Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Feb. 24, 2015 | Jun. 30, 2014 | |
Entity Information [Line Items] | |||
Document Type | 10-K | ||
Amendment Flag | FALSE | ||
Document Period End Date | 31-Dec-14 | ||
Document Fiscal Year Focus | 2014 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | ARI | ||
Entity Registrant Name | Apollo Commercial Real Estate Finance, Inc. | ||
Entity Central Index Key | 1467760 | ||
Current Fiscal Year End Date | -19 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 46,900,442 | ||
Entity Public Float | $765,229,053 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | |
In Thousands, unless otherwise specified | |||
Assets: | |||
Cash | $40,641 | $20,096 | |
Restricted cash | 30,127 | 30,127 | |
Securities available-for-sale, at estimated fair value | 17,105 | 33,362 | |
Securities, at estimated fair value | 522,730 | 158,086 | |
Securities, held-to-maturity | 0 | ||
Investment in unconsolidated joint venture | 37,016 | 0 | |
Derivative instrument | 4,070 | 0 | |
Interest receivable | 10,829 | 6,022 | |
Deferred financing costs, net | 7,444 | 628 | |
Other assets | 1,200 | 600 | |
Total Assets | 1,845,147 | 907,504 | |
Liabilities: | |||
Borrowings under repurchase agreements | 622,194 | 202,033 | |
Convertible senior notes, net | 246,464 | 0 | |
Participations sold | 89,584 | 0 | |
Accounts payable and accrued expenses | 7,578 | 2,660 | |
Payable to related party | 3,240 | 2,628 | |
Dividends payable | 21,018 | 17,227 | |
Total Liabilities | 990,078 | 224,548 | |
Commitments and Contingencies (see Note 16) | |||
Stockholders’ Equity: | |||
Preferred stock, $0.01 par value, 50,000,000 shares authorized and 3,450,000 shares issued and outstanding ($86,250 aggregate liquidation preference) | 35 | 35 | |
Common stock, $0.01 par value, 450,000,000 shares authorized, 46,900,442 and 36,888,467 shares issued and outstanding in 2014 and 2013, respectively | 469 | 369 | |
Additional paid-in-capital | 868,035 | 697,610 | |
Retained earnings (accumulated deficit) | -10,485 | -14,188 | |
Accumulated other comprehensive loss | -2,985 | -870 | |
Total Stockholders’ Equity | 855,069 | 682,956 | |
Total Liabilities and Stockholders’ Equity | 1,845,147 | 907,504 | |
Commercial mortgage loans [Member] | |||
Assets: | |||
Loans, held for investment | 458,520 | 161,099 | |
Subordinate Loans [Member] | |||
Assets: | |||
Loans, held for investment | $561,182 | [1] | $497,484 |
[1] | Subject to prior liens. |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
Preferred stock, par value (in dollars per share) | $0.01 | $0.01 |
Preferred stock, shares authorized | 50,000,000 | 50,000,000 |
Preferred stock, shares issued | 3,450,000 | 3,450,000 |
Preferred stock, shares outstanding | 3,450,000 | 3,450,000 |
Preferred stock, aggregate liquidation preference | $86,250,000 | $86,250,000 |
Common stock, par value (in dollars per share) | $0.01 | $0.01 |
Common stock, shares authorized | 450,000,000 | 450,000,000 |
Common stock, shares issued | 46,900,442 | 36,888,467 |
Common stock, shares outstanding | 46,900,442 | 36,888,467 |
Consolidated_Statements_of_Ope
Consolidated Statements of Operations (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Net interest income: | |||||||||||
Interest income from securities | $8,275 | $6,129 | $4,366 | $2,419 | $3,633 | $2,533 | $3,014 | $3,087 | $21,189 | $12,267 | $15,347 |
Interest income from securities, held to maturity | 3,165 | 1,448 | 0 | 0 | 0 | 0 | 0 | 0 | 4,613 | 0 | 0 |
Interest income from commercial mortgage loans | 9,328 | 8,025 | 6,438 | 4,011 | 3,812 | 4,954 | 3,676 | 3,592 | 27,802 | 16,034 | 10,780 |
Interest income from subordinate loans | 17,021 | 19,754 | 18,238 | 14,730 | 14,026 | 12,184 | 11,498 | 11,454 | 69,743 | 49,162 | 24,666 |
Interest income from repurchase agreements | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 2 | 0 | 0 | 6,286 |
Interest expense | -10,740 | -8,786 | -5,258 | -1,757 | -1,450 | -885 | -955 | -1,068 | -26,541 | -4,356 | -8,402 |
Net interest income | 27,049 | 26,570 | 23,784 | 19,403 | 20,021 | 18,786 | 17,233 | 17,067 | 96,806 | 73,107 | 48,677 |
Operating expenses: | |||||||||||
General and administrative expenses (includes equity-based compensation of $1,576 in 2014, $3,488 in 2013 and $3,624 in 2012) | -1,796 | -1,434 | -1,479 | -1,442 | -2,438 | -1,793 | -1,437 | -1,895 | -6,151 | -7,563 | -8,543 |
Management fees to related party | -3,236 | -3,193 | -2,966 | -2,565 | -2,627 | -2,625 | -2,600 | -2,160 | -11,960 | -10,012 | -6,139 |
Total operating expenses | -5,032 | -4,627 | -4,445 | -4,007 | -5,065 | -4,418 | -4,037 | -4,055 | -18,111 | -17,575 | -14,682 |
Income from unconsolidated joint venture | -69 | -88 | 0 | 0 | 0 | 0 | 0 | 0 | -157 | 0 | 0 |
Interest income from cash balances | 9 | 21 | 4 | 0 | 1 | 3 | 16 | 0 | 34 | 20 | 7 |
Realized gain on sale of securities | 0 | 0 | 262 | ||||||||
Unrealized gain (loss) on securities | -639 | -2,147 | 4,749 | 2,184 | 908 | -1,472 | -1,421 | -1,080 | 4,147 | -3,065 | 6,489 |
Foreign currency gain (loss) | -1,413 | -3,596 | 959 | 0 | 0 | 0 | 0 | 0 | -4,050 | ||
Gain (loss) on derivative instruments (includes unrealized gains (losses) of $4,070 in 2014, $155 in 2013 and $323 in 2012) | 2,137 | 3,026 | -1,093 | 0 | -1 | 1 | -2 | 0 | 4,070 | -2 | -572 |
Net income | 22,042 | 19,159 | 23,958 | 17,580 | 15,864 | 12,900 | 11,789 | 11,932 | 82,739 | 52,485 | 40,181 |
Preferred dividends | -7,440 | -7,440 | -3,079 | ||||||||
Net income available to common stockholders | $20,182 | $17,299 | $22,098 | $15,720 | $14,004 | $11,040 | $9,929 | $10,072 | $75,299 | $45,045 | $37,102 |
Basic and diluted net income per share of common stock (in dollars per share) | $0.43 | $0.37 | $0.51 | $0.42 | $0.37 | $0.30 | $0.27 | $0.33 | $1.72 | $1.26 | $1.64 |
Basic weighted average shares of common stock outstanding | 46,852,646 | 46,848,675 | 42,888,747 | 37,122,842 | 36,886,619 | 36,883,002 | 36,880,410 | 30,105,939 | 43,464,255 | 35,212,211 | 22,259,386 |
Diluted weighted average shares of common stock outstanding | 47,085,617 | 47,068,929 | 43,099,354 | 37,341,050 | 37,390,369 | 37,379,469 | 37,373,885 | 30,480,689 | 43,684,805 | 35,679,755 | 22,648,819 |
Consolidated_Statements_of_Ope1
Consolidated Statements of Operations (Parenthetical) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Income Statement [Abstract] | |||
General and administrative expenses, equity-based compensation | $1,576 | $3,488 | $3,624 |
Unrealized gains (losses) on derivative instruments | $4,070 | $155 | $323 |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Income (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Statement of Comprehensive Income [Abstract] | |||
Net income available to common stockholders | $75,299 | $45,045 | $37,102 |
Change in net unrealized gain (loss) on securities available-for-sale | 192 | -840 | -593 |
Foreign currency translation adjustment | -2,307 | 0 | 0 |
Comprehensive income | $73,184 | $44,205 | $36,509 |
Consolidated_Statements_of_Cha
Consolidated Statements of Changes in Stockholders Equity (USD $) | Total | Preferred Class A [Member] | Common Stock [Member] | Preferred Stock [Member] | Preferred Stock [Member] | Common Stock [Member] | Common Stock [Member] | Additional Paid In Capital [Member] | Additional Paid In Capital [Member] | Additional Paid In Capital [Member] | Returned Earnings/ (Accumulated Deficit) [Member] | Accumulated Other Comprehensive Loss [Member] | |
In Thousands, except Share data, unless otherwise specified | Preferred Class A [Member] | Preferred Class A [Member] | Common Stock [Member] | ||||||||||
Beginning balance at Dec. 31, 2011 | $336,978 | $206 | $336,209 | $0 | $563 | ||||||||
Beginning balance, Shares at Dec. 31, 2011 | 20,561,032 | ||||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||
Capital increase related to Equity Incentive Plan | 2,845 | 2,845 | |||||||||||
Issuance of restricted stock | 0 | 0 | |||||||||||
Issuance of restricted stock, Shares | 11,080 | ||||||||||||
Issuance of stock | 86,250 | 124,472 | 35 | 74 | 86,215 | 124,398 | |||||||
Issuance of stock, Shares | 3,450,000 | 7,471,994 | |||||||||||
Offering costs | -3,602 | -3,602 | |||||||||||
Net income | 40,181 | 40,181 | |||||||||||
Change in other comprehensive income | -593 | -593 | |||||||||||
Dividends on preferred stock | -3,079 | -3,079 | |||||||||||
Dividends on common stock | -36,528 | -36,528 | |||||||||||
Ending balance at Dec. 31, 2012 | 546,924 | 35 | 280 | 546,065 | 574 | -30 | |||||||
Ending balance, Shares at Dec. 31, 2012 | 3,450,000 | 28,044,106 | |||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||
Capital increase related to Equity Incentive Plan | 3,457 | 3,457 | |||||||||||
Issuance of restricted stock | [1] | 0 | |||||||||||
Issuance of restricted stock, Shares | 36,304 | ||||||||||||
Issuance of stock | 148,804 | 89 | 148,715 | ||||||||||
Issuance of stock, Shares | 8,808,057 | ||||||||||||
Offering costs | -627 | -627 | |||||||||||
Net income | 52,485 | 52,485 | |||||||||||
Change in other comprehensive income | -840 | -840 | |||||||||||
Dividends on preferred stock | -7,440 | -7,440 | |||||||||||
Dividends on common stock | -59,807 | -59,807 | |||||||||||
Ending balance at Dec. 31, 2013 | 682,956 | 35 | 369 | 697,610 | -14,188 | -870 | |||||||
Ending balance, Shares at Dec. 31, 2013 | 3,450,000 | 36,888,467 | |||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||
Capital increase related to Equity Incentive Plan | 698 | 2 | 696 | ||||||||||
Issuance of restricted stock | 1 | 1 | |||||||||||
Issuance of restricted stock, Shares | 65,698 | ||||||||||||
Issuance of stock | 158,693 | 97 | 158,596 | ||||||||||
Issuance of stock, Shares | 240,277 | 9,706,000 | |||||||||||
Offering costs | -312 | -312 | |||||||||||
Convertible senior notes | 11,445 | 11,445 | |||||||||||
Net income | 82,739 | 82,739 | |||||||||||
Change in other comprehensive income | -2,115 | -2,115 | |||||||||||
Dividends on preferred stock | -7,440 | -7,440 | |||||||||||
Dividends on common stock | -71,596 | -71,596 | |||||||||||
Ending balance at Dec. 31, 2014 | $855,069 | $35 | $469 | $868,035 | ($10,485) | ($2,985) | |||||||
Ending balance, Shares at Dec. 31, 2014 | 3,450,000 | 46,900,442 | |||||||||||
[1] | Rounds to zero. |
Consolidated_Statements_of_Cha1
Consolidated Statements of Changes in Stockholders Equity (Parenthetical) (USD $) | 12 Months Ended | |||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Issuance of restricted stock | $1 | $0 | ||
Common stock, dividends per share (in USD per share) | $1.60 | $1.60 | $1.60 | |
Common Stock [Member] | ||||
Issuance of restricted stock | $1 | $0 | [1] | $0 |
[1] | Rounds to zero. |
Consolidated_Statement_of_Cash
Consolidated Statement of Cash Flows (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Cash flows provided by operating activities: | |||
Net income | $82,739 | $52,485 | $40,181 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Premium amortization and (discount accretion), net | -4,221 | -5,721 | -399 |
Amortization of deferred financing costs | 1,979 | 866 | 1,962 |
Equity-based compensation | 698 | 3,457 | 2,845 |
Unrealized gain (loss) on securities | -4,147 | 3,065 | -6,489 |
Income (Loss) from Equity Method Investments | 157 | 0 | 0 |
Foreign Currency Transaction Gain (Loss), Realized | 4,038 | 0 | 0 |
Unrealized gain (loss) on derivative instruments | -4,070 | -155 | -323 |
Realized loss on sale of security | 0 | 0 | -262 |
Changes in operating assets and liabilities: | |||
Accrued interest receivable, less purchased interest | -16,453 | -9,488 | 2,296 |
Other assets | 500 | -397 | -186 |
Accounts payable and accrued expenses | 5,205 | 1,280 | -260 |
Payable to related party | 612 | 591 | 739 |
Net cash provided by operating activities | 67,037 | 45,983 | 40,104 |
Cash flows used in investing activities: | |||
Proceeds from sale of securities available-for-sale | 0 | 0 | 121,338 |
Proceeds from sale of securities at estimated fair value | 0 | 0 | 16,918 |
Fees received from commercial mortgage loans | 0 | 280 | 0 |
Funding of securities at estimated fair value | -375,833 | -134,389 | -70,676 |
Funding of commercial mortgage loans | -403,983 | -32,643 | -62,490 |
Funding of subordinate loans | -402,336 | -361,035 | -96,023 |
Funding of unconsolidated joint venture | -39,477 | 0 | 0 |
Funding of other assets | -1,258 | 0 | 0 |
Principal payments received on securities available-for-sale | 16,053 | 186,138 | 113,216 |
Principal payments received on securities at estimated fair value | 15,500 | 32,344 | 98,401 |
Principal payments received on commercial mortgage loans | 105,501 | 18,117 | 31,300 |
Principal payments received on subordinate loans | 194,050 | 118,771 | 108 |
Principal payments received on other assets | 145 | 0 | 0 |
Principal payments received on repurchase agreements | 0 | 6,598 | 40,841 |
Proceeds from sale of commercial mortgage loan | 4,950 | 0 | 0 |
Net cash provided by (used in) investing activities | -886,688 | -165,819 | 192,933 |
Cash flows from financing activities: | |||
Proceeds from issuance of common stock | 158,693 | 148,804 | 124,472 |
Proceeds from issuance of preferred stock | 0 | 0 | 86,250 |
Payment of offering costs | -389 | -824 | -3,324 |
Repayments of TALF borrowings | 0 | 0 | -251,327 |
Proceeds from repurchase agreement borrowings | 567,192 | 182,218 | 313,860 |
Repayments of repurchase agreement borrowings | -147,032 | -205,343 | -379,401 |
Proceeds from issuance of convertible senior notes | 256,970 | 0 | 0 |
Participations sold | 89,012 | 0 | 0 |
Increase in restricted cash related to financing activities | 0 | -30,127 | 0 |
Deferred financing costs | -9,006 | -504 | -1,097 |
Dividends on common stock | -67,804 | -55,471 | -33,890 |
Dividends on preferred stock | -7,440 | -7,440 | -1,529 |
Net cash provided by (used in) financing activities | 840,196 | 31,313 | -145,986 |
Net increase (decrease) in cash and cash equivalents | 20,545 | -88,523 | 87,051 |
Cash and cash equivalents, beginning of period | 20,096 | 108,619 | 21,568 |
Cash and cash equivalents, end of period | 40,641 | 20,096 | 108,619 |
Supplemental disclosure of cash flow information: | |||
Interest paid | 18,132 | 2,809 | 6,926 |
Supplemental disclosure of non-cash financing activities: | |||
Offering costs payable | 100 | 109 | 306 |
Dividend declared, not yet paid | 21,018 | 17,227 | 12,891 |
Deferred financing costs, not yet paid | 33 | 312 | 0 |
Securities, held-to-maturity | $154,283 | $0 | $0 |
Organization
Organization | 12 Months Ended |
Dec. 31, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization | Organization |
Apollo Commercial Real Estate Finance, Inc. (together with its consolidated subsidiaries, is referred to throughout this report as the “Company,” “ARI,” “we,” “us” and “our”) is a real estate investment trust (“REIT”) that primarily originates, acquires, invests in and manages performing commercial first mortgage loans, subordinate financings, commercial mortgage-backed securities (“CMBS”) and other commercial real estate-related debt investments in the United States. These asset classes are referred to as the Company’s target assets. | |
The Company, organized in Maryland on June 29, 2009, commenced operations on September 29, 2009 and is externally managed and advised by ACREFI Management, LLC (the “Manager”), an indirect subsidiary of Apollo Global Management, LLC. | |
The Company elected to be taxed as a REIT under the Internal Revenue Code of 1986, as amended, commencing with the taxable year ended December 31, 2009. To maintain its tax qualification as a REIT, the Company is required to distribute at least 90% of its net income, excluding net capital gains, to stockholders and meet certain other asset, income, and ownership tests. |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2014 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies |
Basis of Presentation | |
The accompanying consolidated financial statements include the Company’s accounts and those of its consolidated subsidiaries. All intercompany amounts have been eliminated. The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (“GAAP”) requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods. The Company’s most significant estimates include the fair value of financial instruments and loan loss reserve. Actual results could differ from those estimates. | |
The Company currently operates in one business segment. | |
Restricted Cash | |
Restricted cash represents cash held by the Company's counterparties as collateral against repurchase agreement borrowings. Restricted cash is not available for general corporate purposes but may be applied against amounts due to counterparties under repurchase agreement borrowings, or returned to the Company when collateral requirements are exceeded or at the maturity of the repurchase agreement. | |
Classification of Investments and Valuations of Financial Instruments | |
The Company’s investments consist primarily of commercial mortgage loans, subordinate loans, CMBS and other real estate related assets that are classified as either available-for-sale or held-to-maturity. The Company has also elected the fair value option for certain CMBS. | |
Classification of Loans | |
Loans held-for-investment are stated at the principal amount outstanding, net of deferred loan fees and costs in accordance with GAAP. | |
Loan Impairment | |
The Company’s loans are typically collateralized by commercial real estate. As a result, the Company regularly evaluates the extent and impact of any credit migration associated with the performance and/or value of the underlying collateral property as well as the financial and operating capability of the borrower/sponsor on a loan by loan basis. Specifically, a property’s operating results and any cash reserves are analyzed and used to assess (i) whether cash from operations are sufficient to cover the debt service requirements currently and into the future, (ii) the ability of the borrower to refinance the loan, and/or (iii) the property’s liquidation value. The Company also evaluates the financial wherewithal of any loan guarantors as well as the borrower’s competency in managing and operating the properties. In addition, the Company considers the overall economic environment, real estate sector, and geographic sub-market in which the borrower operates. Such impairment analyses are completed and reviewed by asset management and finance personnel, who utilize various data sources, including (i) periodic financial data such as debt service coverage ratio, property occupancy, tenant profile, rental rates, operating expenses, the borrower’s exit plan, and capitalization and discount rates, (ii) site inspections, and (iii) current credit spreads and discussions with market participants. | |
For loans classified as held-for-investment, the Company evaluates the loans for possible impairment on a quarterly basis. Impairment occurs when it is deemed probable that the Company will not be able to collect all amounts due according to the contractual terms of the loan. Impairment is then measured based on the present value of expected future cash flows discounted at the loan’s effective rate or the fair value of the collateral, if the loan is collateral dependent. Upon measurement of impairment, the Company records an allowance to reduce the carrying value of the loan with a corresponding charge to net income. Significant judgments are required in determining impairment, including making assumptions regarding the value of the loan, the value of the underlying collateral and other provisions such as guarantees. The Company has determined that it is likely that it will receive contractual payments and a loan loss reserve was not necessary at December 31, 2014 and 2013. | |
Fair Value Election | |
Securities at estimated fair value consist of CMBS which are pledged under the Company’s master repurchase agreements with Wells Fargo Bank, N.A. (“Wells Fargo”) (the “Wells Facility”), UBS AG, London Branch ("UBS") (the "UBS Facility") and Deutsche Bank AG ("DB") (the "DB Facility"). In accordance with GAAP, the Company elects the fair value option for these securities at the date of purchase in order to allow the Company to measure these securities at fair value with the change in estimated fair value included as a component of earnings in order to reflect the performance of investment in a timely manner. | |
Securities Available-for-sale | |
The Company has designated investments in certain mortgage-backed securities as available-for-sale because the Company may dispose of them prior to maturity and does not hold them principally for the purpose of selling them in the near term. Securities available-for-sale are carried at estimated fair value with the net unrealized gains or losses reported as a component of accumulated other comprehensive income (loss) in stockholders’ equity. Unrealized losses on securities that reflect a decline in value that is judged by management to be other than temporary, if any, are charged to earnings. | |
When the estimated fair value of a security is less than amortized cost, the Company considers whether there is an other-than-temporary impairment (“OTTI”) in the value of the security. An impairment is deemed an OTTI if (i) the Company intends to sell the security, (ii) it is more likely than not that the Company will be required to sell the security before recovering its cost basis, or (iii) the Company does not expect to recover the entire amortized cost basis of the security even if the Company does not intend to sell the security or believes it is more likely than not that the Company will be required to sell the security before recovering its cost basis. If the impairment is deemed to be an OTTI, the resulting accounting treatment depends on the factors causing the OTTI. If the OTTI has resulted from (i) the Company’s intention to sell the security, or (ii) its judgment that it is more likely than not that it will be required to sell the security before recovering its cost basis, an impairment loss is recognized in current earnings equal to the difference between its amortized cost basis and fair value. Whereas, if the OTTI has resulted from the Company’s conclusion that it will not recover its cost basis even if the Company does not intend to sell the security or believes it is more likely than not that the Company will be required to sell the security before recovering its cost basis, the credit loss portion of the impairment is recorded in current earnings and the portion of the loss related to other factors, such as changes in interest rates, continues to be recognized in accumulated other comprehensive income. Determining whether there is an OTTI may require management to exercise significant judgment and make significant assumptions, including, but not limited to, estimated cash flows, estimated prepayments, loss assumptions, and assumptions regarding changes in interest rates. As a result, actual impairment losses could differ from reported amounts. Such judgments and assumptions are based upon a number of factors, including (i) credit of the issuer or the borrower, (ii) credit rating of the security, (iii) key terms of the security, (iv) performance of the loan or underlying loans, including debt service coverage and loan-to-value ratios, (v) the value of the collateral for the loan or underlying loans, (vi) the effect of local, industry, and broader economic factors, and (vii) the historical and anticipated trends in defaults and loss severities for similar securities. | |
Securities, held-to-maturity | |
GAAP requires that at the time of purchase, we designate investment securities as held-to-maturity, available-for-sale, or trading depending on our investment strategy and ability to hold such securities to maturity. Held-to-maturity securities where we have not elected to apply the fair value option are stated at cost plus any premiums or discounts, which are amortized or accreted through the consolidated statements of operations using the effective interest method. | |
Investments in unconsolidated joint venture | |
Investments are accounted for under the equity method when the requirements for consolidation are not met, and the Company has significant influence over the operations of the investee. Equity method investments are initially recorded at cost and subsequently adjusted for the Company's share of net income or loss and cash contributions and distributions each period. Investments in unconsolidated joint ventures are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. An impairment loss is measured based on the excess of the carrying amount of an investment over its estimated fair value. Impairment analyses are based on current plans, intended holding periods and available information at the time the analyses are prepared. The evaluation of anticipated cash flows is subjective and is based, in part, on assumptions regarding future occupancy, rental rates and capital requirements that could differ materially from actual results. | |
Interest Income Recognition | |
Interest income on commercial mortgage loans is accrued based on the actual coupon rate and the outstanding principal balance adjusted for accretion of any purchase discounts, the amortization of any purchase premiums and the accretion of any deferred fees. Purchase premiums, purchase discounts and deferred fees are accreted into income using the effective yield method, adjusted for prepayments. | |
Interest income on CMBS is accrued using the effective yield method, which includes the accretion of purchase discounts and the amortization of purchase premiums and the stated coupon interest payments. | |
Interest income on securities rated below AA by a nationally recognized statistical rating organization is recognized based on the effective yield method. The effective yield on these securities is based on the projected cash flows from each security, which are estimated based on the Manager’s observation of current information and events and may include assumptions related to prepayment rates and the timing and amount of credit losses. On at least a quarterly basis, the Company reviews and, if appropriate, makes adjustments to cash flow projections. | |
Deferred Financing Costs | |
Costs incurred in connection with collateralized financings are capitalized and amortized over the respective financing terms and are reflected on the accompanying consolidated statement of operations as a component of interest expense. At December 31, 2014 and 2013, respectively, the Company had approximately $7,444 and $628 of capitalized financing costs, net of amortization included in other assets on the consolidated balance sheets. | |
Earnings per Share | |
GAAP requires use of the two-class method of computing earnings per share for all periods presented for each class of common stock and participating security as if all earnings for the period had been distributed. Under the two-class method, during periods of net income, the net income is first reduced for dividends declared on all classes of securities to arrive at undistributed earnings. During periods of net losses, the net loss is reduced for dividends declared on participating securities only if the security has the right to participate in the earnings of the entity and an objectively determinable contractual obligation to share in net losses of the entity. | |
The remaining earnings are allocated to common stockholders and participating securities, to the extent that each security shares in earnings, as if all of the earnings for the period had been distributed. Each total is then divided by the applicable number of shares to arrive at basic earnings per share. For the diluted earnings, the denominator includes all outstanding shares of common stock and all potential shares of common stock assumed issued if they are dilutive. The numerator is adjusted for any changes in income or loss that would result from the assumed conversion of these potential shares of common stock. | |
Hedging Instruments and Hedging Activities | |
Consistent with maintaining its qualification as a REIT, in the normal course of business, the Company uses a variety of derivative financial instruments to manage, or hedge, interest rate and foreign currency risk. Derivatives are used for hedging purposes rather than speculation. The Company determines their fair value and obtains quotations from a third party to facilitate the process in determining these fair values. If the Company’s hedging activities do not achieve the desired results, reported earnings may be adversely affected. | |
GAAP requires an entity to recognize all derivatives as either assets or liabilities in the balance sheets and to measure those instruments at fair value. To the extent the instrument qualifies for hedge accounting, the fair value adjustments will be recorded as a component of other comprehensive income in stockholders’ equity until the hedged item is recognized in earnings. Whenever the Company decides not to pursue hedge accounting, the fair value adjustments will be recorded in earnings immediately based on changes in the fair market value of those instruments. | |
In order to mitigate interest rate risk resulting from the Company’s floating-rate borrowings under the Wells Facility, the Company entered into interest rate swaps and caps with an aggregate notional equal to the borrowings outstanding under the Wells Facility during 2010. The interest rate swaps were used to hedge the floating-rate borrowings through the expected maturity of the underlying collateral and the interest rate caps were used to hedge the floating-rate borrowings related to the potential extension of the underlying collateral. All of the Company's interest rate swaps and caps have matured as of December 31, 2014. | |
The Company has not designated any of its derivative instruments as hedges under GAAP and therefore, changes in the fair value of the Company's derivatives are recorded directly in earnings. | |
Repurchase Agreements | |
Securities sold under repurchase agreements will be treated as collateralized financing transactions, unless they meet sales treatment. Securities financed through a repurchase agreement will remain on the Company’s consolidated balance sheet as an asset and cash received from the purchaser will be recorded on the Company’s consolidated balance sheet as a liability. Interest paid in accordance with repurchase agreements will be recorded in interest expense. | |
Share-based Payments | |
The Company accounts for share-based compensation to its independent directors and to the Manager and to employees of the Manager and its affiliates using the fair value based methodology prescribed by GAAP. Compensation cost related to restricted common stock issued to the Company’s independent directors is measured at its estimated fair value at the grant date, and amortized into expense over the vesting period on a straight-line basis. Compensation cost related to restricted common stock issued to the Manager and to employees of the Manager and its affiliates will initially be measured at estimated fair value at the grant date, and remeasured on subsequent dates to the extent the awards are unvested. To amortize compensation expense for the restricted common stock granted to the Manager and to employees of the Manager and its affiliates, the Company uses the graded vesting attribution method. | |
Income Taxes | |
The Company has elected to be taxed as a REIT under Sections 856-859 of the Internal Revenue Code of 1986, as amended. Under those sections, a REIT which distributes at least 90% of its REIT taxable income, excluding net capital gains and determined without regard to the dividends paid deduction, as a dividend to its shareholders each year and which meets certain other conditions will not be taxed on that portion of its taxable income which is distributed to its shareholders. | |
The Company has elected to treat certain consolidated subsidiaries, and may in the future elect to treat newly formed subsidiaries, as taxable REIT subsidiaries. Taxable REIT subsidiaries may participate in non-real estate related activities and/or perform non-customary services for tenants and are subject to U.S. federal and state income tax at regular corporate tax rates. | |
The Company’s major tax jurisdictions are U.S. federal, New York State and New York City and the statute of limitations is open for all jurisdictions for the years 2011 through 2014. The Company does not have any unrecognized tax benefits and does not expect a change in its position for unrecognized tax benefits in the next 12 months. The Company has a net operating loss carryforward of approximately $1,400 which expires in the year 2029. | |
Foreign Currency | |
The Company may enter into transactions not denominated in U.S. dollars. Foreign exchange gains and losses arising on such transactions are recorded as a gain or loss in the Company's consolidated statements of operations. Non-U.S. dollar denominated assets and liabilities are translated to U.S. dollars at the exchange rate prevailing at the reporting date and income, expenses, gains, and losses are translated at the prevailing exchange rate on the dates that they were recorded. | |
Principles of Consolidation | |
We consolidate all entities that we control through either majority ownership or voting rights. In addition, we consolidate all variable interest entities ("VIE") of which we are considered the primarily beneficiary. VIEs are defined as entities in which equity investors (i) do not have the characteristics of a controlling financial interest and/or (ii) do not have sufficient equity at risk for the entity to finance its activities without additional subordinated financial support from other parties. The entity that consolidates a VIE is known as its primary beneficiary and is generally the entity with (i) the power to direct the activities that most significantly affect the VIE’s economic performance and (ii) the right to receive benefits from the VIE or the obligation to absorb losses of the VIE that could be significant to the VIE. | |
Securitization/Sale and Financing Arrangements | |
We periodically sell our financial assets, such as commercial mortgage loans, CMBS and other assets. In connection with these transactions, we may retain or acquire senior or subordinated interests in the related assets. Gains and losses on such transactions are recognized using the guidance in Accounting Standards Codification (“ASC”) Topic 860, Transfers and Servicing, which is based on a financial components approach that focuses on control. Under this approach, after a transfer of financial assets that meets the criteria for treatment as a sale-legal isolation, ability of transferee to pledge or exchange the transferred assets without constraint, and transferred control-an entity recognizes the financial assets it retains and any liabilities it has incurred, derecognizes the financial assets it has sold, and derecognizes liabilities when extinguished. We determine the gain or loss on sale of the assets by allocating the carrying value of the sold asset between the sold asset and the interests retained based on their relative fair values, as applicable. The gain or loss on sale is the difference between the cash proceeds from the sale and the amount allocated to the sold asset. If the sold asset is being accounted for pursuant to the fair value option, there is no gain or loss. | |
When a transfer of a financial asset meets the criteria for treatment as a sale (legal isolation, ability of transferee to pledge or exchange the transferred assets without constraint, and transferred control) the Company recognizes the financial assets it retains and any liabilities it has incurred, derecognizes the financial assets it has sold, and derecognizes liabilities when extinguished. The gain or loss on sale of the assets is determined by allocating the carrying value of the sold asset between the sold asset and the interests retained based on their relative fair values, as applicable. The gain or loss on sale is the difference between the cash proceeds from the sale and the amount allocated to the sold asset. If the sold asset is being accounted for pursuant to the fair value option, there is no gain or loss. | |
Recent Accounting Pronouncements | |
In January 2013, the Financial Accounting Standards Board (the “FASB”) issued guidance to clarify the scope of disclosures about offsetting assets and liabilities. The amendments clarify that the scope of guidance issued in December 2011 to enhance disclosures around financial instruments and derivative instruments that are either (1) offset, or (2) subject to a master netting arrangement or similar agreement, irrespective of whether they are offset, applies to derivatives, including bifurcated embedded derivatives, repurchase agreements and reverse repurchase agreements, and securities borrowing and securities lending transactions that are either offset or subject to an enforceable master netting arrangement or similar agreement. The amendments are effective for interim and annual periods beginning on or after January 1, 2013. As the amendments are limited to disclosure only, the adoption of this guidance did not have a material impact on the consolidated financial statements of the Company’s consolidated financial statements. | |
In February 2013, the FASB issued an update which includes amendments that require an entity to report the effect of significant reclassifications out of accumulated other comprehensive income ("OCI") on the respective line items in net income if the amount being reclassified is required under GAAP to be reclassified in its entirety to net income. For other amounts that are not required under GAAP to be reclassified in their entirety to net income in the same reporting period, an entity is required to cross-reference other required disclosures that provide additional detail about those amounts. The new requirement presents information on amounts reclassified out of accumulated OCI and their corresponding effect on net income in one place or in some cases, provides for cross-references to related footnote disclosures. For public entities, the amendments are effective prospectively for reporting periods beginning after December 15, 2012. During 2014, 2013 and 2012, the Company had no amounts reclassified into or out of OCI. | |
In June 2013, the FASB issued guidance to change the assessment of whether an entity is an investment company by developing a new two-tiered approach that requires an entity to possess certain fundamental characteristics while allowing judgment in assessing certain typical characteristics. The fundamental characteristics that an investment company is required to have include the following: (1) it obtains funds from one or more investors and provides the investor(s) with investment management services; (2) it commits to its investor(s) that its business purpose and only substantive activities are investing the funds solely for returns from capital appreciation, investment income or both; and (3) it does not obtain returns or benefits from an investee or its affiliates that are not normally attributable to ownership interests. The typical characteristics of an investment company that an entity should consider before concluding whether it is an investment company include the following: (1) it has more than one investment; (2) it has more than one investor; (3) it has investors that are not related parties of the parent or the investment manager; (4) it has ownership interests in the form of equity or partnership interests; and (5) it manages substantially all of its investments on a fair value basis. The new approach requires an entity to assess all of the characteristics of an investment company and consider its purpose and design to determine whether it is an investment company. The guidance includes disclosure requirements about an entity’s status as an investment company and financial support provided or contractually required to be provided by an investment company to its investees. The guidance is effective for interim and annual reporting periods in fiscal years beginning after December 15, 2013. Earlier application is prohibited. The guidance prohibits REITs from qualifying for investment company accounting and, as such, the Company has determined that it will not meet the definition of an investment company under this ASU. | |
In May 2014, the FASB issued guidance which broadly amends the accounting guidance for revenue recognition. This guidance is effective for the first interim or annual period beginning after December 15, 2016, and is to be applied prospectively. The Company does not anticipate that the adoption of this guidance will have a material impact on the Company's consolidated financial statements. | |
In June 2014, the FASB issued guidance which amends the accounting guidance for repurchase-to-maturity transactions and repurchase agreements executed as repurchase financings, and requires additional disclosure about certain transactions by the transferor. The guidance is effective for certain transactions that qualify for sales treatment for the first interim or annual period beginning after December 15, 2014. The new disclosure requirements for repurchase agreements, securities lending transactions and repurchase-to-maturity transactions that qualify for secured borrowing treatment is effective for annual periods beginning after December 15, 2014 and for interim periods beginning after March 15, 2014. The Company currently records repurchase arrangements as secured borrowings and does not anticipate this guidance will have an impact on the Company's consolidated financial statements. | |
In June 2014, the FASB issued guidance which amends the accounting guidance for repurchase-to-maturity transactions and repurchase agreements executed as repurchase financings, and requires additional disclosure about certain transactions by the transferor. The guidance is effective for certain transactions that qualify for sales treatment for the first interim or annual period beginning after December 15, 2014. The new disclosure requirements for repurchase agreements, securities lending transactions and repurchase-to-maturity transactions that qualify for secured borrowing treatment is effective for annual periods beginning after December 15, 2014 and for interim periods beginning after March 15, 2014. The Company currently records repurchase arrangements as secured borrowings and does not anticipate this guidance will have an impact on the Company's consolidated financial statements. | |
In August 2014, the FASB issued guidance regarding management’s responsibility to evaluate whether there is substantial doubt about an entity’s ability to continue as a going concern and to provide related footnote disclosures. The new guidance requires that management evaluate each annual and interim reporting period whether conditions exist that give rise to substantial doubt about the entity’s ability to continue as a going concern within one year from the financial statement issuance date, and if so, provide related disclosures. Disclosures are only required if conditions give rise to substantial doubt, whether or not the substantial doubt is alleviated by management’s plans. No disclosures are required specific to going concern uncertainties if an assessment of the conditions does not give rise to substantial doubt. Substantial doubt exists when conditions and events, considered in the aggregate, indicate that it is probable that a company will be unable to meet its obligations as they become due within one year after the financial statement issuance date. If substantial doubt is alleviated as a result of the consideration of management’s plans, a company should disclose information that enables users of financial statements to understand all of the following (or refer to similar information disclosed elsewhere in the footnotes): (1) principal conditions that initially give rise to substantial doubt, (2) management’s evaluation of the significance of those conditions in relation to the company’s ability to meet its obligations, and (3) management’s plans that alleviated substantial doubt. If substantial doubt is not alleviated after considering management’s plans, disclosures should enable investors to understand the underlying conditions, and include the following: (1) a statement indicating that there is substantial doubt about the company’s ability to continue as a going concern within one year after the issuance date, (2) the principal conditions that give rise to substantial doubt, (3) management’s evaluation of the significance of those conditions in relation to the company’s ability to meet its obligations, and (4) management's plans that are intended to mitigate the adverse conditions. The new guidance applies to all companies. The guidance is effective for interim and annual reporting periods in fiscal years beginning after December 15, 2016. Early adoption is permitted. The Company does not anticipate that the adoption of this guidance will have a material impact on the Company's consolidated financial statements. |
Fair_Value_Disclosure
Fair Value Disclosure | 12 Months Ended | |||||||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | ||||||||||||||||||||||||||||||||
Fair Value Disclosure | Fair Value Disclosure | |||||||||||||||||||||||||||||||
GAAP establishes a hierarchy of valuation techniques based on observable inputs utilized in measuring financial instruments at fair values. Market based or observable inputs are the preferred source of values, followed by valuation models using management assumptions in the absence of market inputs. The three levels of the hierarchy are described below: | ||||||||||||||||||||||||||||||||
Level I — Quoted prices in active markets for identical assets or liabilities. | ||||||||||||||||||||||||||||||||
Level II — Prices are determined using other significant observable inputs. Observable inputs are inputs that other market participants would use in pricing a security. These may include quoted prices for similar securities, interest rates, prepayment speeds, credit risk and others. | ||||||||||||||||||||||||||||||||
Level III — Prices are determined using significant unobservable inputs. In situations where quoted prices or observable inputs are unavailable (for example, when there is little or no market activity for an investment at the end of the period), unobservable inputs may be used. | ||||||||||||||||||||||||||||||||
While the Company anticipates that its valuation methods will be appropriate and consistent with other market participants, the use of different methodologies, or assumptions, to determine the fair value of certain financial instruments could result in a different estimate of fair value at the reporting date. The Company will use inputs that are current as of the measurement date, which may include periods of market dislocation, during which price transparency may be reduced. | ||||||||||||||||||||||||||||||||
The estimated fair value of the CMBS portfolio is determined by reference to market prices provided by certain dealers who make a market in these financial instruments. Broker quotes are only indicative of fair value and may not necessarily represent what the Company would receive in an actual trade for the applicable instrument. Management performs additional analysis on prices received based on broker quotes to validate the prices and adjustments are made as deemed necessary by management to capture current market information. The estimated fair values of the Company’s securities are based on observable market parameters and are classified as Level II in the fair value hierarchy. | ||||||||||||||||||||||||||||||||
The estimated fair values of the Company’s derivative instruments are determined using a discounted cash flow analysis on the expected cash flows of each derivative. The fair values of interest rate swaps are determined using the market standard methodology of netting the discounted future fixed cash receipts (or payments) and the discounted expected variable cash payments (or receipts). The fair values of interest rate caps are determined using the market standard methodology of discounting the future expected cash receipts that would occur if variable interest rates rise above the strike rate of the caps. The variable interest rates used in the calculation of projected cash flows are based on an expectation of future interest rates derived from observable market interest rate curves and volatilities. The fair values of FX forwards are determined by comparing the contracted forward exchange rate to the current market exchange rate. The current market exchange rates are determined by using market spot rates, forward rates and interest rate curves for the underlying countries. The Company’s derivative instruments are classified as Level II in the fair value hierarchy. | ||||||||||||||||||||||||||||||||
The following table summarizes the levels in the fair value hierarchy into which the Company’s financial instruments were categorized as of December 31, 2014 and 2013: | ||||||||||||||||||||||||||||||||
Fair Value as of December 31, 2014 | Fair Value as of December 31, 2013 | |||||||||||||||||||||||||||||||
Level I | Level II | Level III | Total | Level I | Level II | Level III | Total | |||||||||||||||||||||||||
CMBS (Available-for-Sale) | $ | — | $ | 17,105 | $ | — | $ | 17,105 | $ | — | $ | 33,362 | $ | — | $ | 33,362 | ||||||||||||||||
CMBS (Fair Value Option) | — | 522,730 | — | 522,730 | — | 158,086 | — | 158,086 | ||||||||||||||||||||||||
Derivative instruments | — | 4,070 | — | 4,070 | — | — | — | — | ||||||||||||||||||||||||
Total | $ | — | $ | 543,905 | $ | — | $ | 543,905 | $ | — | $ | 191,448 | $ | — | $ | 191,448 | ||||||||||||||||
Debt_Securities
Debt Securities | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | ||||||||||||||||||||
Debt Securities | Debt Securities | |||||||||||||||||||
At December 31, 2014, all of the Company's CMBS (Available-for-Sale) and CMBS (Fair Value Option) were pledged to secure borrowings under the Company’s master repurchase agreements with Wells Fargo Bank, N.A. (“Wells Fargo”) (the “Wells Facility”), UBS AG, London Branch ("UBS") (the "UBS Facility") and Deutsche Bank AG ("DB") (the "DB Facility"). (See Note 9 for a description of these facilities). | ||||||||||||||||||||
CMBS (Held-to-Maturity) represents a loan the Company closed during May 2014 that was subsequently contributed to a securitization during August 2014. During May 2014, the Company closed a $155,000 floating-rate whole loan secured by the first mortgage and equity interests in an entity that owns a resort hotel in Aruba. The property consists of 442 hotels rooms,114 timeshare units, two casinos and approximately 131,500 square feet of retail space. During June 2014, the Company syndicated a $90,000 senior participation in the loan and retained a $65,000 junior participation. The Company evaluated this transaction and concluded due to our continuing involvement it should not be accounted for as a sale. During August 2014, both the $90,000 senior participation and the Company's $65,000 junior participation were contributed to a CMBS securitization. In exchange for contributing its $65,000 junior participation, the Company received a CMBS secured solely by the $65,000 junior participation. The whole loan has a three-year term with two one-year extension options and an appraised loan-to-value ("LTV") of approximately 60%. | ||||||||||||||||||||
During 2014, the Company purchased CMBS with an aggregate face amount of $387,100 and an aggregate purchase price of $375,006. The CMBS were financed under the DB Facility and the Company elected the fair value option for these securities. | ||||||||||||||||||||
The amortized cost and estimated fair value of the Company’s debt securities at December 31, 2014 are summarized as follows: | ||||||||||||||||||||
Security Description | Face | Amortized | Gross | Gross | Estimated | |||||||||||||||
Amount | Cost | Unrealized | Unrealized | Fair Value | ||||||||||||||||
Gain | Loss | |||||||||||||||||||
CMBS (Available-for-Sale) | $ | 17,013 | $ | 17,783 | $ | — | $ | (678 | ) | $ | 17,105 | |||||||||
CMBS (Fair Value Option) | 527,177 | 516,443 | 7,322 | (1,035 | ) | 522,730 | ||||||||||||||
Total | $ | 544,190 | $ | 534,226 | $ | 7,322 | $ | (1,713 | ) | $ | 539,835 | |||||||||
The following table presents information about the Company's debt securities that were in an unrealized loss position at December 31, 2014: | ||||||||||||||||||||
Unrealized Loss Position for Less than 12 months | Unrealized Loss Position for 12 months or More | |||||||||||||||||||
Security Description | Fair Value | Unrealized Loss | Fair Value | Unrealized Loss | ||||||||||||||||
CMBS (Available-for-Sale) | $ | — | $ | — | $ | 17,105 | $ | (678 | ) | |||||||||||
CMBS (Fair Value Option) | 130,435 | (1,019 | ) | 6,315 | (16 | ) | ||||||||||||||
Total | $ | 130,435 | $ | (1,019 | ) | $ | 23,420 | $ | (694 | ) | ||||||||||
The gross unrealized losses on the available-for-sale securities results from the fair value of the securities falling below the amortized cost basis. These unrealized losses are primarily the result of market factors other than credit impairment and the Company believes the carrying value of the securities are fully recoverable over their expected holding period. Management does not intend to sell or expect to be forced to sell the securities prior to the Company recovering the amortized cost. As such, management does not believe any of the securities are other than temporarily impaired. | ||||||||||||||||||||
The amortized cost and estimated fair value of the Company’s debt securities at December 31, 2013 are summarized as follows: | ||||||||||||||||||||
Security Description | Face | Amortized | Gross | Gross | Estimated | |||||||||||||||
Amount | Cost | Unrealized | Unrealized | Fair Value | ||||||||||||||||
Gain | Loss | |||||||||||||||||||
CMBS (Available-for-Sale) | $ | 33,066 | $ | 34,232 | $ | — | $ | (870 | ) | $ | 33,362 | |||||||||
CMBS (Fair Value Option) | 155,577 | 155,946 | 2,313 | (173 | ) | 158,086 | ||||||||||||||
Total | $ | 188,643 | $ | 190,178 | $ | 2,313 | $ | (1,043 | ) | $ | 191,448 | |||||||||
The temporary impairment of the available-for-sale securities results from the fair value of the securities falling below the amortized cost basis. These unrealized losses are primarily the result of market factors other than credit impairment and the Company believes the carrying value of the securities are fully recoverable over their expected holding period. Management does not intend to sell or expect to be forced to sell the securities prior to the Company recovering the amortized cost. Additionally, all unrealized losses on securities available-for-sale at December 31, 2013 have existed for less than twelve months. As such, management does not believe any of the securities are other than temporarily impaired. | ||||||||||||||||||||
The overall statistics for the Company’s CMBS (Available-for-Sale) and CMBS (Fair Value Option) calculated on a weighted average basis as of December 31, 2014 and 2013 are as follows: | ||||||||||||||||||||
December 31, | December 31, | |||||||||||||||||||
2014 | 2013 | |||||||||||||||||||
Credit Ratings * | AAA-CCC- | AAA-CCC | ||||||||||||||||||
Coupon | 5.9 | % | 5.8 | % | ||||||||||||||||
Yield | 6.4 | % | 5.3 | % | ||||||||||||||||
Weighted Average Life | 2.3 years | 3.1 years | ||||||||||||||||||
* | Ratings per Fitch Ratings, Moody’s Investors Service or Standard &Poor's. | |||||||||||||||||||
The percentage vintage, property type, and location of the collateral securing the Company’s CMBS (Available-for-Sale) and CMBS (Fair Value Option) calculated on a weighted average basis as of December 31, 2014 and 2013 are as follows: | ||||||||||||||||||||
Vintage | December 31, | December 31, | ||||||||||||||||||
2014 | 2013 | |||||||||||||||||||
2005 | 9 | % | — | % | ||||||||||||||||
2006 | 19 | 3 | ||||||||||||||||||
2007 | 63 | 97 | ||||||||||||||||||
2008 | 9 | — | ||||||||||||||||||
Total | 100 | % | 100 | % | ||||||||||||||||
Property Type | December 31, | December 31, | ||||||||||||||||||
2014 | 2013 | |||||||||||||||||||
Office | 33.4 | % | 33.2 | % | ||||||||||||||||
Retail | 29.1 | 25.1 | ||||||||||||||||||
Multifamily | 13.3 | 15.3 | ||||||||||||||||||
Hotel | 9.2 | 12 | ||||||||||||||||||
Other * | 15 | 14.4 | ||||||||||||||||||
Total | 100 | % | 100 | % | ||||||||||||||||
* | No other individual category comprises more than 10% of the total. | |||||||||||||||||||
Location | December 31, | December 31, | ||||||||||||||||||
2014 | 2013 | |||||||||||||||||||
South Atlantic | 23.2 | % | 23.4 | % | ||||||||||||||||
Middle Atlantic | 21.1 | 22.8 | ||||||||||||||||||
Pacific | 17 | 17.6 | ||||||||||||||||||
East North Central | 11 | — | ||||||||||||||||||
Other * | 27.7 | 36.2 | ||||||||||||||||||
Total | 100 | % | 100 | % | ||||||||||||||||
* | No other individual category comprises more than 10% of the total. |
Commercial_Mortgage_Loans
Commercial Mortgage Loans | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Mortgage Loans on Real Estate [Line Items] | |||||||||||||||||||||
Loans | |||||||||||||||||||||
Property Type | Location | Interest | Final | Periodic | Face | Carrying | |||||||||||||||
Rate | Extended Maturity | Payment Terms | amount of | amount of | |||||||||||||||||
Date | loans | loans | |||||||||||||||||||
Commercial mortgage loans | |||||||||||||||||||||
Hotel | Maryland | 9 | % | Apr -15 | 24,590 | 24,557 | |||||||||||||||
Condo Conversion | New York | 9.67 | % | Sept - 16 | Interest only | 33,846 | 33,961 | ||||||||||||||
Condo Construction | Maryland | 10.5 | % | 17-Mar | Interest only | 28,000 | 27,520 | ||||||||||||||
Vacation Home Portfolio | Various | 7.5 | % | 19-Apr | 100,046 | 99,086 | |||||||||||||||
Hotel | Pennsylvania | 4.71 | % | 19-May | Interest only | 34,000 | 33,842 | ||||||||||||||
Condo Construction | Maryland | 10.75 | % | 17-Jun | Interest only | 20,000 | 19,616 | ||||||||||||||
Multifamily | New York | 4.41 | % | 19-Aug | Interest only | 30,000 | 30,110 | ||||||||||||||
Mixed Use | Ohio | 9.25 | % | 20-May | 20,000 | 18,309 | |||||||||||||||
Condo Conversion | New York | 3.75 | % | 16-Jun | Interest only | 67,300 | 64,714 | ||||||||||||||
Multifamily | North Dakota | 5.15 | % | 19-Nov | 57,792 | 57,297 | |||||||||||||||
Vacation Home Portfolio | Various US cities | 7 | % | 21-Nov | Interest only | 50,000 | 49,508 | ||||||||||||||
Total commercial mortgage loans | 465,574 | 458,520 | |||||||||||||||||||
Subordinate loans (1) | |||||||||||||||||||||
Office | Michigan | 13 | % | Jun - 20 | 8,813 | 8,813 | |||||||||||||||
Ski Resort | California | 13.25 | % | May - 17 | Interest only | 40,000 | 39,771 | ||||||||||||||
Mixed Use | North Carolina | 11.1 | % | Aug - 22 | Interest only | 6,525 | 6,525 | ||||||||||||||
Office Complex | Missouri | 11.75 | % | Oct - 22 | 9,711 | 9,711 | |||||||||||||||
Hotel Portfolio | Various US cities | 11.07 | % | Nov - 16 | 34,042 | 33,995 | |||||||||||||||
Condo Construction | New York | 13.25 | % | July - 18 | Interest only | 76,344 | 76,005 | ||||||||||||||
Multifamily Conversion | New York | 10.23 | % | Dec - 15 | Interest only | 14,608 | 14,703 | ||||||||||||||
Hotel Portfolio | Minnesota | 11 | % | Feb - 18 | 24,486 | 24,486 | |||||||||||||||
Warehouse Portfolio | Various US cities | 11.5 | % | May - 23 | Interest only | 32,000 | 32,000 | ||||||||||||||
Multifamily Conversion | New York | 12.25 | % | Feb - 15 | Interest only | 44,000 | 43,989 | ||||||||||||||
Office Condo | New York | 11.25 | % | Jul - 22 | Interest only | 14,000 | 13,596 | ||||||||||||||
Condo Conversion | New York | 9.67 | % | Sept - 16 | Interest only | 29,751 | 29,762 | ||||||||||||||
Mixed Use | Pennsylvania | 9.42 | % | Aug - 18 | Interest only | 22,500 | 22,473 | ||||||||||||||
Mixed Use | Various US cities | 14 | % | Dec - 18 | Interest only | 19,464 | 19,294 | ||||||||||||||
Mixed Use | England | 9.25 | % | 15-Jan | Interest only | 52,355 | 52,355 | ||||||||||||||
Healthcare Portfolio | Various US | 9.43 | % | 19-Jun | Interest only | 50,000 | 50,000 | ||||||||||||||
Hotel | New York | 10.25 | % | 19-Jul | Interest only | 20,000 | 19,870 | ||||||||||||||
Ski Resort | Montana | 14 | % | 20-Sep | Interest only | 15,000 | 14,861 | ||||||||||||||
Mixed Use | New York | 10.66 | % | 19-Dec | 50,000 | 48,973 | |||||||||||||||
Total subordinate loans | 563,599 | 561,182 | |||||||||||||||||||
Total | $ | 1,029,173 | $ | 1,019,702 | (2) | ||||||||||||||||
-1 | Subject to prior liens. | ||||||||||||||||||||
-2 | The aggregate cost for federal income tax purposes is $1,019,702. | ||||||||||||||||||||
The following table summarizes the changes in the carrying amounts of mortgage loans during 2014 and 2013. | |||||||||||||||||||||
Reconciliation of Carrying Amount of Loans | |||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||
Balance at beginning of year | $ | 658,583 | $ | 389,167 | |||||||||||||||||
New loans | 802,664 | 401,912 | |||||||||||||||||||
Sales | (4,950 | ) | — | ||||||||||||||||||
Collections of principal | (299,551 | ) | (137,168 | ) | |||||||||||||||||
Discount accretion | 4,316 | 4,672 | |||||||||||||||||||
Foreign currency loss | (4,095 | ) | — | ||||||||||||||||||
Payment-in-kind | 16,570 | — | |||||||||||||||||||
Exchange for CMBS (held-to-maturity) | (153,835 | ) | — | ||||||||||||||||||
Balance at the close of year | $ | 1,019,702 | $ | 658,583 | |||||||||||||||||
Commercial mortgage loans [Member] | |||||||||||||||||||||
Mortgage Loans on Real Estate [Line Items] | |||||||||||||||||||||
Loans | Commercial Mortgage Loans | ||||||||||||||||||||
The Company’s commercial mortgage loan portfolio was comprised of the following at December 31, 2014: | |||||||||||||||||||||
Description | Date of | Maturity | Original | Current | Carrying | Coupon | Property Size | ||||||||||||||
Investment | Date | Face | Face | Value | |||||||||||||||||
Amount | Amount | ||||||||||||||||||||
Hotel - Silver Spring, MD (1) | 10-Mar | 15-Apr | $ | 26,000 | $ | 24,590 | $ | 24,557 | Fixed | 263 rooms | |||||||||||
Condo Conversion – NY, NY (1)(2) | 13-Aug | 15-Sep | 33,000 | 33,846 | 33,961 | Floating | 40,000 sq. ft. | ||||||||||||||
Condo Construction - Potomac, MD (3) | 14-Feb | 16-Sep | 28,000 | 28,000 | 27,520 | Floating | 50 units | ||||||||||||||
Vacation Home Portfolio - Various | 14-Apr | 19-Apr | 101,000 | 100,046 | 99,086 | Fixed | 229 properties | ||||||||||||||
Hotel - Philadelphia, PA (1)(4) | 14-May | 17-May | 34,000 | 34,000 | 33,842 | Floating | 301 rooms | ||||||||||||||
Condo Construction - Bethesda, MD (5) | 14-Jun | 16-Dec | 20,000 | 20,000 | 19,616 | Floating | 40 units | ||||||||||||||
Multifamily - Brooklyn, NY (1)(6) | 14-Jul | 16-Aug | 30,000 | 30,000 | 30,110 | Floating | 63 units | ||||||||||||||
Mixed Use - Cincinnati, Ohio (7) | 14-Nov | 18-May | 20,000 | 20,000 | 18,309 | Floating | 65 acres | ||||||||||||||
Condo Conversion - NY, NY (1)(8) | 14-Nov | 15-Dec | 67,300 | 67,300 | 64,714 | Floating | 86,000 sq. ft. | ||||||||||||||
Multifamily - Williston, North Dakota (1)(4) | 14-Nov | 17-Nov | 58,000 | 57,792 | 57,297 | Floating | 366 units/homes | ||||||||||||||
Vacation Home Portfolio - Various U.S. (4) | 14-Nov | 19-Nov | 50,000 | 50,000 | 49,508 | Fixed | 24 properties | ||||||||||||||
Total/Weighted Average | $ | 467,300 | $ | 465,574 | $ | 458,520 | 6.84 | % | |||||||||||||
-1 | At December 31, 2014, this loan was pledged to secure borrowings under the Company’s master repurchase facility entered into with JPMorgan Chase Bank, N.A. (the “JPMorgan Facility”). See Note 9 – Borrowings for a description of this facility. | ||||||||||||||||||||
-2 | This loan includes a one-year extension option subject to certain conditions and the payment of a fee. | ||||||||||||||||||||
-3 | This loan includes a six-month extension option subject to certain conditions and the payment of a fee. As of December 31, 2014, the Company had $52,000 of unfunded loan commitments related to this loan. | ||||||||||||||||||||
-4 | This loan includes two one-year extension options subject to certain conditions and the payment of a fee. | ||||||||||||||||||||
-5 | This loan includes a six-month extension option subject to certain conditions and the payment of a fee. As of December 31, 2014, the Company had $45,100 of unfunded loan commitments related to this loan. | ||||||||||||||||||||
-6 | This loan includes three one-year extension options subject to certain conditions and the payment of a fee for each extension. As of December 31, 2014, the Company had $4,500 of unfunded loan commitments related to this loan. | ||||||||||||||||||||
-7 | This loan includes two one-year extension options subject to certain conditions and the payment of a fee. As of December 31, 2014, the Company had $145,000 of unfunded loan commitments related to this loan. | ||||||||||||||||||||
-8 | This loan includes a six-month extension option subject to certain conditions and the payment of a fee. | ||||||||||||||||||||
During November 2014, the Company received the full repayment from a whole loan secured by an office condominium in New York City as well as a hotel in New York City. | |||||||||||||||||||||
During the fourth quarter of 2014, the Company received the full repayment from a whole loan secured by a condominium conversion project in New York City. | |||||||||||||||||||||
The Company’s commercial mortgage loan portfolio was comprised of the following as of December 31, 2013: | |||||||||||||||||||||
Description | Date of | Maturity | Original | Current | Carrying | Coupon | Property Size | ||||||||||||||
Investment | Date | Face | Face | Value | |||||||||||||||||
Amount | Amount | ||||||||||||||||||||
Hotel - NY, NY (1) | 10-Jan | 15-Feb | $ | 32,000 | $ | 31,317 | $ | 31,317 | Fixed | 151 rooms | |||||||||||
Office Condo (Headquarters) - NY, NY (1) | 10-Feb | 15-Feb | 28,000 | 27,169 | 27,169 | Fixed | 73,419 sq. ft. | ||||||||||||||
Hotel - Silver Spring, MD (1) | 10-Mar | 15-Apr | 26,000 | 24,947 | 24,785 | Fixed | 263 rooms | ||||||||||||||
Condo Conversion – NY, NY (2) | 12-Dec | 15-Jan | 45,000 | 45,000 | 44,867 | Floating | 119,000 sq. ft. | ||||||||||||||
Condo Conversion – NY, NY (3) | 13-Aug | 15-Sep | 33,000 | 33,167 | 32,961 | Floating | 40,000 sq. ft. | ||||||||||||||
Total/Weighted Average | $ | 164,000 | $ | 161,600 | $ | 161,099 | 8.82 | % | |||||||||||||
-1 | At December 31, 2013, this loan was pledged to secure borrowings under the JPMorgan Facility. See Note 9 – Borrowings for a description of this facility. | ||||||||||||||||||||
-2 | This loan includes two one-year extension options subject to certain conditions and the payment of a fee for each extension. | ||||||||||||||||||||
-3 | This loan includes a one-year extension option subject to certain conditions and the payment of a fee. | ||||||||||||||||||||
During March 2013, the Company consented to the transfer of the controlling ownership of the borrower under the Silver Spring, Maryland loan. In conjunction with its consent, the Company received a $280 fee, which will be recognized over the remaining life of the loan. | |||||||||||||||||||||
During September 2013, two senior sub-participation interests in a first mortgage loan which was secured by over 20 acres of land in South Boston, Massachusetts were repaid at par. The senior sub-participation interests were purchased at 78% of par (including a 3% brokerage fee). | |||||||||||||||||||||
The Company evaluates each loan for possible impairment on a quarterly basis. The Company regularly evaluates the extent and impact of any credit deterioration associated with the performance and/or value of the underlying collateral property as well as the financial and operating capability of the borrower/sponsor on a loan by loan basis. Specifically, a property’s operating results and any cash reserves are analyzed and used to assess (i) whether cash from operations are sufficient to cover the debt service requirements currently and into the future, (ii) the ability of the borrower to refinance the loan, and/or (iii) the property’s liquidation value. The Company also evaluates the financial wherewithal of any loan guarantors as well as the borrower’s competency in managing and operating the properties. In addition, the Company considers the overall economic environment, real estate sector, and geographic sub-market in which the borrower operates. Such loan loss analyses are completed and reviewed by asset management and finance personnel, who utilize various data sources, including (i) periodic financial data such as debt service coverage ratio, property occupancy, tenant profile, rental rates, operating expenses, the borrower’s exit plan, and capitalization and discount rates, (ii) site inspections, and (iii) current credit spreads and discussions with market participants. An allowance for loan loss is established when it is deemed probable that the Company will not be able to collect all amounts due according to the contractual terms of the loan. The Company has determined that an allowance for loan losses was not necessary at December 31, 2014 and 2013. |
Subordinate_Loans
Subordinate Loans | 12 Months Ended | ||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||
Mortgage Loans on Real Estate [Line Items] | |||||||||||||||||||
Loans | |||||||||||||||||||
Property Type | Location | Interest | Final | Periodic | Face | Carrying | |||||||||||||
Rate | Extended Maturity | Payment Terms | amount of | amount of | |||||||||||||||
Date | loans | loans | |||||||||||||||||
Commercial mortgage loans | |||||||||||||||||||
Hotel | Maryland | 9 | % | Apr -15 | 24,590 | 24,557 | |||||||||||||
Condo Conversion | New York | 9.67 | % | Sept - 16 | Interest only | 33,846 | 33,961 | ||||||||||||
Condo Construction | Maryland | 10.5 | % | 17-Mar | Interest only | 28,000 | 27,520 | ||||||||||||
Vacation Home Portfolio | Various | 7.5 | % | 19-Apr | 100,046 | 99,086 | |||||||||||||
Hotel | Pennsylvania | 4.71 | % | 19-May | Interest only | 34,000 | 33,842 | ||||||||||||
Condo Construction | Maryland | 10.75 | % | 17-Jun | Interest only | 20,000 | 19,616 | ||||||||||||
Multifamily | New York | 4.41 | % | 19-Aug | Interest only | 30,000 | 30,110 | ||||||||||||
Mixed Use | Ohio | 9.25 | % | 20-May | 20,000 | 18,309 | |||||||||||||
Condo Conversion | New York | 3.75 | % | 16-Jun | Interest only | 67,300 | 64,714 | ||||||||||||
Multifamily | North Dakota | 5.15 | % | 19-Nov | 57,792 | 57,297 | |||||||||||||
Vacation Home Portfolio | Various US cities | 7 | % | 21-Nov | Interest only | 50,000 | 49,508 | ||||||||||||
Total commercial mortgage loans | 465,574 | 458,520 | |||||||||||||||||
Subordinate loans (1) | |||||||||||||||||||
Office | Michigan | 13 | % | Jun - 20 | 8,813 | 8,813 | |||||||||||||
Ski Resort | California | 13.25 | % | May - 17 | Interest only | 40,000 | 39,771 | ||||||||||||
Mixed Use | North Carolina | 11.1 | % | Aug - 22 | Interest only | 6,525 | 6,525 | ||||||||||||
Office Complex | Missouri | 11.75 | % | Oct - 22 | 9,711 | 9,711 | |||||||||||||
Hotel Portfolio | Various US cities | 11.07 | % | Nov - 16 | 34,042 | 33,995 | |||||||||||||
Condo Construction | New York | 13.25 | % | July - 18 | Interest only | 76,344 | 76,005 | ||||||||||||
Multifamily Conversion | New York | 10.23 | % | Dec - 15 | Interest only | 14,608 | 14,703 | ||||||||||||
Hotel Portfolio | Minnesota | 11 | % | Feb - 18 | 24,486 | 24,486 | |||||||||||||
Warehouse Portfolio | Various US cities | 11.5 | % | May - 23 | Interest only | 32,000 | 32,000 | ||||||||||||
Multifamily Conversion | New York | 12.25 | % | Feb - 15 | Interest only | 44,000 | 43,989 | ||||||||||||
Office Condo | New York | 11.25 | % | Jul - 22 | Interest only | 14,000 | 13,596 | ||||||||||||
Condo Conversion | New York | 9.67 | % | Sept - 16 | Interest only | 29,751 | 29,762 | ||||||||||||
Mixed Use | Pennsylvania | 9.42 | % | Aug - 18 | Interest only | 22,500 | 22,473 | ||||||||||||
Mixed Use | Various US cities | 14 | % | Dec - 18 | Interest only | 19,464 | 19,294 | ||||||||||||
Mixed Use | England | 9.25 | % | 15-Jan | Interest only | 52,355 | 52,355 | ||||||||||||
Healthcare Portfolio | Various US | 9.43 | % | 19-Jun | Interest only | 50,000 | 50,000 | ||||||||||||
Hotel | New York | 10.25 | % | 19-Jul | Interest only | 20,000 | 19,870 | ||||||||||||
Ski Resort | Montana | 14 | % | 20-Sep | Interest only | 15,000 | 14,861 | ||||||||||||
Mixed Use | New York | 10.66 | % | 19-Dec | 50,000 | 48,973 | |||||||||||||
Total subordinate loans | 563,599 | 561,182 | |||||||||||||||||
Total | $ | 1,029,173 | $ | 1,019,702 | (2) | ||||||||||||||
-1 | Subject to prior liens. | ||||||||||||||||||
-2 | The aggregate cost for federal income tax purposes is $1,019,702. | ||||||||||||||||||
The following table summarizes the changes in the carrying amounts of mortgage loans during 2014 and 2013. | |||||||||||||||||||
Reconciliation of Carrying Amount of Loans | |||||||||||||||||||
2014 | 2013 | ||||||||||||||||||
Balance at beginning of year | $ | 658,583 | $ | 389,167 | |||||||||||||||
New loans | 802,664 | 401,912 | |||||||||||||||||
Sales | (4,950 | ) | — | ||||||||||||||||
Collections of principal | (299,551 | ) | (137,168 | ) | |||||||||||||||
Discount accretion | 4,316 | 4,672 | |||||||||||||||||
Foreign currency loss | (4,095 | ) | — | ||||||||||||||||
Payment-in-kind | 16,570 | — | |||||||||||||||||
Exchange for CMBS (held-to-maturity) | (153,835 | ) | — | ||||||||||||||||
Balance at the close of year | $ | 1,019,702 | $ | 658,583 | |||||||||||||||
Subordinate Loans [Member] | |||||||||||||||||||
Mortgage Loans on Real Estate [Line Items] | |||||||||||||||||||
Loans | Subordinate Loans | ||||||||||||||||||
The Company’s subordinate loan portfolio was comprised of the following as of December 31, 2014: | |||||||||||||||||||
Description | Date of | Maturity | Original | Current | Carrying | Coupon | |||||||||||||
Investment | Date | Face | Face | Value | |||||||||||||||
Amount | Amount | ||||||||||||||||||
Office - Michigan | 10-May | 20-Jun | $ | 9,000 | $ | 8,813 | $ | 8,813 | Fixed | ||||||||||
Ski Resort - California | 11-Apr | 17-May | 40,000 | 40,000 | 39,771 | Fixed | |||||||||||||
Mixed Use – North Carolina | 12-Jul | 22-Aug | 6,525 | 6,525 | 6,525 | Fixed | |||||||||||||
Office Complex - Missouri | 12-Sep | 22-Oct | 10,000 | 9,711 | 9,711 | Fixed | |||||||||||||
Hotel Portfolio – Various (1) | 12-Nov | 15-Nov | 50,000 | 34,042 | 33,995 | Floating | |||||||||||||
Condo Construction – NY, NY (1) | 13-Jan | 17-Jul | 60,000 | 76,344 | 76,005 | Fixed | |||||||||||||
Multifamily Conversion – NY, NY (1) | 13-Jan | 15-Dec | 18,000 | 14,608 | 14,703 | Floating | |||||||||||||
Hotel Portfolio – Rochester, MN | 13-Jan | 18-Feb | 25,000 | 24,486 | 24,486 | Fixed | |||||||||||||
Warehouse Portfolio - Various | 13-May | 23-May | 32,000 | 32,000 | 32,000 | Fixed | |||||||||||||
Multifamily Conversion – NY, NY (2) | 13-May | 15-Feb | 44,000 | 44,000 | 43,989 | Floating | |||||||||||||
Office Condo - NY, NY | 13-Jul | 22-Jul | 14,000 | 14,000 | 13,596 | Fixed | |||||||||||||
Condo Conversion – NY, NY (1) | 13-Aug | 15-Sep | 29,400 | 29,751 | 29,762 | Floating | |||||||||||||
Mixed Use - Pittsburgh, PA (3) | 13-Aug | 16-Aug | 22,500 | 22,500 | 22,473 | Floating | |||||||||||||
Mixed Use - Various (3) | 13-Dec | 16-Dec | 17,000 | 19,464 | 19,294 | Fixed | |||||||||||||
Mixed Use - London, England | 14-Apr | 15-Jan | 50,009 | 52,355 | 52,355 | Fixed | |||||||||||||
Healthcare Portfolio - Various (4) | 14-Jun | 16-Jun | 50,000 | 50,000 | 50,000 | Floating | |||||||||||||
Hotel - NY, NY (4) | 14-Jul | 16-Jul | 20,000 | 20,000 | 19,870 | Floating | |||||||||||||
Ski Resort - Big Sky, Montana | 14-Aug | 20-Sep | 15,000 | 15,000 | 14,861 | Fixed | |||||||||||||
Mixed Use - New York, NY (5) | 14-Dec | 17-Dec | 50,000 | 50,000 | 48,973 | Floating | |||||||||||||
Total/Weighted Average | $ | 562,434 | $ | 563,599 | $ | 561,182 | 11.34 | % | |||||||||||
-1 | Includes a one-year extension option subject to certain conditions and the payment of an extension fee. | ||||||||||||||||||
-2 | Includes a three-month extension option subject to certain conditions and the payment of an extension fee. | ||||||||||||||||||
-3 | Includes two one-year extension options subject to certain conditions and the payment of a fee for each extension. | ||||||||||||||||||
-4 | Includes three one-year extension options subject to certain conditions and the payment of an extension fee. | ||||||||||||||||||
-5 | Includes two one-year extension options subject to certain conditions and the payment of a fee for each extension. As of December 31, 2014, the Company had $32,500 of unfunded loan commitments related to this loan. | ||||||||||||||||||
During January 2014, the Company received a $15,000 principal repayment from a subordinate loan secured by a pledge of the equity interests in the owner of a New York City hotel. | |||||||||||||||||||
During June 2014, the Company received a $47,000 principal repayment from a mezzanine loan secured by a pledge of the equity interests in a portfolio of skilled nursing facilities. | |||||||||||||||||||
During August 2014, the Company received the final repayment from a $50,000 mezzanine loan secured by a pledge of the equity interests in a borrower that owns a portfolio of seven office parks throughout Florida. | |||||||||||||||||||
During November 2014, the Company received the final repayment from a $28,250 mezzanine loan secured by a pledge of the equity interests in a borrower that owns the leasehold interest in a hotel in New York City. | |||||||||||||||||||
During the fourth quarter of 2014, the Company received the full repayment from a subordinate loan secured by a condominium conversion project in New York City. | |||||||||||||||||||
The Company’s subordinate loan portfolio was comprised of the following as of December 31, 2013: | |||||||||||||||||||
Description | Date of | Maturity | Original | Current | Carrying | Coupon | |||||||||||||
Investment | Date | Face | Face | Value | |||||||||||||||
Amount | Amount | ||||||||||||||||||
Office - Michigan | 10-May | 20-Jun | $ | 9,000 | $ | 8,866 | $ | 8,866 | Fixed | ||||||||||
Ski Resort - California | 11-Apr | 17-May | 40,000 | 40,000 | 39,781 | Fixed | |||||||||||||
Hotel– New York (1) | 12-Jan | 14-Feb | 15,000 | 15,000 | 15,207 | Fixed | |||||||||||||
Mixed Use – North Carolina | 12-Jul | 22-Jul | 6,525 | 6,525 | 6,525 | Fixed | |||||||||||||
Office Complex - Missouri | 12-Sep | 22-Oct | 10,000 | 9,849 | 9,849 | Fixed | |||||||||||||
Hotel Portfolio – Various (1) | 12-Nov | 15-Nov | 50,000 | 48,431 | 48,397 | Floating | |||||||||||||
Condo Conversion – NY, NY (2) | 12-Dec | 15-Jan | 35,000 | 35,000 | 34,734 | Floating | |||||||||||||
Condo Construction – NY, NY (1) | 13-Jan | 17-Jul | 60,000 | 66,800 | 66,340 | Fixed | |||||||||||||
Multifamily Conversion – NY, NY (1) | 13-Jan | 14-Dec | 18,000 | 18,000 | 17,906 | Floating | |||||||||||||
Hotel Portfolio – Rochester, MN | 13-Jan | 18-Feb | 25,000 | 24,771 | 24,771 | Fixed | |||||||||||||
Warehouse Portfolio - Various | 13-May | 23-May | 32,000 | 32,000 | 32,000 | Fixed | |||||||||||||
Multifamily Conversion – NY, NY (3) | 13-May | 14-Jun | 44,000 | 44,000 | 43,859 | Floating | |||||||||||||
Office Condo - NY, NY | 13-Jul | 22-Jul | 14,000 | 14,000 | 13,565 | Fixed | |||||||||||||
Condo Conversion – NY, NY (4) | 13-Aug | 15-Sep | 294 | 295 | 2 | Floating | |||||||||||||
Mixed Use - Pittsburgh, PA (1) | 13-Aug | 16-Aug | 22,500 | 22,500 | 22,342 | Floating | |||||||||||||
Healthcare Portfolio - Various | 13-Oct | 14-Jun | 47,000 | 47,000 | 47,000 | Floating | |||||||||||||
Mixed Use - Florida (2) | 13-Nov | 18-Oct | 50,000 | 50,000 | 49,535 | Floating | |||||||||||||
Mixed Use - Various (2) | 13-Dec | 18-Dec | 17,000 | 17,000 | 16,805 | Fixed | |||||||||||||
Total/Weighted Average | $ | 495,319 | $ | 500,037 | $ | 497,484 | 11.6 | % | |||||||||||
-1 | Includes a one-year extension option subject to certain conditions and the payment of an extension fee. | ||||||||||||||||||
-2 | Includes two one-year extension options subject to certain conditions and the payment of a fee for each extension. | ||||||||||||||||||
-3 | Includes a three-month extension option subject to certain conditions and the payment of an extension fee. | ||||||||||||||||||
-4 | Includes a one-year extension option subject to certain conditions and the payment of an extension fee. As of December 31, 2013, the Company had $29,106 of unfunded loan commitments related to this loan. | ||||||||||||||||||
In February 2013, the Company received principal repayments on two mezzanine loans totaling $50,000 secured by a portfolio of retail shopping centers located throughout the United States. In connection with the repayment, the Company received a yield maintenance payment totaling $2,500 . | |||||||||||||||||||
In June 2013, the Company received the repayment of a $15,000 mezzanine loan secured by a hotel in New York City. In connection with the repayment, the Company received a yield maintenance payment totaling $1,233. | |||||||||||||||||||
During October 2013, the Company received a full principal repayment from a $25,000 mezzanine loan secured by a portfolio of hotels in New York City. | |||||||||||||||||||
During 2013, the Company received a full principal repayment from a $25,000 subordinate financing secured by a retail center in Woodbridge, Virginia. | |||||||||||||||||||
The Company evaluates its loans for possible impairment on a quarterly basis. See Note 5 – Commercial Mortgage Loans for a summary of the metrics reviewed. The Company has determined that an allowance for loan loss was not necessary at December 31, 2014 and December 31, 2013. |
Unconsolidated_Joint_Venture
Unconsolidated Joint Venture | 12 Months Ended |
Dec. 31, 2014 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Unconsolidated Joint Venture | Unconsolidated Joint Venture |
In September 2014, the Company, through a wholly owned subsidiary, acquired a 59% ownership interest in Champ Limited Partnership (“Champ LP”) following which a wholly-owned subsidiary of Champ LP then acquired a 35% ownership interest in KBC Bank Deutschland AG ("KBC Bank"), the German subsidiary of Belgian KBC Group NV. The Company acquired its ownership interest in Champ LP for an initial purchase price paid at closing of approximately €30,724 ($39,477). The Company committed to invest up to approximately €38,000 ($50,000). Through its interest in Champ LP, the Company holds an indirect ownership interest in KBC Bank of approximately 21%. The Company together with other affiliated investors, in aggregate, own 100% of Champ LP. Champ LP together with certain unaffiliated third party investors, in aggregate, own 100% of KBC Bank. | |
KBC Bank specializes in corporate banking and financial services for medium-sized German companies. It also provides professional real estate financing, acquisition finance, institutional asset management and private wealth management services for German high-net-worth individuals. Following the closing of the transaction, KBC Bank was renamed Bremer Kreditbank AG and will operate under the name BKB Bank. | |
The Company determined that Champ LP met the definition of a VIE and that it was not the primary beneficiary; therefore, we did not consolidate the assets and liabilities of the partnership. Additionally, Champ LP is an Investment Company under GAAP, and is therefore reflected at fair value. Our investment in Champ LP is accounted for as an equity method investment and therefore we record our proportionate share of the net asset value. |
Repurchase_Agreement
Repurchase Agreement | 12 Months Ended |
Dec. 31, 2014 | |
Investment Repurchase Agreement Disclosure [Abstract] | |
Repurchase Agreement | Repurchase Agreement |
During 2011, the Company funded a $47,439 investment structured in the form of a repurchase facility secured by a Class A-2 CDO bond. The $47,439 of borrowings provided under the facility financed the purchase of a CDO bond with an aggregate face amount of $68,726, representing an advance rate of 69% on the CDO bond’s face amount. The Class A-2 CDO bond, originally rated AAA/Aaa, is currently rated A-/Baa1. The CDO is comprised of 58 senior and subordinate commercial real estate debt positions and commercial real estate securities with the majority of the debt and securities underlying the CDO being first mortgages. | |
The repurchase facility had an interest of 13.0% (10.0% current pay with a 3.0% accrual) on amounts outstanding and had an initial term of 18 months with three six-month extensions options available to the borrower. Any principal repayments that occured prior to the 21st month were subject to a make-whole provision at the full 13.0% interest rate. | |
In January 2013, the repurchase agreement was repaid in full. Upon the repayment, the Company realized a 17% IRR on its investment. |
Borrowings
Borrowings | 12 Months Ended | |||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||
Debt Disclosure [Abstract] | ||||||||||||||||||||||||
Borrowings | Borrowings | |||||||||||||||||||||||
At December 31, 2014 and 2013, the Company had borrowings outstanding under the JPMorgan Facility, the Wells Facility, the UBS Facility and the DB Facility. At December 31, 2014 and 2013, the Company’s borrowings had the following debt balances, weighted average maturities and interest rates: | ||||||||||||||||||||||||
December 31, 2014 | 31-Dec-13 | |||||||||||||||||||||||
Debt | Weighted | Weighted | Debt | Weighted | Weighted | |||||||||||||||||||
Balance | Average | Average | Balance | Average | Average | |||||||||||||||||||
Remaining | Rate | Remaining | Rate | |||||||||||||||||||||
Maturity | Maturity | |||||||||||||||||||||||
Wells Facility borrowings | $ | 20,166 | 0.2 years | 1 | % | $ | 47,751 | 0.2 years | 1.2 | % | ** | |||||||||||||
UBS Facility borrowings | 133,899 | 3.7 years | * | 2.8 | % | 133,899 | 4.7 years | 2.8 | % | Fixed | ||||||||||||||
DB Facility borrowings | 300,005 | 3.3 years | 3.7 | % | — | 0.0 years | — | % | *** | |||||||||||||||
JPMorgan Facility borrowings | 168,124 | 0.1 years | 2.7 | % | 20,383 | 1.1 years | 2.7 | % | L+250 | |||||||||||||||
Total borrowings | $ | 622,194 | 3.2 years | 3.2 | % | $ | 202,033 | 3.3 years | 2.4 | % | ||||||||||||||
* | Assumes extension options are exercised. | |||||||||||||||||||||||
** At December 31, 2013, borrowings outstanding under the Wells Facility bore interest at LIBOR plus 105 basis points. At December 31, 2014, borrowings outstanding under the Wells Facility bore interest at LIBOR plus 80 basis points. | ||||||||||||||||||||||||
*** Advances under the DB Facility accrue interest at a per annum pricing rate based on the rate implied by the fixed rate bid under a fixed for floating interest rate swap for the receipt of payments indexed to three-month U.S. dollar LIBOR, plus a financing spread ranging from 1.80% to 2.32% based on the rating of the collateral pledged. | ||||||||||||||||||||||||
At December 31, 2014, the Company’s borrowings had the following remaining maturities: | ||||||||||||||||||||||||
Less than | 1 to 3 | 3 to 5 | More than | Total | ||||||||||||||||||||
1 year | years | years | 5 years | |||||||||||||||||||||
Wells Facility borrowings | $ | 20,166 | $ | — | $ | — | $ | — | $ | 20,166 | ||||||||||||||
UBS Facility borrowings * | — | 133,899 | — | — | 133,899 | |||||||||||||||||||
DB Facility borrowings | 40,476 | 213,654 | 45,875 | — | 300,005 | |||||||||||||||||||
JPMorgan Facility borrowings | 168,124 | — | — | — | 168,124 | |||||||||||||||||||
Total | $ | 228,766 | $ | 347,553 | $ | 45,875 | $ | — | $ | 622,194 | ||||||||||||||
* | Assumes extension options are exercised. | |||||||||||||||||||||||
The table below summarizes the outstanding balances, as well as the maximum and average balances as of December 31, 2014 and 2013. | ||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||
Balance at | Maximum Month-End | Average Month-End | Balance at | Maximum Month-End | Average Month-End | |||||||||||||||||||
December 31, | Balance | Balance | December 31, | Balance | Balance | |||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||
Wells Facility borrowings | $ | 20,166 | $ | 47,751 | $ | 28,921 | $ | 47,751 | $ | 225,156 | $ | 168,747 | ||||||||||||
UBS Facility borrowings | 133,899 | 133,899 | 133,899 | 133,899 | 133,899 | 31,728 | ||||||||||||||||||
DB Facility borrowings | 300,005 | 300,005 | 145,856 | $ | — | $ | — | $ | — | |||||||||||||||
JPMorgan Facility borrowings | 168,124 | 169,066 | 105,366 | $ | 20,383 | $ | 20,383 | $ | 3,138 | |||||||||||||||
Total | $ | 622,194 | $ | 202,033 | ||||||||||||||||||||
Repurchase Agreements | ||||||||||||||||||||||||
Wells Facility | ||||||||||||||||||||||||
In August 2010, the Company, through an indirect wholly owned subsidiary, entered into the Wells Facility. The Wells Facility currently provides for borrowings of up to $506,000 in order to finance the acquisition of AAA-rated CMBS. The term of the Wells Facility expires in March 2015. The purchase price of the CMBS is determined on a per asset basis by applying an advance rate schedule agreed upon by the Company and Wells Fargo. Amounts borrowed under the Wells Facility bear interest at a rate of LIBOR + 0.80%. Advance rates under the Wells Facility typically range from 85%-90% on the face amount of the underlying collateral depending on the weighted average life of the collateral pledged. Margin calls will occur any time the outstanding loan balance exceeds the lender’s required advance in accordance with agreed upon advance rates by more than $250. The Wells Facility contains, among others, the following restrictive covenants: (1) negative covenants intended to restrict the Company from failing to qualify as a REIT and (2) financial covenants to be met by the Company, including a minimum net asset value covenant (which shall not be less than an amount equal to (i) $100,000, (ii) 75% of the greatest net asset value during the prior calendar quarter and (iii) 65% of the greatest net asset value during the prior calendar year), a maximum total debt to consolidated tangible net worth covenant (8:1), a minimum liquidity covenant ($2,500) and a minimum EBITDA to interest expense covenant (1.5:1). The Company has agreed to provide a limited guarantee of up to 15%, or a maximum of $37,500, of the obligations of its indirect wholly-owned subsidiary under the Wells Facility. | ||||||||||||||||||||||||
The pricing margin for all assets financed under the Wells Facility is 1.50%. The Company is required to maintain at all times an amount in Repo Liquidity (as generally defined to include all amounts held in the collection account established under the Wells Facility for the benefit of Wells Fargo, cash, cash equivalents, super-senior CMBS rated AAA by at least two rating agencies, and total amounts immediately and unconditionally available on an unrestricted basis under all outstanding capital commitments, subscription facilities and secured revolving credit or repurchase facilities) no less than the greater of 10% of the total consolidated recourse indebtedness of the Company and $12,500. Advances under the Wells Facility accrue interest at a per annum pricing rate equal to the sum of (i) 30 day LIBOR and (ii) the applicable pricing margin. | ||||||||||||||||||||||||
UBS Facility | ||||||||||||||||||||||||
In September 2013, the Company through an indirect wholly-owned subsidiary entered into the UBS Facility, which currently provides that the Company may borrow up to $133,899 in order to finance the acquisition of CMBS. The UBS Facility has a term of four years, with a one-year extension available at the Company's option, subject to certain restrictions. Advances under the UBS Facility accrue interest at a per annum pricing rate equal to a spread of 1.55% per annum over the rate implied by the fixed rate bid under a fixed-for-floating interest rate swap for the receipt of payments indexed to six-month U.S. dollar LIBOR. The Company borrows 100% of the estimated fair value of the collateral pledged and posts margin equal to 22.5% of that borrowing amount in cash. The margin posted is classified as restricted cash on the Company's consolidated balance sheets. Additionally, beginning on the 121st day following the closing date and depending on the utilization rate of the facility, a portion of the undrawn amount may be subject to non-use fees. The UBS Facility contains customary terms and conditions for repurchase facilities of this type and financial covenants to be met by the Company, including a minimum net asset value covenant (which shall not be less than an amount equal to $500,000 and a maximum total debt to consolidated tangible net worth covenant (3:1). The Company has agreed to provide a full guarantee of the obligations of its indirect wholly-owned subsidiary under the UBS Facility. | ||||||||||||||||||||||||
DB Facility | ||||||||||||||||||||||||
In April 2014, the Company, through an indirect wholly-owned subsidiary, entered into the DB Facility, which currently provides that the Company may borrow up to $300,005 in order to finance the acquisition of CMBS. The DB Facility matures in April 2018, subject to certain restrictions. Advances under the DB Facility accrue interest at a per annum pricing rate based on the rate implied by the fixed rate bid under a fixed for floating interest rate swap for the receipt of payments indexed to three-month U.S. dollar LIBOR, plus a financing spread ranging from 1.80% to 2.32% based on the rating of the collateral pledged. The Company borrows an amount equal to the product of the estimated fair value of the collateral pledged divided by a margin ratio ranging from 125.00% to 181.82% depending on the collateral pledged. | ||||||||||||||||||||||||
Additionally, since December 7, 2014 and depending on the utilization rate of the facility, a portion of the undrawn amount may be subject to non-use fees. The DB Facility contains customary terms and conditions for repurchase facilities of this type and financial covenants to be met by the Company, including minimum shareholder's equity of 50% of the gross capital proceeds of its initial public offering and any subsequent public or private offerings. | ||||||||||||||||||||||||
JPMorgan Facility | ||||||||||||||||||||||||
In January 2010, the Company, through two indirect wholly owned subsidiaries, entered into the JPMorgan Facility. As of December 31, 2014 the JPMorgan Facility provided that the Company may borrow up to $175,000 in order to finance the origination and acquisition of commercial first mortgage loans and AAA-rated CMBS. Amounts borrowed under the JPMorgan Facility bore interest at a rate of LIBOR+2.5%. Advance rates under the JPMorgan Facility typically range from 65%-90% on the estimated fair value of the pledged collateral depending on its LTV. Margin calls will occur any time the outstanding loan balance exceeds the lender’s required advance in accordance with agreed upon advance rates by more than $250. The Company has agreed to provide a full guarantee for the obligations of its borrower subsidiaries under the JPMorgan Facility and is requires to hold minimum liquidity equal to the greater of 5% of its total recourse indebtedness and $15,000. The JPMorgan Facility contains, among others, the following restrictive covenants: (1) negative covenants relating to restrictions on the Company’s operations that would cease to allow the Company to qualify as a REIT and (2) financial covenants to be met by the Company when the repurchase facility is being utilized, including a minimum consolidated tangible net worth covenant ($125,000), maximum total debt to consolidated tangible net worth covenant (3:1), a minimum liquidity covenant (the greater of 10% of total consolidated recourse indebtedness and $12,500) and a minimum net income covenant (one U.S. dollar during any four consecutive fiscal quarters). The Company agreed to provide a limited guarantee of the obligations of its indirect wholly-owned subsidiaries under the Amended and Restated JPMorgan Facility. | ||||||||||||||||||||||||
The Company was in compliance with the financial covenants under its repurchase agreements at December 31, 2014 and December 31, 2013. |
Convertible_Senior_Notes
Convertible Senior Notes | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Debt Disclosure [Abstract] | ||||||||||||
Convertible Senior Notes | Convertible Senior Notes | |||||||||||
On March 17, 2014, the Company issued $143,750 aggregate principal amount of 5.50% Convertible Senior Notes due 2019 (the "March 2019 Notes"), for which the Company received net proceeds, after deducting the underwriting discount and estimated offering expense payable by the Company of approximately $139,037. At December 31, 2014, the March 2019 Notes had a carrying value of $139,769 and an unamortized discount of $3,980. | ||||||||||||
On August 18, 2014, the Company issued an additional $111,000 aggregate principal amount of 5.50% Convertible Senior Notes due 2019 (the "August 2019 Notes," and together with the March 2019 Notes, the "2019 Notes"), for which the Company received net proceeds, after deducting the underwriting discount and estimated offering expense payable by the Company of approximately $109,615. At December 31, 2014, the August 2019 Notes had a carrying value of $106,695 and an unamortized discount of $4,305. | ||||||||||||
The following table summarizes the terms of the 2019 Notes. | ||||||||||||
Principal Amount | Coupon Rate | Effective Rate (1) | Conversion Rate (2) | Maturity Date | Remaining Period of Amortization | |||||||
March 2019 Notes | $ | 143,750 | 5.5 | % | 6.25 | % | 55.3649 | 3/15/19 | 4.21 years | |||
August 2019 Notes | $ | 111,000 | 5.5 | % | 6.5 | % | 55.3649 | 3/15/19 | 4.21 years | |||
-1 | Effective rate includes the effect of the adjustment for the conversion option (See footnote (2) below), the value of which reduced the initial liability and was recorded in additional paid-in-capital. | |||||||||||
-2 | The Company has the option to settle any conversions in cash, shares of common stock or a combination thereof. The conversion rate represents the number of shares of common stock issuable per $1,000 principal amount of 2019 Notes converted. The if-converted value of the 2019 Notes does not exceed their principal amount at December 31, 2014 since the closing market price of the Company’s common stock of $16.36 per share does not exceed the implicit conversion prices of $18.06 for the 2019 Notes. | |||||||||||
GAAP requires the liability and equity components of convertible debt instruments that may be settled in cash upon conversion (including partial cash settlement) to be separately accounted for in a manner that reflects the issuer’s nonconvertible debt borrowing rate. GAAP requires that the initial proceeds from the sale of the 2019 Notes be allocated between a liability component and an equity component in a manner that reflects interest expense at the interest rate of similar nonconvertible debt that could have been issued by the Company at such time. The Company measured the fair value of the debt components of the 2019 Notes as of their issuance date based on effective interest rates. As a result, the Company attributed approximately $11,445 of the proceeds to the equity component of the 2019 Notes, which represents the excess proceeds received over the fair value of the liability component of the 2019 Notes at the date of issuance. The equity component of the 2019 Notes has been reflected within additional paid-in capital in the consolidated balance sheet as of December 31, 2014. The resulting debt discount is being amortized over the period during which the 2019 Notes are expected to be outstanding (the maturity date) as additional non-cash interest expense. The additional non-cash interest expense attributable to each of the 2019 Notes will increase in subsequent reporting periods through the maturity date as the 2019 Notes accrete to their par value over the same period. The aggregate contractual interest expense was approximately $8,493 for the year ended December 31, 2014, respectively. With respect to the amortization of the discount on the liability component of the 2019 Notes as well as the amortization of deferred financing costs, the Company reported additional non-cash interest expense of approximately $1,973 for the year ended December 31, 2014. | ||||||||||||
As of December 31, 2014 potential shares of common stock contingently issuable upon the conversion of the 2019 Notes were excluded from the calculation of diluted income per share because it is management's intent and ability to settle the obligation in cash. |
Participations_Sold
Participations Sold | 12 Months Ended | |||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||
Mortgage Loans on Real Estate [Line Items] | ||||||||||||||||||
Participations Sold | ||||||||||||||||||
Property Type | Location | Interest | Final | Periodic | Face | Carrying | ||||||||||||
Rate | Extended Maturity | Payment Terms | amount of | amount of | ||||||||||||||
Date | loans | loans | ||||||||||||||||
Commercial mortgage loans | ||||||||||||||||||
Hotel | Maryland | 9 | % | Apr -15 | 24,590 | 24,557 | ||||||||||||
Condo Conversion | New York | 9.67 | % | Sept - 16 | Interest only | 33,846 | 33,961 | |||||||||||
Condo Construction | Maryland | 10.5 | % | 17-Mar | Interest only | 28,000 | 27,520 | |||||||||||
Vacation Home Portfolio | Various | 7.5 | % | 19-Apr | 100,046 | 99,086 | ||||||||||||
Hotel | Pennsylvania | 4.71 | % | 19-May | Interest only | 34,000 | 33,842 | |||||||||||
Condo Construction | Maryland | 10.75 | % | 17-Jun | Interest only | 20,000 | 19,616 | |||||||||||
Multifamily | New York | 4.41 | % | 19-Aug | Interest only | 30,000 | 30,110 | |||||||||||
Mixed Use | Ohio | 9.25 | % | 20-May | 20,000 | 18,309 | ||||||||||||
Condo Conversion | New York | 3.75 | % | 16-Jun | Interest only | 67,300 | 64,714 | |||||||||||
Multifamily | North Dakota | 5.15 | % | 19-Nov | 57,792 | 57,297 | ||||||||||||
Vacation Home Portfolio | Various US cities | 7 | % | 21-Nov | Interest only | 50,000 | 49,508 | |||||||||||
Total commercial mortgage loans | 465,574 | 458,520 | ||||||||||||||||
Subordinate loans (1) | ||||||||||||||||||
Office | Michigan | 13 | % | Jun - 20 | 8,813 | 8,813 | ||||||||||||
Ski Resort | California | 13.25 | % | May - 17 | Interest only | 40,000 | 39,771 | |||||||||||
Mixed Use | North Carolina | 11.1 | % | Aug - 22 | Interest only | 6,525 | 6,525 | |||||||||||
Office Complex | Missouri | 11.75 | % | Oct - 22 | 9,711 | 9,711 | ||||||||||||
Hotel Portfolio | Various US cities | 11.07 | % | Nov - 16 | 34,042 | 33,995 | ||||||||||||
Condo Construction | New York | 13.25 | % | July - 18 | Interest only | 76,344 | 76,005 | |||||||||||
Multifamily Conversion | New York | 10.23 | % | Dec - 15 | Interest only | 14,608 | 14,703 | |||||||||||
Hotel Portfolio | Minnesota | 11 | % | Feb - 18 | 24,486 | 24,486 | ||||||||||||
Warehouse Portfolio | Various US cities | 11.5 | % | May - 23 | Interest only | 32,000 | 32,000 | |||||||||||
Multifamily Conversion | New York | 12.25 | % | Feb - 15 | Interest only | 44,000 | 43,989 | |||||||||||
Office Condo | New York | 11.25 | % | Jul - 22 | Interest only | 14,000 | 13,596 | |||||||||||
Condo Conversion | New York | 9.67 | % | Sept - 16 | Interest only | 29,751 | 29,762 | |||||||||||
Mixed Use | Pennsylvania | 9.42 | % | Aug - 18 | Interest only | 22,500 | 22,473 | |||||||||||
Mixed Use | Various US cities | 14 | % | Dec - 18 | Interest only | 19,464 | 19,294 | |||||||||||
Mixed Use | England | 9.25 | % | 15-Jan | Interest only | 52,355 | 52,355 | |||||||||||
Healthcare Portfolio | Various US | 9.43 | % | 19-Jun | Interest only | 50,000 | 50,000 | |||||||||||
Hotel | New York | 10.25 | % | 19-Jul | Interest only | 20,000 | 19,870 | |||||||||||
Ski Resort | Montana | 14 | % | 20-Sep | Interest only | 15,000 | 14,861 | |||||||||||
Mixed Use | New York | 10.66 | % | 19-Dec | 50,000 | 48,973 | ||||||||||||
Total subordinate loans | 563,599 | 561,182 | ||||||||||||||||
Total | $ | 1,029,173 | $ | 1,019,702 | (2) | |||||||||||||
-1 | Subject to prior liens. | |||||||||||||||||
-2 | The aggregate cost for federal income tax purposes is $1,019,702. | |||||||||||||||||
The following table summarizes the changes in the carrying amounts of mortgage loans during 2014 and 2013. | ||||||||||||||||||
Reconciliation of Carrying Amount of Loans | ||||||||||||||||||
2014 | 2013 | |||||||||||||||||
Balance at beginning of year | $ | 658,583 | $ | 389,167 | ||||||||||||||
New loans | 802,664 | 401,912 | ||||||||||||||||
Sales | (4,950 | ) | — | |||||||||||||||
Collections of principal | (299,551 | ) | (137,168 | ) | ||||||||||||||
Discount accretion | 4,316 | 4,672 | ||||||||||||||||
Foreign currency loss | (4,095 | ) | — | |||||||||||||||
Payment-in-kind | 16,570 | — | ||||||||||||||||
Exchange for CMBS (held-to-maturity) | (153,835 | ) | — | |||||||||||||||
Balance at the close of year | $ | 1,019,702 | $ | 658,583 | ||||||||||||||
Participating Mortgages [Member] | ||||||||||||||||||
Mortgage Loans on Real Estate [Line Items] | ||||||||||||||||||
Participations Sold | Participations Sold | |||||||||||||||||
During May 2014, the Company closed a $155,000 floating-rate whole loan secured by the first mortgage and equity interests in an entity that owns a resort hotel in Aruba. During June 2014, the Company syndicated a $90,000 senior participation in the loan and retained a $65,000 junior participation in the loan. During August 2014, both the $90,000 senior participation and the Company's $65,000 junior participation were contributed to a CMBS securitization. In exchange for contributing its $65,000 junior participation, the Company received a CMBS secured solely by the $65,000 junior participation and classified it as CMBS (held-to-maturity) on its consolidated financial statements. | ||||||||||||||||||
Participations sold represent the interest in the Aruba loan the Company originated and subsequently sold. The Company presents the participation sold as both assets and non-recourse liabilities because the participation does not qualify as a sale according to GAAP. At December 31, 2014, the Company had one such participation sold with a face amount of $90,000 and a carrying amount of $89,584. The participation sold has a cash coupon of LIBOR plus 440 basis points. The income earned on the participation sold is recorded as interest income and an identical amount is recorded as interest expense on the Company's consolidated statements of operations. |
Derivative_Instruments
Derivative Instruments | 12 Months Ended | |||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||||||||||||||||||||||||
Derivative Instruments | Derivative Instruments | |||||||||||||||||||||||
The Company uses interest rate swaps and caps to manage exposure to variable cash flows on portions of its borrowings under repurchase agreements. Interest rate swap and cap agreements allow the Company to receive a variable rate cash flow based on LIBOR and pay a fixed rate cash flow, mitigating the impact of this exposure. All of the Company's interest rate swaps and caps matured during the third quarter of 2013. | ||||||||||||||||||||||||
During April 2014, the Company entered into a forward contract whereby it agreed to sell £34,389 in exchange for $57,631 in January 2015. The forward contract was executed to economically fix the U.S. dollar amounts of foreign denominated cash flows expected to be received related to a foreign denominated loan investment which closed in the second quarter of 2014. | ||||||||||||||||||||||||
The Company has not designated any of its derivative instruments as hedges under GAAP and therefore, changes in the fair value of the Company's derivatives are recorded directly in earnings. | ||||||||||||||||||||||||
The following table summarizes the amounts recognized on the consolidated statements of operations related to the Company’s derivatives for the years ended December 31, 2014, 2013 and 2012. | ||||||||||||||||||||||||
Amount of loss | ||||||||||||||||||||||||
recognized in | ||||||||||||||||||||||||
income | ||||||||||||||||||||||||
Location of Loss Recognized in Income | 2014 | 2013 | 2012 | |||||||||||||||||||||
Interest rate swaps | Loss on derivative instruments – realized * | $ | — | $ | (157 | ) | $ | (895 | ) | |||||||||||||||
Interest rate swaps | Gain on derivative instruments – unrealized | — | $ | 156 | $ | 510 | ||||||||||||||||||
Interest rate caps | Loss on derivative instruments - unrealized | — | (1 | ) | (187 | ) | ||||||||||||||||||
Forward currency contract | Gain on derivative instruments - unrealized | 4,070 | — | — | ||||||||||||||||||||
Total | $ | 4,070 | $ | (2 | ) | $ | (572 | ) | ||||||||||||||||
* | Realized losses represent net amounts accrued for the Company’s derivative instruments during the period. | |||||||||||||||||||||||
The following table summarizes the gross asset and liability amounts related to the Company’s derivatives at December 31, 2014 and 2013. | ||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||
Gross | Gross | Net Amounts | Gross | Gross | Net Amounts | |||||||||||||||||||
Amount of | Amounts | of Assets | Amount of | Amounts | of Liabilities | |||||||||||||||||||
Assets | Offset in the | Presented in | Assets | Offset in the | Presented in | |||||||||||||||||||
Recognized | Statement | the Statement | Recognized | Statement | the Statement | |||||||||||||||||||
as | of Financial | of Financial | as | of Financial | of Financial | |||||||||||||||||||
Assets | Position | Position | Liabilities | Position | Position | |||||||||||||||||||
Interest rate swaps | $ | — | $ | — | $ | — | $ | — | $ | (156 | ) | $ | (156 | ) | ||||||||||
Interest rate caps | — | — | — | 1 | — | 1 | ||||||||||||||||||
Forward currency contract | $ | 4,070 | $ | — | $ | 4,070 | $ | — | $ | — | $ | — | ||||||||||||
Total derivative instruments | $ | 4,070 | $ | — | $ | 4,070 | $ | 1 | $ | (156 | ) | $ | (155 | ) | ||||||||||
Related_Party_Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2014 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Related Party Transactions |
Management Agreement | |
In connection with the Company’s initial public offering (“IPO”) in September 2009, the Company entered into a management agreement (the “Management Agreement”) with ACREFI Management, LLC (the “Manager”), which describes the services to be provided by the Manager and its compensation for those services. The Manager is responsible for managing the Company’s day-to-day operations, subject to the direction and oversight of the Company’s board of directors. | |
Pursuant to the terms of the Management Agreement, the Manager is paid a base management fee equal to 1.5% per annum of the Company’s stockholders’ equity (as defined in the Management Agreement), calculated and payable (in cash) quarterly in arrears. | |
The current term of the Management Agreement expires on September 29, 2015, and is automatically renewed for successive one-year terms on each anniversary thereafter. The Management Agreement may be terminated upon expiration of the one-year terms only upon the affirmative vote of at least two-thirds of the Company’s independent directors, based upon (1) unsatisfactory performance by the Manager that is materially detrimental to the Company or (2) a determination that the management fee payable to the Manager is not fair, subject to the Manager’s right to prevent such a termination based on unfair fees by accepting a mutually acceptable reduction of management fees agreed to by at least two-thirds of the Company’s independent directors. The Manager must be provided with written notice of any such termination at least 180 days prior to the expiration of the then existing term and will be paid a termination fee equal to three times the sum of the average annual base management fee during the 24-month period immediately preceding the date of termination, calculated as of the end of the most recently completed fiscal quarter prior to the date of termination. Following a meeting by the Company’s independent directors in February 2015, which included a discussion of the Manager’s performance and the level of the management fees thereunder, the Company determined not to seek termination of the Management Agreement. | |
For 2014, 2013 and 2012, respectively, the Company incurred approximately $11,960, $10,012 and $6,139 in base management fees. In addition to the base management fee, the Company is also responsible for reimbursing the Manager for certain expenses paid by the Manager on behalf of the Company or for certain services provided by the Manager to the Company. For 2014, 2013 and 2012, respectively, the Company recorded expenses totaling $985, $745 and $987 related to reimbursements for certain expenses paid by the Manager on behalf of the Company. Expenses incurred by the Manager and reimbursed by the Company are reflected in the respective consolidated statement of operations expense category or the consolidated balance sheet based on the nature of the item. | |
Included in payable to related party on the consolidated balance sheet at December 31, 2014 and December 31, 2013, respectively, is approximately $3,240 and $2,628 for base management fees incurred but not yet paid. | |
Unconsolidated Joint Venture | |
In September 2014, the Company, through a wholly owned subsidiary, acquired a 59% ownership interest in Champ LP following which a wholly-owned subsidiary of Champ LP then acquired a 35% ownership interest in KBC Bank, the German subsidiary of Belgian KBC Group NV. The Company acquired its ownership interest in Champ LP for an initial purchase price paid at closing of approximately €30,724 ($39,477). The Company committed to invest up to approximately €38,000 ($50,000). Through its interest in Champ LP, the Company holds an indirect ownership interest in KBC Bank of approximately 21%. The Company together with other affiliated investors, in aggregate, own 100% of Champ LP. Champ LP together with certain unaffiliated third party investors, in aggregate, own 100% of KBC Bank. |
ShareBased_Payments
Share-Based Payments | 12 Months Ended | |||||||||||||||
Dec. 31, 2014 | ||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||||||||||||||||
Share-Based Payments | Share-Based Payments | |||||||||||||||
On September 23, 2009, the Company’s board of directors approved the Apollo Commercial Real Estate Finance, Inc., 2009 Equity Incentive Plan (the “LTIP”). The LTIP provides for grants of restricted common stock, restricted stock units (“RSUs”) and other equity-based awards up to an aggregate of 7.5% of the issued and outstanding shares of the Company’s common stock (on a fully diluted basis). The LTIP is administered by the compensation committee of the Company’s board of directors (the “Compensation Committee”) and all grants under the LTIP must be approved by the Compensation Committee. | ||||||||||||||||
The Company recognized stock-based compensation expense of $1,576, $3,488 and $3,624 during 2014, 2013 and 2012, respectively, related to restricted stock and RSU vesting. The fair value of restricted stock that vested during 2014, 2013 and 2012 was $445, $293 and $717, respectively. The fair value of RSUs that vested during 2014, 2013 and 2012 was $2,729, $2,854 and $1,916, respectively. | ||||||||||||||||
The following table summarizes the grants, exchanges and forfeitures of restricted common stock and RSUs during 2014, 2013 and 2012: | ||||||||||||||||
Type | Date | Restricted Stock | RSUs | Estimate Fair Value | Initial Vesting | Final Vesting | ||||||||||
on Grant Date | ||||||||||||||||
Outstanding at January 1, 2012 | 161,032 | 402,709 | ||||||||||||||
Forfeiture | Feb-12 | — | (1,875 | ) | n/a | n/a | n/a | |||||||||
Grant | Mar-12 | — | 20,000 | 310 | Mar-13 | Mar-15 | ||||||||||
Grant | Apr-12 | 9,584 | — | 150 | Jul-12 | Apr-15 | ||||||||||
Grant | Aug-12 | 1,496 | — | 25 | Jul-13 | Jul-15 | ||||||||||
Canceled upon delivery | Oct-12 | — | (112,084 | ) | n/a | n/a | n/a | |||||||||
Grant | February 2013 | 20,000 | — | 352 | Dec-13 | Dec-15 | ||||||||||
Grant | Feb-13 | — | 180,000 | 3,166 | Dec-13 | Dec-15 | ||||||||||
Grant | Apr-13 | 11,304 | — | 200 | Jul-13 | Apr-16 | ||||||||||
Grant | May-13 | — | 15,000 | 264 | Dec-13 | Dec-15 | ||||||||||
Forfeiture | Jun-13 | — | (5,000 | ) | n/a | n/a | n/a | |||||||||
Canceled upon delivery | Jul-13 | — | (5,000 | ) | n/a | n/a | n/a | |||||||||
Grant | Sep-13 | — | 10,000 | 154 | Sep-13 | Sep-13 | ||||||||||
Grant | Nov-13 | 5,000 | — | 81 | Dec-13 | Oct-16 | ||||||||||
Canceled upon delivery | Jan-14 | — | (288,750 | ) | n/a | n/a | n/a | |||||||||
Grant | Apr-14 | 8,931 | — | 150 | Jul-14 | Apr-17 | ||||||||||
Grant | Apr-14 | 5,000 | — | 85 | Jul-14 | Apr-17 | ||||||||||
Canceled upon delivery | Apr-14 | — | (5,000 | ) | n/a | n/a | n/a | |||||||||
Grant | Jun-14 | — | 10,254 | 169 | Dec-14 | Dec-16 | ||||||||||
Grant | Dec-14 | 51,767 | — | 855 | Dec-15 | Dec-17 | ||||||||||
Grant | Dec-14 | — | 390,000 | 6,474 | Dec-15 | Dec-17 | ||||||||||
Outstanding at December 31, 2014 | 274,114 | 610,254 | ||||||||||||||
Below is a summary of restricted stock and RSU vesting dates as of December 31, 2014. | ||||||||||||||||
Vesting Date | Shares Vesting | RSU Vesting | Total Awards | |||||||||||||
Jan-15 | 3,698 | — | 3,698 | |||||||||||||
Mar-15 | — | 6,667 | 6,667 | |||||||||||||
Apr-15 | 3,699 | — | 3,699 | |||||||||||||
Jul-15 | 3,300 | — | 3,300 | |||||||||||||
Jul-15 | 250 | — | 250 | |||||||||||||
Oct-15 | 3,300 | — | 3,300 | |||||||||||||
Dec-15 | 15,588 | 196,752 | 212,340 | |||||||||||||
Jan-16 | 3,299 | — | 3,299 | |||||||||||||
Apr-16 | 3,300 | — | 3,300 | |||||||||||||
Jul-16 | 2,828 | — | 2,828 | |||||||||||||
Oct-16 | 2,827 | — | 2,827 | |||||||||||||
Dec-16 | 12,255 | 133,417 | 145,672 | |||||||||||||
Jan-17 | 2,411 | — | 2,411 | |||||||||||||
Apr-17 | 2,414 | — | 2,414 | |||||||||||||
Jul-17 | 1,250 | — | 1,250 | |||||||||||||
Oct-17 | 1,250 | — | 1,250 | |||||||||||||
Dec-17 | 12,258 | 130,008 | 142,266 | |||||||||||||
73,927 | 466,844 | 540,771 | ||||||||||||||
At December 31, 2014, the Company had unrecognized compensation expense of approximately $1,301 and $7,735, respectively, related to the vesting of restricted stock awards and RSUs noted in the table above. | ||||||||||||||||
RSU Deliveries | ||||||||||||||||
During 2014, 2013 and 2012, respectively, the Company delivered 240,277, 3,057 and 67,354 shares of common stock for 283,750, 5,000 and 112,084 vested RSUs. The Company allows RSU participants to settle their tax liabilities with a reduction of their share delivery from the originally granted and vested RSUs. The amount, when agreed to by the participant, results in a cash payment to the Manager related to this tax liability and a corresponding adjustment to additional paid in capital on the consolidated statement of changes in stockholders' equity. The adjustments were $876, $31 and $779 in 2014, 2013 and 2012, respectively, and are included as reductions of capital increase related to the Company's equity incentive plan in the consolidated statement of changes in shareholders’ equity. |
Stockholders_Equity
Stockholders' Equity | 12 Months Ended | |||||
Dec. 31, 2014 | ||||||
Stockholders' Equity Note [Abstract] | ||||||
Stockholders' Equity | Stockholders’ Equity | |||||
The Company’s authorized capital stock consists of 450,000,000 shares of common stock, $0.01 par value per share and 50,000,000 shares of preferred stock, $0.01 par value per share. As of December 31, 2014, 46,900,442 shares of common stock were issued and outstanding and there were 3,450,000 shares of preferred stock issued and outstanding. | ||||||
Dividends. During 2014 and 2013, the Company has declared the following dividends on its common stock: | ||||||
Declaration Date | Record Date | Payment Date | Amount | |||
February 27, 2013 | March 28, 2013 | April 12, 2013 | $ | 0.4 | ||
May 1, 2013 | June 28, 2013 | July 12, 2013 | $ | 0.4 | ||
July 31, 2013 | September 30, 2013 | October 11, 2013 | $ | 0.4 | ||
11/4/13 | December 31, 2013 | January 13, 2014 | $ | 0.4 | ||
February 26, 2014 | March 31, 2014 | April 15, 2014 | $ | 0.4 | ||
April 29, 2014 | June 30, 2014 | July 15, 2014 | $ | 0.4 | ||
July 28, 2014 | September 30, 2014 | October 15, 2014 | $ | 0.4 | ||
October 28, 2014 | December 31, 2014 | 1/15/15 | $ | 0.4 | ||
During 2014 and 2013, the Company declared the following dividends on its Series A Preferred Stock: | ||||||
Declaration Date | Record Date | Payment Date | Amount | |||
March 15, 2013 | March 28, 2013 | April 15, 2013 | $ | 0.5391 | ||
June 12, 2013 | June 28, 2013 | July 15, 2013 | $ | 0.5391 | ||
September 16, 2013 | September 30, 2013 | October 15, 2013 | $ | 0.5391 | ||
December 9, 2013 | December 30, 2013 | January 15, 2014 | $ | 0.5391 | ||
March 17, 2014 | March 31, 2014 | April 15, 2014 | $ | 0.5391 | ||
June 9, 2014 | June 30, 2014 | July 15, 2014 | $ | 0.5391 | ||
September 8, 2014 | September 30, 2014 | October 15, 2014 | $ | 0.5391 | ||
December 16, 2014 | December 31, 2014 | January 15, 2015 | $ | 0.5391 | ||
Common Stock Offerings. During the second quarter of 2014, the Company completed a follow-on public offering of 9,706,000 shares of its common stock, including the partial exercise of the underwriters’ option to purchase additional shares, at a price of $16.35 per share. The aggregate net proceeds from the offering, including proceeds from the sale of the additional shares, were approximately $158,439 after deducting estimated offering expenses payable by the Company. | ||||||
During March 2013, the Company completed a follow-on public offering of 8,805,000 shares of its common stock, including the partial exercise of the underwriters’ option to purchase additional shares, at a price of $16.90 per share. The aggregate net proceeds from the offering, including proceeds from the sale of the additional shares, were approximately $148,333 after deducting estimated offering expenses payable by the Company. | ||||||
ATM Program. In May 2013, the Company entered into an ATM Equity Offering Sales Agreement with Merrill Lynch, Pierce, Fenner & Smith Incorporated and JMP Securities LLC (the "Agents"), relating to shares of the Company's common stock. In accordance with the terms of the agreement, the Company may offer and sell shares of common stock having an aggregate offering price of up to $100,000 from time to time through the Agents. Sales of the shares, if any, will be made by means of ordinary brokers' transactions or otherwise at market prices prevailing at the time of sale, at prices related to prevailing market prices or at negotiated prices, or as otherwise agreed with the applicable Agent. To date, the Company has not directed the Agents to sell any shares. | ||||||
Stock Repurchase Program. In July 2013, the Company's board of directors approved a stock repurchase program to authorize the Company to repurchase up to an aggregate of $50,000 of its shares of common stock. To date, the Company has not repurchased any shares pursuant to the stock repurchase program. |
Commitments_and_Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2014 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies |
KBC Bank Deutschland AG. In September 2013, the Company, together with other affiliates of Apollo, reached an agreement to make an investment in an entity that has agreed to acquire a minority participation in KBC Bank. The Company committed to invest up to approximately €38,000 ($50,000), representing approximately 21% of the ownership in KBC Bank. The acquisition closed during September 2014 and the Company funded an initial investment of €30,724 ($39,477). | |
Loan Commitments. As described in Note 5, the Company had $246,600 of unfunded loan commitments related to its commercial mortgage loan portfolio as of December 31, 2014. | |
As described in Note 6, the Company had $32,500 of unfunded loan commitments related to its subordinate loan portfolio as of December 31, 2014. |
Fair_Value_of_Financial_Instru
Fair Value of Financial Instruments | 12 Months Ended | |||||||||||||||
Dec. 31, 2014 | ||||||||||||||||
Financial Instruments Disclosure [Abstract] | ||||||||||||||||
Fair Value of Financial Instruments | Fair Value of Financial Instruments | |||||||||||||||
The following table presents the carrying value and estimated fair value of the Company’s financial instruments not carried at fair value on the consolidated balance sheet at December 31, 2014 and 2013: | ||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||
Carrying | Estimated | Carrying | Estimated | |||||||||||||
Value | Fair Value | Value | Fair Value | |||||||||||||
Cash and cash equivalents | $ | 40,641 | $ | 40,641 | $ | 20,096 | $ | 20,096 | ||||||||
Restricted cash | 30,127 | 30,127 | 30,127 | 30,127 | ||||||||||||
Securities, held-to-maturity | 154,283 | 154,980 | — | — | ||||||||||||
Commercial first mortgage loans | 458,520 | 465,510 | 161,099 | 164,405 | ||||||||||||
Subordinate loans | 561,182 | 566,385 | 497,484 | 503,267 | ||||||||||||
Borrowings under repurchase agreements | (622,194 | ) | (621,269 | ) | (202,033 | ) | (202,148 | ) | ||||||||
Convertible senior notes, net | (246,464 | ) | (254,605 | ) | — | — | ||||||||||
Participations sold | (89,584 | ) | (89,995 | ) | — | — | ||||||||||
To determine estimated fair values of the financial instruments listed above, market rates of interest, which include credit assumptions, are used to discount contractual cash flows. The estimated fair values are not necessarily indicative of the amount the Company could realize on disposition of the financial instruments. The use of different market assumptions or estimation methodologies could have a material effect on the estimated fair value amounts. The Company’s securities, held-to-maturity, commercial first mortgage loans, subordinate loans, borrowings under repurchase agreements, convertible senior notes and participations sold are carried at amortized cost on the consolidated financial statements and are classified as Level III in the fair value hierarchy. |
Net_Income_Loss_per_Share
Net Income (Loss) per Share | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Earnings Per Share [Abstract] | ||||||||||||
Net Income (Loss) per Share | Net Income (Loss) per Share | |||||||||||
GAAP requires use of the two-class method of computing earnings per share for all periods presented for each class of common stock and participating security as if all earnings for the period had been distributed. Under the two-class method, during periods of net income, the net income is first reduced for dividends declared on all classes of securities to arrive at undistributed earnings. During periods of net losses, the net loss is reduced for dividends declared on participating securities only if the security has the right to participate in the earnings of the entity and an objectively determinable contractual obligation to share in net losses of the entity. | ||||||||||||
The remaining earnings are allocated to common stockholders and participating securities to the extent that each security shares in earnings as if all of the earnings for the period had been distributed. Each total is then divided by the applicable number of shares to arrive at basic earnings per share. For the diluted earnings, the denominator includes all outstanding shares of common stock and all potential shares of common stock assumed issued if they are dilutive. The numerator is adjusted for any changes in income or loss that would result from the assumed conversion of these potential shares of common stock. | ||||||||||||
The table below presents basic and diluted net income per share of common stock using the two-class method for the years ended December 31, 2014, 2013 and 2012: | ||||||||||||
For the year ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Numerator: | ||||||||||||
Net income | $ | 82,739 | $ | 52,485 | $ | 40,181 | ||||||
Preferred dividends | (7,440 | ) | (7,440 | ) | (3,079 | ) | ||||||
Net income available to common stockholders | 75,299 | 45,045 | 37,102 | |||||||||
Dividends declared on common stock | (71,089 | ) | (59,008 | ) | (35,899 | ) | ||||||
Dividends on participating securities | (506 | ) | (798 | ) | (628 | ) | ||||||
Net income (loss) attributable to common stockholders | $ | 3,704 | $ | (14,761 | ) | $ | 575 | |||||
Denominator: | ||||||||||||
Basic weighted average shares of common stock outstanding | 43,464,255 | 35,212,211 | 22,259,386 | |||||||||
Diluted weighted average shares of common stock outstanding | 43,684,805 | 35,679,755 | 22,648,819 | |||||||||
Basic and diluted net income (loss) per weighted average share of common stock | ||||||||||||
Distributable Earnings | $ | 1.64 | $ | 1.68 | $ | 1.61 | ||||||
Undistributed income (loss) | 0.08 | $ | (0.42 | ) | $ | 0.03 | ||||||
Basic and diluted net income per share of common stock | $ | 1.72 | $ | 1.26 | $ | 1.64 | ||||||
For 2013, 467,544 unvested RSUs were excluded from the calculation of diluted net loss per share because the effect was anti-dilutive. |
Summarized_Quarterly_Results_U
Summarized Quarterly Results (Unaudited) | 12 Months Ended | |||||||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ||||||||||||||||||||||||||||||||
Summarized Quarterly Results (Unaudited) | Summarized Quarterly Results (Unaudited) | |||||||||||||||||||||||||||||||
March 31, | June 30, | September 30, | December 31, | |||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||
Net interest income: | ||||||||||||||||||||||||||||||||
Interest income from securities | $ | 2,419 | $ | 3,087 | $ | 4,366 | $ | 3,014 | $ | 6,129 | $ | 2,533 | $ | 8,275 | $ | 3,633 | ||||||||||||||||
Interest income from securities, held to maturity | — | — | — | — | 1,448 | — | 3,165 | — | ||||||||||||||||||||||||
Interest income from commercial mortgage loans | 4,011 | 3,592 | 6,438 | 3,676 | 8,025 | 4,954 | 9,328 | 3,812 | ||||||||||||||||||||||||
Interest income from subordinate loans | 14,730 | 11,454 | 18,238 | 11,498 | 19,754 | 12,184 | 17,021 | 14,026 | ||||||||||||||||||||||||
Interest income from repurchase agreements | — | 2 | — | — | — | — | — | — | ||||||||||||||||||||||||
Interest expense | (1,757 | ) | (1,068 | ) | (5,258 | ) | (955 | ) | (8,786 | ) | (885 | ) | (10,740 | ) | (1,450 | ) | ||||||||||||||||
Net interest income | 19,403 | 17,067 | 23,784 | 17,233 | 26,570 | 18,786 | 27,049 | 20,021 | ||||||||||||||||||||||||
Operating expenses: | ||||||||||||||||||||||||||||||||
General and administrative expenses | (1,442 | ) | (1,895 | ) | (1,479 | ) | (1,437 | ) | (1,434 | ) | (1,793 | ) | (1,796 | ) | (2,438 | ) | ||||||||||||||||
Management fees to related party | (2,565 | ) | (2,160 | ) | (2,966 | ) | (2,600 | ) | (3,193 | ) | (2,625 | ) | (3,236 | ) | (2,627 | ) | ||||||||||||||||
Total operating expenses | (4,007 | ) | (4,055 | ) | (4,445 | ) | (4,037 | ) | (4,627 | ) | (4,418 | ) | (5,032 | ) | (5,065 | ) | ||||||||||||||||
Income from unconsolidated joint venture | — | — | — | — | (88 | ) | — | (69 | ) | — | ||||||||||||||||||||||
Interest income from cash balances | — | — | 4 | 16 | 21 | 3 | 9 | 1 | ||||||||||||||||||||||||
Unrealized gain (loss) on securities | 2,184 | (1,080 | ) | 4,749 | (1,421 | ) | (2,147 | ) | (1,472 | ) | (639 | ) | 908 | |||||||||||||||||||
Foreign currency gain (loss) | — | — | 959 | — | (3,596 | ) | — | (1,413 | ) | — | ||||||||||||||||||||||
Gain (loss) on derivative instruments | — | — | (1,093 | ) | (2 | ) | 3,026 | 1 | 2,137 | (1 | ) | |||||||||||||||||||||
Net income | 17,580 | 11,932 | 23,958 | 11,789 | 19,159 | 12,900 | 22,042 | 15,864 | ||||||||||||||||||||||||
Preferred dividends | (1,860 | ) | (1,860 | ) | (1,860 | ) | (1,860 | ) | (1,860 | ) | (1,860 | ) | (1,860 | ) | (1,860 | ) | ||||||||||||||||
Net income available to common stockholders | $ | 15,720 | $ | 10,072 | $ | 22,098 | $ | 9,929 | 17,299 | $ | 11,040 | $ | 20,182 | $ | 14,004 | |||||||||||||||||
Basic and diluted net income per share of common stock | $ | 0.42 | $ | 0.33 | $ | 0.51 | $ | 0.27 | $ | 0.37 | $ | 0.3 | $ | 0.43 | $ | 0.37 | ||||||||||||||||
Basic weighted average shares of common stock outstanding | 37,122,842 | 30,105,939 | 42,888,747 | 36,880,410 | 46,848,675 | 36,883,002 | 46,852,646 | 36,886,619 | ||||||||||||||||||||||||
Diluted weighted average shares of common stock outstanding | 37,341,050 | 30,480,689 | 43,099,354 | 37,373,885 | 47,068,929 | 37,379,469 | 47,085,617 | 37,390,369 | ||||||||||||||||||||||||
Dividend declared per share of common stock | $ | 0.4 | $ | 0.4 | $ | 0.4 | $ | 0.4 | $ | 0.4 | $ | 0.4 | $ | 0.4 | $ | 0.4 | ||||||||||||||||
Subsequent_Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2014 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events |
Investment activity. In January 2015, the Company closed a £35,000 (approximately $52,000) mezzanine loan secured by a portfolio of 44 senior housing facilities located throughout the United Kingdom. The five-year, floating-rate mezzanine loan is part of a £223,800 whole loan, which includes a £164,100 first mortgage loan and a £59,700 mezzanine loan. The remaining £24,700 of the mezzanine loan was acquired by investment funds affiliated with Apollo Global Management, LLC. The mezzanine loan has an appraised loan-to-value of 70% and was underwritten to generate an IRR of approximately 10%. | |
In February 2015, the Company closed a $20,000 mezzanine loan secured by a 488-key full service hotel located in Burbank, California. The five-year, fixed rate mezzanine loan is part of a $90,000 financing which consists of a $70,000 first mortgage loan and the Company's $20,000 mezzanine loan. The mezzanine loan has an appraised loan-to-value of 74% and has been underwritten to generate an IRR of approximately 11%. | |
In February 2015, the Company closed a $92,500 ($72,500 of which was funded at closing) first mortgage loan for the predevelopment of a mixed-use multifamily and retail development aggregating approximately 330,000 square feet in downtown Brooklyn, New York. The two-year, floating-rate first mortgage loan has an appraised LTV of 57% and has been underwritten to generate an IRR of approximately 21% on a levered basis. | |
During the first quarter of 2015, the Company funded an additional investment of €3,331 (or $3,929) related to its investment in Champ LP. Additionally, the Company funded an additional investments of $3,000 related to its investment in floating rate first mortgage loan for the development of a 50-unit luxury residential condominium in Montgomery County, Maryland and $4,194 related to its investment in a $82,500 mezzanine loan for the development of a mixed-use property on the Upper West Side neighborhood of New York City. | |
In February 2015, the Company sold approximately 48% of its ownership interest in Champ LP at cost to an account managed by Apollo for approximately $20,794, reducing its unfunded commitment to Champ LP to €3,229. Through its interest in Champ LP, the Company now holds an indirect ownership interest of approximately 11% in Bremer Kreditbank AG, which operates under the name BKB Bank. The Company together with certain other affiliated investors and unaffiliated third party investors, in aggregate, own 100% of BKB Bank. | |
Repurchase Facilities. On January 26, 2015, the Company, through an indirect wholly-owned subsidiary, entered into a repurchase agreement with Goldman Sachs Bank USA (the “Goldman Loan”). The Goldman Loan provides for a purchase price of $52,524 and a repurchase date of the earliest of: (1) April 30, 2019, (2) an early repurchase date as a result of repayment or sale of the purchased loan, or (3) an accelerated repurchase date as a result of certain events of default. Subject to the terms and conditions thereof, the Goldman Loan provides for the purchase and sale of certain participation interests in a mortgage loan secured by single-family and condominium properties. Prior to an event of default, amounts borrowed under the Goldman Loan bear interest at a spread of 3.5% plus one-month LIBOR. In addition, the Goldman Loan provides that margin calls may occur during the continuance of certain credit events if the market value of the mortgaged properties drop below an agreed upon percentage. The Goldman Loan contains affirmative and negative covenants and provisions regarding events of default that are normal and customary for similar repurchase agreements. The Company has agreed to the following restrictive covenants, among others: (1) continuing to operate in a manner that allows the Company to qualify as a REIT and (2) financial covenants, including (A) a minimum consolidated tangible net worth covenant ($750,000), (B) maximum total indebtedness to consolidated tangible net worth (3:1), (C) minimum liquidity ($15,000), (D) minimum sum of (i) cash liquidity and (ii) “near cash liquidity” (5.0% of the Company’s total recourse indebtedness), (E) minimum net income (one U.S. dollar during any four consecutive fiscal quarters) and (F) a minimum ratio of EBITDA to interest expense (1.5 to 1.0). The Company has also agreed to provide a guarantee of the obligations under the Goldman Loan. | |
On January 29, 2015, the Company, through indirect wholly-owned subsidiaries, entered into a Fourth Amended and Restated Master Repurchase Agreement (the “Amended and Restated JPMorgan Facility”) with JPMorgan Chase Bank, National Association. The Amended and Restated JPMorgan Facility provides for a maximum aggregate purchase price of $300,000 and has a two-year term plus a one-year extension option, exercisable at the option of the Sellers, subject to satisfaction of certain conditions. Subject to the terms and conditions thereof, the Amended and Restated JPMorgan Facility provides for the purchase, sale and repurchase of eligible senior commercial or multifamily mortgage loans, junior commercial or multifamily mortgage loans, mezzanine loans and participation interests therein that are secured by properties located in the United States, England or Wales. Amounts borrowed under the Amended and Restated JPMorgan Facility bear interest at spreads ranging from 2.25% to 4.75% over one-month LIBOR. Maximum advance rates under the Amended and Restated JPMorgan Facility range from 25% to 80% on the estimated fair value of the pledged collateral depending on its loan-to-value ratio. Margin calls may occur any time the aggregate repurchase price exceeds the agreed upon advance rate multiplied by the market value of the assets by more than $250. The Amended and Restated JPMorgan Facility contains affirmative and negative covenants and provisions regarding events of default that are normal and customary for similar repurchase facilities. The Company has agreed to the following restrictive covenants, among others: (1) continuing to operate in a manner that allows the Company to qualify as a REIT and (2) financial covenants, including (A) a minimum consolidated tangible net worth covenant ($750,000 plus 75% of the net cash proceeds of any equity issuance by the Company), (B) maximum total indebtedness to consolidated tangible net worth (3:1), or (C) minimum liquidity (the greater of 5% of the Company’s total recourse indebtedness or $15,000). The Company has agreed to provide a limited guarantee of the obligations under the Amended and Restated JPMorgan Facility. | |
Dividends. On February 25, 2015, the Company’s board of directors declared a dividend of $0.44 per share of common stock which is payable on April 15, 2015 to common stockholders of record on March 31, 2015. | |
Management Agreement. Following a meeting by the Company’s independent directors in February 2015, which included a discussion of the Manager’s performance and the level of the management fees thereunder, the Company determined not to terminate the Management Agreement. |
Schedule_IV_Mortgage_Loans_on_
Schedule IV - Mortgage Loans on Real Estate | 12 Months Ended | |||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||
Mortgage Loans on Real Estate [Abstract] | ||||||||||||||||||
Schedule IV - Mortgage Loans on Real Estate | ||||||||||||||||||
Property Type | Location | Interest | Final | Periodic | Face | Carrying | ||||||||||||
Rate | Extended Maturity | Payment Terms | amount of | amount of | ||||||||||||||
Date | loans | loans | ||||||||||||||||
Commercial mortgage loans | ||||||||||||||||||
Hotel | Maryland | 9 | % | Apr -15 | 24,590 | 24,557 | ||||||||||||
Condo Conversion | New York | 9.67 | % | Sept - 16 | Interest only | 33,846 | 33,961 | |||||||||||
Condo Construction | Maryland | 10.5 | % | 17-Mar | Interest only | 28,000 | 27,520 | |||||||||||
Vacation Home Portfolio | Various | 7.5 | % | 19-Apr | 100,046 | 99,086 | ||||||||||||
Hotel | Pennsylvania | 4.71 | % | 19-May | Interest only | 34,000 | 33,842 | |||||||||||
Condo Construction | Maryland | 10.75 | % | 17-Jun | Interest only | 20,000 | 19,616 | |||||||||||
Multifamily | New York | 4.41 | % | 19-Aug | Interest only | 30,000 | 30,110 | |||||||||||
Mixed Use | Ohio | 9.25 | % | 20-May | 20,000 | 18,309 | ||||||||||||
Condo Conversion | New York | 3.75 | % | 16-Jun | Interest only | 67,300 | 64,714 | |||||||||||
Multifamily | North Dakota | 5.15 | % | 19-Nov | 57,792 | 57,297 | ||||||||||||
Vacation Home Portfolio | Various US cities | 7 | % | 21-Nov | Interest only | 50,000 | 49,508 | |||||||||||
Total commercial mortgage loans | 465,574 | 458,520 | ||||||||||||||||
Subordinate loans (1) | ||||||||||||||||||
Office | Michigan | 13 | % | Jun - 20 | 8,813 | 8,813 | ||||||||||||
Ski Resort | California | 13.25 | % | May - 17 | Interest only | 40,000 | 39,771 | |||||||||||
Mixed Use | North Carolina | 11.1 | % | Aug - 22 | Interest only | 6,525 | 6,525 | |||||||||||
Office Complex | Missouri | 11.75 | % | Oct - 22 | 9,711 | 9,711 | ||||||||||||
Hotel Portfolio | Various US cities | 11.07 | % | Nov - 16 | 34,042 | 33,995 | ||||||||||||
Condo Construction | New York | 13.25 | % | July - 18 | Interest only | 76,344 | 76,005 | |||||||||||
Multifamily Conversion | New York | 10.23 | % | Dec - 15 | Interest only | 14,608 | 14,703 | |||||||||||
Hotel Portfolio | Minnesota | 11 | % | Feb - 18 | 24,486 | 24,486 | ||||||||||||
Warehouse Portfolio | Various US cities | 11.5 | % | May - 23 | Interest only | 32,000 | 32,000 | |||||||||||
Multifamily Conversion | New York | 12.25 | % | Feb - 15 | Interest only | 44,000 | 43,989 | |||||||||||
Office Condo | New York | 11.25 | % | Jul - 22 | Interest only | 14,000 | 13,596 | |||||||||||
Condo Conversion | New York | 9.67 | % | Sept - 16 | Interest only | 29,751 | 29,762 | |||||||||||
Mixed Use | Pennsylvania | 9.42 | % | Aug - 18 | Interest only | 22,500 | 22,473 | |||||||||||
Mixed Use | Various US cities | 14 | % | Dec - 18 | Interest only | 19,464 | 19,294 | |||||||||||
Mixed Use | England | 9.25 | % | 15-Jan | Interest only | 52,355 | 52,355 | |||||||||||
Healthcare Portfolio | Various US | 9.43 | % | 19-Jun | Interest only | 50,000 | 50,000 | |||||||||||
Hotel | New York | 10.25 | % | 19-Jul | Interest only | 20,000 | 19,870 | |||||||||||
Ski Resort | Montana | 14 | % | 20-Sep | Interest only | 15,000 | 14,861 | |||||||||||
Mixed Use | New York | 10.66 | % | 19-Dec | 50,000 | 48,973 | ||||||||||||
Total subordinate loans | 563,599 | 561,182 | ||||||||||||||||
Total | $ | 1,029,173 | $ | 1,019,702 | (2) | |||||||||||||
-1 | Subject to prior liens. | |||||||||||||||||
-2 | The aggregate cost for federal income tax purposes is $1,019,702. | |||||||||||||||||
The following table summarizes the changes in the carrying amounts of mortgage loans during 2014 and 2013. | ||||||||||||||||||
Reconciliation of Carrying Amount of Loans | ||||||||||||||||||
2014 | 2013 | |||||||||||||||||
Balance at beginning of year | $ | 658,583 | $ | 389,167 | ||||||||||||||
New loans | 802,664 | 401,912 | ||||||||||||||||
Sales | (4,950 | ) | — | |||||||||||||||
Collections of principal | (299,551 | ) | (137,168 | ) | ||||||||||||||
Discount accretion | 4,316 | 4,672 | ||||||||||||||||
Foreign currency loss | (4,095 | ) | — | |||||||||||||||
Payment-in-kind | 16,570 | — | ||||||||||||||||
Exchange for CMBS (held-to-maturity) | (153,835 | ) | — | |||||||||||||||
Balance at the close of year | $ | 1,019,702 | $ | 658,583 | ||||||||||||||
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2014 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation |
The accompanying consolidated financial statements include the Company’s accounts and those of its consolidated subsidiaries. All intercompany amounts have been eliminated. The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (“GAAP”) requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods. The Company’s most significant estimates include the fair value of financial instruments and loan loss reserve. Actual results could differ from those estimates. | |
Classification of Investments and Valuations of Financial Instruments | Classification of Investments and Valuations of Financial Instruments |
The Company’s investments consist primarily of commercial mortgage loans, subordinate loans, CMBS and other real estate related assets that are classified as either available-for-sale or held-to-maturity. The Company has also elected the fair value option for certain CMBS. | |
Classification of Loans and Loan Impairment | Classification of Loans |
Loans held-for-investment are stated at the principal amount outstanding, net of deferred loan fees and costs in accordance with GAAP. | |
Loan Impairment | |
The Company’s loans are typically collateralized by commercial real estate. As a result, the Company regularly evaluates the extent and impact of any credit migration associated with the performance and/or value of the underlying collateral property as well as the financial and operating capability of the borrower/sponsor on a loan by loan basis. Specifically, a property’s operating results and any cash reserves are analyzed and used to assess (i) whether cash from operations are sufficient to cover the debt service requirements currently and into the future, (ii) the ability of the borrower to refinance the loan, and/or (iii) the property’s liquidation value. The Company also evaluates the financial wherewithal of any loan guarantors as well as the borrower’s competency in managing and operating the properties. In addition, the Company considers the overall economic environment, real estate sector, and geographic sub-market in which the borrower operates. Such impairment analyses are completed and reviewed by asset management and finance personnel, who utilize various data sources, including (i) periodic financial data such as debt service coverage ratio, property occupancy, tenant profile, rental rates, operating expenses, the borrower’s exit plan, and capitalization and discount rates, (ii) site inspections, and (iii) current credit spreads and discussions with market participants. | |
For loans classified as held-for-investment, the Company evaluates the loans for possible impairment on a quarterly basis. Impairment occurs when it is deemed probable that the Company will not be able to collect all amounts due according to the contractual terms of the loan. Impairment is then measured based on the present value of expected future cash flows discounted at the loan’s effective rate or the fair value of the collateral, if the loan is collateral dependent. Upon measurement of impairment, the Company records an allowance to reduce the carrying value of the loan with a corresponding charge to net income. Significant judgments are required in determining impairment, including making assumptions regarding the value of the loan, the value of the underlying collateral and other provisions such as guarantees. The Company has determined that it is likely that it will receive contractual payments and a loan loss reserve was not necessary at December 31, 2014 and 2013. | |
Fair Value Election | Fair Value Election |
Securities at estimated fair value consist of CMBS which are pledged under the Company’s master repurchase agreements with Wells Fargo Bank, N.A. (“Wells Fargo”) (the “Wells Facility”), UBS AG, London Branch ("UBS") (the "UBS Facility") and Deutsche Bank AG ("DB") (the "DB Facility"). In accordance with GAAP, the Company elects the fair value option for these securities at the date of purchase in order to allow the Company to measure these securities at fair value with the change in estimated fair value included as a component of earnings in order to reflect the performance of investment in a timely manner. | |
Securities Available-for-sale | Securities Available-for-sale |
The Company has designated investments in certain mortgage-backed securities as available-for-sale because the Company may dispose of them prior to maturity and does not hold them principally for the purpose of selling them in the near term. Securities available-for-sale are carried at estimated fair value with the net unrealized gains or losses reported as a component of accumulated other comprehensive income (loss) in stockholders’ equity. Unrealized losses on securities that reflect a decline in value that is judged by management to be other than temporary, if any, are charged to earnings. | |
When the estimated fair value of a security is less than amortized cost, the Company considers whether there is an other-than-temporary impairment (“OTTI”) in the value of the security. An impairment is deemed an OTTI if (i) the Company intends to sell the security, (ii) it is more likely than not that the Company will be required to sell the security before recovering its cost basis, or (iii) the Company does not expect to recover the entire amortized cost basis of the security even if the Company does not intend to sell the security or believes it is more likely than not that the Company will be required to sell the security before recovering its cost basis. If the impairment is deemed to be an OTTI, the resulting accounting treatment depends on the factors causing the OTTI. If the OTTI has resulted from (i) the Company’s intention to sell the security, or (ii) its judgment that it is more likely than not that it will be required to sell the security before recovering its cost basis, an impairment loss is recognized in current earnings equal to the difference between its amortized cost basis and fair value. Whereas, if the OTTI has resulted from the Company’s conclusion that it will not recover its cost basis even if the Company does not intend to sell the security or believes it is more likely than not that the Company will be required to sell the security before recovering its cost basis, the credit loss portion of the impairment is recorded in current earnings and the portion of the loss related to other factors, such as changes in interest rates, continues to be recognized in accumulated other comprehensive income. Determining whether there is an OTTI may require management to exercise significant judgment and make significant assumptions, including, but not limited to, estimated cash flows, estimated prepayments, loss assumptions, and assumptions regarding changes in interest rates. As a result, actual impairment losses could differ from reported amounts. Such judgments and assumptions are based upon a number of factors, including (i) credit of the issuer or the borrower, (ii) credit rating of the security, (iii) key terms of the security, (iv) performance of the loan or underlying loans, including debt service coverage and loan-to-value ratios, (v) the value of the collateral for the loan or underlying loans, (vi) the effect of local, industry, and broader economic factors, and (vii) the historical and anticipated trends in defaults and loss severities for similar securities. | |
Securities, held-to-maturity | Securities, held-to-maturity |
GAAP requires that at the time of purchase, we designate investment securities as held-to-maturity, available-for-sale, or trading depending on our investment strategy and ability to hold such securities to maturity. Held-to-maturity securities where we have not elected to apply the fair value option are stated at cost plus any premiums or discounts, which are amortized or accreted through the consolidated statements of operations using the effective interest method. | |
Investments in unconsolidated joint venture | Investments in unconsolidated joint venture |
Investments are accounted for under the equity method when the requirements for consolidation are not met, and the Company has significant influence over the operations of the investee. Equity method investments are initially recorded at cost and subsequently adjusted for the Company's share of net income or loss and cash contributions and distributions each period. Investments in unconsolidated joint ventures are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. An impairment loss is measured based on the excess of the carrying amount of an investment over its estimated fair value. Impairment analyses are based on current plans, intended holding periods and available information at the time the analyses are prepared. The evaluation of anticipated cash flows is subjective and is based, in part, on assumptions regarding future occupancy, rental rates and capital requirements that could differ materially from actual results. | |
Interest Income Recognition | Interest Income Recognition |
Interest income on commercial mortgage loans is accrued based on the actual coupon rate and the outstanding principal balance adjusted for accretion of any purchase discounts, the amortization of any purchase premiums and the accretion of any deferred fees. Purchase premiums, purchase discounts and deferred fees are accreted into income using the effective yield method, adjusted for prepayments. | |
Interest income on CMBS is accrued using the effective yield method, which includes the accretion of purchase discounts and the amortization of purchase premiums and the stated coupon interest payments. | |
Interest income on securities rated below AA by a nationally recognized statistical rating organization is recognized based on the effective yield method. The effective yield on these securities is based on the projected cash flows from each security, which are estimated based on the Manager’s observation of current information and events and may include assumptions related to prepayment rates and the timing and amount of credit losses. On at least a quarterly basis, the Company reviews and, if appropriate, makes adjustments to cash flow projections. | |
Deferred Financing Costs | Deferred Financing Costs |
Costs incurred in connection with collateralized financings are capitalized and amortized over the respective financing terms and are reflected on the accompanying consolidated statement of operations as a component of interest expense. | |
Earnings per Share | Earnings per Share |
GAAP requires use of the two-class method of computing earnings per share for all periods presented for each class of common stock and participating security as if all earnings for the period had been distributed. Under the two-class method, during periods of net income, the net income is first reduced for dividends declared on all classes of securities to arrive at undistributed earnings. During periods of net losses, the net loss is reduced for dividends declared on participating securities only if the security has the right to participate in the earnings of the entity and an objectively determinable contractual obligation to share in net losses of the entity. | |
The remaining earnings are allocated to common stockholders and participating securities, to the extent that each security shares in earnings, as if all of the earnings for the period had been distributed. Each total is then divided by the applicable number of shares to arrive at basic earnings per share. For the diluted earnings, the denominator includes all outstanding shares of common stock and all potential shares of common stock assumed issued if they are dilutive. The numerator is adjusted for any changes in income or loss that would result from the assumed conversion of these potential shares of common stock. | |
Hedging Instruments and Hedging Activities | Hedging Instruments and Hedging Activities |
Consistent with maintaining its qualification as a REIT, in the normal course of business, the Company uses a variety of derivative financial instruments to manage, or hedge, interest rate and foreign currency risk. Derivatives are used for hedging purposes rather than speculation. The Company determines their fair value and obtains quotations from a third party to facilitate the process in determining these fair values. If the Company’s hedging activities do not achieve the desired results, reported earnings may be adversely affected. | |
GAAP requires an entity to recognize all derivatives as either assets or liabilities in the balance sheets and to measure those instruments at fair value. To the extent the instrument qualifies for hedge accounting, the fair value adjustments will be recorded as a component of other comprehensive income in stockholders’ equity until the hedged item is recognized in earnings. Whenever the Company decides not to pursue hedge accounting, the fair value adjustments will be recorded in earnings immediately based on changes in the fair market value of those instruments. | |
In order to mitigate interest rate risk resulting from the Company’s floating-rate borrowings under the Wells Facility, the Company entered into interest rate swaps and caps with an aggregate notional equal to the borrowings outstanding under the Wells Facility during 2010. The interest rate swaps were used to hedge the floating-rate borrowings through the expected maturity of the underlying collateral and the interest rate caps were used to hedge the floating-rate borrowings related to the potential extension of the underlying collateral. All of the Company's interest rate swaps and caps have matured as of December 31, 2014. | |
The Company has not designated any of its derivative instruments as hedges under GAAP and therefore, changes in the fair value of the Company's derivatives are recorded directly in earnings. | |
Repurchase Agreements | Repurchase Agreements |
Securities sold under repurchase agreements will be treated as collateralized financing transactions, unless they meet sales treatment. Securities financed through a repurchase agreement will remain on the Company’s consolidated balance sheet as an asset and cash received from the purchaser will be recorded on the Company’s consolidated balance sheet as a liability. Interest paid in accordance with repurchase agreements will be recorded in interest expense. | |
Share-based Payments | Share-based Payments |
The Company accounts for share-based compensation to its independent directors and to the Manager and to employees of the Manager and its affiliates using the fair value based methodology prescribed by GAAP. Compensation cost related to restricted common stock issued to the Company’s independent directors is measured at its estimated fair value at the grant date, and amortized into expense over the vesting period on a straight-line basis. Compensation cost related to restricted common stock issued to the Manager and to employees of the Manager and its affiliates will initially be measured at estimated fair value at the grant date, and remeasured on subsequent dates to the extent the awards are unvested. To amortize compensation expense for the restricted common stock granted to the Manager and to employees of the Manager and its affiliates, the Company uses the graded vesting attribution method. | |
Income Taxes | Income Taxes |
The Company has elected to be taxed as a REIT under Sections 856-859 of the Internal Revenue Code of 1986, as amended. Under those sections, a REIT which distributes at least 90% of its REIT taxable income, excluding net capital gains and determined without regard to the dividends paid deduction, as a dividend to its shareholders each year and which meets certain other conditions will not be taxed on that portion of its taxable income which is distributed to its shareholders. | |
The Company has elected to treat certain consolidated subsidiaries, and may in the future elect to treat newly formed subsidiaries, as taxable REIT subsidiaries. Taxable REIT subsidiaries may participate in non-real estate related activities and/or perform non-customary services for tenants and are subject to U.S. federal and state income tax at regular corporate tax rates. | |
Foreign Currency | Foreign Currency |
The Company may enter into transactions not denominated in U.S. dollars. Foreign exchange gains and losses arising on such transactions are recorded as a gain or loss in the Company's consolidated statements of operations. Non-U.S. dollar denominated assets and liabilities are translated to U.S. dollars at the exchange rate prevailing at the reporting date and income, expenses, gains, and losses are translated at the prevailing exchange rate on the dates that they were recorded. | |
Principles of Consolidation | Principles of Consolidation |
We consolidate all entities that we control through either majority ownership or voting rights. In addition, we consolidate all variable interest entities ("VIE") of which we are considered the primarily beneficiary. VIEs are defined as entities in which equity investors (i) do not have the characteristics of a controlling financial interest and/or (ii) do not have sufficient equity at risk for the entity to finance its activities without additional subordinated financial support from other parties. The entity that consolidates a VIE is known as its primary beneficiary and is generally the entity with (i) the power to direct the activities that most significantly affect the VIE’s economic performance and (ii) the right to receive benefits from the VIE or the obligation to absorb losses of the VIE that could be significant to the VIE. | |
Securitization/Sale and Financing Arrangements | Securitization/Sale and Financing Arrangements |
We periodically sell our financial assets, such as commercial mortgage loans, CMBS and other assets. In connection with these transactions, we may retain or acquire senior or subordinated interests in the related assets. Gains and losses on such transactions are recognized using the guidance in Accounting Standards Codification (“ASC”) Topic 860, Transfers and Servicing, which is based on a financial components approach that focuses on control. Under this approach, after a transfer of financial assets that meets the criteria for treatment as a sale-legal isolation, ability of transferee to pledge or exchange the transferred assets without constraint, and transferred control-an entity recognizes the financial assets it retains and any liabilities it has incurred, derecognizes the financial assets it has sold, and derecognizes liabilities when extinguished. We determine the gain or loss on sale of the assets by allocating the carrying value of the sold asset between the sold asset and the interests retained based on their relative fair values, as applicable. The gain or loss on sale is the difference between the cash proceeds from the sale and the amount allocated to the sold asset. If the sold asset is being accounted for pursuant to the fair value option, there is no gain or loss. | |
When a transfer of a financial asset meets the criteria for treatment as a sale (legal isolation, ability of transferee to pledge or exchange the transferred assets without constraint, and transferred control) the Company recognizes the financial assets it retains and any liabilities it has incurred, derecognizes the financial assets it has sold, and derecognizes liabilities when extinguished. The gain or loss on sale of the assets is determined by allocating the carrying value of the sold asset between the sold asset and the interests retained based on their relative fair values, as applicable. The gain or loss on sale is the difference between the cash proceeds from the sale and the amount allocated to the sold asset. If the sold asset is being accounted for pursuant to the fair value option, there is no gain or loss. | |
Recent Accounting Pronouncements | Recent Accounting Pronouncements |
In January 2013, the Financial Accounting Standards Board (the “FASB”) issued guidance to clarify the scope of disclosures about offsetting assets and liabilities. The amendments clarify that the scope of guidance issued in December 2011 to enhance disclosures around financial instruments and derivative instruments that are either (1) offset, or (2) subject to a master netting arrangement or similar agreement, irrespective of whether they are offset, applies to derivatives, including bifurcated embedded derivatives, repurchase agreements and reverse repurchase agreements, and securities borrowing and securities lending transactions that are either offset or subject to an enforceable master netting arrangement or similar agreement. The amendments are effective for interim and annual periods beginning on or after January 1, 2013. As the amendments are limited to disclosure only, the adoption of this guidance did not have a material impact on the consolidated financial statements of the Company’s consolidated financial statements. | |
In February 2013, the FASB issued an update which includes amendments that require an entity to report the effect of significant reclassifications out of accumulated other comprehensive income ("OCI") on the respective line items in net income if the amount being reclassified is required under GAAP to be reclassified in its entirety to net income. For other amounts that are not required under GAAP to be reclassified in their entirety to net income in the same reporting period, an entity is required to cross-reference other required disclosures that provide additional detail about those amounts. The new requirement presents information on amounts reclassified out of accumulated OCI and their corresponding effect on net income in one place or in some cases, provides for cross-references to related footnote disclosures. For public entities, the amendments are effective prospectively for reporting periods beginning after December 15, 2012. During 2014, 2013 and 2012, the Company had no amounts reclassified into or out of OCI. | |
In June 2013, the FASB issued guidance to change the assessment of whether an entity is an investment company by developing a new two-tiered approach that requires an entity to possess certain fundamental characteristics while allowing judgment in assessing certain typical characteristics. The fundamental characteristics that an investment company is required to have include the following: (1) it obtains funds from one or more investors and provides the investor(s) with investment management services; (2) it commits to its investor(s) that its business purpose and only substantive activities are investing the funds solely for returns from capital appreciation, investment income or both; and (3) it does not obtain returns or benefits from an investee or its affiliates that are not normally attributable to ownership interests. The typical characteristics of an investment company that an entity should consider before concluding whether it is an investment company include the following: (1) it has more than one investment; (2) it has more than one investor; (3) it has investors that are not related parties of the parent or the investment manager; (4) it has ownership interests in the form of equity or partnership interests; and (5) it manages substantially all of its investments on a fair value basis. The new approach requires an entity to assess all of the characteristics of an investment company and consider its purpose and design to determine whether it is an investment company. The guidance includes disclosure requirements about an entity’s status as an investment company and financial support provided or contractually required to be provided by an investment company to its investees. The guidance is effective for interim and annual reporting periods in fiscal years beginning after December 15, 2013. Earlier application is prohibited. The guidance prohibits REITs from qualifying for investment company accounting and, as such, the Company has determined that it will not meet the definition of an investment company under this ASU. | |
In May 2014, the FASB issued guidance which broadly amends the accounting guidance for revenue recognition. This guidance is effective for the first interim or annual period beginning after December 15, 2016, and is to be applied prospectively. The Company does not anticipate that the adoption of this guidance will have a material impact on the Company's consolidated financial statements. | |
In June 2014, the FASB issued guidance which amends the accounting guidance for repurchase-to-maturity transactions and repurchase agreements executed as repurchase financings, and requires additional disclosure about certain transactions by the transferor. The guidance is effective for certain transactions that qualify for sales treatment for the first interim or annual period beginning after December 15, 2014. The new disclosure requirements for repurchase agreements, securities lending transactions and repurchase-to-maturity transactions that qualify for secured borrowing treatment is effective for annual periods beginning after December 15, 2014 and for interim periods beginning after March 15, 2014. The Company currently records repurchase arrangements as secured borrowings and does not anticipate this guidance will have an impact on the Company's consolidated financial statements. | |
In June 2014, the FASB issued guidance which amends the accounting guidance for repurchase-to-maturity transactions and repurchase agreements executed as repurchase financings, and requires additional disclosure about certain transactions by the transferor. The guidance is effective for certain transactions that qualify for sales treatment for the first interim or annual period beginning after December 15, 2014. The new disclosure requirements for repurchase agreements, securities lending transactions and repurchase-to-maturity transactions that qualify for secured borrowing treatment is effective for annual periods beginning after December 15, 2014 and for interim periods beginning after March 15, 2014. The Company currently records repurchase arrangements as secured borrowings and does not anticipate this guidance will have an impact on the Company's consolidated financial statements. | |
In August 2014, the FASB issued guidance regarding management’s responsibility to evaluate whether there is substantial doubt about an entity’s ability to continue as a going concern and to provide related footnote disclosures. The new guidance requires that management evaluate each annual and interim reporting period whether conditions exist that give rise to substantial doubt about the entity’s ability to continue as a going concern within one year from the financial statement issuance date, and if so, provide related disclosures. Disclosures are only required if conditions give rise to substantial doubt, whether or not the substantial doubt is alleviated by management’s plans. No disclosures are required specific to going concern uncertainties if an assessment of the conditions does not give rise to substantial doubt. Substantial doubt exists when conditions and events, considered in the aggregate, indicate that it is probable that a company will be unable to meet its obligations as they become due within one year after the financial statement issuance date. If substantial doubt is alleviated as a result of the consideration of management’s plans, a company should disclose information that enables users of financial statements to understand all of the following (or refer to similar information disclosed elsewhere in the footnotes): (1) principal conditions that initially give rise to substantial doubt, (2) management’s evaluation of the significance of those conditions in relation to the company’s ability to meet its obligations, and (3) management’s plans that alleviated substantial doubt. If substantial doubt is not alleviated after considering management’s plans, disclosures should enable investors to understand the underlying conditions, and include the following: (1) a statement indicating that there is substantial doubt about the company’s ability to continue as a going concern within one year after the issuance date, (2) the principal conditions that give rise to substantial doubt, (3) management’s evaluation of the significance of those conditions in relation to the company’s ability to meet its obligations, and (4) management's plans that are intended to mitigate the adverse conditions. The new guidance applies to all companies. The guidance is effective for interim and annual reporting periods in fiscal years beginning after December 15, 2016. Early adoption is permitted. The Company does not anticipate that the adoption of this guidance will have a material impact on the Company's consolidated financial statements. |
Fair_Value_Disclosure_Tables
Fair Value Disclosure (Tables) | 12 Months Ended | |||||||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | ||||||||||||||||||||||||||||||||
Summarizes Levels in Fair Value Hierarchy of Financial Instruments | The following table summarizes the levels in the fair value hierarchy into which the Company’s financial instruments were categorized as of December 31, 2014 and 2013: | |||||||||||||||||||||||||||||||
Fair Value as of December 31, 2014 | Fair Value as of December 31, 2013 | |||||||||||||||||||||||||||||||
Level I | Level II | Level III | Total | Level I | Level II | Level III | Total | |||||||||||||||||||||||||
CMBS (Available-for-Sale) | $ | — | $ | 17,105 | $ | — | $ | 17,105 | $ | — | $ | 33,362 | $ | — | $ | 33,362 | ||||||||||||||||
CMBS (Fair Value Option) | — | 522,730 | — | 522,730 | — | 158,086 | — | 158,086 | ||||||||||||||||||||||||
Derivative instruments | — | 4,070 | — | 4,070 | — | — | — | — | ||||||||||||||||||||||||
Total | $ | — | $ | 543,905 | $ | — | $ | 543,905 | $ | — | $ | 191,448 | $ | — | $ | 191,448 | ||||||||||||||||
Debt_Securities_Tables
Debt Securities (Tables) | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | ||||||||||||||||||||
Amortized Cost and Estimated Fair Value | The amortized cost and estimated fair value of the Company’s debt securities at December 31, 2014 are summarized as follows: | |||||||||||||||||||
Security Description | Face | Amortized | Gross | Gross | Estimated | |||||||||||||||
Amount | Cost | Unrealized | Unrealized | Fair Value | ||||||||||||||||
Gain | Loss | |||||||||||||||||||
CMBS (Available-for-Sale) | $ | 17,013 | $ | 17,783 | $ | — | $ | (678 | ) | $ | 17,105 | |||||||||
CMBS (Fair Value Option) | 527,177 | 516,443 | 7,322 | (1,035 | ) | 522,730 | ||||||||||||||
Total | $ | 544,190 | $ | 534,226 | $ | 7,322 | $ | (1,713 | ) | $ | 539,835 | |||||||||
The amortized cost and estimated fair value of the Company’s debt securities at December 31, 2013 are summarized as follows: | ||||||||||||||||||||
Security Description | Face | Amortized | Gross | Gross | Estimated | |||||||||||||||
Amount | Cost | Unrealized | Unrealized | Fair Value | ||||||||||||||||
Gain | Loss | |||||||||||||||||||
CMBS (Available-for-Sale) | $ | 33,066 | $ | 34,232 | $ | — | $ | (870 | ) | $ | 33,362 | |||||||||
CMBS (Fair Value Option) | 155,577 | 155,946 | 2,313 | (173 | ) | 158,086 | ||||||||||||||
Total | $ | 188,643 | $ | 190,178 | $ | 2,313 | $ | (1,043 | ) | $ | 191,448 | |||||||||
Schedule of Continuous Unrealized Loss Position, Debt Securities | The following table presents information about the Company's debt securities that were in an unrealized loss position at December 31, 2014: | |||||||||||||||||||
Unrealized Loss Position for Less than 12 months | Unrealized Loss Position for 12 months or More | |||||||||||||||||||
Security Description | Fair Value | Unrealized Loss | Fair Value | Unrealized Loss | ||||||||||||||||
CMBS (Available-for-Sale) | $ | — | $ | — | $ | 17,105 | $ | (678 | ) | |||||||||||
CMBS (Fair Value Option) | 130,435 | (1,019 | ) | 6,315 | (16 | ) | ||||||||||||||
Total | $ | 130,435 | $ | (1,019 | ) | $ | 23,420 | $ | (694 | ) | ||||||||||
Overall Statistics for Company's AAA-Rated CMBS Investments Calculated on Weighted Average Basis | The overall statistics for the Company’s CMBS (Available-for-Sale) and CMBS (Fair Value Option) calculated on a weighted average basis as of December 31, 2014 and 2013 are as follows: | |||||||||||||||||||
December 31, | December 31, | |||||||||||||||||||
2014 | 2013 | |||||||||||||||||||
Credit Ratings * | AAA-CCC- | AAA-CCC | ||||||||||||||||||
Coupon | 5.9 | % | 5.8 | % | ||||||||||||||||
Yield | 6.4 | % | 5.3 | % | ||||||||||||||||
Weighted Average Life | 2.3 years | 3.1 years | ||||||||||||||||||
* | Ratings per Fitch Ratings, Moody’s Investors Service or Standard &P | |||||||||||||||||||
Percentage Vintage, Property Type, and Location of Collateral Securing Company's AAA-Rated CMBS Investments Calculated on Weighted Average Basis | The percentage vintage, property type, and location of the collateral securing the Company’s CMBS (Available-for-Sale) and CMBS (Fair Value Option) calculated on a weighted average basis as of December 31, 2014 and 2013 are as follows: | |||||||||||||||||||
Vintage | December 31, | December 31, | ||||||||||||||||||
2014 | 2013 | |||||||||||||||||||
2005 | 9 | % | — | % | ||||||||||||||||
2006 | 19 | 3 | ||||||||||||||||||
2007 | 63 | 97 | ||||||||||||||||||
2008 | 9 | — | ||||||||||||||||||
Total | 100 | % | 100 | % | ||||||||||||||||
Property Type | December 31, | December 31, | ||||||||||||||||||
2014 | 2013 | |||||||||||||||||||
Office | 33.4 | % | 33.2 | % | ||||||||||||||||
Retail | 29.1 | 25.1 | ||||||||||||||||||
Multifamily | 13.3 | 15.3 | ||||||||||||||||||
Hotel | 9.2 | 12 | ||||||||||||||||||
Other * | 15 | 14.4 | ||||||||||||||||||
Total | 100 | % | 100 | % | ||||||||||||||||
* | No other individual category comprises more than 10% of the total. | |||||||||||||||||||
Location | December 31, | December 31, | ||||||||||||||||||
2014 | 2013 | |||||||||||||||||||
South Atlantic | 23.2 | % | 23.4 | % | ||||||||||||||||
Middle Atlantic | 21.1 | 22.8 | ||||||||||||||||||
Pacific | 17 | 17.6 | ||||||||||||||||||
East North Central | 11 | — | ||||||||||||||||||
Other * | 27.7 | 36.2 | ||||||||||||||||||
Total | 100 | % | 100 | % | ||||||||||||||||
* | No other individual category comprises more than 10% of the total. |
Commercial_Mortgage_Loans_Tabl
Commercial Mortgage Loans (Tables) (Commercial mortgage loans [Member]) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Commercial mortgage loans [Member] | |||||||||||||||||||||
Mortgage Loans on Real Estate [Line Items] | |||||||||||||||||||||
Schedule of Mortgage Loans on Real Estate | Company’s commercial mortgage loan portfolio was comprised of the following as of December 31, 2013: | ||||||||||||||||||||
Description | Date of | Maturity | Original | Current | Carrying | Coupon | Property Size | ||||||||||||||
Investment | Date | Face | Face | Value | |||||||||||||||||
Amount | Amount | ||||||||||||||||||||
Hotel - NY, NY (1) | 10-Jan | 15-Feb | $ | 32,000 | $ | 31,317 | $ | 31,317 | Fixed | 151 rooms | |||||||||||
Office Condo (Headquarters) - NY, NY (1) | 10-Feb | 15-Feb | 28,000 | 27,169 | 27,169 | Fixed | 73,419 sq. ft. | ||||||||||||||
Hotel - Silver Spring, MD (1) | 10-Mar | 15-Apr | 26,000 | 24,947 | 24,785 | Fixed | 263 rooms | ||||||||||||||
Condo Conversion – NY, NY (2) | 12-Dec | 15-Jan | 45,000 | 45,000 | 44,867 | Floating | 119,000 sq. ft. | ||||||||||||||
Condo Conversion – NY, NY (3) | 13-Aug | 15-Sep | 33,000 | 33,167 | 32,961 | Floating | 40,000 sq. ft. | ||||||||||||||
Total/Weighted Average | $ | 164,000 | $ | 161,600 | $ | 161,099 | 8.82 | % | |||||||||||||
-1 | At December 31, 2013, this loan was pledged to secure borrowings under the JPMorgan Facility. See Note 9 – Borrowings for a description of this facility. | ||||||||||||||||||||
-2 | This loan includes two one-year extension options subject to certain conditions and the payment of a fee for each extension. | ||||||||||||||||||||
-3 | This loan includes a one-year extension option subject to certain conditions and the payment of a fee. | ||||||||||||||||||||
The Company’s commercial mortgage loan portfolio was comprised of the following at December 31, 2014: | |||||||||||||||||||||
Description | Date of | Maturity | Original | Current | Carrying | Coupon | Property Size | ||||||||||||||
Investment | Date | Face | Face | Value | |||||||||||||||||
Amount | Amount | ||||||||||||||||||||
Hotel - Silver Spring, MD (1) | 10-Mar | 15-Apr | $ | 26,000 | $ | 24,590 | $ | 24,557 | Fixed | 263 rooms | |||||||||||
Condo Conversion – NY, NY (1)(2) | 13-Aug | 15-Sep | 33,000 | 33,846 | 33,961 | Floating | 40,000 sq. ft. | ||||||||||||||
Condo Construction - Potomac, MD (3) | 14-Feb | 16-Sep | 28,000 | 28,000 | 27,520 | Floating | 50 units | ||||||||||||||
Vacation Home Portfolio - Various | 14-Apr | 19-Apr | 101,000 | 100,046 | 99,086 | Fixed | 229 properties | ||||||||||||||
Hotel - Philadelphia, PA (1)(4) | 14-May | 17-May | 34,000 | 34,000 | 33,842 | Floating | 301 rooms | ||||||||||||||
Condo Construction - Bethesda, MD (5) | 14-Jun | 16-Dec | 20,000 | 20,000 | 19,616 | Floating | 40 units | ||||||||||||||
Multifamily - Brooklyn, NY (1)(6) | 14-Jul | 16-Aug | 30,000 | 30,000 | 30,110 | Floating | 63 units | ||||||||||||||
Mixed Use - Cincinnati, Ohio (7) | 14-Nov | 18-May | 20,000 | 20,000 | 18,309 | Floating | 65 acres | ||||||||||||||
Condo Conversion - NY, NY (1)(8) | 14-Nov | 15-Dec | 67,300 | 67,300 | 64,714 | Floating | 86,000 sq. ft. | ||||||||||||||
Multifamily - Williston, North Dakota (1)(4) | 14-Nov | 17-Nov | 58,000 | 57,792 | 57,297 | Floating | 366 units/homes | ||||||||||||||
Vacation Home Portfolio - Various U.S. (4) | 14-Nov | 19-Nov | 50,000 | 50,000 | 49,508 | Fixed | 24 properties | ||||||||||||||
Total/Weighted Average | $ | 467,300 | $ | 465,574 | $ | 458,520 | 6.84 | % | |||||||||||||
-1 | At December 31, 2014, this loan was pledged to secure borrowings under the Company’s master repurchase facility entered into with JPMorgan Chase Bank, N.A. (the “JPMorgan Facility”). See Note 9 – Borrowings for a description of this facility. | ||||||||||||||||||||
-2 | This loan includes a one-year extension option subject to certain conditions and the payment of a fee. | ||||||||||||||||||||
-3 | This loan includes a six-month extension option subject to certain conditions and the payment of a fee. As of December 31, 2014, the Company had $52,000 of unfunded loan commitments related to this loan. | ||||||||||||||||||||
-4 | This loan includes two one-year extension options subject to certain conditions and the payment of a fee. | ||||||||||||||||||||
-5 | This loan includes a six-month extension option subject to certain conditions and the payment of a fee. As of December 31, 2014, the Company had $45,100 of unfunded loan commitments related to this loan. | ||||||||||||||||||||
-6 | This loan includes three one-year extension options subject to certain conditions and the payment of a fee for each extension. As of December 31, 2014, the Company had $4,500 of unfunded loan commitments related to this loan. | ||||||||||||||||||||
-7 | This loan includes two one-year extension options subject to certain conditions and the payment of a fee. As of December 31, 2014, the Company had $145,000 of unfunded loan commitments related to this loan. | ||||||||||||||||||||
-8 | This loan includes a six-month extension option subject to certain conditions and the payment of a fee. |
Subordinate_Loans_Tables
Subordinate Loans (Tables) (Subordinate Loans [Member]) | 12 Months Ended | ||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||
Subordinate Loans [Member] | |||||||||||||||||||
Mortgage Loans on Real Estate [Line Items] | |||||||||||||||||||
Schedule of Mortgage Loans on Real Estate | The Company’s subordinate loan portfolio was comprised of the following as of December 31, 2013: | ||||||||||||||||||
Description | Date of | Maturity | Original | Current | Carrying | Coupon | |||||||||||||
Investment | Date | Face | Face | Value | |||||||||||||||
Amount | Amount | ||||||||||||||||||
Office - Michigan | 10-May | 20-Jun | $ | 9,000 | $ | 8,866 | $ | 8,866 | Fixed | ||||||||||
Ski Resort - California | 11-Apr | 17-May | 40,000 | 40,000 | 39,781 | Fixed | |||||||||||||
Hotel– New York (1) | 12-Jan | 14-Feb | 15,000 | 15,000 | 15,207 | Fixed | |||||||||||||
Mixed Use – North Carolina | 12-Jul | 22-Jul | 6,525 | 6,525 | 6,525 | Fixed | |||||||||||||
Office Complex - Missouri | 12-Sep | 22-Oct | 10,000 | 9,849 | 9,849 | Fixed | |||||||||||||
Hotel Portfolio – Various (1) | 12-Nov | 15-Nov | 50,000 | 48,431 | 48,397 | Floating | |||||||||||||
Condo Conversion – NY, NY (2) | 12-Dec | 15-Jan | 35,000 | 35,000 | 34,734 | Floating | |||||||||||||
Condo Construction – NY, NY (1) | 13-Jan | 17-Jul | 60,000 | 66,800 | 66,340 | Fixed | |||||||||||||
Multifamily Conversion – NY, NY (1) | 13-Jan | 14-Dec | 18,000 | 18,000 | 17,906 | Floating | |||||||||||||
Hotel Portfolio – Rochester, MN | 13-Jan | 18-Feb | 25,000 | 24,771 | 24,771 | Fixed | |||||||||||||
Warehouse Portfolio - Various | 13-May | 23-May | 32,000 | 32,000 | 32,000 | Fixed | |||||||||||||
Multifamily Conversion – NY, NY (3) | 13-May | 14-Jun | 44,000 | 44,000 | 43,859 | Floating | |||||||||||||
Office Condo - NY, NY | 13-Jul | 22-Jul | 14,000 | 14,000 | 13,565 | Fixed | |||||||||||||
Condo Conversion – NY, NY (4) | 13-Aug | 15-Sep | 294 | 295 | 2 | Floating | |||||||||||||
Mixed Use - Pittsburgh, PA (1) | 13-Aug | 16-Aug | 22,500 | 22,500 | 22,342 | Floating | |||||||||||||
Healthcare Portfolio - Various | 13-Oct | 14-Jun | 47,000 | 47,000 | 47,000 | Floating | |||||||||||||
Mixed Use - Florida (2) | 13-Nov | 18-Oct | 50,000 | 50,000 | 49,535 | Floating | |||||||||||||
Mixed Use - Various (2) | 13-Dec | 18-Dec | 17,000 | 17,000 | 16,805 | Fixed | |||||||||||||
Total/Weighted Average | $ | 495,319 | $ | 500,037 | $ | 497,484 | 11.6 | % | |||||||||||
-1 | Includes a one-year extension option subject to certain conditions and the payment of an extension fee. | ||||||||||||||||||
-2 | Includes two one-year extension options subject to certain conditions and the payment of a fee for each extension. | ||||||||||||||||||
-3 | Includes a three-month extension option subject to certain conditions and the payment of an extension fee. | ||||||||||||||||||
-4 | Includes a one-year extension option subject to certain conditions and the payment of an extension fee. As of December 31, 2013, the Company had $29,106 of unfunded loan commitments related to this loan. | ||||||||||||||||||
The Company’s subordinate loan portfolio was comprised of the following as of December 31, 2014: | |||||||||||||||||||
Description | Date of | Maturity | Original | Current | Carrying | Coupon | |||||||||||||
Investment | Date | Face | Face | Value | |||||||||||||||
Amount | Amount | ||||||||||||||||||
Office - Michigan | 10-May | 20-Jun | $ | 9,000 | $ | 8,813 | $ | 8,813 | Fixed | ||||||||||
Ski Resort - California | 11-Apr | 17-May | 40,000 | 40,000 | 39,771 | Fixed | |||||||||||||
Mixed Use – North Carolina | 12-Jul | 22-Aug | 6,525 | 6,525 | 6,525 | Fixed | |||||||||||||
Office Complex - Missouri | 12-Sep | 22-Oct | 10,000 | 9,711 | 9,711 | Fixed | |||||||||||||
Hotel Portfolio – Various (1) | 12-Nov | 15-Nov | 50,000 | 34,042 | 33,995 | Floating | |||||||||||||
Condo Construction – NY, NY (1) | 13-Jan | 17-Jul | 60,000 | 76,344 | 76,005 | Fixed | |||||||||||||
Multifamily Conversion – NY, NY (1) | 13-Jan | 15-Dec | 18,000 | 14,608 | 14,703 | Floating | |||||||||||||
Hotel Portfolio – Rochester, MN | 13-Jan | 18-Feb | 25,000 | 24,486 | 24,486 | Fixed | |||||||||||||
Warehouse Portfolio - Various | 13-May | 23-May | 32,000 | 32,000 | 32,000 | Fixed | |||||||||||||
Multifamily Conversion – NY, NY (2) | 13-May | 15-Feb | 44,000 | 44,000 | 43,989 | Floating | |||||||||||||
Office Condo - NY, NY | 13-Jul | 22-Jul | 14,000 | 14,000 | 13,596 | Fixed | |||||||||||||
Condo Conversion – NY, NY (1) | 13-Aug | 15-Sep | 29,400 | 29,751 | 29,762 | Floating | |||||||||||||
Mixed Use - Pittsburgh, PA (3) | 13-Aug | 16-Aug | 22,500 | 22,500 | 22,473 | Floating | |||||||||||||
Mixed Use - Various (3) | 13-Dec | 16-Dec | 17,000 | 19,464 | 19,294 | Fixed | |||||||||||||
Mixed Use - London, England | 14-Apr | 15-Jan | 50,009 | 52,355 | 52,355 | Fixed | |||||||||||||
Healthcare Portfolio - Various (4) | 14-Jun | 16-Jun | 50,000 | 50,000 | 50,000 | Floating | |||||||||||||
Hotel - NY, NY (4) | 14-Jul | 16-Jul | 20,000 | 20,000 | 19,870 | Floating | |||||||||||||
Ski Resort - Big Sky, Montana | 14-Aug | 20-Sep | 15,000 | 15,000 | 14,861 | Fixed | |||||||||||||
Mixed Use - New York, NY (5) | 14-Dec | 17-Dec | 50,000 | 50,000 | 48,973 | Floating | |||||||||||||
Total/Weighted Average | $ | 562,434 | $ | 563,599 | $ | 561,182 | 11.34 | % | |||||||||||
-1 | Includes a one-year extension option subject to certain conditions and the payment of an extension fee. | ||||||||||||||||||
-2 | Includes a three-month extension option subject to certain conditions and the payment of an extension fee. | ||||||||||||||||||
-3 | Includes two one-year extension options subject to certain conditions and the payment of a fee for each extension. | ||||||||||||||||||
-4 | Includes three one-year extension options subject to certain conditions and the payment of an extension fee. | ||||||||||||||||||
-5 | Includes two one-year extension options subject to certain conditions and the payment of a fee for each extension. |
Borrowings_Tables
Borrowings (Tables) | 12 Months Ended | |||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||
Debt Disclosure [Abstract] | ||||||||||||||||||||||||
Weighted Average Maturities and Interest Rates of Borrowings | At December 31, 2014 and 2013, the Company’s borrowings had the following debt balances, weighted average maturities and interest rates: | |||||||||||||||||||||||
December 31, 2014 | 31-Dec-13 | |||||||||||||||||||||||
Debt | Weighted | Weighted | Debt | Weighted | Weighted | |||||||||||||||||||
Balance | Average | Average | Balance | Average | Average | |||||||||||||||||||
Remaining | Rate | Remaining | Rate | |||||||||||||||||||||
Maturity | Maturity | |||||||||||||||||||||||
Wells Facility borrowings | $ | 20,166 | 0.2 years | 1 | % | $ | 47,751 | 0.2 years | 1.2 | % | ** | |||||||||||||
UBS Facility borrowings | 133,899 | 3.7 years | * | 2.8 | % | 133,899 | 4.7 years | 2.8 | % | Fixed | ||||||||||||||
DB Facility borrowings | 300,005 | 3.3 years | 3.7 | % | — | 0.0 years | — | % | *** | |||||||||||||||
JPMorgan Facility borrowings | 168,124 | 0.1 years | 2.7 | % | 20,383 | 1.1 years | 2.7 | % | L+250 | |||||||||||||||
Total borrowings | $ | 622,194 | 3.2 years | 3.2 | % | $ | 202,033 | 3.3 years | 2.4 | % | ||||||||||||||
* | Assumes extension options are exercised. | |||||||||||||||||||||||
** At December 31, 2013, borrowings outstanding under the Wells Facility bore interest at LIBOR plus 105 basis points. At December 31, 2014, borrowings outstanding under the Wells Facility bore interest at LIBOR plus 80 basis points. | ||||||||||||||||||||||||
*** Advances under the DB Facility accrue interest at a per annum pricing rate based on the rate implied by the fixed rate bid under a fixed for floating interest rate swap for the receipt of payments indexed to three-month U.S. dollar LIBOR, plus a financing spread ranging from 1.80% to 2.32% based on the rating of the collateral pledged. | ||||||||||||||||||||||||
Remaining Maturities of Borrowings | At December 31, 2014, the Company’s borrowings had the following remaining maturities: | |||||||||||||||||||||||
Less than | 1 to 3 | 3 to 5 | More than | Total | ||||||||||||||||||||
1 year | years | years | 5 years | |||||||||||||||||||||
Wells Facility borrowings | $ | 20,166 | $ | — | $ | — | $ | — | $ | 20,166 | ||||||||||||||
UBS Facility borrowings * | — | 133,899 | — | — | 133,899 | |||||||||||||||||||
DB Facility borrowings | 40,476 | 213,654 | 45,875 | — | 300,005 | |||||||||||||||||||
JPMorgan Facility borrowings | 168,124 | — | — | — | 168,124 | |||||||||||||||||||
Total | $ | 228,766 | $ | 347,553 | $ | 45,875 | $ | — | $ | 622,194 | ||||||||||||||
* | Assumes extension options are exercised. | |||||||||||||||||||||||
Schedule of Outstanding, Maximum and Average Balances of Debt | The table below summarizes the outstanding balances, as well as the maximum and average balances as of December 31, 2014 and 2013. | |||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||
Balance at | Maximum Month-End | Average Month-End | Balance at | Maximum Month-End | Average Month-End | |||||||||||||||||||
December 31, | Balance | Balance | December 31, | Balance | Balance | |||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||
Wells Facility borrowings | $ | 20,166 | $ | 47,751 | $ | 28,921 | $ | 47,751 | $ | 225,156 | $ | 168,747 | ||||||||||||
UBS Facility borrowings | 133,899 | 133,899 | 133,899 | 133,899 | 133,899 | 31,728 | ||||||||||||||||||
DB Facility borrowings | 300,005 | 300,005 | 145,856 | $ | — | $ | — | $ | — | |||||||||||||||
JPMorgan Facility borrowings | 168,124 | 169,066 | 105,366 | $ | 20,383 | $ | 20,383 | $ | 3,138 | |||||||||||||||
Total | $ | 622,194 | $ | 202,033 | ||||||||||||||||||||
Convertible_Senior_NotesTables
Convertible Senior Notes(Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Debt Disclosure [Abstract] | ||||||||||||
Schedule of Convertible Senior Notes | The following table summarizes the terms of the 2019 Notes. | |||||||||||
Principal Amount | Coupon Rate | Effective Rate (1) | Conversion Rate (2) | Maturity Date | Remaining Period of Amortization | |||||||
March 2019 Notes | $ | 143,750 | 5.5 | % | 6.25 | % | 55.3649 | 3/15/19 | 4.21 years | |||
August 2019 Notes | $ | 111,000 | 5.5 | % | 6.5 | % | 55.3649 | 3/15/19 | 4.21 years | |||
Derivative_Instruments_Tables
Derivative Instruments (Tables) | 12 Months Ended | |||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||||||||||||||||||||||||
Summary of Amounts Recognized on Consolidated Statements of Operations Related to Company's Derivatives | The following table summarizes the amounts recognized on the consolidated statements of operations related to the Company’s derivatives for the years ended December 31, 2014, 2013 and 2012. | |||||||||||||||||||||||
Amount of loss | ||||||||||||||||||||||||
recognized in | ||||||||||||||||||||||||
income | ||||||||||||||||||||||||
Location of Loss Recognized in Income | 2014 | 2013 | 2012 | |||||||||||||||||||||
Interest rate swaps | Loss on derivative instruments – realized * | $ | — | $ | (157 | ) | $ | (895 | ) | |||||||||||||||
Interest rate swaps | Gain on derivative instruments – unrealized | — | $ | 156 | $ | 510 | ||||||||||||||||||
Interest rate caps | Loss on derivative instruments - unrealized | — | (1 | ) | (187 | ) | ||||||||||||||||||
Forward currency contract | Gain on derivative instruments - unrealized | 4,070 | — | — | ||||||||||||||||||||
Total | $ | 4,070 | $ | (2 | ) | $ | (572 | ) | ||||||||||||||||
* | Realized losses represent net amounts accrued for the Company’s derivative instruments during the period. | |||||||||||||||||||||||
Summarizes Gross Asset and Liability Amounts Related to Derivatives | The following table summarizes the gross asset and liability amounts related to the Company’s derivatives at December 31, 2014 and 2013. | |||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||||||||||
Gross | Gross | Net Amounts | Gross | Gross | Net Amounts | |||||||||||||||||||
Amount of | Amounts | of Assets | Amount of | Amounts | of Liabilities | |||||||||||||||||||
Assets | Offset in the | Presented in | Assets | Offset in the | Presented in | |||||||||||||||||||
Recognized | Statement | the Statement | Recognized | Statement | the Statement | |||||||||||||||||||
as | of Financial | of Financial | as | of Financial | of Financial | |||||||||||||||||||
Assets | Position | Position | Liabilities | Position | Position | |||||||||||||||||||
Interest rate swaps | $ | — | $ | — | $ | — | $ | — | $ | (156 | ) | $ | (156 | ) | ||||||||||
Interest rate caps | — | — | — | 1 | — | 1 | ||||||||||||||||||
Forward currency contract | $ | 4,070 | $ | — | $ | 4,070 | $ | — | $ | — | $ | — | ||||||||||||
Total derivative instruments | $ | 4,070 | $ | — | $ | 4,070 | $ | 1 | $ | (156 | ) | $ | (155 | ) | ||||||||||
ShareBased_Payments_Tables
Share-Based Payments (Tables) | 12 Months Ended | |||||||||||||||
Dec. 31, 2014 | ||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||||||||||||||||
Summary of Grants, Exchanges and Forfeitures of Restricted Stock and RSUs | The following table summarizes the grants, exchanges and forfeitures of restricted common stock and RSUs during 2014, 2013 and 2012: | |||||||||||||||
Type | Date | Restricted Stock | RSUs | Estimate Fair Value | Initial Vesting | Final Vesting | ||||||||||
on Grant Date | ||||||||||||||||
Outstanding at January 1, 2012 | 161,032 | 402,709 | ||||||||||||||
Forfeiture | Feb-12 | — | (1,875 | ) | n/a | n/a | n/a | |||||||||
Grant | Mar-12 | — | 20,000 | 310 | Mar-13 | Mar-15 | ||||||||||
Grant | Apr-12 | 9,584 | — | 150 | Jul-12 | Apr-15 | ||||||||||
Grant | Aug-12 | 1,496 | — | 25 | Jul-13 | Jul-15 | ||||||||||
Canceled upon delivery | Oct-12 | — | (112,084 | ) | n/a | n/a | n/a | |||||||||
Grant | February 2013 | 20,000 | — | 352 | Dec-13 | Dec-15 | ||||||||||
Grant | Feb-13 | — | 180,000 | 3,166 | Dec-13 | Dec-15 | ||||||||||
Grant | Apr-13 | 11,304 | — | 200 | Jul-13 | Apr-16 | ||||||||||
Grant | May-13 | — | 15,000 | 264 | Dec-13 | Dec-15 | ||||||||||
Forfeiture | Jun-13 | — | (5,000 | ) | n/a | n/a | n/a | |||||||||
Canceled upon delivery | Jul-13 | — | (5,000 | ) | n/a | n/a | n/a | |||||||||
Grant | Sep-13 | — | 10,000 | 154 | Sep-13 | Sep-13 | ||||||||||
Grant | Nov-13 | 5,000 | — | 81 | Dec-13 | Oct-16 | ||||||||||
Canceled upon delivery | Jan-14 | — | (288,750 | ) | n/a | n/a | n/a | |||||||||
Grant | Apr-14 | 8,931 | — | 150 | Jul-14 | Apr-17 | ||||||||||
Grant | Apr-14 | 5,000 | — | 85 | Jul-14 | Apr-17 | ||||||||||
Canceled upon delivery | Apr-14 | — | (5,000 | ) | n/a | n/a | n/a | |||||||||
Grant | Jun-14 | — | 10,254 | 169 | Dec-14 | Dec-16 | ||||||||||
Grant | Dec-14 | 51,767 | — | 855 | Dec-15 | Dec-17 | ||||||||||
Grant | Dec-14 | — | 390,000 | 6,474 | Dec-15 | Dec-17 | ||||||||||
Outstanding at December 31, 2014 | 274,114 | 610,254 | ||||||||||||||
Below is a summary of restricted stock and RSU vesting dates as of December 31, 2014. | ||||||||||||||||
Vesting Date | Shares Vesting | RSU Vesting | Total Awards | |||||||||||||
Jan-15 | 3,698 | — | 3,698 | |||||||||||||
Mar-15 | — | 6,667 | 6,667 | |||||||||||||
Apr-15 | 3,699 | — | 3,699 | |||||||||||||
Jul-15 | 3,300 | — | 3,300 | |||||||||||||
Jul-15 | 250 | — | 250 | |||||||||||||
Oct-15 | 3,300 | — | 3,300 | |||||||||||||
Dec-15 | 15,588 | 196,752 | 212,340 | |||||||||||||
Jan-16 | 3,299 | — | 3,299 | |||||||||||||
Apr-16 | 3,300 | — | 3,300 | |||||||||||||
Jul-16 | 2,828 | — | 2,828 | |||||||||||||
Oct-16 | 2,827 | — | 2,827 | |||||||||||||
Dec-16 | 12,255 | 133,417 | 145,672 | |||||||||||||
Jan-17 | 2,411 | — | 2,411 | |||||||||||||
Apr-17 | 2,414 | — | 2,414 | |||||||||||||
Jul-17 | 1,250 | — | 1,250 | |||||||||||||
Oct-17 | 1,250 | — | 1,250 | |||||||||||||
Dec-17 | 12,258 | 130,008 | 142,266 | |||||||||||||
73,927 | 466,844 | 540,771 | ||||||||||||||
Stockholders_Equity_Tables
Stockholders' Equity (Tables) | 12 Months Ended | |||||
Dec. 31, 2014 | ||||||
Stockholders' Equity Note [Abstract] | ||||||
Stockholders' Equity | During 2014 and 2013, the Company has declared the following dividends on its common stock: | |||||
Declaration Date | Record Date | Payment Date | Amount | |||
February 27, 2013 | March 28, 2013 | April 12, 2013 | $ | 0.4 | ||
May 1, 2013 | June 28, 2013 | July 12, 2013 | $ | 0.4 | ||
July 31, 2013 | September 30, 2013 | October 11, 2013 | $ | 0.4 | ||
11/4/13 | December 31, 2013 | January 13, 2014 | $ | 0.4 | ||
February 26, 2014 | March 31, 2014 | April 15, 2014 | $ | 0.4 | ||
April 29, 2014 | June 30, 2014 | July 15, 2014 | $ | 0.4 | ||
July 28, 2014 | September 30, 2014 | October 15, 2014 | $ | 0.4 | ||
October 28, 2014 | December 31, 2014 | 1/15/15 | $ | 0.4 | ||
During 2014 and 2013, the Company declared the following dividends on its Series A Preferred Stock: | ||||||
Declaration Date | Record Date | Payment Date | Amount | |||
March 15, 2013 | March 28, 2013 | April 15, 2013 | $ | 0.5391 | ||
June 12, 2013 | June 28, 2013 | July 15, 2013 | $ | 0.5391 | ||
September 16, 2013 | September 30, 2013 | October 15, 2013 | $ | 0.5391 | ||
December 9, 2013 | December 30, 2013 | January 15, 2014 | $ | 0.5391 | ||
March 17, 2014 | March 31, 2014 | April 15, 2014 | $ | 0.5391 | ||
June 9, 2014 | June 30, 2014 | July 15, 2014 | $ | 0.5391 | ||
September 8, 2014 | September 30, 2014 | October 15, 2014 | $ | 0.5391 | ||
December 16, 2014 | December 31, 2014 | January 15, 2015 | $ | 0.5391 | ||
Fair_Value_of_Financial_Instru1
Fair Value of Financial Instruments (Tables) | 12 Months Ended | |||||||||||||||
Dec. 31, 2014 | ||||||||||||||||
Financial Instruments Disclosure [Abstract] | ||||||||||||||||
Carrying Value and Estimated Fair Value of Company's Financial Instruments | The following table presents the carrying value and estimated fair value of the Company’s financial instruments not carried at fair value on the consolidated balance sheet at December 31, 2014 and 2013: | |||||||||||||||
December 31, 2014 | December 31, 2013 | |||||||||||||||
Carrying | Estimated | Carrying | Estimated | |||||||||||||
Value | Fair Value | Value | Fair Value | |||||||||||||
Cash and cash equivalents | $ | 40,641 | $ | 40,641 | $ | 20,096 | $ | 20,096 | ||||||||
Restricted cash | 30,127 | 30,127 | 30,127 | 30,127 | ||||||||||||
Securities, held-to-maturity | 154,283 | 154,980 | — | — | ||||||||||||
Commercial first mortgage loans | 458,520 | 465,510 | 161,099 | 164,405 | ||||||||||||
Subordinate loans | 561,182 | 566,385 | 497,484 | 503,267 | ||||||||||||
Borrowings under repurchase agreements | (622,194 | ) | (621,269 | ) | (202,033 | ) | (202,148 | ) | ||||||||
Convertible senior notes, net | (246,464 | ) | (254,605 | ) | — | — | ||||||||||
Participations sold | (89,584 | ) | (89,995 | ) | — | — | ||||||||||
Net_Income_Loss_per_Share_Tabl
Net Income (Loss) per Share (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Earnings Per Share [Abstract] | ||||||||||||
Basic and Diluted Net Income per Share of Common Stock Using Two-Class Method | The table below presents basic and diluted net income per share of common stock using the two-class method for the years ended December 31, 2014, 2013 and 2012: | |||||||||||
For the year ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Numerator: | ||||||||||||
Net income | $ | 82,739 | $ | 52,485 | $ | 40,181 | ||||||
Preferred dividends | (7,440 | ) | (7,440 | ) | (3,079 | ) | ||||||
Net income available to common stockholders | 75,299 | 45,045 | 37,102 | |||||||||
Dividends declared on common stock | (71,089 | ) | (59,008 | ) | (35,899 | ) | ||||||
Dividends on participating securities | (506 | ) | (798 | ) | (628 | ) | ||||||
Net income (loss) attributable to common stockholders | $ | 3,704 | $ | (14,761 | ) | $ | 575 | |||||
Denominator: | ||||||||||||
Basic weighted average shares of common stock outstanding | 43,464,255 | 35,212,211 | 22,259,386 | |||||||||
Diluted weighted average shares of common stock outstanding | 43,684,805 | 35,679,755 | 22,648,819 | |||||||||
Basic and diluted net income (loss) per weighted average share of common stock | ||||||||||||
Distributable Earnings | $ | 1.64 | $ | 1.68 | $ | 1.61 | ||||||
Undistributed income (loss) | 0.08 | $ | (0.42 | ) | $ | 0.03 | ||||||
Basic and diluted net income per share of common stock | $ | 1.72 | $ | 1.26 | $ | 1.64 | ||||||
Summarized_Quarterly_Results_U1
Summarized Quarterly Results (Unaudited) (Tables) | 12 Months Ended | |||||||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ||||||||||||||||||||||||||||||||
Schedule of Summarized Quarterly Results | ||||||||||||||||||||||||||||||||
March 31, | June 30, | September 30, | December 31, | |||||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | 2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||
Net interest income: | ||||||||||||||||||||||||||||||||
Interest income from securities | $ | 2,419 | $ | 3,087 | $ | 4,366 | $ | 3,014 | $ | 6,129 | $ | 2,533 | $ | 8,275 | $ | 3,633 | ||||||||||||||||
Interest income from securities, held to maturity | — | — | — | — | 1,448 | — | 3,165 | — | ||||||||||||||||||||||||
Interest income from commercial mortgage loans | 4,011 | 3,592 | 6,438 | 3,676 | 8,025 | 4,954 | 9,328 | 3,812 | ||||||||||||||||||||||||
Interest income from subordinate loans | 14,730 | 11,454 | 18,238 | 11,498 | 19,754 | 12,184 | 17,021 | 14,026 | ||||||||||||||||||||||||
Interest income from repurchase agreements | — | 2 | — | — | — | — | — | — | ||||||||||||||||||||||||
Interest expense | (1,757 | ) | (1,068 | ) | (5,258 | ) | (955 | ) | (8,786 | ) | (885 | ) | (10,740 | ) | (1,450 | ) | ||||||||||||||||
Net interest income | 19,403 | 17,067 | 23,784 | 17,233 | 26,570 | 18,786 | 27,049 | 20,021 | ||||||||||||||||||||||||
Operating expenses: | ||||||||||||||||||||||||||||||||
General and administrative expenses | (1,442 | ) | (1,895 | ) | (1,479 | ) | (1,437 | ) | (1,434 | ) | (1,793 | ) | (1,796 | ) | (2,438 | ) | ||||||||||||||||
Management fees to related party | (2,565 | ) | (2,160 | ) | (2,966 | ) | (2,600 | ) | (3,193 | ) | (2,625 | ) | (3,236 | ) | (2,627 | ) | ||||||||||||||||
Total operating expenses | (4,007 | ) | (4,055 | ) | (4,445 | ) | (4,037 | ) | (4,627 | ) | (4,418 | ) | (5,032 | ) | (5,065 | ) | ||||||||||||||||
Income from unconsolidated joint venture | — | — | — | — | (88 | ) | — | (69 | ) | — | ||||||||||||||||||||||
Interest income from cash balances | — | — | 4 | 16 | 21 | 3 | 9 | 1 | ||||||||||||||||||||||||
Unrealized gain (loss) on securities | 2,184 | (1,080 | ) | 4,749 | (1,421 | ) | (2,147 | ) | (1,472 | ) | (639 | ) | 908 | |||||||||||||||||||
Foreign currency gain (loss) | — | — | 959 | — | (3,596 | ) | — | (1,413 | ) | — | ||||||||||||||||||||||
Gain (loss) on derivative instruments | — | — | (1,093 | ) | (2 | ) | 3,026 | 1 | 2,137 | (1 | ) | |||||||||||||||||||||
Net income | 17,580 | 11,932 | 23,958 | 11,789 | 19,159 | 12,900 | 22,042 | 15,864 | ||||||||||||||||||||||||
Preferred dividends | (1,860 | ) | (1,860 | ) | (1,860 | ) | (1,860 | ) | (1,860 | ) | (1,860 | ) | (1,860 | ) | (1,860 | ) | ||||||||||||||||
Net income available to common stockholders | $ | 15,720 | $ | 10,072 | $ | 22,098 | $ | 9,929 | 17,299 | $ | 11,040 | $ | 20,182 | $ | 14,004 | |||||||||||||||||
Basic and diluted net income per share of common stock | $ | 0.42 | $ | 0.33 | $ | 0.51 | $ | 0.27 | $ | 0.37 | $ | 0.3 | $ | 0.43 | $ | 0.37 | ||||||||||||||||
Basic weighted average shares of common stock outstanding | 37,122,842 | 30,105,939 | 42,888,747 | 36,880,410 | 46,848,675 | 36,883,002 | 46,852,646 | 36,886,619 | ||||||||||||||||||||||||
Diluted weighted average shares of common stock outstanding | 37,341,050 | 30,480,689 | 43,099,354 | 37,373,885 | 47,068,929 | 37,379,469 | 47,085,617 | 37,390,369 | ||||||||||||||||||||||||
Dividend declared per share of common stock | $ | 0.4 | $ | 0.4 | $ | 0.4 | $ | 0.4 | $ | 0.4 | $ | 0.4 | $ | 0.4 | $ | 0.4 | ||||||||||||||||
Summary_of_Significant_Account2
Summary of Significant Accounting Policies - Additional Information (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Segment | ||
Accounting Policies [Abstract] | ||
Number of business segments | 1 | |
Summary Of Significant Accounting Policies [Line Items] | ||
Capitalized financing costs | $7,444 | $628 |
Operating loss carryforward | 1,400 | |
Other Assets [Member] | ||
Summary Of Significant Accounting Policies [Line Items] | ||
Capitalized financing costs | $7,444 | $628 |
Fair_Value_Disclosure_Fair_Val
Fair Value Disclosure Fair Value Disclosure - Summarizes Levels in Fair Value Hierarchy of Financial Instruments (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative instrument | $4,070 | $0 |
Fair Value, Total | 543,905 | 191,448 |
AAA Commercial Mortage Backed Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Aggregate purchase price of CMBS | 17,105 | 33,362 |
Estimate of Fair Value [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative instrument | 4,070 | 0 |
Estimate of Fair Value [Member] | AAA Commercial Mortage Backed Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Aggregate purchase price of CMBS | 522,730 | 158,086 |
Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value, Total | 543,905 | 191,448 |
Level 2 [Member] | AAA Commercial Mortage Backed Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Aggregate purchase price of CMBS | 17,105 | 33,362 |
Level 2 [Member] | Estimate of Fair Value [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative instrument | 4,070 | 0 |
Level 2 [Member] | Estimate of Fair Value [Member] | AAA Commercial Mortage Backed Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Aggregate purchase price of CMBS | $522,730 | $158,086 |
Debt_Securities_Additional_Inf
Debt Securities - Additional Information (Details) (USD $) | 1 Months Ended | 12 Months Ended | |||
31-May-14 | Dec. 31, 2014 | Dec. 31, 2013 | Aug. 31, 2014 | Jun. 30, 2014 | |
room | option | ||||
Schedule of Available-for-sale Securities [Line Items] | |||||
Available-for-sale securities, face amount | 544,190,000 | $188,643,000 | |||
Commercial Mortgage Backed Securities [Member] | |||||
Schedule of Available-for-sale Securities [Line Items] | |||||
Available-for-sale securities, face amount | 17,013,000 | 33,066,000 | |||
Commercial Mortgage Backed Securities [Member] | CMBS - UBS [Member] | |||||
Schedule of Available-for-sale Securities [Line Items] | |||||
Available-for-sale securities, face amount | 387,100,000 | ||||
Aggregate purchase price of CMBS | 375,006,000 | ||||
Subordinate Loans [Member] | |||||
Schedule of Available-for-sale Securities [Line Items] | |||||
Original Face Amount | 562,434,000 | 495,319,000 | |||
Subordinate Loans [Member] | Hotel [Member] | Hotel - Aruba [Member] | |||||
Schedule of Available-for-sale Securities [Line Items] | |||||
Property Size, Number of Units/Rooms | 442 | ||||
Property Size, Area | 131,500 | ||||
Term of loan | 3 years | ||||
Number of options to extend loan agreement | 2 | ||||
Option to extend loan agreement, term | 1 year | ||||
Appraised loan to value ratio | 60.00% | ||||
Subordinate Loans [Member] | Hotel [Member] | Hotel - Aruba [Member] | First Mortgage [Member] | |||||
Schedule of Available-for-sale Securities [Line Items] | |||||
Original Face Amount | 155,000,000 | ||||
Senior Participation [Member] | Subordinate Loans [Member] | Hotel [Member] | Hotel - Aruba [Member] | |||||
Schedule of Available-for-sale Securities [Line Items] | |||||
Participating mortgage loans, amount | 90,000,000 | 90,000,000 | |||
Junior Participation [Member] | Subordinate Loans [Member] | Hotel [Member] | Hotel - Aruba [Member] | |||||
Schedule of Available-for-sale Securities [Line Items] | |||||
Participating mortgage loans, amount | $65,000,000 | $65,000,000 |
Debt_Securities_Amortized_Cost
Debt Securities - Amortized Cost and Estimated Fair Value (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Face Amount | $544,190 | $188,643 |
Amortized cost | 534,226 | 190,178 |
Gross Unrealized Gain | 7,322 | 2,313 |
Gross Unrealized Loss | -1,713 | -1,043 |
Securities available-for-sale, at estimated fair value | 539,835 | 191,448 |
Commercial Mortgage Backed Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Face Amount | 17,013 | 33,066 |
Amortized cost | 17,783 | 34,232 |
Gross Unrealized Gain | 0 | 0 |
Gross Unrealized Loss | -678 | -870 |
Securities available-for-sale, at estimated fair value | 17,105 | 33,362 |
Commercial Mortgage Backed Securities [Member] | AAA Commercial Mortage Backed Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Face Amount | 155,577 | |
Amortized cost | 155,946 | |
Gross Unrealized Gain | 2,313 | |
Gross Unrealized Loss | -173 | |
Securities available-for-sale, at estimated fair value | 158,086 | |
Commercial Mortgage Backed Securities [Member] | Estimate of Fair Value [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Face Amount | 527,177 | |
Amortized cost | 516,443 | |
Gross Unrealized Gain | 7,322 | |
Gross Unrealized Loss | -1,035 | |
Securities available-for-sale, at estimated fair value | $522,730 |
Debt_Securities_Summary_of_Con
Debt Securities - Summary of Continuous Unrealized Loss Positions (Details) (USD $) | Dec. 31, 2014 |
In Thousands, unless otherwise specified | |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value [Abstract] | |
Continuous unrealized loss position, Less than 12 months, Fair Value | $130,435 |
Continuous unrealized loss position, 12 months or More, Fair Value | 23,420 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss [Abstract] | |
Continuous unrealized loss position, Less than 12 months, Unrealized Loss | -1,019 |
Continuous unrealized loss position, 12 months or More, Unrealized Loss | -694 |
Commercial Mortgage Backed Securities [Member] | |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value [Abstract] | |
Continuous unrealized loss position, Less than 12 months, Fair Value | 0 |
Continuous unrealized loss position, 12 months or More, Fair Value | 17,105 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss [Abstract] | |
Continuous unrealized loss position, Less than 12 months, Unrealized Loss | 0 |
Continuous unrealized loss position, 12 months or More, Unrealized Loss | -678 |
Estimate of Fair Value [Member] | Commercial Mortgage Backed Securities [Member] | |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value [Abstract] | |
Continuous unrealized loss position, Less than 12 months, Fair Value | 130,435 |
Continuous unrealized loss position, 12 months or More, Fair Value | 6,315 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss [Abstract] | |
Continuous unrealized loss position, Less than 12 months, Unrealized Loss | -1,019 |
Continuous unrealized loss position, 12 months or More, Unrealized Loss | ($16) |
Debt_Securities_Overall_Statis
Debt Securities - Overall Statistics for Company's AAA-Rated CMBS Investments Calculated on Weighted Average Basis (Details) (Commercial Mortgage Backed Securities [Member], AAA-CCC Rated CMBS [Member]) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Commercial Mortgage Backed Securities [Member] | AAA-CCC Rated CMBS [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Coupon | 5.90% | 5.80% |
Yield | 6.40% | 5.30% |
Weighted Average Life | 2 years 3 months 18 days | 3 years 1 month 6 days |
Debt_Securities_Percentage_Vin
Debt Securities - Percentage Vintage, Property Type, and Location of Collateral Securing Company's AAA-Rated CMBS Investments Calculated on Weighted Average Basis (Details) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Mortgage Loans on Real Estate [Line Items] | ||
Percentage Vintage | 100.00% | 100.00% |
Available-for-sale Securities [Member] | Vintage Concentration Risk [Member] | Vintage 2005 [Member] | ||
Mortgage Loans on Real Estate [Line Items] | ||
Percentage Vintage | 9.00% | 0.00% |
Available-for-sale Securities [Member] | Vintage Concentration Risk [Member] | Vintage 2006 [Member] | ||
Mortgage Loans on Real Estate [Line Items] | ||
Percentage Vintage | 19.00% | 3.00% |
Available-for-sale Securities [Member] | Vintage Concentration Risk [Member] | Vintage 2007 [Member] | ||
Mortgage Loans on Real Estate [Line Items] | ||
Percentage Vintage | 63.00% | 97.00% |
Available-for-sale Securities [Member] | Vintage Concentration Risk [Member] | Vintage 2008 [Member] | ||
Mortgage Loans on Real Estate [Line Items] | ||
Percentage Vintage | 9.00% | 0.00% |
Available-for-sale Securities [Member] | Product Concentration Risk [Member] | Office [Member] | ||
Mortgage Loans on Real Estate [Line Items] | ||
Percentage Vintage | 33.40% | 33.20% |
Available-for-sale Securities [Member] | Product Concentration Risk [Member] | Retail [Member] | ||
Mortgage Loans on Real Estate [Line Items] | ||
Percentage Vintage | 29.10% | 25.10% |
Available-for-sale Securities [Member] | Product Concentration Risk [Member] | Multifamily [Member] | ||
Mortgage Loans on Real Estate [Line Items] | ||
Percentage Vintage | 13.30% | 15.30% |
Available-for-sale Securities [Member] | Product Concentration Risk [Member] | Hotel [Member] | ||
Mortgage Loans on Real Estate [Line Items] | ||
Percentage Vintage | 9.20% | 12.00% |
Available-for-sale Securities [Member] | Product Concentration Risk [Member] | Other [Member] | ||
Mortgage Loans on Real Estate [Line Items] | ||
Percentage Vintage | 15.00% | 14.40% |
Available-for-sale Securities [Member] | Geographic Concentration Risk [Member] | South Atlantic [Member] | ||
Mortgage Loans on Real Estate [Line Items] | ||
Percentage Vintage | 23.20% | 23.40% |
Available-for-sale Securities [Member] | Geographic Concentration Risk [Member] | Middle Atlantic [Member] | ||
Mortgage Loans on Real Estate [Line Items] | ||
Percentage Vintage | 21.10% | 22.80% |
Available-for-sale Securities [Member] | Geographic Concentration Risk [Member] | Pacific [Member] | ||
Mortgage Loans on Real Estate [Line Items] | ||
Percentage Vintage | 17.00% | 17.60% |
Available-for-sale Securities [Member] | Geographic Concentration Risk [Member] | East North Central [Member] | ||
Mortgage Loans on Real Estate [Line Items] | ||
Percentage Vintage | 11.00% | 0.00% |
Available-for-sale Securities [Member] | Geographic Concentration Risk [Member] | Other [Member] | ||
Mortgage Loans on Real Estate [Line Items] | ||
Percentage Vintage | 27.70% | 36.20% |
Commercial_Mortgage_Loan_Portf
Commercial Mortgage Loan Portfolio (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | ||
Mortgage Loans on Real Estate [Line Items] | |||
Current Face Amount | $1,029,173,000 | [1],[2] | |
Commercial mortgage loans [Member] | |||
Mortgage Loans on Real Estate [Line Items] | |||
Original Face Amount | 467,300,000 | 164,000,000 | |
Current Face Amount | 465,574,000 | 161,600,000 | |
Carrying Value | 458,520,000 | 161,099,000 | |
Coupon rate of loan | 6.84% | 8.82% | |
Commercial mortgage loans [Member] | Hotel [Member] | Hotel - Silver Spring, MD [Member] | |||
Mortgage Loans on Real Estate [Line Items] | |||
Original Face Amount | 26,000,000 | 26,000,000 | |
Current Face Amount | 24,590,000 | 24,947,000 | |
Carrying Value | 24,557,000 | 24,785,000 | |
Coupon rate of loan | 9.00% | ||
Property Size, Number of Units/Rooms | 263 | 263 | |
Commercial mortgage loans [Member] | Hotel [Member] | Hotel - Philadelphia, PA [Member] | |||
Mortgage Loans on Real Estate [Line Items] | |||
Original Face Amount | 34,000,000 | ||
Current Face Amount | 34,000,000 | ||
Carrying Value | 33,842,000 | ||
Coupon rate of loan | 4.71% | ||
Property Size, Number of Units/Rooms | 301 | ||
Commercial mortgage loans [Member] | Hotel [Member] | Hotel - NY, NY [Member] | |||
Mortgage Loans on Real Estate [Line Items] | |||
Original Face Amount | 32,000,000 | ||
Current Face Amount | 31,317,000 | ||
Carrying Value | 31,317,000 | ||
Property Size, Number of Units/Rooms | 151 | ||
Commercial mortgage loans [Member] | Condo Conversion [Member] | Condo Conversion - NY, NY August 2013 [Member] | |||
Mortgage Loans on Real Estate [Line Items] | |||
Original Face Amount | 33,000,000 | 33,000,000 | |
Current Face Amount | 33,846,000 | 33,167,000 | |
Carrying Value | 33,961,000 | 32,961,000 | |
Coupon rate of loan | 9.67% | ||
Property Size, Area | 40,000 | 40,000 | |
Commercial mortgage loans [Member] | Condo Conversion [Member] | Condo Conversion - NY, NY November 2014 [Member] | |||
Mortgage Loans on Real Estate [Line Items] | |||
Original Face Amount | 67,300,000 | ||
Current Face Amount | 67,300,000 | ||
Carrying Value | 64,714,000 | ||
Coupon rate of loan | 3.75% | ||
Property Size, Area | 86,000 | ||
Commercial mortgage loans [Member] | Condo Conversion [Member] | Condo Conversion - NY, NY December 2012 [Member] | |||
Mortgage Loans on Real Estate [Line Items] | |||
Original Face Amount | 45,000,000 | ||
Current Face Amount | 45,000,000 | ||
Carrying Value | 44,867,000 | ||
Property Size, Area | 119,000 | ||
Commercial mortgage loans [Member] | Condo Construction [Member] | Condo Construction Potomac, MD [Member] | |||
Mortgage Loans on Real Estate [Line Items] | |||
Original Face Amount | 28,000,000 | ||
Current Face Amount | 28,000,000 | ||
Carrying Value | 27,520,000 | ||
Coupon rate of loan | 10.50% | ||
Property Size, Number of Units/Rooms | 50 | ||
Commercial mortgage loans [Member] | Condo Construction [Member] | Condo Construction Bethesda, MD [Member] | |||
Mortgage Loans on Real Estate [Line Items] | |||
Original Face Amount | 20,000,000 | ||
Current Face Amount | 20,000,000 | ||
Carrying Value | 19,616,000 | ||
Coupon rate of loan | 10.75% | ||
Property Size, Number of Units/Rooms | 40 | ||
Commercial mortgage loans [Member] | Vacation Home Portfolio [Member] | Vacation Home Portfolio - Various [Member] | |||
Mortgage Loans on Real Estate [Line Items] | |||
Original Face Amount | 101,000,000 | ||
Current Face Amount | 100,046,000 | ||
Carrying Value | 99,086,000 | ||
Coupon rate of loan | 7.50% | ||
Number of properties | 229 | ||
Commercial mortgage loans [Member] | Vacation Home Portfolio [Member] | Vacation Home Portfolio - Various, United States [Member] | |||
Mortgage Loans on Real Estate [Line Items] | |||
Original Face Amount | 50,000,000 | ||
Current Face Amount | 50,000,000 | ||
Carrying Value | 49,508,000 | ||
Coupon rate of loan | 7.00% | ||
Number of properties | 24 | ||
Commercial mortgage loans [Member] | Office Condo [Member] | Office Condo (Headquarters) - NY, NY [Member] | |||
Mortgage Loans on Real Estate [Line Items] | |||
Original Face Amount | 28,000,000 | ||
Current Face Amount | 27,169,000 | ||
Carrying Value | 27,169,000 | ||
Property Size, Area | 73,419 | ||
Commercial mortgage loans [Member] | Mixed Use [Member] | Mixed Use - Cincinnati, OH [Member] | |||
Mortgage Loans on Real Estate [Line Items] | |||
Original Face Amount | 20,000,000 | ||
Current Face Amount | 20,000,000 | ||
Carrying Value | 18,309,000 | ||
Coupon rate of loan | 9.25% | ||
Property Size, Area | 65 | ||
Commercial mortgage loans [Member] | Multifamily Conversion [Member] | Multifamily, Brooklyn, NY [Member] | |||
Mortgage Loans on Real Estate [Line Items] | |||
Original Face Amount | 30,000,000 | ||
Current Face Amount | 30,000,000 | ||
Carrying Value | 30,110,000 | ||
Coupon rate of loan | 4.41% | ||
Property Size, Number of Units/Rooms | 63 | ||
Commercial mortgage loans [Member] | Multifamily Conversion [Member] | Multifamily - Williston, ND [Member] | |||
Mortgage Loans on Real Estate [Line Items] | |||
Original Face Amount | 58,000,000 | ||
Current Face Amount | 57,792,000 | ||
Carrying Value | $57,297,000 | ||
Coupon rate of loan | 5.15% | ||
Property Size, Number of Units/Rooms | 366 | ||
[1] | Subject to prior liens. | ||
[2] | The aggregate cost for federal income tax purposes is $1,019,702. |
Commercial_Mortgage_Loan_Portf1
Commercial Mortgage Loan Portfolio (Details 2) (Commercial mortgage loans [Member], USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Hotel, Multifamily, and Vacation Home Portfolio [Member] | ||
Mortgage Loans on Real Estate [Line Items] | ||
Number of options to extend loan agreement | 2 | |
Option to extend loan agreement, term | 1 year | |
Condo Conversion [Member] | Condo Conversion - NY, NY August 2013 [Member] | ||
Mortgage Loans on Real Estate [Line Items] | ||
Option to extend loan agreement, term | 1 year | 1 year |
Condo Conversion [Member] | Condo Conversion - NY, NY November 2014 [Member] | ||
Mortgage Loans on Real Estate [Line Items] | ||
Option to extend loan agreement, term | 6 months | |
Condo Conversion [Member] | Condo Conversion - NY, NY December 2012 [Member] | ||
Mortgage Loans on Real Estate [Line Items] | ||
Number of options to extend loan agreement | 2 | |
Option to extend loan agreement, term | 1 year | |
Condo Construction [Member] | Condo Construction Potomac, MD [Member] | ||
Mortgage Loans on Real Estate [Line Items] | ||
Option to extend loan agreement, term | 6 months | |
Unfunded loan commitments | 52,000 | |
Condo Construction [Member] | Condo Construction Bethesda, MD [Member] | ||
Mortgage Loans on Real Estate [Line Items] | ||
Option to extend loan agreement, term | 6 months | |
Unfunded loan commitments | 45,100 | |
Multifamily Conversion [Member] | Multifamily, Brooklyn, NY [Member] | ||
Mortgage Loans on Real Estate [Line Items] | ||
Number of options to extend loan agreement | 3 | |
Option to extend loan agreement, term | 1 year | |
Unfunded loan commitments | 4,500 | |
Mixed Use [Member] | Mixed Use - Cincinnati, OH [Member] | ||
Mortgage Loans on Real Estate [Line Items] | ||
Number of options to extend loan agreement | 2 | |
Option to extend loan agreement, term | 1 year | |
Unfunded loan commitments | 145,000 |
Commercial_Mortgage_Loans_Addi
Commercial Mortgage Loans - Additional Information (Details) (Commercial mortgage loans [Member], USD $) | 1 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2013 | Mar. 31, 2013 |
acre | ||
participation_interest | ||
Hotel [Member] | Hotel - Silver Spring, MD [Member] | ||
Mortgage Loans on Real Estate [Line Items] | ||
Fee received on loan transfer | $280 | |
Mixed Use [Member] | Mixed Use - South Boston, MA [Member] | ||
Mortgage Loans on Real Estate [Line Items] | ||
Senior sub-participation interests | 2 | |
Property Size, Area | 20 | |
Sub-participation, percentage of par value | 78.00% | |
Sub-participation brokerage fee | 3.00% |
Subordinate_Loan_Portfolio_Det
Subordinate Loan Portfolio (Details) (USD $) | 12 Months Ended | |||
Dec. 31, 2014 | Dec. 31, 2013 | Jun. 30, 2012 | ||
Mortgage Loans on Real Estate [Line Items] | ||||
Current Face Amount | $1,029,173,000 | [1],[2] | ||
Subordinate Loans [Member] | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Original Face Amount | 562,434,000 | 495,319,000 | ||
Current Face Amount | 563,599,000 | [1] | 500,037,000 | |
Carrying Value | 561,182,000 | [1] | 497,484,000 | |
Coupon rate of loan | 11.34% | 11.60% | ||
Subordinate Loans [Member] | Retail [Member] | Senior Mezz - Retail - Various [Member] | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Original Face Amount | 9,000,000 | |||
Current Face Amount | 8,866,000 | |||
Carrying Value | 8,866,000 | |||
Subordinate Loans [Member] | Retail [Member] | Junior Mezz - Retail - Various [Member] | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Original Face Amount | 40,000,000 | |||
Current Face Amount | 40,000,000 | |||
Carrying Value | 39,781,000 | |||
Subordinate Loans [Member] | Office [Member] | Office - Michigan [Member] | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Original Face Amount | 9,000,000 | 15,000,000 | ||
Current Face Amount | 8,813,000 | [1] | 15,000,000 | |
Carrying Value | 8,813,000 | [1] | 15,207,000 | |
Coupon rate of loan | 13.00% | [1] | ||
Subordinate Loans [Member] | Office [Member] | Office Complex - Missouri [Member] | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Original Face Amount | 10,000,000 | 10,000,000 | ||
Current Face Amount | 9,711,000 | [1] | 9,849,000 | |
Carrying Value | 9,711,000 | [1] | 9,849,000 | |
Coupon rate of loan | 11.75% | [1] | ||
Subordinate Loans [Member] | Office [Member] | Office Condo - NY, NY [Member] | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Original Face Amount | 14,000,000 | 14,000,000 | ||
Current Face Amount | 14,000,000 | [1] | 14,000,000 | |
Carrying Value | 13,596,000 | [1] | 13,565,000 | |
Coupon rate of loan | 11.25% | [1] | ||
Subordinate Loans [Member] | Ski Resort [Member] | Ski Resort - California [Member] | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Original Face Amount | 40,000,000 | |||
Current Face Amount | 40,000,000 | [1] | ||
Carrying Value | 39,771,000 | [1] | ||
Coupon rate of loan | 13.25% | [1] | ||
Subordinate Loans [Member] | Ski Resort [Member] | Ski Resort Montana [Member] | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Original Face Amount | 15,000,000 | |||
Current Face Amount | 15,000,000 | [1] | ||
Carrying Value | 14,861,000 | [1] | ||
Coupon rate of loan | 14.00% | [1] | ||
Subordinate Loans [Member] | Hotel [Member] | Hotel - New York [Member] | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Original Face Amount | 35,000,000 | |||
Current Face Amount | 35,000,000 | |||
Carrying Value | 34,734,000 | |||
Subordinate Loans [Member] | Hotel [Member] | Hotel - New York March 2014 [Member] | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Original Face Amount | 60,000,000 | |||
Current Face Amount | 66,800,000 | |||
Carrying Value | 66,340,000 | |||
Subordinate Loans [Member] | Hotel [Member] | Hotel Portfolio - Various [Member] | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Original Face Amount | 50,000,000 | 50,000,000 | ||
Current Face Amount | 34,042,000 | [1] | 48,431,000 | |
Carrying Value | 33,995,000 | [1] | 48,397,000 | |
Coupon rate of loan | 11.07% | [1] | ||
Subordinate Loans [Member] | Hotel [Member] | Hotel Portfolio - Rochester, MN [Member] | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Original Face Amount | 25,000,000 | 25,000,000 | ||
Current Face Amount | 24,486,000 | [1] | 24,771,000 | |
Carrying Value | 24,486,000 | [1] | 24,771,000 | |
Coupon rate of loan | 11.00% | [1] | ||
Subordinate Loans [Member] | Hotel [Member] | Hotel - NY, NY, July 2016 [Member] | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Original Face Amount | 20,000,000 | |||
Current Face Amount | 20,000,000 | [1] | ||
Carrying Value | 19,870,000 | [1] | ||
Coupon rate of loan | 10.25% | [1] | ||
Subordinate Loans [Member] | Mixed Use [Member] | Mixed Use - North Carolina [Member] | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Original Face Amount | 6,525,000 | 6,525,000 | ||
Current Face Amount | 6,525,000 | [1] | 6,525,000 | |
Carrying Value | 6,525,000 | [1] | 6,525,000 | |
Coupon rate of loan | 11.10% | [1] | ||
Subordinate Loans [Member] | Mixed Use [Member] | Mixed Use - Pittsburgh, PA [Member] | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Original Face Amount | 22,500,000 | 22,500,000 | ||
Current Face Amount | 22,500,000 | [1] | 22,500,000 | |
Carrying Value | 22,473,000 | [1] | 22,342,000 | |
Coupon rate of loan | 9.42% | [1] | ||
Subordinate Loans [Member] | Mixed Use [Member] | Mixed Use - Florida [Member] | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Original Face Amount | 50,000,000 | |||
Current Face Amount | 50,000,000 | |||
Carrying Value | 49,535,000 | |||
Subordinate Loans [Member] | Mixed Use [Member] | Mixed Use - Various [Member] | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Original Face Amount | 17,000,000 | 17,000,000 | ||
Current Face Amount | 19,464,000 | [1] | 17,000,000 | |
Carrying Value | 19,294,000 | [1] | 16,805,000 | |
Coupon rate of loan | 14.00% | [1] | ||
Subordinate Loans [Member] | Mixed Use [Member] | Mixed Use - London, England [Member] | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Original Face Amount | 50,009,000 | |||
Current Face Amount | 52,355,000 | [1] | ||
Carrying Value | 52,355,000 | [1] | ||
Coupon rate of loan | 9.25% | [1] | ||
Subordinate Loans [Member] | Mixed Use [Member] | Mixed Use - New York, NY [Member] | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Original Face Amount | 50,000,000 | |||
Current Face Amount | 50,000,000 | [1] | ||
Carrying Value | 48,973,000 | [1] | ||
Coupon rate of loan | 10.66% | [1] | ||
Subordinate Loans [Member] | Condo Conversion [Member] | Condo Conversion New York, NY [Member] | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Original Face Amount | 44,000,000 | |||
Current Face Amount | 44,000,000 | |||
Carrying Value | 43,859,000 | |||
Subordinate Loans [Member] | Condo Conversion [Member] | Condo Conversion - NY, NY September 2015 [Member] | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Original Face Amount | 29,400,000 | 294,000 | ||
Current Face Amount | 29,751,000 | [1] | 295,000 | |
Carrying Value | 29,762,000 | [1] | 2,000 | |
Coupon rate of loan | 9.67% | [1] | ||
Subordinate Loans [Member] | Condo Construction [Member] | Condo Construction - NY, NY [Member] | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Original Face Amount | 60,000,000 | |||
Current Face Amount | 76,344,000 | [1] | ||
Carrying Value | 76,005,000 | [1] | ||
Coupon rate of loan | 13.25% | [1] | ||
Subordinate Loans [Member] | Multifamily Conversion [Member] | Multifamily Conversion - NY, NY December 2014 [Member] | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Original Face Amount | 18,000,000 | 18,000,000 | ||
Current Face Amount | 14,608,000 | [1] | 18,000,000 | |
Carrying Value | 14,703,000 | [1] | 17,906,000 | |
Coupon rate of loan | 10.23% | [1] | ||
Subordinate Loans [Member] | Multifamily Conversion [Member] | Multifamily Conversion - NY, NY June 2014 [Member] | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Original Face Amount | 44,000,000 | |||
Current Face Amount | 44,000,000 | [1] | ||
Carrying Value | 43,989,000 | [1] | ||
Coupon rate of loan | 12.25% | [1] | ||
Subordinate Loans [Member] | Warehouse [Member] | Warehouse Portfolio - Various [Member] | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Original Face Amount | 32,000,000 | 32,000,000 | ||
Current Face Amount | 32,000,000 | [1] | 32,000,000 | |
Carrying Value | 32,000,000 | [1] | 32,000,000 | |
Coupon rate of loan | 11.50% | [1] | ||
Subordinate Loans [Member] | Healthcare [Member] | Healthcare Portfolio - Various [Member] | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Original Face Amount | 50,000,000 | 47,000,000 | ||
Current Face Amount | 50,000,000 | [1] | 47,000,000 | |
Carrying Value | $50,000,000 | [1] | $47,000,000 | |
Coupon rate of loan | 9.43% | [1] | ||
[1] | Subject to prior liens. | |||
[2] | The aggregate cost for federal income tax purposes is $1,019,702. |
Subordinate_Loan_Portfolio_Det1
Subordinate Loan Portfolio (Details 2) (Subordinate Loans [Member], USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Mortgage Loans on Real Estate [Line Items] | ||
Unfunded Loan Commitments | 32,500 | |
Hotel, Condo Construction, Multifamily Conversion, and Mixed Use [Member] | ||
Mortgage Loans on Real Estate [Line Items] | ||
Option to extend loan agreement, term | 1 year | 1 year |
Condo Conversion and Mixed Use [Member] | ||
Mortgage Loans on Real Estate [Line Items] | ||
Option to extend loan agreement, term | 1 year | |
Number of options to extend loan agreement | 2 | |
Healthcare Portfolio and Hotel [Member] | ||
Mortgage Loans on Real Estate [Line Items] | ||
Option to extend loan agreement, term | 1 year | |
Number of options to extend loan agreement | 3 | |
Multifamily Conversion - NY, NY June 2014 [Member] | Multifamily Conversion [Member] | ||
Mortgage Loans on Real Estate [Line Items] | ||
Option to extend loan agreement, term | 3 months | 3 months |
Mixed Use - New York, NY [Member] | Mixed Use [Member] | ||
Mortgage Loans on Real Estate [Line Items] | ||
Option to extend loan agreement, term | 1 year | |
Number of options to extend loan agreement | 2 | |
Unfunded Loan Commitments | 32,500 | |
Condo Conversion - NY, NY September 2015 [Member] | Condo Conversion [Member] | ||
Mortgage Loans on Real Estate [Line Items] | ||
Option to extend loan agreement, term | 1 year | |
Unfunded Loan Commitments | 29,106 |
Subordinate_Loans_Additional_I
Subordinate Loans - Additional Information (Details) (USD $) | 1 Months Ended | 12 Months Ended | 1 Months Ended | |||||
In Thousands, unless otherwise specified | Feb. 28, 2013 | Dec. 31, 2013 | Jan. 31, 2014 | Oct. 31, 2013 | Jun. 30, 2013 | Nov. 30, 2014 | Jun. 30, 2014 | Aug. 31, 2014 |
loan | office_park | |||||||
Subordinate Loans [Member] | Retail [Member] | ||||||||
Mortgage Loans on Real Estate [Line Items] | ||||||||
Proceeds from loans receivable | $50,000 | $25,000 | ||||||
Number of loans | 2 | |||||||
Proceeds from loans receivable collection, yield maintenance payment | 2,500 | |||||||
Subordinate Loans [Member] | Hotel [Member] | ||||||||
Mortgage Loans on Real Estate [Line Items] | ||||||||
Proceeds from loans receivable | 15,000 | 25,000 | 15,000 | |||||
Proceeds from loans receivable collection, yield maintenance payment | 1,233 | |||||||
Mezzanine Loan [Member] | Hotel [Member] | ||||||||
Mortgage Loans on Real Estate [Line Items] | ||||||||
Proceeds from loans receivable | 28,250 | |||||||
Mezzanine Loan [Member] | Nursing Facility [Member] | ||||||||
Mortgage Loans on Real Estate [Line Items] | ||||||||
Proceeds from loans receivable | 47,000 | |||||||
Mezzanine Loan [Member] | Office [Member] | ||||||||
Mortgage Loans on Real Estate [Line Items] | ||||||||
Proceeds from loans receivable | $50,000 | |||||||
Number of properties | 7 |
Unconsolidated_Joint_Venture_A
Unconsolidated Joint Venture - Additional Information (Details) | 12 Months Ended | 9 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2013 |
USD ($) | USD ($) | USD ($) | Champ Limited Partnership [Member] | KBCD Partnership [Member] | KBCD Partnership [Member] | KBCD Partnership [Member] | Wholly-owned subsidiary [Member] | Champ LP [Member] | Commitment to Invest in KBCD [Member] | Commitment to Invest in KBCD [Member] | |
USD ($) | EUR (€) | Champ Limited Partnership [Member] | KBC Bank Deutschland AG [Member] | USD ($) | EUR (€) | ||||||
Schedule of Equity Method Investments [Line Items] | |||||||||||
Ownership interest (percentage) | 21.00% | 21.00% | 21.00% | 59.00% | 35.00% | ||||||
Initial funding for equity method investment | $39,477 | $0 | $0 | $39,477 | € 30,724 | ||||||
Commitment to invest | $50,000 | € 38,000 | |||||||||
Company and affiliated investors ownership, percentage | 100.00% | 100.00% |
Repurchase_Agreement_Additiona
Repurchase Agreement - Additional Information (Details) (USD $) | 1 Months Ended | 12 Months Ended | ||
In Thousands, unless otherwise specified | Jan. 31, 2013 | Dec. 31, 2011 | Dec. 31, 2014 | Dec. 31, 2013 |
Securities | extension | |||
Line of Credit Facility [Line Items] | ||||
Line of credit, amount outstanding | 622,194 | $202,033 | ||
CDO Bond [Member] | ||||
Line of Credit Facility [Line Items] | ||||
Investment, Face Amount | 68,726 | |||
Advance rate on face amount | 69.00% | |||
Number of senior and subordinate commercial real estate debt positions and commercial real estate securities included in CDO | 58 | |||
Internal rate of return | 17.00% | |||
Repurchase Facility [Member] | ||||
Line of Credit Facility [Line Items] | ||||
Line of credit, amount outstanding | $47,439 | |||
Interest rate for repurchase facility | 13.00% | |||
Current pay interest rate | 10.00% | |||
Accrual interest rate | 3.00% | |||
Expiration period | 18 months | |||
Number of extensions | 3 | |||
Option to extend, term | 6 months |
Borrowings_Weighted_Average_Ma
Borrowings - Weighted Average Maturities and Interest Rates of Borrowings (Details) (USD $) | 1 Months Ended | 12 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2013 | Dec. 31, 2014 | Dec. 31, 2013 |
Debt Instrument [Line Items] | |||
Debt Balance | $622,194 | $202,033 | |
Line of Credit [Member] | |||
Debt Instrument [Line Items] | |||
Debt Balance | 622,194 | 202,033 | |
Weighted Average Remaining Maturity | 3 years 2 months 12 days | 3 years 3 months 12 days | |
Weighted Average Rate | 3.20% | 2.40% | |
Line of Credit [Member] | Wells Fargo [Member] | |||
Debt Instrument [Line Items] | |||
Debt Balance | 20,166 | 47,751 | |
Weighted Average Remaining Maturity | 2 months 12 days | 2 months 12 days | |
Weighted Average Rate | 1.00% | 1.20% | |
Basis point | 0.80% | 1.05% | |
Line of Credit [Member] | UBS [Member] | |||
Debt Instrument [Line Items] | |||
Debt Balance | 133,899 | 133,899 | |
Weighted Average Remaining Maturity | 4 years | 3 years 8 months 12 days | 4 years 8 months 12 days |
Weighted Average Rate | 2.80% | 2.80% | |
Line of Credit [Member] | DB Facility [Member] | |||
Debt Instrument [Line Items] | |||
Debt Balance | 300,005 | 0 | |
Weighted Average Remaining Maturity | 3 years 3 months 18 days | 0 days | |
Weighted Average Rate | 3.70% | 0.00% | |
Line of Credit [Member] | JP Morgan Chase [Member] | |||
Debt Instrument [Line Items] | |||
Debt Balance | $168,124 | $20,383 | |
Weighted Average Remaining Maturity | 0 years 1 month 6 days | 1 year 1 month 6 days | |
Weighted Average Rate | 2.70% | 2.70% | |
Minimum [Member] | Line of Credit [Member] | DB Facility [Member] | Three Month LIBOR [Member] | |||
Debt Instrument [Line Items] | |||
Basis point | 1.80% | ||
Maximum [Member] | Line of Credit [Member] | DB Facility [Member] | Three Month LIBOR [Member] | |||
Debt Instrument [Line Items] | |||
Basis point | 2.32% |
Borrowings_Additional_Informat
Borrowings - Additional Information (Details) (USD $) | 9 Months Ended | 12 Months Ended | 1 Months Ended | ||||
Sep. 30, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Aug. 31, 2010 | Apr. 30, 2014 | Jan. 31, 2010 | |
subsidiary | |||||||
London Interbank Offered Rate (LIBOR) [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Basis spread on interest rate | 4.40% | ||||||
Line of Credit [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Expiration period | 3 years 2 months 12 days | 3 years 3 months 12 days | |||||
Line of Credit [Member] | Wells Fargo [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Basis spread on interest rate | 0.80% | 1.05% | |||||
Expiration period | 2 months 12 days | 2 months 12 days | |||||
Line of Credit [Member] | UBS [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Maximum borrowing under facility | $133,899,000 | ||||||
Estimated fair value of collateral pledged, percentage | 100.00% | ||||||
Covenant terms, minimum net asset value | 500,000,000 | ||||||
Covenant terms, maximum debt to tangible net worth ratio | 3 | ||||||
Expiration period | 3 years 8 months 12 days | 4 years 8 months 12 days | 4 years | ||||
Length of potential extension | 1 year | ||||||
Margin of cash borrowed, percentage | 22.50% | ||||||
Line of Credit [Member] | UBS [Member] | Six Month LIBOR [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Basis spread on interest rate | 1.55% | ||||||
Line of Credit [Member] | JP Morgan Chase [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Expiration period | 0 years 1 month 6 days | 1 year 1 month 6 days | |||||
Line of Credit [Member] | JP Morgan Chase [Member] | London Interbank Offered Rate (LIBOR) [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Basis spread on interest rate | 2.50% | ||||||
Wells Facility [Member] | Line of Credit [Member] | Wells Fargo [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Maximum borrowing under facility | 506,000,000 | ||||||
Basis spread on interest rate | 1.50% | ||||||
Threshold amount for margin calls | 250,000 | ||||||
Covenant terms, minimum net asset value | 100,000,000 | ||||||
Covenant terms, minimum net asset value percentage, during prior quarter | 75.00% | ||||||
Covenant terms, minimum net asset value percentage, during prior year | 65.00% | ||||||
Covenant terms, maximum debt to tangible net worth ratio | 8 | ||||||
Covenant terms, minimum liquidity | 2,500,000 | ||||||
Covenant terms, minimum EBITDA to interest expense ratio | 1.5 | ||||||
Limited guarantee percentage credit facility | 15.00% | ||||||
Covenant terms, total recourse indebtedness, percent | 10.00% | ||||||
Covenant terms, total recourse indebtedness, amount | 12,500,000 | ||||||
Wells Facility [Member] | Line of Credit [Member] | Wells Fargo [Member] | Financial Guarantee [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Maximum guarantee obligations | 37,500,000 | ||||||
Wells Facility [Member] | Line of Credit [Member] | Wells Fargo [Member] | London Interbank Offered Rate (LIBOR) [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Basis spread on interest rate | 0.80% | ||||||
Wells Facility [Member] | Line of Credit [Member] | Minimum [Member] | Wells Fargo [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Estimated fair value of collateral pledged, percentage | 85.00% | ||||||
Wells Facility [Member] | Line of Credit [Member] | Maximum [Member] | Wells Fargo [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Estimated fair value of collateral pledged, percentage | 90.00% | ||||||
DB Facility [Member] | Line of Credit [Member] | Deutsche Bank AG [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Maximum borrowing under facility | 300,005,000 | ||||||
Covenant terms, minimum shareholder's equity of gross capital proceeds | 50.00% | ||||||
DB Facility [Member] | Line of Credit [Member] | Minimum [Member] | Deutsche Bank AG [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Borrowing margin ratio | 125.00% | ||||||
DB Facility [Member] | Line of Credit [Member] | Minimum [Member] | Deutsche Bank AG [Member] | Three Month LIBOR [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Basis spread on interest rate | 1.80% | ||||||
DB Facility [Member] | Line of Credit [Member] | Maximum [Member] | Deutsche Bank AG [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Borrowing margin ratio | 181.82% | ||||||
DB Facility [Member] | Line of Credit [Member] | Maximum [Member] | Deutsche Bank AG [Member] | Three Month LIBOR [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Basis spread on interest rate | 2.32% | ||||||
JP Morgan Facility [Member] | Line of Credit [Member] | JP Morgan Chase [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Maximum borrowing under facility | 175,000,000 | ||||||
Threshold amount for margin calls | 250,000 | ||||||
Covenant terms, maximum debt to tangible net worth ratio | 3 | ||||||
Covenant terms, total recourse indebtedness, percent | 5.00% | ||||||
Covenant terms, total recourse indebtedness, amount | 15,000,000 | ||||||
Covenant terms, consolidated recourse indebtedness | 12,500,000 | ||||||
Number of subsidiaries | 2 | ||||||
Covenant terms, minimum consolidated tangible net worth | 125,000,000 | ||||||
Covenant terms, minimum liquidity percentage | 10.00% | ||||||
Covenant terms, minimum net income | 1 | ||||||
JP Morgan Facility [Member] | Line of Credit [Member] | JP Morgan Chase [Member] | London Interbank Offered Rate (LIBOR) [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Basis spread on interest rate | 2.50% | ||||||
JP Morgan Facility [Member] | Line of Credit [Member] | Minimum [Member] | JP Morgan Chase [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Estimated fair value of collateral pledged, percentage | 65.00% | ||||||
JP Morgan Facility [Member] | Line of Credit [Member] | Maximum [Member] | JP Morgan Chase [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Estimated fair value of collateral pledged, percentage | 90.00% |
Borrowings_Remaining_Maturitie
Borrowings - Remaining Maturities of Borrowings (Details) (Line of Credit [Member], USD $) | Dec. 31, 2014 |
In Thousands, unless otherwise specified | |
Line of Credit Facility [Line Items] | |
Less than 1 year | $228,766 |
1 to 3 years | 347,553 |
3 to 5 years | 45,875 |
More than 5 years | 0 |
Total | 622,194 |
Wells Fargo [Member] | |
Line of Credit Facility [Line Items] | |
Less than 1 year | 20,166 |
1 to 3 years | 0 |
3 to 5 years | 0 |
More than 5 years | 0 |
Total | 20,166 |
UBS [Member] | |
Line of Credit Facility [Line Items] | |
Less than 1 year | 0 |
1 to 3 years | 133,899 |
3 to 5 years | 0 |
More than 5 years | 0 |
Total | 133,899 |
DB Facility [Member] | |
Line of Credit Facility [Line Items] | |
Less than 1 year | 40,476 |
1 to 3 years | 213,654 |
3 to 5 years | 45,875 |
More than 5 years | 0 |
Total | 300,005 |
JP Morgan Chase [Member] | |
Line of Credit Facility [Line Items] | |
Less than 1 year | 168,124 |
1 to 3 years | 0 |
3 to 5 years | 0 |
More than 5 years | 0 |
Total | $168,124 |
Borrowings_Summary_of_Outstand
Borrowings - Summary of Outstanding Balances, Maximum and Average Balances of Borrowings (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Line of Credit Facility [Line Items] | ||
Line of credit, amount outstanding | $622,194 | $202,033 |
Line of Credit [Member] | ||
Line of Credit Facility [Line Items] | ||
Line of credit, amount outstanding | 622,194 | 202,033 |
Wells Fargo [Member] | Line of Credit [Member] | ||
Line of Credit Facility [Line Items] | ||
Line of credit, amount outstanding | 20,166 | 47,751 |
Maximum Month-End Balance | 47,751 | 225,156 |
Average Month-End Balance | 28,921 | 168,747 |
UBS [Member] | Line of Credit [Member] | ||
Line of Credit Facility [Line Items] | ||
Line of credit, amount outstanding | 133,899 | 133,899 |
Maximum Month-End Balance | 133,899 | 133,899 |
Average Month-End Balance | 133,899 | 31,728 |
DB Facility [Member] | Line of Credit [Member] | ||
Line of Credit Facility [Line Items] | ||
Line of credit, amount outstanding | 300,005 | 0 |
Maximum Month-End Balance | 300,005 | |
Average Month-End Balance | 145,856 | |
JP Morgan Chase [Member] | Line of Credit [Member] | ||
Line of Credit Facility [Line Items] | ||
Line of credit, amount outstanding | 168,124 | 20,383 |
Maximum Month-End Balance | 169,066 | 20,383 |
Average Month-End Balance | $105,366 | $3,138 |
Convertible_Senior_Notes_Addit
Convertible Senior Notes - Additional Information (Details) (USD $) | 12 Months Ended | 0 Months Ended | 9 Months Ended | |||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Mar. 17, 2014 | Aug. 18, 2014 | Sep. 30, 2014 |
Debt Instrument [Line Items] | ||||||
Proceeds from issuance of convertible senior notes | $256,970 | $0 | $0 | |||
Convertible senior notes, carrying value | 246,464 | 0 | ||||
Convertible Debt [Member] | March 2019 Notes [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Principal Amount | 143,750 | |||||
Coupon Rate | 5.50% | |||||
Effective Rate (percentage) | 6.25% | |||||
Conversion Rate | 55.3649 | |||||
Remaining Period of Amortization (years) | 4 years 2 months 16 days | |||||
Proceeds from issuance of convertible senior notes | 139,037 | |||||
Convertible senior notes, carrying value | 139,769 | |||||
Unamortized discount | 3,980 | |||||
Convertible Debt [Member] | August 2019 Notes [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Principal Amount | 111,000 | 111,000 | ||||
Coupon Rate | 5.50% | 5.50% | ||||
Effective Rate (percentage) | 6.50% | |||||
Conversion Rate | 55.3649 | |||||
Remaining Period of Amortization (years) | 4 years 2 months 16 days | |||||
Proceeds from issuance of convertible senior notes | 109,615 | |||||
Convertible senior notes, carrying value | 106,695 | |||||
Unamortized discount | 4,305 | |||||
Convertible Debt [Member] | 2019 Notes [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Share price | $16.36 | |||||
Conversion price | $18.06 | |||||
Equity component of senior notes | 11,445 | |||||
Interest expense on debt | 8,493 | |||||
Additional non-cash interest expense | $1,973 |
Participations_Sold_Details
Participations Sold (Details) (USD $) | 9 Months Ended | |||||
Sep. 30, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | 31-May-14 | Aug. 31, 2014 | Jun. 30, 2014 | |
Mortgage Loans on Real Estate [Line Items] | ||||||
Participation sold, amount | $89,584,000 | $0 | ||||
London Interbank Offered Rate (LIBOR) [Member] | ||||||
Mortgage Loans on Real Estate [Line Items] | ||||||
Basis point | 4.40% | |||||
Subordinate Loans [Member] | ||||||
Mortgage Loans on Real Estate [Line Items] | ||||||
Original Face Amount | 562,434,000 | 495,319,000 | ||||
Hotel - Aruba [Member] | First Mortgage [Member] | Hotel [Member] | Subordinate Loans [Member] | ||||||
Mortgage Loans on Real Estate [Line Items] | ||||||
Original Face Amount | 155,000,000 | |||||
Senior Participation [Member] | Hotel - Aruba [Member] | Hotel [Member] | Subordinate Loans [Member] | ||||||
Mortgage Loans on Real Estate [Line Items] | ||||||
Participating mortgage loans, amount | 90,000,000 | 90,000,000 | ||||
Junior Participation [Member] | Hotel - Aruba [Member] | Hotel [Member] | Subordinate Loans [Member] | ||||||
Mortgage Loans on Real Estate [Line Items] | ||||||
Participating mortgage loans, amount | 65,000,000 | 65,000,000 | ||||
Participating Mortgages [Member] | Subordinate Loans [Member] | ||||||
Mortgage Loans on Real Estate [Line Items] | ||||||
Original Face Amount | 90,000,000 |
Derivative_Instruments_Additio
Derivative Instruments - Additional Information (Details) (Forward Contracts [Member]) | Apr. 30, 2014 | Apr. 30, 2014 |
In Thousands, unless otherwise specified | USD ($) | Short [Member] |
GBP (£) | ||
Derivatives, Fair Value [Line Items] | ||
Derivative, notional amount | $57,631 | £ 34,389 |
Derivative_Instruments_Summary
Derivative Instruments - Summary of Amounts Recognized on Consolidated Statements of Operations Related to Company's Derivatives (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Derivative Instruments, Gain (Loss) [Line Items] | |||||||||||
Loss on derivative instruments-unrealized | $4,070 | $155 | $323 | ||||||||
Total | 2,137 | 3,026 | -1,093 | 0 | -1 | 1 | -2 | 0 | 4,070 | -2 | -572 |
Interest Rate Swap [Member] | Gain (Loss) on Derivative Instruments [Member] | |||||||||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||||||||
Loss on derivative instruments-realized | 0 | -157 | -895 | ||||||||
Loss on derivative instruments-unrealized | 0 | 156 | 510 | ||||||||
Interest Rate Cap [Member] | Gain (Loss) on Derivative Instruments [Member] | |||||||||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||||||||
Loss on derivative instruments-unrealized | 0 | -1 | -187 | ||||||||
Forward Currency Contract [Member] | Gain (Loss) on Derivative Instruments [Member] | |||||||||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||||||||
Loss on derivative instruments-unrealized | $4,070 | $0 | $0 |
Derivative_Instruments_Summari
Derivative Instruments - Summarizes Gross Asset and Liability Amounts Related to Derivatives (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Derivative [Line Items] | ||
Gross Amount of Assets Recognized as Assets | $4,070 | $1 |
Gross Amounts of Offset in the Statement of Financial Position | 0 | -156 |
Net Amounts of Assets Presented in the Statement of Financial Position | 4,070 | -155 |
Interest Rate Swap [Member] | ||
Derivative [Line Items] | ||
Gross Amount of Assets Recognized as Assets | 0 | 0 |
Gross Amounts of Offset in the Statement of Financial Position | 0 | -156 |
Net Amounts of Assets Presented in the Statement of Financial Position | 0 | -156 |
Interest Rate Cap [Member] | ||
Derivative [Line Items] | ||
Gross Amount of Assets Recognized as Assets | 0 | 1 |
Gross Amounts of Offset in the Statement of Financial Position | 0 | 0 |
Net Amounts of Assets Presented in the Statement of Financial Position | 0 | 1 |
Forward Currency Contract [Member] | ||
Derivative [Line Items] | ||
Gross Amount of Assets Recognized as Assets | 4,070 | 0 |
Gross Amounts of Offset in the Statement of Financial Position | 0 | 0 |
Net Amounts of Assets Presented in the Statement of Financial Position | $4,070 | $0 |
Related_Party_Transactions_Add
Related Party Transactions - Additional Information (Details) | 3 Months Ended | 12 Months Ended | 9 Months Ended | |||||||||||||||||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 |
USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | Limited Liability Company [Member] | Limited Liability Company [Member] | Limited Liability Company [Member] | Limited Liability Company [Member] | Limited Liability Company [Member] | Limited Liability Company [Member] | Limited Liability Company [Member] | Champ Limited Partnership [Member] | Champ Limited Partnership [Member] | KBC Bank Deutschland AG [Member] | KBCD Partnership [Member] | KBCD Partnership [Member] | KBCD Partnership [Member] | Commitment to Invest in KBCD [Member] | Commitment to Invest in KBCD [Member] | |
Management Fees [Member] | Management Fees [Member] | Management Fees [Member] | Reimbursements [Member] | Reimbursements [Member] | Reimbursements [Member] | Subsidiaries [Member] | Champ LP [Member] | USD ($) | EUR (€) | USD ($) | EUR (€) | |||||||||||||||
USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | |||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||||||||
Rate of management fees | 1.50% | |||||||||||||||||||||||||
Voting requirement to termination management agreement, percentage | 66.66% | |||||||||||||||||||||||||
Period of termination | 180 days | |||||||||||||||||||||||||
Period to be considered, for average annual base management fee | 3 | |||||||||||||||||||||||||
Termination fee calculation period | 24 months | |||||||||||||||||||||||||
Related party expenses | $3,236 | $3,193 | $2,966 | $2,565 | $2,627 | $2,625 | $2,600 | $2,160 | $11,960 | $10,012 | $6,139 | $11,960 | $10,012 | $6,139 | $985 | $745 | $987 | |||||||||
Base management fees incurred but not yet paid | 3,240 | 2,628 | 3,240 | 2,628 | 3,240 | 2,628 | ||||||||||||||||||||
Indirect ownership interest from limited partnership | 59.00% | 35.00% | 21.00% | 21.00% | 21.00% | |||||||||||||||||||||
Initial funding for equity method investment | 39,477 | 0 | 0 | 39,477 | 30,724 | |||||||||||||||||||||
Commitment to invest | $50,000 | € 38,000 | ||||||||||||||||||||||||
Company and affiliated investors ownership, percentage | 100.00% | 100.00% |
ShareBased_Payments_Additional
Share-Based Payments - Additional Information (Details) (USD $) | 12 Months Ended | |||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Sep. 23, 2009 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Recognized stock-based compensation expense | $1,576 | $3,488 | $3,624 | |
LTIP [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Percentage of issued and outstanding shares of common stock provides for grants of restricted common stock, restricted stock units and other equity-based awards | 7.50% | |||
LTIP [Member] | Restricted Stock and Restricted Stock Units [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Recognized stock-based compensation expense | 1,576 | 3,488 | 3,624 | |
LTIP [Member] | Restricted Stock [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Fair value of vested shares | 445 | 293 | 717 | |
Unrecognized stock-based compensation expense | 1,301 | |||
LTIP [Member] | RSU Vesting [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Fair value of vested shares | 2,729 | 2,854 | 1,916 | |
Unrecognized stock-based compensation expense | 7,735 | |||
Common stock, shares delivered | 240,277 | 3,057 | 67,354 | |
Stock units vested | 283,750 | 5,000 | 112,084 | |
Reduction of capital increase related to equity incentive plan | $876 | $31 | $779 |
ShareBased_Payments_Summary_of
Share-Based Payments - Summary of Grants, Exchanges and Forfeitures of Restricted Stock and RSUs (Details) (LTIP [Member], USD $) | 1 Months Ended | 12 Months Ended | 1 Months Ended | |||||||||||||||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2014 | Nov. 30, 2013 | Apr. 30, 2013 | Feb. 28, 2013 | Aug. 31, 2012 | Apr. 30, 2012 | Dec. 31, 2014 | Dec. 31, 2010 | Jun. 30, 2014 | Apr. 30, 2014 | Jan. 31, 2014 | Sep. 30, 2013 | Jul. 31, 2013 | Jun. 30, 2013 | 31-May-13 | Oct. 31, 2012 | Mar. 31, 2012 | Feb. 29, 2012 |
Restricted Stock [Member] | ||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||||||||
Grant | 51,767 | 5,000 | 11,304 | 20,000 | 1,496 | 9,584 | 274,114 | 161,032 | ||||||||||
Estimated Fair Value on Grant Date, Exchange | $855 | $81 | $200 | $352 | $25 | $150 | ||||||||||||
RSU [Member] | ||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||||||||
Grant | 390,000 | 180,000 | 610,254 | 402,709 | 10,254 | 10,000 | 15,000 | 20,000 | ||||||||||
Forfeiture/Canceled | -5,000 | -288,750 | -5,000 | -5,000 | -112,084 | -1,875 | ||||||||||||
Estimated Fair Value on Grant Date, Exchange | 6,474 | 3,166 | 169 | 154 | 264 | 310 | ||||||||||||
April 2014, One [Member] | Restricted Stock [Member] | ||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||||||||
Grant | 8,931 | |||||||||||||||||
Estimated Fair Value on Grant Date, Exchange | 150 | |||||||||||||||||
April 2014, Two [Member] | Restricted Stock [Member] | ||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||||||||
Grant | 5,000 | |||||||||||||||||
Estimated Fair Value on Grant Date, Exchange | 85 |
ShareBased_Payments_Summary_of1
Share-Based Payments - Summary of Restricted Stock and RSU Vesting Dates (Details) (LTIP [Member]) | Dec. 31, 2014 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 540,771 |
January 2015 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 3,698 |
March 2015 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 6,667 |
April 2015 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 3,699 |
July 2015 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 3,300 |
July 2015 (2) [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 250 |
October 2015 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 3,300 |
December 2015 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 212,340 |
January 2016 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 3,299 |
April 2016 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 3,300 |
July 2016 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 2,828 |
October 2016 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 2,827 |
December 2016 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 145,672 |
January 2017 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 2,411 |
April 2017 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 2,414 |
July 2017 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 1,250 |
October 2017 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 1,250 |
December 2017 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 142,266 |
Shares Vesting [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 73,927 |
Shares Vesting [Member] | January 2015 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 3,698 |
Shares Vesting [Member] | March 2015 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 0 |
Shares Vesting [Member] | April 2015 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 3,699 |
Shares Vesting [Member] | July 2015 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 3,300 |
Shares Vesting [Member] | July 2015 (2) [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 250 |
Shares Vesting [Member] | October 2015 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 3,300 |
Shares Vesting [Member] | December 2015 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 15,588 |
Shares Vesting [Member] | January 2016 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 3,299 |
Shares Vesting [Member] | April 2016 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 3,300 |
Shares Vesting [Member] | July 2016 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 2,828 |
Shares Vesting [Member] | October 2016 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 2,827 |
Shares Vesting [Member] | December 2016 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 12,255 |
Shares Vesting [Member] | January 2017 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 2,411 |
Shares Vesting [Member] | April 2017 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 2,414 |
Shares Vesting [Member] | July 2017 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 1,250 |
Shares Vesting [Member] | October 2017 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 1,250 |
Shares Vesting [Member] | December 2017 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 12,258 |
RSU Vesting [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 466,844 |
RSU Vesting [Member] | January 2015 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 0 |
RSU Vesting [Member] | March 2015 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 6,667 |
RSU Vesting [Member] | April 2015 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 0 |
RSU Vesting [Member] | July 2015 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 0 |
RSU Vesting [Member] | July 2015 (2) [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 0 |
RSU Vesting [Member] | October 2015 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 0 |
RSU Vesting [Member] | December 2015 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 196,752 |
RSU Vesting [Member] | January 2016 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 0 |
RSU Vesting [Member] | April 2016 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 0 |
RSU Vesting [Member] | July 2016 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 0 |
RSU Vesting [Member] | October 2016 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 0 |
RSU Vesting [Member] | December 2016 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 133,417 |
RSU Vesting [Member] | January 2017 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 0 |
RSU Vesting [Member] | April 2017 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 0 |
RSU Vesting [Member] | July 2017 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 0 |
RSU Vesting [Member] | October 2017 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 0 |
RSU Vesting [Member] | December 2017 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares vesting | 130,008 |
Stockholders_Equity_Additional
Stockholders' Equity - Additional Information (Details) (USD $) | 3 Months Ended | 1 Months Ended | ||||
Jun. 30, 2014 | 31-May-13 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Jul. 31, 2013 | |
Class of Stock [Line Items] | ||||||
Common stock, shares authorized | 450,000,000 | 450,000,000 | ||||
Common stock, par value (in dollars per share) | $0.01 | $0.01 | ||||
Preferred stock, shares authorized | 50,000,000 | 50,000,000 | ||||
Preferred stock, par value (in dollars per share) | $0.01 | $0.01 | ||||
Common stock shares issued | 46,900,442 | 36,888,467 | ||||
Common stock, shares outstanding | 46,900,442 | 36,888,467 | ||||
Preferred stock shares issued | 3,450,000 | 3,450,000 | ||||
Preferred stock, shares outstanding | 3,450,000 | 3,450,000 | ||||
Proceeds from issuance of common stock, net of offering costs | $158,439,000 | |||||
Common Stock [Member] | ||||||
Class of Stock [Line Items] | ||||||
Stock offering, authorized amount | 100,000,000 | |||||
Common Stock [Member] | Follow-on public offering [Member] | ||||||
Class of Stock [Line Items] | ||||||
Issuance of stock, Shares | 9,706,000 | 8,805,000 | ||||
Price per share of issued stock (in USD per share) | $16.35 | $16.90 | ||||
Proceeds from issuance of common stock, net of offering costs | 148,333,000 | |||||
Common Stock [Member] | July 2013 Repurchase Program [Member] | ||||||
Class of Stock [Line Items] | ||||||
Share Repurchase | $50,000,000 |
Stockholders_Equity_Common_Sto
Stockholders' Equity - Common Stock (Details) (USD $) | 3 Months Ended | 0 Months Ended | ||||||||||||||
Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Oct. 28, 2014 | Jul. 28, 2014 | Apr. 29, 2014 | Feb. 26, 2014 | Nov. 04, 2013 | Jul. 31, 2013 | 1-May-13 | Feb. 27, 2013 | |
Class of Stock [Line Items] | ||||||||||||||||
Dividend Amount | $0.40 | $0.40 | $0.40 | $0.40 | $0.40 | $0.40 | $0.40 | $0.40 | ||||||||
Common Stock [Member] | ||||||||||||||||
Class of Stock [Line Items] | ||||||||||||||||
Dividend Amount | $0.40 | $0.40 | $0.40 | $0.40 | $0.40 | $0.40 | $0.40 | $0.40 |
Stockholders_Equity_Preferred_
Stockholder's Equity - Preferred Stock (Details) (Series A Preferred Stock [Member], USD $) | 0 Months Ended | |||||||
Dec. 16, 2014 | Sep. 08, 2014 | Jun. 09, 2014 | Mar. 17, 2014 | Dec. 09, 2013 | Sep. 16, 2013 | Jun. 12, 2013 | Mar. 15, 2013 | |
Series A Preferred Stock [Member] | ||||||||
Class of Stock [Line Items] | ||||||||
Dividend Amount | $0.54 | $0.54 | $0.54 | $0.54 | $0.54 | $0.54 | $0.54 | $0.54 |
Commitments_and_Contingencies_
Commitments and Contingencies - Additional Information (Details) | 12 Months Ended | 9 Months Ended | ||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 |
USD ($) | USD ($) | USD ($) | KBCD Partnership [Member] | KBCD Partnership [Member] | KBCD Partnership [Member] | Commitment to Invest in KBCD [Member] | Commitment to Invest in KBCD [Member] | |
USD ($) | EUR (€) | USD ($) | EUR (€) | |||||
Schedule of Equity Method Investments [Line Items] | ||||||||
Commitment to invest | $50,000 | € 38,000 | ||||||
Indirect ownership interest from limited partnership | 21.00% | 21.00% | 21.00% | |||||
Initial funding for equity method investment | $39,477 | $0 | $0 | $39,477 | € 30,724 |
Commitments_and_Contingencies_1
Commitments and Contingencies - Loan Commitments (Details) (USD $) | Dec. 31, 2014 |
In Thousands, unless otherwise specified | |
Commercial mortgage loans [Member] | |
Mortgage Loans on Real Estate [Line Items] | |
Unfunded Loan Commitments | $246,600 |
Subordinate Loans [Member] | |
Mortgage Loans on Real Estate [Line Items] | |
Unfunded Loan Commitments | $32,500 |
Fair_Value_of_Financial_Instru2
Fair Value of Financial Instruments - Carrying Value and Estimated Fair Value of Company's Financial Instruments (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Restricted cash | $30,127 | $30,127 |
Securities, held-to-maturity | 0 | |
Carrying Value [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Cash and cash equivalents | 40,641 | 20,096 |
Restricted cash | 30,127 | 30,127 |
Securities, held-to-maturity | 154,283 | 0 |
Convertible senior notes, net | -246,464 | 0 |
Carrying Value [Member] | Level 3 [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Borrowings under repurchase agreements | -622,194 | -202,033 |
Estimate of Fair Value Measurement [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Cash and cash equivalents | 40,641 | 20,096 |
Restricted cash | 30,127 | 30,127 |
Securities, held-to-maturity | 154,980 | 0 |
Convertible senior notes, net | -254,605 | 0 |
Estimate of Fair Value Measurement [Member] | Level 3 [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Borrowings under repurchase agreements | -621,269 | -202,148 |
Commercial mortgage loans [Member] | Carrying Value [Member] | Level 3 [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 458,520 | 161,099 |
Commercial mortgage loans [Member] | Estimate of Fair Value Measurement [Member] | Level 3 [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 465,510 | 164,405 |
Subordinate Loans [Member] | Carrying Value [Member] | Level 3 [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 561,182 | 497,484 |
Subordinate Loans [Member] | Estimate of Fair Value Measurement [Member] | Level 3 [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 566,385 | 503,267 |
Participating Mortgages [Member] | Carrying Value [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Participations sold | -89,584 | 0 |
Participating Mortgages [Member] | Estimate of Fair Value Measurement [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Participations sold | ($89,995) | $0 |
Net_Income_Loss_per_Share_Basi
Net Income (Loss) per Share - Basic and Diluted Net Income per Share of Common Stock Using Two-Class Method (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Numerator: | |||||||||||
Net income | $22,042 | $19,159 | $23,958 | $17,580 | $15,864 | $12,900 | $11,789 | $11,932 | $82,739 | $52,485 | $40,181 |
Preferred dividends | -7,440 | -7,440 | -3,079 | ||||||||
Net income available to common stockholders | 20,182 | 17,299 | 22,098 | 15,720 | 14,004 | 11,040 | 9,929 | 10,072 | 75,299 | 45,045 | 37,102 |
Dividends declared on common stock | -71,089 | -59,008 | -35,899 | ||||||||
Dividends on participating securities | -506 | -798 | -628 | ||||||||
Net income (loss) attributable to common stockholders | $3,704 | ($14,761) | $575 | ||||||||
Denominator: | |||||||||||
Basic weighted average shares of common stock outstanding | 46,852,646 | 46,848,675 | 42,888,747 | 37,122,842 | 36,886,619 | 36,883,002 | 36,880,410 | 30,105,939 | 43,464,255 | 35,212,211 | 22,259,386 |
Diluted weighted average shares of common stock outstanding | 47,085,617 | 47,068,929 | 43,099,354 | 37,341,050 | 37,390,369 | 37,379,469 | 37,373,885 | 30,480,689 | 43,684,805 | 35,679,755 | 22,648,819 |
Basic and diluted net income (loss) per weighted average share of common stock | |||||||||||
Distributable Earnings | $1.64 | $1.68 | $1.61 | ||||||||
Undistributed income (loss) | $0.08 | ($0.42) | $0.03 | ||||||||
Basic and diluted net income (loss) per share of common stock (in dollars per share) | $0.43 | $0.37 | $0.51 | $0.42 | $0.37 | $0.30 | $0.27 | $0.33 | $1.72 | $1.26 | $1.64 |
Net_Income_Loss_Per_Share_Addi
Net Income (Loss) Per Share - Additional Information (Details) (RSU Vesting [Member]) | 12 Months Ended |
Dec. 31, 2013 | |
RSU Vesting [Member] | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |
Unvested RSUs | 467,544 |
Summarized_Quarterly_Results_U2
Summarized Quarterly Results (Unaudited) - Schedule of Summarized Quarterly Results (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Net interest income: | |||||||||||
Interest income from securities | $8,275 | $6,129 | $4,366 | $2,419 | $3,633 | $2,533 | $3,014 | $3,087 | $21,189 | $12,267 | $15,347 |
Interest income from securities, held to maturity | 3,165 | 1,448 | 0 | 0 | 0 | 0 | 0 | 0 | 4,613 | 0 | 0 |
Interest income from commercial mortgage loans | 9,328 | 8,025 | 6,438 | 4,011 | 3,812 | 4,954 | 3,676 | 3,592 | 27,802 | 16,034 | 10,780 |
Interest income from subordinate loans | 17,021 | 19,754 | 18,238 | 14,730 | 14,026 | 12,184 | 11,498 | 11,454 | 69,743 | 49,162 | 24,666 |
Interest income from repurchase agreements | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 2 | 0 | 0 | 6,286 |
Interest expense | -10,740 | -8,786 | -5,258 | -1,757 | -1,450 | -885 | -955 | -1,068 | -26,541 | -4,356 | -8,402 |
Net interest income | 27,049 | 26,570 | 23,784 | 19,403 | 20,021 | 18,786 | 17,233 | 17,067 | 96,806 | 73,107 | 48,677 |
Operating expenses: | |||||||||||
General and administrative expenses | -1,796 | -1,434 | -1,479 | -1,442 | -2,438 | -1,793 | -1,437 | -1,895 | -6,151 | -7,563 | -8,543 |
Management fees to related party | -3,236 | -3,193 | -2,966 | -2,565 | -2,627 | -2,625 | -2,600 | -2,160 | -11,960 | -10,012 | -6,139 |
Total operating expenses | -5,032 | -4,627 | -4,445 | -4,007 | -5,065 | -4,418 | -4,037 | -4,055 | -18,111 | -17,575 | -14,682 |
Income from unconsolidated joint venture | -69 | -88 | 0 | 0 | 0 | 0 | 0 | 0 | -157 | 0 | 0 |
Interest income from cash balances | 9 | 21 | 4 | 0 | 1 | 3 | 16 | 0 | 34 | 20 | 7 |
Realized loss on sale of security | 0 | 0 | 262 | ||||||||
Unrealized gain (loss) on securities | -639 | -2,147 | 4,749 | 2,184 | 908 | -1,472 | -1,421 | -1,080 | 4,147 | -3,065 | 6,489 |
Foreign currency gain (loss) | -1,413 | -3,596 | 959 | 0 | 0 | 0 | 0 | 0 | -4,050 | ||
Gain (loss) on derivative instruments | 2,137 | 3,026 | -1,093 | 0 | -1 | 1 | -2 | 0 | 4,070 | -2 | -572 |
Net income | 22,042 | 19,159 | 23,958 | 17,580 | 15,864 | 12,900 | 11,789 | 11,932 | 82,739 | 52,485 | 40,181 |
Preferred dividends | -1,860 | -1,860 | -1,860 | -1,860 | -1,860 | -1,860 | -1,860 | -1,860 | |||
Net income available to common stockholders | $20,182 | $17,299 | $22,098 | $15,720 | $14,004 | $11,040 | $9,929 | $10,072 | $75,299 | $45,045 | $37,102 |
Basic and diluted net income per share of common stock (in dollars per share) | $0.43 | $0.37 | $0.51 | $0.42 | $0.37 | $0.30 | $0.27 | $0.33 | $1.72 | $1.26 | $1.64 |
Basic weighted average shares of common stock outstanding | 46,852,646 | 46,848,675 | 42,888,747 | 37,122,842 | 36,886,619 | 36,883,002 | 36,880,410 | 30,105,939 | 43,464,255 | 35,212,211 | 22,259,386 |
Diluted weighted average shares of common stock outstanding | 47,085,617 | 47,068,929 | 43,099,354 | 37,341,050 | 37,390,369 | 37,379,469 | 37,373,885 | 30,480,689 | 43,684,805 | 35,679,755 | 22,648,819 |
Dividend declared per share of common stock | $0.40 | $0.40 | $0.40 | $0.40 | $0.40 | $0.40 | $0.40 | $0.40 |
Subsequent_Events_Additional_I
Subsequent Events - Additional Information (Details) | 3 Months Ended | 9 Months Ended | 12 Months Ended | 0 Months Ended | 1 Months Ended | 0 Months Ended | 0 Months Ended | 1 Months Ended | 1 Months Ended | 1 Months Ended | 1 Months Ended | 0 Months Ended | 1 Months Ended | ||||||||||||||||||||||||||||
Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Sep. 30, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Feb. 25, 2015 | Feb. 26, 2015 | Jan. 31, 2015 | Jan. 31, 2015 | Feb. 26, 2015 | Jan. 26, 2015 | Jan. 26, 2015 | Jan. 29, 2015 | Jan. 29, 2015 | Jan. 31, 2015 | Jan. 31, 2015 | Jan. 31, 2015 | Feb. 26, 2015 | Feb. 26, 2015 | Jan. 31, 2015 | Feb. 26, 2015 | Feb. 26, 2015 | Jan. 31, 2015 | Feb. 26, 2015 | Feb. 26, 2015 | Feb. 26, 2015 | Feb. 26, 2015 | Feb. 26, 2015 | Jan. 29, 2015 | Jan. 29, 2015 | Jan. 29, 2015 | Jan. 29, 2015 | Jan. 31, 2015 | Feb. 26, 2015 | |
USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | One-month London Interbank Offered Rate (LIBOR) [Member] | Line of Credit [Member] | Commercial mortgage loans [Member] | Commercial mortgage loans [Member] | Subsequent Event [Member] | Subsequent Event [Member] | Subsequent Event [Member] | Subsequent Event [Member] | Subsequent Event [Member] | Goldman Facility [Member] | Goldman Facility [Member] | Amended and Restated JPMorgan Facility [Member] | Amended and Restated JPMorgan Facility [Member] | Mezzanine Loan [Member] | Mezzanine Loan [Member] | Mezzanine Loan [Member] | Mezzanine Loan [Member] | Mezzanine Loan [Member] | Mezzanine Loan, Acquired by Investment Funds [Member] | First Mortgage [Member] | First Mortgage [Member] | First Mortgage [Member] | First Mortgage [Member] | Champ LP [Member] | Additional Investment [Member] | Additional Investment [Member] | Unfunded Commitment, Champ L.P. [Member] | Minimum [Member] | Minimum [Member] | Maximum [Member] | Maximum [Member] | United Kingdom | BKB Bank [Member] | |
JP Morgan Chase [Member] | USD ($) | USD ($) | USD ($) | Commercial mortgage loans [Member] | Commercial mortgage loans [Member] | Commercial mortgage loans [Member] | Commercial mortgage loans [Member] | Subsequent Event [Member] | Subsequent Event [Member] | Subsequent Event [Member] | Subsequent Event [Member] | Subsequent Event [Member] | Subsequent Event [Member] | Subsequent Event [Member] | Subsequent Event [Member] | Subsequent Event [Member] | Subsequent Event [Member] | Subsequent Event [Member] | Subsequent Event [Member] | Subsequent Event [Member] | Subsequent Event [Member] | Subsequent Event [Member] | Champ LP [Member] | Champ LP [Member] | Subsequent Event [Member] | Amended and Restated JPMorgan Facility [Member] | Amended and Restated JPMorgan Facility [Member] | Amended and Restated JPMorgan Facility [Member] | Amended and Restated JPMorgan Facility [Member] | Mezzanine Loan [Member] | Subsequent Event [Member] | ||||||||||
One-month London Interbank Offered Rate (LIBOR) [Member] | USD ($) | GBP (£) | Senior Housing Facility [Member] | Residential Condominium [Member] | Line of Credit [Member] | Line of Credit [Member] | Line of Credit [Member] | Line of Credit [Member] | Commercial mortgage loans [Member] | Commercial mortgage loans [Member] | Commercial mortgage loans [Member] | Commercial mortgage loans [Member] | Commercial mortgage loans [Member] | Commercial mortgage loans [Member] | Mixed Use [Member] | Commercial mortgage loans [Member] | Commercial mortgage loans [Member] | Commercial mortgage loans [Member] | USD ($) | Subsequent Event [Member] | Subsequent Event [Member] | EUR (€) | Subsequent Event [Member] | Subsequent Event [Member] | Subsequent Event [Member] | Subsequent Event [Member] | Subsequent Event [Member] | ||||||||||||||
Luxury Residential Condominium - Montgomery County, MD [Member] | Goldman Sachs [Member] | Goldman Sachs [Member] | JP Morgan Chase [Member] | JP Morgan Chase [Member] | GBP (£) | Senior Housing Facility [Member] | Senior Housing Facility [Member] | Hotel [Member] | Mixed Use [Member] | GBP (£) | Multifamily and Retail Development - Brooklyn, New York [Member] | USD ($) | GBP (£) | Residential Condominium [Member] | USD ($) | GBP (£) | Line of Credit [Member] | Line of Credit [Member] | Line of Credit [Member] | Line of Credit [Member] | Commercial mortgage loans [Member] | ||||||||||||||||||||
unit | USD ($) | USD ($) | USD ($) | USD ($) | GBP (£) | USD ($) | USD ($) | USD ($) | Luxury Residential Condominium - Montgomery County, MD [Member] | JP Morgan Chase [Member] | JP Morgan Chase [Member] | JP Morgan Chase [Member] | JP Morgan Chase [Member] | Senior Housing Facility [Member] | |||||||||||||||||||||||||||
Room | sqft | USD ($) | One-month London Interbank Offered Rate (LIBOR) [Member] | One-month London Interbank Offered Rate (LIBOR) [Member] | facility | ||||||||||||||||||||||||||||||||||||
Subsequent Event [Line Items] | |||||||||||||||||||||||||||||||||||||||||
Loan amount | $467,300,000 | $164,000,000 | $90,000,000 | £ 223,800,000 | £ 59,700,000 | $52,000,000 | £ 35,000,000 | $20,000,000 | $82,500,000 | £ 24,700,000 | $92,500,000 | $70,000,000 | £ 164,100,000 | ||||||||||||||||||||||||||||
Proceeds from Sale of Equity Method Investments | 20,794,000 | ||||||||||||||||||||||||||||||||||||||||
Number of properties | 44 | ||||||||||||||||||||||||||||||||||||||||
Number of units/rooms in property | 50 | 488 | |||||||||||||||||||||||||||||||||||||||
Mortgage loan period | 5 years | 5 years | 2 years | ||||||||||||||||||||||||||||||||||||||
Appraised loan to value ratio | 70.00% | 74.00% | 57.00% | ||||||||||||||||||||||||||||||||||||||
Internal rate of return | 10.00% | 11.00% | 21.00% | ||||||||||||||||||||||||||||||||||||||
Additional investment | 3,929,000 | 3,331,000 | 3,229,000 | ||||||||||||||||||||||||||||||||||||||
Additional amount funded | 4,194,000 | 72,500,000 | 3,000,000 | ||||||||||||||||||||||||||||||||||||||
Property Size, Area | 330,000 | ||||||||||||||||||||||||||||||||||||||||
Sale of equity method investment, percentage | 48.00% | ||||||||||||||||||||||||||||||||||||||||
Indirect ownership interest from limited partnership | 11.00% | ||||||||||||||||||||||||||||||||||||||||
Company and affiliated investors ownership, percentage | 100.00% | ||||||||||||||||||||||||||||||||||||||||
Maximum borrowing under facility | 52,524,000 | 300,000,000 | |||||||||||||||||||||||||||||||||||||||
Term of debt instrument | 2 years | ||||||||||||||||||||||||||||||||||||||||
Basis spread on interest rate | 4.40% | 2.50% | 3.50% | 2.25% | 4.75% | ||||||||||||||||||||||||||||||||||||
Extension option | 1 year | ||||||||||||||||||||||||||||||||||||||||
Estimated fair value of collateral pledged, percentage | 25.00% | 80.00% | |||||||||||||||||||||||||||||||||||||||
Threshold amount for margin calls | 250,000 | ||||||||||||||||||||||||||||||||||||||||
Covenant terms, minimum consolidated tangible net worth | 750,000,000 | 750,000,000 | |||||||||||||||||||||||||||||||||||||||
Covenant terms, minimum consolidated tangible net worth, additional percentage of net cash proceeds | 75.00% | ||||||||||||||||||||||||||||||||||||||||
Covenant terms, maximum debt to tangible net worth ratio | 3 | 3 | |||||||||||||||||||||||||||||||||||||||
Covenant terms, minimum liquidity | 15,000,000 | ||||||||||||||||||||||||||||||||||||||||
Covenant terms, total recourse indebtedness, percent | 5.00% | ||||||||||||||||||||||||||||||||||||||||
Covenant terms, minimum EBITDA to interest expense ratio | 1.5 | ||||||||||||||||||||||||||||||||||||||||
Covenant terms, minimum liquidity percentage | 5.00% | ||||||||||||||||||||||||||||||||||||||||
Covenant terms, consolidated recourse indebtedness | $15,000,000 | ||||||||||||||||||||||||||||||||||||||||
Dividend declared per share of common stock | $0.40 | $0.40 | $0.40 | $0.40 | $0.40 | $0.40 | $0.40 | $0.40 | $0.44 |
Schedule_IV_Mortgage_Loans_on_1
Schedule IV - Mortgage Loans on Real Estate (Details) (USD $) | 12 Months Ended | ||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2012 | |
Mortgage Loans on Real Estate [Line Items] | |||||
Face amount of loans | $1,029,173 | [1],[2] | |||
Mortgage Loans on Real Estate | 1,019,702 | [1],[2] | 658,583 | 389,167 | |
Commercial mortgage loans [Member] | |||||
Mortgage Loans on Real Estate [Line Items] | |||||
Interest Rate | 6.84% | 8.82% | |||
Face amount of loans | 465,574 | 161,600 | |||
Carrying Value | 458,520 | 161,099 | |||
Total commercial mortgage loans | 458,520 | ||||
Subordinate Loans [Member] | |||||
Mortgage Loans on Real Estate [Line Items] | |||||
Interest Rate | 11.34% | 11.60% | |||
Face amount of loans | 563,599 | [1] | 500,037 | ||
Carrying Value | 561,182 | [1] | 497,484 | ||
Hotel - Silver Spring, MD [Member] | Hotel [Member] | Commercial mortgage loans [Member] | |||||
Mortgage Loans on Real Estate [Line Items] | |||||
Interest Rate | 9.00% | ||||
Face amount of loans | 24,590 | 24,947 | |||
Carrying Value | 24,557 | 24,785 | |||
Condo Conversion - NY, NY August 2013 [Member] | Condo Conversion [Member] | Commercial mortgage loans [Member] | |||||
Mortgage Loans on Real Estate [Line Items] | |||||
Interest Rate | 9.67% | ||||
Face amount of loans | 33,846 | 33,167 | |||
Carrying Value | 33,961 | 32,961 | |||
Condo Construction Potomac, MD [Member] | Condo Construction [Member] | Commercial mortgage loans [Member] | |||||
Mortgage Loans on Real Estate [Line Items] | |||||
Interest Rate | 10.50% | ||||
Face amount of loans | 28,000 | ||||
Carrying Value | 27,520 | ||||
Vacation Home Portfolio - Various [Member] | Vacation Home Portfolio [Member] | Commercial mortgage loans [Member] | |||||
Mortgage Loans on Real Estate [Line Items] | |||||
Interest Rate | 7.50% | ||||
Face amount of loans | 100,046 | ||||
Carrying Value | 99,086 | ||||
Condo Construction Bethesda, MD [Member] | Condo Construction [Member] | Commercial mortgage loans [Member] | |||||
Mortgage Loans on Real Estate [Line Items] | |||||
Interest Rate | 10.75% | ||||
Face amount of loans | 20,000 | ||||
Carrying Value | 19,616 | ||||
Multifamily, Brooklyn, NY [Member] | Multifamily Conversion [Member] | Commercial mortgage loans [Member] | |||||
Mortgage Loans on Real Estate [Line Items] | |||||
Interest Rate | 4.41% | ||||
Face amount of loans | 30,000 | ||||
Carrying Value | 30,110 | ||||
Mixed Use - Cincinnati, OH [Member] | Mixed Use [Member] | Commercial mortgage loans [Member] | |||||
Mortgage Loans on Real Estate [Line Items] | |||||
Interest Rate | 9.25% | ||||
Face amount of loans | 20,000 | ||||
Carrying Value | 18,309 | ||||
Condo Conversion - NY, NY November 2014 [Member] | Condo Conversion [Member] | Commercial mortgage loans [Member] | |||||
Mortgage Loans on Real Estate [Line Items] | |||||
Interest Rate | 3.75% | ||||
Face amount of loans | 67,300 | ||||
Carrying Value | 64,714 | ||||
Multifamily - Williston, ND [Member] | Multifamily Conversion [Member] | Commercial mortgage loans [Member] | |||||
Mortgage Loans on Real Estate [Line Items] | |||||
Interest Rate | 5.15% | ||||
Face amount of loans | 57,792 | ||||
Carrying Value | 57,297 | ||||
Vacation Home Portfolio - Various, United States [Member] | Vacation Home Portfolio [Member] | Commercial mortgage loans [Member] | |||||
Mortgage Loans on Real Estate [Line Items] | |||||
Interest Rate | 7.00% | ||||
Face amount of loans | 50,000 | ||||
Carrying Value | 49,508 | ||||
Hotel - Philadelphia, PA [Member] | Hotel [Member] | Commercial mortgage loans [Member] | |||||
Mortgage Loans on Real Estate [Line Items] | |||||
Interest Rate | 4.71% | ||||
Face amount of loans | 34,000 | ||||
Carrying Value | 33,842 | ||||
Mixed Use - Various [Member] | Mixed Use [Member] | Subordinate Loans [Member] | |||||
Mortgage Loans on Real Estate [Line Items] | |||||
Interest Rate | 14.00% | [1] | |||
Face amount of loans | 19,464 | [1] | 17,000 | ||
Carrying Value | 19,294 | [1] | 16,805 | ||
Mixed Use - London, England [Member] | Mixed Use [Member] | Subordinate Loans [Member] | |||||
Mortgage Loans on Real Estate [Line Items] | |||||
Interest Rate | 9.25% | [1] | |||
Face amount of loans | 52,355 | [1] | |||
Carrying Value | 52,355 | [1] | |||
Office - Michigan [Member] | Office [Member] | Subordinate Loans [Member] | |||||
Mortgage Loans on Real Estate [Line Items] | |||||
Interest Rate | 13.00% | [1] | |||
Face amount of loans | 8,813 | [1] | 15,000 | ||
Carrying Value | 8,813 | [1] | 15,207 | ||
Ski Resort - California [Member] | Ski Resort [Member] | Subordinate Loans [Member] | |||||
Mortgage Loans on Real Estate [Line Items] | |||||
Interest Rate | 13.25% | [1] | |||
Face amount of loans | 40,000 | [1] | |||
Carrying Value | 39,771 | [1] | |||
Mixed Use - North Carolina [Member] | Mixed Use [Member] | Subordinate Loans [Member] | |||||
Mortgage Loans on Real Estate [Line Items] | |||||
Interest Rate | 11.10% | [1] | |||
Face amount of loans | 6,525 | [1] | 6,525 | ||
Carrying Value | 6,525 | [1] | 6,525 | ||
Office Complex - Missouri [Member] | Office [Member] | Subordinate Loans [Member] | |||||
Mortgage Loans on Real Estate [Line Items] | |||||
Interest Rate | 11.75% | [1] | |||
Face amount of loans | 9,711 | [1] | 9,849 | ||
Carrying Value | 9,711 | [1] | 9,849 | ||
Hotel Portfolio - Various [Member] | Hotel [Member] | Subordinate Loans [Member] | |||||
Mortgage Loans on Real Estate [Line Items] | |||||
Interest Rate | 11.07% | [1] | |||
Face amount of loans | 34,042 | [1] | 48,431 | ||
Carrying Value | 33,995 | [1] | 48,397 | ||
Condo Construction - NY, NY [Member] | Condo Construction [Member] | Subordinate Loans [Member] | |||||
Mortgage Loans on Real Estate [Line Items] | |||||
Interest Rate | 13.25% | [1] | |||
Face amount of loans | 76,344 | [1] | |||
Carrying Value | 76,005 | [1] | |||
Multifamily Conversion - NY, NY December 2014 [Member] | Multifamily Conversion [Member] | Subordinate Loans [Member] | |||||
Mortgage Loans on Real Estate [Line Items] | |||||
Interest Rate | 10.23% | [1] | |||
Face amount of loans | 14,608 | [1] | 18,000 | ||
Carrying Value | 14,703 | [1] | 17,906 | ||
Hotel Portfolio - Rochester, MN [Member] | Hotel [Member] | Subordinate Loans [Member] | |||||
Mortgage Loans on Real Estate [Line Items] | |||||
Interest Rate | 11.00% | [1] | |||
Face amount of loans | 24,486 | [1] | 24,771 | ||
Carrying Value | 24,486 | [1] | 24,771 | ||
Warehouse Portfolio - Various [Member] | Warehouse [Member] | Subordinate Loans [Member] | |||||
Mortgage Loans on Real Estate [Line Items] | |||||
Interest Rate | 11.50% | [1] | |||
Face amount of loans | 32,000 | [1] | 32,000 | ||
Carrying Value | 32,000 | [1] | 32,000 | ||
Multifamily Conversion - NY, NY June 2014 [Member] | Multifamily Conversion [Member] | Subordinate Loans [Member] | |||||
Mortgage Loans on Real Estate [Line Items] | |||||
Interest Rate | 12.25% | [1] | |||
Face amount of loans | 44,000 | [1] | |||
Carrying Value | 43,989 | [1] | |||
Office Condo - NY, NY [Member] | Office [Member] | Subordinate Loans [Member] | |||||
Mortgage Loans on Real Estate [Line Items] | |||||
Interest Rate | 11.25% | [1] | |||
Face amount of loans | 14,000 | [1] | 14,000 | ||
Carrying Value | 13,596 | [1] | 13,565 | ||
Condo Conversion - NY, NY September 2015 [Member] | Condo Conversion [Member] | Subordinate Loans [Member] | |||||
Mortgage Loans on Real Estate [Line Items] | |||||
Interest Rate | 9.67% | [1] | |||
Face amount of loans | 29,751 | [1] | 295 | ||
Carrying Value | 29,762 | [1] | 2 | ||
Mixed Use - Pittsburgh, PA [Member] | Mixed Use [Member] | Subordinate Loans [Member] | |||||
Mortgage Loans on Real Estate [Line Items] | |||||
Interest Rate | 9.42% | [1] | |||
Face amount of loans | 22,500 | [1] | 22,500 | ||
Carrying Value | 22,473 | [1] | 22,342 | ||
Healthcare Portfolio - Various [Member] | Healthcare [Member] | Subordinate Loans [Member] | |||||
Mortgage Loans on Real Estate [Line Items] | |||||
Interest Rate | 9.43% | [1] | |||
Face amount of loans | 50,000 | [1] | 47,000 | ||
Carrying Value | 50,000 | [1] | 47,000 | ||
Hotel - NY, NY, July 2016 [Member] | Hotel [Member] | Subordinate Loans [Member] | |||||
Mortgage Loans on Real Estate [Line Items] | |||||
Interest Rate | 10.25% | [1] | |||
Face amount of loans | 20,000 | [1] | |||
Carrying Value | 19,870 | [1] | |||
Ski Resort Montana [Member] | Ski Resort [Member] | Subordinate Loans [Member] | |||||
Mortgage Loans on Real Estate [Line Items] | |||||
Interest Rate | 14.00% | [1] | |||
Face amount of loans | 15,000 | [1] | |||
Carrying Value | 14,861 | [1] | |||
Mixed Use - New York, NY [Member] | Mixed Use [Member] | Subordinate Loans [Member] | |||||
Mortgage Loans on Real Estate [Line Items] | |||||
Interest Rate | 10.66% | [1] | |||
Face amount of loans | 50,000 | [1] | |||
Carrying Value | $48,973 | [1] | |||
[1] | Subject to prior liens. | ||||
[2] | The aggregate cost for federal income tax purposes is $1,019,702. |
Schedule_IV_Mortgage_Loans_on_2
Schedule IV - Mortgage Loans on Real Estate (Details 2) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
In Thousands, unless otherwise specified | ||||
Mortgage Loans on Real Estate [Abstract] | ||||
Mortgage Loans on Real Estate | $1,019,702 | [1],[2] | $658,583 | $389,167 |
[1] | Subject to prior liens. | |||
[2] | The aggregate cost for federal income tax purposes is $1,019,702. |
Schedule_IV_Mortgage_Loans_on_3
Schedule IV - Mortgage Loans on Real Estate - Summary of Changes in Carrying Amounts of Mortgage Loans (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | |
Movement in Mortgage Loans on Real Estate [Roll Forward] | |||
Balance at beginning of year | $658,583 | $389,167 | |
New mortgage loans | 802,664 | 401,912 | |
Sales | -4,950 | 0 | |
Collections of principal | -299,551 | -137,168 | |
Discount accretion | 4,316 | 4,672 | |
Foreign currency loss | -4,095 | 0 | |
Payment-in-kind | 16,570 | 0 | |
Exchange for CMBS (held-to-maturity) | -153,835 | 0 | |
Balance at the close of year | $1,019,702 | [1],[2] | $658,583 |
[1] | Subject to prior liens. | ||
[2] | The aggregate cost for federal income tax purposes is $1,019,702. |