ACRES Commercial Realty (ACR) 10-Q 2018 Q3 Quarterly report

Exhibit 12.1

STATEMENT REGARDING COMPUTATION OF RATIOS OF EARNINGS

	Nine Months Ended			Year Ended			Year Ended				Year Ended				Year Ended			Year Ended
	September 30,			December 31,			December 31,				December 31,				December 31,			December 31,
	2018			2017			2016				2015				2014			2013
	(unaudited)
Earnings:
Pretax income (loss) before preferred shared from continuing operations	$	17,473,205		$	56,049,203		$	(343,321	)		$	12,433,855			$	57,717,463		$	45,636,957
Non-controlling interest	—			(195,573		)	(229,547		)		6,627,890				965,007			—
Equity in earnings of unconsolidated subsidiaries	(230,970		)	(38,973,116		)	(5,973,088		)		(2,388,038		)		(4,766,980		)	(949,180		)
Cash income received from unconsolidated entities	411,244			49,713,376			1,869,247				2,963,499				1,163,805			—
Fixed charges	47,885,259			55,717,718			53,765,276				56,568,114				43,528,402			60,957,469
Total	$	65,538,738		$	122,311,608		$	49,088,567			$	76,205,320			$	98,607,697		$	105,645,246
Fixed charges:
Interest (expensed and capitalized)	$	40,420,781		$	44,290,017		$	45,223,899			$	48,186,795			$	36,729,426		$	52,298,502
Amortized premiums, discounts and capitalized expenses related to indebtedness	7,444,983			11,387,378			8,523,738				8,343,513				6,763,854			8,629,755
Estimate of interest within rental expenses	19,495			40,323			17,639				37,806				35,122			29,212
Total	$	47,885,259		$	55,717,718		$	53,765,276			$	56,568,114			$	43,528,402		$	60,957,469
Preferred stock dividends	$	10,384,966		$	24,057,361		$	24,091,021			$	24,437,458			$	17,175,869		$	7,221,041
Ratio of earnings to combined fixed charges	1.37			2.20			—			(1)	1.35				2.27			1.73
Ratio of earnings to combined fixed charges and preferred stock dividends	1.12			1.53			—			(2)	—			(2)	1.62			1.55

(1) The dollar amount of the deficiency for the year ended December 31, 2016 was $4.7 million.

(2) The dollar amounts of the deficiencies for the years ended December 31, 2016 and 2015 were $28.8 million and $4.8 million, respectively.