage of principal balance	29.60%
CMBS [Member] | Southwestern US [Member]
Principal balance	$ 10,655
Percentage of principal balance	12.80%
ABS [Member]
Principal balance	$ 25,496
Percentage of principal balance	100.00%
ABS [Member] | Western US [Member]
Principal balance	$ 4,790
Percentage of principal balance	18.80%
ABS [Member] | Northeastern US [Member]
Principal balance	$ 7,083
Percentage of principal balance	27.80%
ABS [Member] | Southeastern US [Member]
Principal balance	$ 4,226
Percentage of principal balance	16.60%
ABS [Member] | Midwestern US [Member]
Principal balance	$ 5,481
Percentage of principal balance	21.50%
ABS [Member] | Southwestern US [Member]
Principal balance	$ 3,910
Percentage of principal balance	15.30%
ABS [Member] | Other Locations [Member]
Principal balance	$ 6

REAL ESTATE SECURITIES (Details

REAL ESTATE SECURITIES (Details Narrative) $ in Thousands	1 Months Ended			6 Months Ended
	Jun. 30, 2015USD ($)Securities	May. 31, 2015USD ($)	Mar. 31, 2015USD ($)	Jun. 30, 2015USD ($)Securities	Jun. 30, 2014USD ($)
Total outstanding face amount of fixed rate securities	$ 283,300			$ 283,300
Total outstanding face amount of floating rate securities	41,900			41,900
Proceeds from sale of securities				406,269	$ 763,336
Purchase of real estate securities				(415,917)
Principal repayments from investments				112,084	$ 189,723
Non-consolidated CDO Securities [Member]
Outstanding Face Amount	$ 115,000			$ 115,000
Number of securities | Securities	8			8
FNMA/FHLMC Securities [Member]
Outstanding Face Amount	$ 201,928			$ 201,928
Number of securities | Securities	4			4
Face amount of securities sold			$ 380,400
Average price percentage - sold			104.72%
Proceeds from sale of securities			$ 398,400
Repayments of repurchase agreements			385,600
Gain (loss) on sale of securities			5,900
Face amount of securities purchased	$ 389,100			$ 389,100
Purchase of real estate securities			407,600
Proceeds from repurchase financing			$ 386,100
Average price percentage - purchases			104.77%
CMBS [Member]
Outstanding Face Amount	$ 83,283			$ 83,283
Number of securities | Securities	17			17
Face amount of securities sold		$ 98,600
Average price percentage - sold		104.03%
Proceeds from sale of securities		$ 102,600
Gain (loss) on sale of securities		14,000
Principal repayments from investments		25,000
Non-Agency RMBS [Member]
Outstanding Face Amount	$ 17,032			$ 17,032
Number of securities | Securities	9			9
Face amount of securities sold		$ 42,800
Average price percentage - sold		85.54%
Proceeds from sale of securities		$ 36,700
Gain (loss) on sale of securities		14,100
Unencumbered Non-Agency RMBS [Member]
Face amount of securities sold		$ 3,900
Average price percentage - sold		24.11%
Proceeds from sale of securities		$ 900
Gain (loss) on sale of securities		$ 800
Agency RMBS [Member]
Face amount of securities sold	$ 380,400
Average price percentage - sold	103.13%
Proceeds from sale of securities	$ 392,300
Repayments of repurchase agreements	375,700
Gain (loss) on sale of securities	(5,900)
Face amount of securities purchased	201,900			$ 201,900
Purchase of real estate securities	207,700
Proceeds from repurchase financing	$ 196,700
Average price percentage - purchases	102.87%

REAL ESTATE RELATED LOANS, RESI

REAL ESTATE RELATED LOANS, RESIDENTIAL MORTGAGE LOANS AND SUBPRIME MORTGAGE LOANS - Schedule of Loans (Details) - Jun. 30, 2015 $ in Thousands		USD ($)Loans
Mezzanine Loans [Member]
Outstanding face amount		$ 40,995
Carrying value	[1]	$ 23,228
Loan Count | Loans		3
Weighted Average Yield		8.00%
Weighted Average Coupon		8.24%
Weighted Average Life (Years)	[2]	7 months 6 days
Floating Rate Loans as a % of Face Amount		100.00%
Corporate Bank Loans [Member]
Outstanding face amount		$ 185,248
Carrying value	[1]	$ 118,598
Loan Count | Loans		4
Weighted Average Yield		22.01%
Weighted Average Coupon		18.16%
Weighted Average Life (Years)	[2]	1 year 3 months 19 days
Total Real Estate Related and Other Loans Held-for-Sale, Net [Member]
Outstanding face amount		$ 226,243
Carrying value	[1]	$ 141,826
Loan Count | Loans		7
Weighted Average Yield		19.71%
Weighted Average Coupon		16.37%
Weighted Average Life (Years)	[2]	1 year 2 months 12 days
Floating Rate Loans as a % of Face Amount		18.10%
Total Residential Mortgage Loans Held-For-Sale [Member]
Outstanding face amount	[3]	$ 4,206
Carrying value	[1],[3]	$ 3,527
Loan Count | Loans	[3]	6
Weighted Average Yield	[3]	13.06%
Weighted Average Coupon	[3]	1.92%
Weighted Average Life (Years)	[2],[3]	1 year 9 months 18 days
Floating Rate Loans as a % of Face Amount	[3]	100.00%
Delinquent face amount	[3],[4]	$ 766
Subprime Mortgage Loans Subject to Call [Member]
Outstanding face amount		404,149
Carrying value	[1]	$ 404,149
[1]	Carrying value includes negligible interest receivable for the residential housing loans.
[2]	The weighted average life is based on the timing of expected principal reduction on the assets.
[3]	Loans acquired at a discount for credit quality.
[4]	Includes loans that are 60 or more days past due (including loans that are in foreclosure, or borrower's in bankruptcy) or considered real estate owned ("REO"). As of June 30, 2015, $63.5 million face amount of real estate related and other loans was on non-accrual status.

REAL ESTATE RELATED LOANS, RE66

REAL ESTATE RELATED LOANS, RESIDENTIAL MORTGAGE LOANS AND SUBPRIME MORTGAGE LOANS - Loans By Maturity (Details 1) - Jun. 30, 2015 - Total Real Estate Related and Other Loans Held-for-Sale, Net [Member] $ in Thousands		USD ($)Loans
Outstanding Face Amount
Period from July 1, 2015 to December 31, 2015		$ 63,454
2,016		23,228
2,019		139,561
Outstanding face amount		226,243
Carrying Value
2,016		23,228
2,019		118,598
Total	[1]	$ 141,826
Number of Loans
Period from July 1, 2015 to December 31, 2015 | Loans		4
2016 | Loans		1
2019 | Loans		2
Total | Loans		7
[1]	Carrying value includes negligible interest receivable for the residential housing loans.

REAL ESTATE RELATED LOANS, RE67

REAL ESTATE RELATED LOANS, RESIDENTIAL MORTGAGE LOANS AND SUBPRIME MORTGAGE LOANS - Activity in Carrying Value (Details 2) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Valuation (allowance) reversal on loans	$ 4,317	$ 1,526	$ 4,674	$ 2,772
Real Estate Related and Other Loans Held For Sale [Member]
Carrying value			230,200
Interest accrued to principal balance			11,716
Principal paydowns			(42,901)
Sales			(55,574)
Valuation (allowance) reversal on loans			(4,451)
Accretion of loan discount and other amortization			3,203
Other			(367)
Carrying value	141,826		141,826
Residential Mortgage Loans Held For Sale [Member]
Carrying value			3,854
Principal paydowns			(103)
Valuation (allowance) reversal on loans			(223)
Other			(1)
Carrying value	$ 3,527		$ 3,527

REAL ESTATE RELATED LOANS, RE68

REAL ESTATE RELATED LOANS, RESIDENTIAL MORTGAGE LOANS AND SUBPRIME MORTGAGE LOANS - Loss Allowance Rollforward (Details 3) - USD ($) $ in Thousands		3 Months Ended		6 Months Ended
		Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Valuation (allowance) reversal on loans		$ 4,317	$ 1,526	$ 4,674	$ 2,772
Real Estate Related and Other Loans Held For Sale [Member]
Beginning balance				(75,926)
Charge-offs	[1]			14,454
Valuation (allowance) reversal on loans				(4,451)
Ending balance		(65,923)		(65,923)
Residential Mortgage Loans Held For Sale [Member]
Beginning balance				(154)
Valuation (allowance) reversal on loans				(223)
Ending balance		$ (377)		$ (377)
[1]	The charge-offs for real estate related loans represent four loans. Two loans were sold, one loan was restructured, and one loan was written off.

REAL ESTATE RELATED LOANS, RE69

REAL ESTATE RELATED LOANS, RESIDENTIAL MORTGAGE LOANS AND SUBPRIME MORTGAGE LOANS - Geographic Distribution (Details 4) - Jun. 30, 2015 - USD ($) $ in Thousands		Total
Total Real Estate Related and Other Loans Held-for-Sale, Net [Member]
Outstanding face amount		$ 226,243
Subtotal prior to bank loans not secured by assets		$ 86,682
Percentage of loans		100.00%
Total Real Estate Related and Other Loans Held-for-Sale, Net [Member] | Northeastern US [Member]
Outstanding face amount		$ 8,432
Percentage of loans		9.70%
Total Real Estate Related and Other Loans Held-for-Sale, Net [Member] | Southeastern US [Member]
Outstanding face amount		$ 13,217
Percentage of loans		15.30%
Total Real Estate Related and Other Loans Held-for-Sale, Net [Member] | Southwestern US [Member]
Outstanding face amount		$ 1,579
Percentage of loans		1.80%
Total Real Estate Related and Other Loans Held-for-Sale, Net [Member] | Foreign [Member]
Outstanding face amount		$ 63,454
Percentage of loans		73.20%
Total Real Estate Related and Other Loans Held-for-Sale, Net [Member] | Other Locations [Member]
Outstanding face amount	[1]	$ 139,561
Total Residential Mortgage Loans [Member]
Outstanding face amount		$ 4,206
Percentage of loans		100.00%
Total Residential Mortgage Loans [Member] | Western US [Member]
Outstanding face amount		$ 932
Percentage of loans		22.20%
Total Residential Mortgage Loans [Member] | Northeastern US [Member]
Outstanding face amount		$ 523
Percentage of loans		12.50%
Total Residential Mortgage Loans [Member] | Southeastern US [Member]
Outstanding face amount		$ 2,612
Percentage of loans		62.10%
Total Residential Mortgage Loans [Member] | Midwestern US [Member]
Outstanding face amount		$ 139
Percentage of loans		3.20%
[1]	Primarily includes corporate bank loans which are not directly secured by real estate assets.

REAL ESTATE RELATED LOANS, RE70

REAL ESTATE RELATED LOANS, RESIDENTIAL MORTGAGE LOANS AND SUBPRIME MORTGAGE LOANS - Subprime Mortgage Loans (Details 5) - USD ($) $ in Thousands		Jun. 30, 2015	Dec. 31, 2014
Total securitized loans (unpaid principal balance)	[1]	$ 719,598
Subprime mortgage loans subject to call option		404,149	$ 406,217
Retained interests (fair value)	[2]	2,977
Subprime Portfolio I [Member]
Total securitized loans (unpaid principal balance)	[1]	297,108
Subprime mortgage loans subject to call option		297,108
Retained interests (fair value)	[2]	2,977
Subprime Portfolio II [Member]
Total securitized loans (unpaid principal balance)	[1]	422,490
Subprime mortgage loans subject to call option		$ 107,041
[1]	Average loan seasoning of 119 months and 101 months for Subprime Portfolios I and II, respectively, at June 30, 2015.
[2]	The retained interests include retained bonds of the securitizations with negligible monthly interest cash flows until principal payment is available. The fair value of which is estimated based on pricing service quotation. The weighted average yield of the retained bonds was 21.25% as of June 30, 2015.

REAL ESTATE RELATED LOANS, RE71

REAL ESTATE RELATED LOANS, RESIDENTIAL MORTGAGE LOANS AND SUBPRIME MORTGAGE LOANS - Subprime Characteristics (Details 6) - 6 months ended Jun. 30, 2015 - USD ($) $ in Thousands		Total
Loan unpaid principal balance (UPB)	[1]	$ 719,598
Debt Face Amount		1,099,890
Subprime Portfolio I [Member]
Loan unpaid principal balance (UPB)	[1]	$ 297,108
Weighted Average Coupon		5.65%
Delinquencies of 60 or more days (UPB)	[2]	$ 64,834
Net credit losses		10,348
Cumulative net credit losses		$ 282,378
Cumulative net credit losses as a % of original UPB		18.80%
Percentage of ARM loans	[3]	50.90%
Percentage of loans with original loan-to-value ratio >90%		10.70%
Percentage of interest-only loans		1.90%
Debt Face Amount	[4]	$ 293,108
Weighted average funding cost of debt	[5]	0.55%
Subprime Portfolio II [Member]
Loan unpaid principal balance (UPB)	[1]	$ 422,490
Weighted Average Coupon		4.51%
Delinquencies of 60 or more days (UPB)	[2]	$ 131,780
Net credit losses		12,629
Cumulative net credit losses		$ 349,725
Cumulative net credit losses as a % of original UPB		32.20%
Percentage of ARM loans	[3]	63.60%
Percentage of loans with original loan-to-value ratio >90%		17.10%
Percentage of interest-only loans		4.10%
Debt Face Amount	[4]	$ 422,490
Weighted average funding cost of debt	[5]	0.34%
[1]	Average loan seasoning of 119 months and 101 months for Subprime Portfolios I and II, respectively, at June 30, 2015.
[2]	Delinquencies include loans 60 or more days past due, in foreclosure, under bankruptcy filing or REO.
[3]	ARM loans are adjustable-rate mortgage loans. An option ARM is an adjustable-rate mortgage that provides the borrower with an option to choose from several payment amounts each month for a specified period of the loan term. None of the loans in the subprime portfolios are option ARMs.
[4]	Excludes face amount of $4.0 million of retained notes for Subprime Portfolio I at June 30, 2015.
[5]	Includes the effect of applicable hedges.

REAL ESTATE RELATED LOANS, RE72

REAL ESTATE RELATED LOANS, RESIDENTIAL MORTGAGE LOANS AND SUBPRIME MORTGAGE LOANS (Details Narrative) $ in Thousands	6 Months Ended
	Jun. 30, 2015USD ($)Loans	Jun. 30, 2014USD ($)
Face amount of real estate related loans on non-accrual status	$ 63,500
Weighted Average Yield of Retained Bonds	21.25%
Proceeds from sale of securities	$ 406,269	$ 763,336
Charge-offs [Member]
Number of loans - total charge-offs | Loans	4
Number of loans - charge-offs, sold | Loans	2
Number of loans - charge-offs, restructured | Loans	1
Number of loans - charge-offs, written off | Loans	1
Subprime Portfolio I [Member]
Average loan seasoning	9 years 109 months 27 days
Retained Notes excluded from face amount of debt in Subprime Portfolio I	$ 4,000
Weighted average coupon rate	9.24%
Subprime Portfolio II [Member]
Average loan seasoning	8 years 5 months 1 day
Weighted average coupon rate	8.68%
Commercial Real Estate Loans - CDO VIII [Member]
Face amount of securities sold	$ 12,000
Average price percentage - sold	100.01%
Proceeds from sale of securities	$ 12,000
Gain (loss) on sale of securities	900
Commercial Real Estate Loans - CDO IX [Member]
Face amount of securities sold	$ 45,700
Average price percentage - sold	95.35%
Proceeds from sale of securities	$ 43,500
Gain (loss) on sale of securities	$ 600

INVESTMENTS IN OTHER REAL EST73

INVESTMENTS IN OTHER REAL ESTATE, NET OF ACCUMULATED DEPRECIATION - Investments in Other Real Estate (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Gross Carrying Amount	$ 266,966	$ 263,103
Accumulated depreciation	(35,698)	(23,820)
Net Carrying Value	231,268	239,283
Golf Investments [Member] | Land [Member]
Gross Carrying Amount	90,324	90,324
Net Carrying Value	90,324	90,324
Golf Investments [Member] | Buildings and Improvements
Gross Carrying Amount	141,256	139,949
Accumulated depreciation	(21,891)	(17,729)
Net Carrying Value	119,365	122,220
Golf Investments [Member] | Furniture, fixtures and equipment
Gross Carrying Amount	24,534	23,621
Accumulated depreciation	(12,818)	(5,544)
Net Carrying Value	11,716	18,077
Golf Investments [Member] | Capital leases - equipment
Gross Carrying Amount	8,929	6,528
Accumulated depreciation	(989)	(547)
Net Carrying Value	7,940	5,981
Golf Investments [Member] | Construction in progress [Member]
Gross Carrying Amount	1,923	2,681
Net Carrying Value	$ 1,923	$ 2,681

INVESTMENTS IN OTHER REAL EST74

INVESTMENTS IN OTHER REAL ESTATE (Details Narrative) - Jun. 30, 2015 - Golf Investments [Member] - Holes	Total
Number of holes in leased golf property	27
Lease term of municipal golf property	21 years

INTANGIBLES, NET OF ACCUMULAT75

INTANGIBLES, NET OF ACCUMULATED AMORTIZATION - Schedule of Intangible Assets (Details) - USD ($) $ in Thousands		Jun. 30, 2015	Dec. 31, 2014
Amortized intangible assets:
Total Intangibles, net, including non-amortizable assets		$ 79,702	$ 84,686
Golf Investments [Member]
Amortized intangible assets:
Accumulated Amortization		(14,975)	(10,803)
Nonamortizable liquor license		865	850
Total Intangibles, including non-amortizable assets		94,677	95,489
Total Intangibles, net, including non-amortizable assets		79,702	84,686
Golf Investments [Member] | Trade Name
Amortized intangible assets:
Gross Carrying Amount		700	700
Accumulated Amortization		(35)	(23)
Net Carrying Value		665	677
Golf Investments [Member] | Leasehold Intangibles
Amortized intangible assets:
Gross Carrying Amount	[1]	49,962	50,275
Accumulated Amortization	[1]	(7,356)	(5,206)
Net Carrying Value	[1]	42,606	45,069
Golf Investments [Member] | Management Contracts
Amortized intangible assets:
Gross Carrying Amount		37,114	37,650
Accumulated Amortization		(6,222)	(4,666)
Net Carrying Value		30,892	32,984
Golf Investments [Member] | Internally-developed software
Amortized intangible assets:
Gross Carrying Amount		800	800
Accumulated Amortization		(240)	(160)
Net Carrying Value		560	640
Golf Investments [Member] | Membership Base
Amortized intangible assets:
Gross Carrying Amount		5,236	5,214
Accumulated Amortization		(1,122)	(748)
Net Carrying Value		$ 4,114	$ 4,466
[1]	The amortization expense for leasehold intangibles is reported in operating expense - golf on the consolidated statements of operations.

INTANGIBLES, NET OF ACCUMULAT76

INTANGIBLES, NET OF ACCUMULATED AMORTIZATION (Details Narrative) - Golf	6 Months Ended
	Jun. 30, 2015
Trade Name
Amortization period	30 years
Leasehold Intangibles and Management Agreements | Lower Range
Amortization period	1 year
Leasehold Intangibles and Management Agreements | Upper Range
Amortization period	26 years
Internally-developed software
Amortization period	5 years
Membership Base
Amortization period	7 years

RECEIVABLES AND OTHER ASSETS -

RECEIVABLES AND OTHER ASSETS - Schedule of receivables and other assets (Details) - USD ($) $ in Thousands		Jun. 30, 2015	Dec. 31, 2014
ReceivablesAndOtherAssetsAbstract
Accounts receivable, net		$ 8,983	$ 7,369
Prepaid expenses		7,445	6,639
Interest receivable		1,268	2,324
Deposits		7,468	7,339
Inventory		5,631	4,964
Derivative assets		8
Miscellaneous assets, net	[1]	8,921	6,556
Receivables and other assets		$ 39,724	$ 35,191
[1]	In the first quarter of 2015, Newcastle adopted ASU 2015-03 (see Note 2) which requires retrospective application to all prior periods. Accordingly, "Miscellaneous assets, net" is reduced by $0.4 million for deferred financing costs as of December 31, 2014.

DEBT OBLIGATIONS - Debt Obligat

DEBT OBLIGATIONS - Debt Obligations (Details) - Jun. 30, 2015 - USD ($) $ in Thousands		Total
Debt Face Amount		$ 1,099,890
Carrying Value	[1]	$ 1,098,651
CDO VI Bonds Payable [Member]
Month Issued	[2]	2005-04
Debt Face Amount	[2]	$ 92,693
Carrying Value	[2]	$ 92,693
Final Stated Maturity	[2]	2040-04
Weighted Average Coupon - Rate	[2],[3]	0.88%
Weighted Average Funding Cost	[2],[4]	0.88%
Weighted Average Life (Years)	[2]	3 years 6 months
Face Amount of Floating Rate Debt	[2]	$ 89,064
Outstanding Face Amount of Collateral	[2],[5]	75,088
Amortized Cost Basis of Collateral	[2],[5]	28,886
Carrying Value of Collateral	[2],[5]	$ 52,140
Weighted Average Maturity (Years) Of Collateral	[2]	3 years 4 months 24 days
Floating Rate Face Amount of Collateral	[2],[5]	$ 13,032
Total CDO Bonds Payable [Member]
Debt Face Amount		92,693
Carrying Value		$ 92,693
Weighted Average Coupon - Rate	[3]	0.88%
Weighted Average Funding Cost	[4]	0.88%
Weighted Average Life (Years)		3 years 6 months
Face Amount of Floating Rate Debt		$ 89,064
Outstanding Face Amount of Collateral	[5]	75,088
Amortized Cost Basis of Collateral	[5]	28,886
Carrying Value of Collateral	[5]	$ 52,140
Weighted Average Maturity (Years) Of Collateral		3 years 4 months 24 days
Floating Rate Face Amount of Collateral	[5]	$ 13,032
NCT 2013-VI IMM-1 [Member]
Month Issued	[6]	2013-11
Debt Face Amount	[6]	$ 11,014
Carrying Value	[6]	$ 9,871
Final Stated Maturity	[6]	2040-04
Weighted Average Coupon - Basis for Variable Rate	[3],[6]	LIBOR
Weighted Average Coupon - Spread on Basis for Variable Rate	[3],[6]	0.25%
Weighted Average Funding Cost	[4],[6]	5.92%
Weighted Average Life (Years)	[6]	8 months 12 days
Face Amount of Floating Rate Debt	[6]	$ 11,014
Total Other Bonds And Notes Payable [Member]
Debt Face Amount	[7]	11,014
Carrying Value	[7]	$ 9,871
Weighted Average Coupon - Basis for Variable Rate		LIBOR
Weighted Average Coupon - Spread on Basis for Variable Rate		0.25%
Weighted Average Funding Cost	[4]	5.92%
Weighted Average Life (Years)		8 months 12 days
Face Amount of Floating Rate Debt		$ 11,014
FNMA/FHLMC Securities Repurchase Agreements [Member]
Month Issued	[8]	2015-06
Debt Face Amount	[8]	$ 375,704
Carrying Value	[8]	$ 375,704
Final Stated Maturity	[8]	2015-07
Weighted Average Coupon - Rate	[3],[8]	0.41%
Weighted Average Funding Cost	[4],[8]	0.41%
Weighted Average Life (Years)	[8]	1 month 6 days
Outstanding Face Amount of Collateral	[5],[8]	$ 380,399
Amortized Cost Basis of Collateral	[5],[8]	392,289
Carrying Value of Collateral	[5],[8]	$ 392,289
Weighted Average Maturity (Years) Of Collateral	[8]	7 years
Total Repurchase Agreements [Member]
Debt Face Amount	[8]	$ 375,704
Carrying Value	[8]	$ 375,704
Weighted Average Coupon - Rate	[3],[8]	0.41%
Weighted Average Funding Cost	[4],[8]	0.41%
Weighted Average Life (Years)	[8]	1 month 6 days
Outstanding Face Amount of Collateral	[5],[8]	$ 380,399
Amortized Cost Basis of Collateral	[5],[8]	392,289
Carrying Value of Collateral	[5],[8]	$ 392,289
Weighted Average Maturity (Years) Of Collateral	[8]	7 years
Golf First Lien Loan [Member]
Month Issued	[9]	2013-12
Debt Face Amount	[9]	$ 51,423
Carrying Value	[9]	$ 51,318
Final Stated Maturity	[9]	2017-12
Weighted Average Coupon - Basis for Variable Rate	[3],[9],[10]	LIBOR
Weighted Average Coupon - Spread on Basis for Variable Rate	[3],[9],[10]	4.00%
Weighted Average Funding Cost	[4],[9]	4.59%
Weighted Average Life (Years)	[9]	2 years 6 months
Face Amount of Floating Rate Debt	[9]	$ 51,423
Golf Second Lien Loan [Member]
Month Issued	[9]	2013-12
Debt Face Amount	[9]	$ 105,575
Carrying Value	[9]	$ 105,360
Final Stated Maturity	[9]	2017-12
Weighted Average Coupon - Rate	[3],[9]	5.50%
Weighted Average Funding Cost	[4],[9]	5.58%
Weighted Average Life (Years)	[9]	2 years 6 months
Golf Vineyard II [Member]
Month Issued	[9]	1993-12
Debt Face Amount	[9]	$ 200
Carrying Value	[9]	$ 200
Final Stated Maturity	[9]	2043-12
Weighted Average Coupon - Rate	[3],[9]	2.11%
Weighted Average Funding Cost	[4],[9]	2.11%
Weighted Average Life (Years)	[9]	28 years 6 months
Face Amount of Floating Rate Debt	[9]	$ 200
Capital Lease Equipment [Member]
Debt Face Amount	[9]	8,128
Carrying Value	[9]	$ 8,128
Final Stated Maturity	[9]	2020-09
Weighted Average Funding Cost	[4],[9]	6.69%
Weighted Average Life (Years)	[9]	4 years 9 months 18 days
Capital Lease Equipment [Member] | Lower Range
Month Issued	[9]	2014-05
Weighted Average Coupon - Rate	[3],[9]	3.53%
Capital Lease Equipment [Member] | Upper Range
Month Issued	[9]	2015-06
Weighted Average Coupon - Rate	[3],[9]	7.83%
Total Golf Credit Facilities [Member]
Debt Face Amount	[9]	$ 165,326
Carrying Value	[9]	$ 165,006
Weighted Average Funding Cost	[4],[9]	5.32%
Weighted Average Life (Years)	[9]	2 years 7 months 6 days
Face Amount of Floating Rate Debt	[9]	$ 51,623
Junior Subordinated Notes Payable [Member]
Month Issued		2006-03
Debt Face Amount		$ 51,004
Carrying Value		$ 51,228
Final Stated Maturity		2035-04
Weighted Average Coupon - Rate	[3],[11]	7.57%
Weighted Average Coupon - Spread on Basis for Variable Rate		2.25%
Weighted Average Funding Cost	[4]	7.36%
Weighted Average Life (Years)		19 years 9 months 18 days
Total Corporate [Member]
Debt Face Amount		$ 51,004
Carrying Value		$ 51,228
Weighted Average Funding Cost	[4]	7.36%
Weighted Average Life (Years)		19 years 9 months 18 days
Subtotal Debt Obligations [Member]
Debt Face Amount		$ 695,741
Carrying Value		$ 694,502
Weighted Average Funding Cost	[4]	2.23%
Weighted Average Life (Years)		2 years 7 months 6 days
Face Amount of Floating Rate Debt		$ 151,701
Outstanding Face Amount of Collateral		455,487
Amortized Cost Basis of Collateral	[5]	421,175
Carrying Value of Collateral	[5]	$ 449,429
Weighted Average Maturity (Years) Of Collateral		6 years
Floating Rate Face Amount of Collateral	[5]	$ 13,032
Financing on subprime mortgage loans subject to call option [Member]
Debt Face Amount	[12]	404,149
Carrying Value	[12]	$ 404,149
[1]	Net of $38.2 million of inter-segment eliminations.
[2]	This CDO was not in compliance with its applicable over collateralization tests as of March 31, 2015. Newcastle is not receiving cash flows from this CDO (other than senior management fees and cash flows on senior classes of bonds that were repurchased), since net interest is being used to repay debt, and expects this CDO to remain out of compliance for the foreseeable future.
[3]	Weighted average, including floating and fixed rate classes.
[4]	Including the effect of applicable hedges and deferred financing cost. For fixed rate mortgage notes payable, the weighted average funding cost is calculated based on the average rate during the six months ended June 30, 2015.
[5]	Excluding restricted cash held in CDOs to be used for principal and interest payments of CDO debt.
[6]	Represents financings of previously repurchased Newcastle CDO bonds for which the collateral is eliminated in consolidation.
[7]	Including the $46.5 million portion of the notional amount of interest rate swap in CDO VI, which acted as an economic hedge that was not designated as a hedge for accounting purposes.
[8]	These repurchase agreements had $0.1 million of accrued interest payable at June 30, 2015. The counterparty on these repurchase agreements is Nomura. Newcastle has margin exposures on a total of $375.7 million repurchase agreements related to the financing of FNMA/FHLMC securities. To the extent that the value of the collateral underlying these repurchase agreements declines, Newcastle may be required to post margin, which could significantly impact its liquidity. The $375.7 million repurchase agreements were repaid in July 2015 as part of the sale of the FNMA/FHLMC securities.
[9]	The golf credit facilities are collateralized by assets of the Golf business. The carrying value of the golf credit facilities are reported net of deferred financing costs of $0.3 million as of June 30, 2015.
[10]	Interest rate on this is based on 3 month LIBOR with a LIBOR floor of 0.5%.
[11]	LIBOR +2.25% after April 2016.
[12]	Issued in April 2006 and July 2007 and secured by the general credit of Newcastle. See Note 6 regarding the securitizations of Subprime Portfolio I and II.

DEBT OBLIGATIONS - Future Minim

DEBT OBLIGATIONS - Future Minimum Lease Payments (Details 1) $ in Thousands	Jun. 30, 2015USD ($)
Future minimum lease payments due
July 1, 2015 - December 31, 2015	$ 887
2,016	1,829
2,017	1,829
2,018	1,829
2,019	1,883
2020 and thereafter	1,420
Total minimum lease payments	9,677
Less: Imputed interest	1,549
Present value of net minimum lease payments	$ 8,128

DEBT OBLIGATIONS (Details Narra

DEBT OBLIGATIONS (Details Narrative) - Investment Type Categorization Member - Subsequent Event Type Domain - USD ($) $ in Thousands		1 Months Ended		3 Months Ended		6 Months Ended
		Jul. 31, 2015	Jun. 30, 2015	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Debt Face Amount			$ 1,099,890	$ 1,099,890		$ 1,099,890
Gain (loss) on extinguishment of debt				489	$ (3,410)	489	$ (3,410)
Repayments of debt obligations						(462,180)	$ (763,347)
Unused borrowing capacity			3,100	3,100		3,100
Junior Subordinated Notes Payable [Member]
Debt Face Amount			51,004	51,004		$ 51,004
Description of interest rate						LIBOR
Variable interest rate spread						2.25%
Golf First Lien Loan [Member]
Debt Face Amount	[1]		51,423	51,423		$ 51,423
Variable rate description	[1],[2],[3]					LIBOR
LIBOR Floor						0.50%
Description of interest rate						3 month LIBOR
Variable interest rate spread	[1],[2],[3]					4.00%
CDO Securities Repurchase Agreements [Member]
Interest Payable			100	100		$ 100
Margin exposure			$ 375,700	$ 375,700		$ 375,700
Repayments of debt obligations		$ 375,700
Interest rate			0.37%	0.37%		0.37%
Capital Lease Equipment [Member]
Debt Face Amount	[1]		$ 8,128	$ 8,128		$ 8,128
CDO VIII Bonds Payable [Member]
Debt Face Amount			$ 11,500	11,500		$ 11,500
Average price percentage - purchases			95.50%
Repurchase of bonds			$ 11,000
Gain (loss) on extinguishment of debt			$ 500
Repayments of debt obligations				60,300
Repayments of repurchase agreements				13,300
CDO IX Bonds Payable [Member]
Repayments of debt obligations				51,400
Repayments of repurchase agreements				$ 22,300
Lower Range | Capital Lease Equipment [Member]
Capital lease term						48 months
Upper Range | Capital Lease Equipment [Member]
Capital lease term						66 months
[1]	The golf credit facilities are collateralized by assets of the Golf business. The carrying value of the golf credit facilities are reported net of deferred financing costs of $0.3 million as of June 30, 2015.
[2]	Interest rate on this is based on 3 month LIBOR with a LIBOR floor of 0.5%.
[3]	Weighted average, including floating and fixed rate classes.

ACCOUNTS PAYABLE, ACCRUED EXP81

ACCOUNTS PAYABLE, ACCRUED EXPENSES AND OTHER LIABILITIES - Schedule of accounts payable, accrued expenses (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Accounts Payable Accrued Expenses And Other Liabilities - Schedule Of Accounts Payable Accrued Expenses Details
Accounts payable and accrued expenses	$ 26,996	$ 35,854
Membership deposit liabilities	83,684	79,678
Deferred revenue	16,282	29,322
Security deposit payable	7,525	5,293
Unfavorable leasehold interests	6,240	6,443
Derivative liabilities	2,037	4,328
Accrued rent	4,138	2,605
Due to affiliates	1,031	1,125
Miscellaneous liabilities	12,759	14,742
Accounts payable, accrued expenses and other liabilities	$ 160,692	$ 179,390

DERIVATIVES - Schedule of fair

DERIVATIVES - Schedule of fair value of derivatives financial instruments (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Dec. 31, 2014
Fair Value of Derivatives - Assets	$ 8
Fair Value of Derivatives - Liabilities	$ 2,037	$ 4,328
Interest rate swaps [Member] | Designated as hedging instrument [Member]
Fair Value of Derivatives - Liabilities		1,963
Fair Value of Derivatives, Balance Sheet Location	Accounts payable. accrued expenses and other liabilities
Interest rate swaps [Member] | Not designated as hedging instrument [Member]
Fair Value of Derivatives - Liabilities		334
Fair Value of Derivatives, Balance Sheet Location	Accounts payable. accrued expenses and other liabilities
TBAs [Member] | Not designated as hedging instrument [Member]
Fair Value of Derivatives - Assets	$ 8
Fair Value of Derivatives - Liabilities	$ 2,037	$ 2,031
Fair Value of Derivatives, Balance Sheet Location	Receivables and other assets Accounts payable, accrued expenses and other liabilities

DERIVATIVES - Schedule of gains

DERIVATIVES - Schedule of gains (losses) recorded in relation to derivatives (Details 1) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Cash flow hedges
Cash flow hedge income statement location - ineffective portion		Other income (loss)		Other income (loss)
Realized gain (loss) on the ineffective portion		$ 259		$ 259
Cash flow hedge income statement location - termination of hedge	Gain (loss) on settlement of investments		Gain (loss) on settlement of investments
Loss recognized on termination of hedge	$ (612)		$ (612)
Cash flow hedge income statement location - reclassifications	Interest expense	Interest expense	Interest expense	Interest expense
Deferred hedge gain (loss) reclassified from AOCI into earnings (effective portion)	$ 19	$ 14	$ 38	$ 27
Amount of loss reclassified from AOCI into income (effective portion)	(655)	(1,177)	(1,363)	(2,457)
Net unrealized gain (loss) on derivatives designated as cash flow hedges	(27)	$ (75)	$ (60)	$ (152)
Non-hedge income statement location		Other income (loss)	Other income (loss)	Other income (loss)
Gain recognized related to interest rate swaps		$ 2,029	$ 292	$ 4,104
Gain (loss) on settlement of TBAs	$ 2,928		$ (1,943)
Linked Transactions - Gain [Member]
Cash flow hedges
Non-hedge income statement location		Other income (loss)		Other income (loss)
Gain (loss) recognized related to non-hedge		$ 1,825		$ 12,498
Linked Transactions - Loss [Member]
Cash flow hedges
Non-hedge income statement location		Interest expense		Interest expense
Gain (loss) recognized related to non-hedge		$ (89)		$ (211)
TBAs [Member]
Cash flow hedges
Non-hedge income statement location	Gain (loss) on settlement investments, net		Gain (loss) on settlement investments, net
Gain (loss) on settlement of TBAs	$ 2,928		$ (1,943)
TBAs [Member] | Not designated as hedging instrument [Member]
Cash flow hedges
Non-hedge income statement location	Other income (loss)		Other income (loss)
Gain (loss) recognized related to non-hedge	$ 1,322		$ 1

DERIVATIVES - Schedule of addit

DERIVATIVES - Schedule of additional information about cash flow hedges (Details 2) - Designated as hedging instrument [Member] - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2015	Dec. 31, 2014
Deferred [Member]
Cash flow hedges
Expected reclassification of current hedges from AOCI into earnings over the next 12 months	$ 60	$ 78
Current [Member]
Cash flow hedges
Expected reclassification of current hedges from AOCI into earnings over the next 12 months		$ (1,730)

FAIR VALUE - Carrying Values an

FAIR VALUE - Carrying Values and Estimated Fair Value (Details) - Fair Value Assets Measured On Recurring Basis Unobservable Input Reconciliation By Asset Class Domain - Financing Receivable Recorded Investment Class Of Financing Receivable Domain - USD ($) $ in Thousands		Jun. 30, 2015	Dec. 31, 2014	Jun. 30, 2014	Dec. 31, 2013
Financial Instruments
Real estate securities, available-for-sale		$ 65,499	$ 231,754
Real estate securities, pledged as collateral		208,041	407,689
Real estate related and other loans, held-for-sale, net		141,826	230,200
Residential mortgage loans, held-for-sale, net		3,527	3,854
Subprime mortgage loans subject to call option		404,149	406,217
Restricted cash		3,385	15,714
Cash and cash equivalents		114,338	73,727	$ 29,928	$ 42,721
Non-hedge derivative assets		8
Financial Instruments
CDO bonds payable		92,693	227,673
Other bonds and notes payable		9,871	27,069
Repurchase agreements		375,704	441,176
Credit facilities and obligations under capital lease		165,006	161,474
Financing of subprime mortgage loans subject to call option		404,149	406,217
Junior subordinated notes payable		51,228	51,231
Non-hedge derivatives		2,037	$ 4,328
Carrying Value [Member]
Financial Instruments
Real estate securities, available-for-sale		65,499
Real estate securities, pledged as collateral		208,041
Real estate related and other loans, held-for-sale, net		141,826
Residential mortgage loans, held-for-sale, net		3,527
Subprime mortgage loans subject to call option	[1]	404,149
Restricted cash		3,385
Cash and cash equivalents		114,338
Non-hedge derivative assets	[2]	8
Financial Instruments
CDO bonds payable	[3]	92,693
Other bonds and notes payable	[3]	9,871
Repurchase agreements		375,704
Credit facilities and obligations under capital lease		165,006
Financing of subprime mortgage loans subject to call option	[1]	404,149
Junior subordinated notes payable		51,228
Non-hedge derivatives	[2]	2,037
Estimated Fair Value [Member]
Financial Instruments
Real estate securities, available-for-sale		65,499
Real estate securities, pledged as collateral		208,041
Real estate related and other loans, held-for-sale, net		157,898
Residential mortgage loans, held-for-sale, net		3,576
Subprime mortgage loans subject to call option	[1]	404,149
Restricted cash		3,385
Cash and cash equivalents		114,338
Non-hedge derivative assets	[2]	8
Financial Instruments
CDO bonds payable	[3]	14,447
Other bonds and notes payable	[3]	10,609
Repurchase agreements		375,704
Credit facilities and obligations under capital lease		149,626
Financing of subprime mortgage loans subject to call option	[1]	404,149
Junior subordinated notes payable		40,033
Non-hedge derivatives	[2]	$ 2,037
[1]	Represents an option, not an obligation, to repurchase loans from Newcastle's subprime mortgage loan securitizations (Note 6).
[2]	Represents derivative liabilities including TBA forward contracts (Note 12).
[3]	Newcastle notes that the unrealized gain on the liabilities within such structures cannot be fully realized. Assets held within CDOs and other non- recourse structures are generally not available to satisfy obligations outside of such financings, except to the extent Newcastle receives net cash flow distributions from such structures. Furthermore, creditors or beneficial interest holders of these structures have no recourse to the general credit of Newcastle. Therefore, Newcastle's exposure to the economic losses from such structures is limited to its invested equity in them and economically their book value cannot be less than zero. As a result, the fair value of Newcastle's net investments in these non-recourse financing structures is equal to the present value of their expected future net cash flows.

FAIR VALUE - Assets and Liabili

FAIR VALUE - Assets and Liabilities Fair Value Recurring Basis (Details 1) - USD ($) $ in Thousands		Jun. 30, 2015	Dec. 31, 2014
Assets:
Real estate securities, pledged as collateral		$ 208,041	$ 407,689
TBAs, not treated as hedges		8
Derivative assets		8
Derivative Liabilities:
TBAs, not treated as hedges		2,037	4,328
Derivative liabilities		2,037	$ 4,328
Carrying Value [Member]
Assets:
Real estate securities, pledged as collateral		208,041
TBAs, not treated as hedges	[1]	8
Derivative Liabilities:
TBAs, not treated as hedges	[1]	2,037
Estimated Fair Value [Member]
Assets:
Real estate securities, pledged as collateral		208,041
TBAs, not treated as hedges	[1]	8
Derivative Liabilities:
TBAs, not treated as hedges	[1]	2,037
Measured on a Recurring Basis [Member]
Assets:
Real estate securities, available-for-sale		10,187
Measured on a Recurring Basis [Member] | Level 2 - Observable [Member]
Assets:
Real estate securities, pledged as collateral		208,041
TBAs, not treated as hedges		8
Derivative assets		8
Derivative Liabilities:
TBAs, not treated as hedges		2,037
Derivative liabilities		2,037
Measured on a Recurring Basis [Member] | Level 3 Inputs - Unobservable [Member]
Assets:
Real estate securities, available-for-sale		55,312
Measured on a Recurring Basis [Member] | Level 3 Internal Pricing [Member]
Assets:
Real estate securities, available-for-sale	[2]	10,187
Measured on a Recurring Basis [Member] | Carrying Value [Member]
Assets:
Real estate securities, available-for-sale		65,499
Real estate securities, pledged as collateral		208,041
TBAs, not treated as hedges		8
Derivative assets		8
Derivative Liabilities:
TBAs, not treated as hedges		2,037
Derivative liabilities		2,037
Measured on a Recurring Basis [Member] | Estimated Fair Value [Member]
Assets:
Real estate securities, available-for-sale		65,499
Real estate securities, pledged as collateral		208,041
TBAs, not treated as hedges		8
Derivative assets		8
Derivative Liabilities:
TBAs, not treated as hedges		2,037
Derivative liabilities		2,037
Measured on a Recurring Basis [Member] | CMBS [Member] | Level 3 Inputs - Unobservable [Member]
Assets:
Real estate securities, available-for-sale		45,408
Measured on a Recurring Basis [Member] | CMBS [Member] | Carrying Value [Member]
Assets:
Real estate securities, available-for-sale		45,408
Measured on a Recurring Basis [Member] | CMBS [Member] | Estimated Fair Value [Member]
Assets:
Real estate securities, available-for-sale		45,408
Measured on a Recurring Basis [Member] | Non-Agency RMBS [Member] | Level 3 Inputs - Unobservable [Member]
Assets:
Real estate securities, available-for-sale		9,817
Measured on a Recurring Basis [Member] | Non-Agency RMBS [Member] | Carrying Value [Member]
Assets:
Real estate securities, available-for-sale		9,817
Measured on a Recurring Basis [Member] | Non-Agency RMBS [Member] | Estimated Fair Value [Member]
Assets:
Real estate securities, available-for-sale		9,817
Measured on a Recurring Basis [Member] | CDO Securities [Member]
Assets:
Real estate securities, available-for-sale		10,187
Measured on a Recurring Basis [Member] | CDO Securities [Member] | Level 3 Internal Pricing [Member]
Assets:
Real estate securities, available-for-sale		10,187
Measured on a Recurring Basis [Member] | CDO Securities [Member] | Carrying Value [Member]
Assets:
Real estate securities, available-for-sale	[2]	10,187
Measured on a Recurring Basis [Member] | CDO Securities [Member] | Estimated Fair Value [Member]
Assets:
Real estate securities, available-for-sale	[2]	10,187
Measured on a Recurring Basis [Member] | Equity/Other Securities [Member] | Level 3 Inputs - Unobservable [Member]
Assets:
Real estate securities, available-for-sale		87
Measured on a Recurring Basis [Member] | Equity/Other Securities [Member] | Carrying Value [Member]
Assets:
Real estate securities, available-for-sale		87
Measured on a Recurring Basis [Member] | Equity/Other Securities [Member] | Estimated Fair Value [Member]
Assets:
Real estate securities, available-for-sale		87
Measured on a Recurring Basis [Member] | FNMA/FHLMC Securities [Member] | Level 2 - Observable [Member]
Assets:
Real estate securities, pledged as collateral		208,041
Measured on a Recurring Basis [Member] | FNMA/FHLMC Securities [Member] | Carrying Value [Member]
Assets:
Real estate securities, pledged as collateral		208,041
Measured on a Recurring Basis [Member] | FNMA/FHLMC Securities [Member] | Estimated Fair Value [Member]
Assets:
Real estate securities, pledged as collateral		$ 208,041
[1]	Represents derivative liabilities including TBA forward contracts (Note 12).
[2]	Represents non-consolidated CDO securities, excluding eight securities with a zero value, which had an aggregate face amount of $115.0 million.

FAIR VALUE - Quantitative Infor

FAIR VALUE - Quantitative Information about Significant Unobservable Inputs (Details 2) - 6 months ended Jun. 30, 2015 - Measured on a Recurring Basis [Member] - Fair Value Measurements Fair Value Hierarchy Domain - USD ($) $ in Thousands	Total
Fair Value	$ 10,187
CDO Securities [Member]
Fair Value	$ 10,187
Weighted Average Signiifcant Input
Discount Rate	11.50%
Weighted Average - Prepayment Speed	4.20%
Cumulative Default Rate	20.90%
Loss Severity	65.80%

FAIR VALUE - Change in Fair Val

FAIR VALUE - Change in Fair Value of Level 3 Investments (Details 3) - Measured on a Recurring Basis [Member] - Level 3 Inputs - Unobservable [Member] $ in Thousands		6 Months Ended
		Jun. 30, 2015USD ($)
Balance, beginning		$ 231,754
Transfers
Transfers into Level 3		367
Total gains (losses)
Included in net income	[1]	26,949
Included in other comprehensive income (loss)		(27,283)
Amortization included in interest income		7,072
Purchases, sales and settlements
Proceeds from sales		(140,189)
Proceeds from repayments		(33,171)
Balance, ending		65,499
CMBS [Member]
Balance, beginning		178,763
Total gains (losses)
Included in net income	[1]	12,402
Included in other comprehensive income (loss)		(16,646)
Amortization included in interest income		4,518
Purchases, sales and settlements
Proceeds from sales		(102,607)
Proceeds from repayments		(31,022)
Balance, ending		45,408
Non-Agency RMBS [Member]
Balance, beginning		45,035
Total gains (losses)
Included in net income	[1]	14,827
Included in other comprehensive income (loss)		(12,868)
Amortization included in interest income		2,554
Purchases, sales and settlements
Proceeds from sales		(37,582)
Proceeds from repayments		(2,149)
Balance, ending		9,817
Equity/Other Securities [Member]
Balance, beginning		7,956
Transfers
Transfers into Level 3		367
Total gains (losses)
Included in net income	[1]	(280)
Included in other comprehensive income (loss)		2,231
Purchases, sales and settlements
Balance, ending		$ 10,274
[1]	These gains (losses) are recorded in the following line items in the consolidated statements of operations:

FAIR VALUE - Gains Losses on RE

FAIR VALUE - Gains Losses on RE Securities (Details 4) - USD ($) $ in Thousands		3 Months Ended		6 Months Ended
		Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
OTTI		$ (9,128)		$ (9,472)
Measured on a Recurring Basis [Member] | Level 3 Inputs - Unobservable [Member]
Gain (loss) on sale of investments, net				28,854
OTTI				(1,905)
Total	[1]			$ 26,949
[1]	These gains (losses) are recorded in the following line items in the consolidated statements of operations:

FAIR VALUE - Loan Valuation (De

FAIR VALUE - Loan Valuation (Details 5) - 6 months ended Jun. 30, 2015 - USD ($) $ in Thousands		Total
Mezzanine Loans [Member]
Carrying value	[1]	$ 23,228
Fair Value		$ 23,228
Discount Rate		8.00%
Loss Severity		43.30%
Mezzanine Loans [Member] | Lower Range
Discount Rate		0.00%
Loss Severity		0.00%
Mezzanine Loans [Member] | Upper Range
Discount Rate		8.00%
Loss Severity		100.00%
Corporate Bank Loans [Member]
Carrying value	[1]	$ 118,598
Fair Value		$ 134,670
Discount Rate		22.00%
Loss Severity		24.70%
Corporate Bank Loans [Member] | Lower Range
Discount Rate		0.00%
Loss Severity		0.00%
Corporate Bank Loans [Member] | Upper Range
Discount Rate		22.50%
Loss Severity		100.00%
Total Real Estate Related and Other Loans Held-for-Sale, Net [Member]
Carrying value	[1]	$ 141,826
Fair Value		157,898
Residential Loans [Member]
Carrying value	[1],[2]	3,527
Fair Value		$ 3,576
Discount Rate		13.10%
Loss Severity		4.90%
Prepayment Speed		0.20%
Constant Default Rate		18.40%
Total Residential Mortgage Loans Held-For-Sale [Member]
Carrying value	[1],[2]	$ 3,527
Fair Value		$ 3,576
[1]	Carrying value includes negligible interest receivable for the residential housing loans.
[2]	Loans acquired at a discount for credit quality.

EQUITY AND EARNINGS PER SHARE -

EQUITY AND EARNINGS PER SHARE - Outstanding Options (Details) - 6 months ended Jun. 30, 2015 - $ / shares	Total
Number of Options
Outstanding at December 31, 2014	5,500,599
Granted	178,740
Expired	54,999
Outstanding at June 30, 2015	5,624,340
Exercisable at June 30, 2015	4,505,630
Weighted Average Strike Price
Strike Price	$ 4.26
Granted	1
Expired	14.92
Strike Price	2.79
Exercisable at June 30, 2015	$ 2.58
Weighted Average Life Remaining
Outstanding at June 30, 2015	7 years 3 months 11 days
Exercisable at June 30, 2015	6 years 9 months 18 days

EQUITY AND EARNINGS PER SHARE92

EQUITY AND EARNINGS PER SHARE - Outstanding Options Summary (Details 1) - $ / shares	Jun. 30, 2015	Dec. 31, 2014
Stock options outstanding	5,624,340
Strike Price	$ 2.79	$ 4.26
Issued Prior to 2011 [Member]
Stock options outstanding	144,994
Strike Price	$ 13.18
Issued in 2011 and Thereafter [Member]
Stock options outstanding	5,479,346
Strike Price	$ 2.51
Manager [Member]
Stock options outstanding	5,115,922
Manager [Member] | Issued Prior to 2011 [Member]
Stock options outstanding	114,479
Manager [Member] | Issued in 2011 and Thereafter [Member]
Stock options outstanding	5,001,443
Employees of Fortress [Member]
Stock options outstanding	508,085
Employees of Fortress [Member] | Issued Prior to 2011 [Member]
Stock options outstanding	30,182
Employees of Fortress [Member] | Issued in 2011 and Thereafter [Member]
Stock options outstanding	477,903
Directors [Member]
Stock options outstanding	333
Directors [Member] | Issued Prior to 2011 [Member]
Stock options outstanding	333

EQUITY AND EARNINGS PER SHARE93

EQUITY AND EARNINGS PER SHARE - Earnings Per Share (Details 2) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended				6 Months Ended
	Jun. 30, 2015		Jun. 30, 2014		Jun. 30, 2015		Jun. 30, 2014
Numerator for basis and diluted earnings per share:
Income from continuing operations after preferred dividends and noncontrolling interests	$ 16,495		$ 39,036		$ 14,288		$ 57,858
Income (loss) from discontinued operations, net of tax	524		(8,504)		639		(23,803)
Income Applicable to Common Stockholders	$ 17,019		$ 30,532		$ 14,927		$ 34,055
Denominator:
Denominator for basic earnings per share - weighted average shares	66,426,980	[1]	58,599,666	[1]	66,425,751	[1]	58,587,691
Effect of dilutive securities
Options	2,777,737		1,877,084		2,629,745		1,906,153
Denominator for diluted earnings per share - adjusted weighted average shares	69,204,717	[1]	60,477,084	[1]	69,055,495	[1]	60,493,844
Basic earnings per share:
Income from continuing operations per share of common stock, after preferred dividends and noncontrolling interests	$ .25	[1]	$ 0.67	[1]	$ .22	[1]	$ 0.99
Income (loss) from discontinued operations per share of common stock	0.01	[1]	(0.15)	[1]	0.01	[1]	(0.41)
Income Applicable to Common Stock, per share	.26	[1]	0.52	[1]	.22	[1]	0.58
Diluted earnings per share:
Income from continuing operations per share of common stock, after preferred dividends and noncontrolling interests	.24	[1]	0.65	[1]	.21	[1]	0.96
Income (loss) from discontinued operations per share of common stock	0.01	[1]	(0.15)	[1]	0.01	[1]	(0.41)
Income Applicable to Common Stock, per share	$ .25	[1]	$ 0.50	[1]	$ .22	[1]	$ 0.56
[1]	All per share amounts and shares outstanding for all periods reflect the 1-for-3 reverse stock split, which was effective after the close of trading on August 18, 2014 and the 1-for-2 reverse stock split, which was effective after the close of trading on October 22, 2014.

EQUITY AND EARNINGS PER SHARE94

EQUITY AND EARNINGS PER SHARE (Details Narrative) - USD ($) $ / shares in Units, $ in Thousands	May. 07, 2015	Jul. 31, 2015	Jun. 30, 2015	Apr. 30, 2015	Jun. 30, 2015		Jun. 22, 2015	Mar. 16, 2015	Jun. 30, 2014		Jun. 30, 2015		Jun. 30, 2014
Dividends Declared per Share of Common Stock					$ 0.12	[1]	$ .12	$ .12	$ 0.60	[1]	$ 0.24	[1]	$ 1.20
Dividends paid		$ 9,400		$ 9,400
Potentially dilutive securities											1,069,463
Dilutive common stock equivalents					2,777,737				1,877,084		2,629,745		1,906,153
Directors [Member]
Issuance of shares as compensation			51,777
Series B Cumulative Redeemable Preferred Stock [Member]
Dividends Declared per Share of Preferred Stock							0.609375	0.609375
Series C Cumulative Redeemable Preferred Stock [Member]
Dividends Declared per Share of Preferred Stock							0.503125	0.503125
Series D Cumulative Redemable Preferred [Member]
Dividends Declared per Share of Preferred Stock							$ 0.523438	$ 0.523438
Stock Options [Member]
Potentially dilutive securities											250,486		227,083
Strike price of options issued	$ 1
Issuance of stock options - equitable adjustment	178,740
[1]	All per share amounts and shares outstanding for all periods reflect the 1-for-3 reverse stock split, which was effective after the close of trading on August 18, 2014 and the 1-for-2 reverse stock split, which was effective after the close of trading on October 22, 2014.

INCOME TAXES - Provision for In

INCOME TAXES - Provision for Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Current:
Federal	$ 34	$ 518	$ 80	$ 590
State and Local	8	103	20	164
Total Current Provision	42	621	100	754
Deferred
Federal	(13)	(74)	(23)	(314)
State and Local	(2)	(7)	(4)	(520)
Total Deferred Provision	(15)	(81)	(27)	(834)
Provision for income taxes from continuing operations	27	4	73	144
Provision (benefit) for income taxes from discontinued operations		536		(224)
Total Provision (benefit) for Income Taxes	$ 27	$ 540	$ 73	$ (80)

INCOME TAXES - Deferred Tax Ass

INCOME TAXES - Deferred Tax Assets (Details 1) - USD ($) $ in Thousands		Jun. 30, 2015	Dec. 31, 2014
Deferred tax assets
Allowance for loan losses		$ 395	$ 366
Depreciation and amortization		16,765	13,938
Accrued expenses		1,436	2,006
Net operating losses		29,510	26,543
Other		172	2,365
Total deferred tax assets		48,278	45,218
Less valuation allowance		(31,920)	(27,434)
Net deferred tax assets		16,358	17,784
Deferred tax liabilities
Leaseholds		16,289	17,741
Total deferred tax liabilities		16,289	17,741
Net deferred income tax assets	[1]	$ 69	$ 43
[1]	Recorded in receivables and other assets on the consolidated balance sheets.

GAINS (LOSSES) ON SETTLEMENT 97

GAINS (LOSSES) ON SETTLEMENT OF INVESTMENTS, NET AND OTHER INCOME (LOSS), NET (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Gain (loss) on settlement of investments, net
Gain on settlement of real estate securities	$ 28,854	$ 15,698	$ 34,740	$ 18,032
Loss on settlement of real estate securities	(5,926)		(5,926)
Gain on repayment/disposition of loans held-for-sale	1,532	$ 24,737	1,532	$ 24,737
Gain (loss) recognized on termination of hedge	(612)		(612)
Settlement of TBAs	2,928		(1,943)
Gain on settlement of investments, net	26,776	$ 40,435	27,791	$ 42,769
Other income (loss), net
Gain (loss) on non-hedge derivative instruments	$ 1,322	3,855	$ 293	16,603
Hedge ineffectiveness		259		259
Collateral management fee income, net	$ 186	250	$ 379	515
Equity (deficit) in earnings of equity method investees	$ 328	328	$ 642	289
Gain (loss) on disposal of long-lived assets		(32)		(34)
Other income	$ 272	22	$ 280	524
Total Other income (loss), net	$ 2,108	$ 4,682	$ 1,594	$ 18,156

RECLASSIFICATION FROM ACCUMUL98

RECLASSIFICATION FROM ACCUMULATED OTHER COMPREHENSIVE INCOME INTO NET INCOME (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Other than temporary impairment on securities, net	$ (9,362)		$ (9,410)
Gain (loss) on settlement of investments, net			27,877	$ 42,735
Interest Expense	16,950	$ 20,328	33,677	42,498
Reclassifications	21,446	14,794	26,939	15,861
Gain on settlement of real estate securities [Member]
Gain (loss) on settlement of investments, net	28,854	$ 15,698	34,740	$ 18,032
Loss on settlement of real estate securities [Member]
Gain (loss) on settlement of investments, net	(5,926)		(5,926)
Impairement [Member]
Other than temporary impairment on securities, net	(234)		62
Net realized gain (loss) on securities [Member]
Reclassifications	22,694	$ 15,698	28,876	$ 18,032
Loss on termination of hedge [Member]
Gain (loss) on settlement of investments, net	$ (612)		$ (612)
Hedge Ineffectiveness [Member]
Other income (loss)		$ 259		$ 259
Amortization of Deferred Gain [Member]
Interest Expense	$ 19	14	$ 38	27
Realized Loss Reclassified Related to Effective Portion [Member]
Interest Expense	(655)	(1,177)	(1,363)	(2,457)
Net realized gain (loss) derivatives [Member]
Reclassifications	$ (1,248)	$ (904)	$ (1,937)	$ (2,171)

OTHER-THAN-TEMPORARY-IMPAIRME99

OTHER-THAN-TEMPORARY-IMPAIRMENT - Summary of amounts recorded in the statement of operations for OTTI (Details) - Jun. 30, 2015 - USD ($) $ in Thousands	Total	Total
Other-than-temporary impairment on securities	$ 9,362	$ 9,410
Other Investments [Member]
Other-than-temporary impairment on securities	7,505	7,505
Debt Securities [Member]
Other-than-temporary impairment on securities	1,577	1,625
Equity Securities [Member]
Other-than-temporary impairment on securities	$ 280	$ 280

SUPPLEMENTAL NON-CASH INVEST100

SUPPLEMENTAL NON-CASH INVESTING AND FINANCING ACTIVITIES RELATED TO CDOs (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Supplemental non-cash investing and financing activities relating to CDOs
Restricted cash generated from sale of securities	$ 139,257	$ 72,422
Restricted cash generated from sale of loans	55,574
Restricted cash generated from paydowns on securities and loans	73,914	221,549
Restricted cash used for repayments of CDO bonds payable	$ 142,937	$ 288,206

SUBSEQUENT EVENTS (Details Narr

SUBSEQUENT EVENTS (Details Narrative) - USD ($) $ in Thousands		Aug. 03, 2015	Jul. 14, 2015	Aug. 04, 2015	Jun. 30, 2015	Jun. 30, 2014
Proceeds from sale of securities					$ 406,269	$ 763,336
Purchase of real estate securities					(415,917)
Debt Face Amount					1,099,890
Golf First Lien Loan [Member]
Debt Face Amount	[1]				51,423
Golf Second Lien Loan [Member]
Debt Face Amount	[1]				$ 105,575
Settlement #1 Agency RMBS [Member]
Face amount of securities sold			$ 380,400
Average price percentage - sold			103.13%
Proceeds from sale of securities			$ 392,300
Repayments of repurchase agreements			375,700
Gain (loss) on sale of securities			(5,900)
Face amount of securities purchased			403,900
Purchase of real estate securities			415,600
Proceeds from repurchase financing			$ 393,800
Average price percentage - purchases			102.88%
Settlement #2 Agency RMBS [Member]
Face amount of securities purchased			$ 201,900
Purchase of real estate securities			207,700
Proceeds from repurchase financing			$ 196,700
Average price percentage - purchases			102.87%
Subsequent Event [Member] | Residential Loans [Member]
Outstanding face amount		$ 3,300
Proceeds from sale of mortgage loans		$ 2,800
Subsequent Event [Member] | Golf First Lien Loan [Member]
Average price percentage - purchases				90.00%
Debt Face Amount				$ 51,400
Purchase of debt obligations				$ 46,300
Subsequent Event [Member] | Golf Second Lien Loan [Member]
Average price percentage - purchases				90.00%
Debt Face Amount				$ 105,600
Purchase of debt obligations				$ 95,000
[1]	The golf credit facilities are collateralized by assets of the Golf business. The carrying value of the golf credit facilities are reported net of deferred financing costs of $0.3 million as of June 30, 2015.