KKR Real Estate Finance Trust (KREF) 10-Q 1 Aug 19 2019 Q2 Quarterly report Financial data

Cover Page

Cover Page - shares	6 Months Ended
	Jun. 30, 2019	Aug. 01, 2019
Entity Information [Line Items]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Jun. 30, 2019
Document Transition Report	false
Entity File Number	001-38082
Entity Registrant Name	KKR Real Estate Finance Trust Inc.
Entity Incorporation, State or Country Code	MD
Entity Tax Identification Number	47-2009094
Entity Address, Address Line One	9 West 57th Street,
Entity Address, Address Line Two	Suite 4200
Entity Address, City or Town	New York,
Entity Address, State or Province	NY
Entity Address, Postal Zip Code	10019
City Area Code	212
Local Phone Number	750-8300
Title of 12(b) Security	Common stock, par value $0.01 per share
Trading Symbol	KREF
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	true
Entity Ex Transition Period	true
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		57,413,069
Entity Central Index Key	0001631596
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2019
Document Fiscal Period Focus	Q2

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands	Jun. 30, 2019		Dec. 31, 2018	[2]
Assets
Cash and cash equivalents	$ 182,732	[1]	$ 86,531
Commercial mortgage loans, held-for-investment, net	4,800,213		4,001,820
Equity method investments, at fair value	37,070		30,734
Accrued interest receivable	16,305		16,178
Other assets	14,006		3,596
Commercial mortgage loans held in variable interest entities, at fair value	1,134,579		1,092,986
Total Assets	6,184,905		5,231,845
Liabilities
Secured financing agreements, net	2,892,199		1,951,049
Collateralized loan obligation, net	801,860		800,346
Convertible notes, net	138,376		137,688
Loan participations sold, net	65,000		85,465
Accounts payable, accrued expenses and other liabilities	3,797		4,529
Dividends payable	24,915		25,097
Accrued interest payable	5,827		7,516
Due to affiliates	4,718		4,712
Variable interest entity liabilities, at fair value	1,124,178		1,080,255
Total Liabilities	5,060,870		4,096,657
Commitments and Contingencies (Note 11)
Temporary Equity
Redeemable preferred stock	2,031		2,846
Permanent Equity
Preferred stock, 50,000,000 authorized (1 share with par value of $0.01 issued and outstanding as of June 30, 2019 and December 31, 2018)	0		0
Common stock, 300,000,000 authorized (57,413,069 and 57,596,217 shares with par value of $0.01 issued and outstanding as of June 30, 2019 and December 31, 2018, respectively)	574		576
Additional paid-in capital	1,164,976		1,163,845
Accumulated deficit	(7,588)		(225)
Repurchased stock, 1,862,689 and 1,649,880 shares repurchased as of June 30, 2019 and December 31, 2018, respectively	(35,958)		(31,854)
Total KKR Real Estate Finance Trust Inc. stockholders’ equity	1,122,004		1,132,342
Total Permanent Equity	1,122,004		1,132,342
Total Liabilities and Equity	$ 6,184,905		$ 5,231,845
[1]	Includes $42.0 million held in collateralized loan obligation as of June 30, 2019 (See Note 5 ).
[2]	Derived from the audited consolidated financial statements as of December 31, 2018.

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Preferred stock authorized (shares)	50,000,000	50,000,000
Preferred stock par or stated value (usd per share)	$ 0.01	$ 0.01
Preferred stock issued (shares)	1	1
Preferred stock outstanding (shares)	1	1
Common stock authorized (shares)	300,000,000	300,000,000
Common stock par value (usd per share)	$ 0.01	$ 0.01
Number of shares issued (shares)	57,413,069	57,596,217
Common stock outstanding (shares)	57,413,069	57,596,217
Treasury stock, held (shares)	1,862,689	1,649,880
Collateralized Loan Obligations | Variable Interest Entity, Primary Beneficiary
Assets	$ 1,003,843	$ 1,005,558
Collateralized Loan Obligations | Cash | Variable Interest Entity, Primary Beneficiary
Assets	$ 42,000	$ 0

Condensed Consolidated Statemen

Condensed Consolidated Statements of Income (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Net Interest Income
Interest income	$ 62,944	$ 40,363	$ 127,695	$ 72,057
Interest expense	37,089	18,798	71,931	29,488
Total net interest income	25,855	21,565	55,764	42,569
Other Income
Realized gain on sale of investments	0	13,000	0	13,000
Change in net assets related to CMBS consolidated variable interest entities	(1,551)	(6,408)	(1,209)	2,081
Income from equity method investments	868	789	1,993	1,337
Other income	671	602	1,153	763
Total other income (loss)	(12)	7,983	1,937	17,181
Operating Expenses
General and administrative	2,781	1,686	5,142	4,349
Management fees to affiliate	4,288	3,913	8,575	7,852
Incentive compensation to affiliate	1,145	0	2,098	0
Total operating expenses	8,214	5,599	15,815	12,201
Income (Loss) Before Income Taxes, Noncontrolling Interests and Preferred Dividends	17,629	23,949	41,886	47,549
Income tax expense (benefit)	280	(33)	289	142
Net Income (Loss)	17,349	23,982	41,597	47,407
Redeemable Noncontrolling Interests in Income (Loss) of Consolidated Joint Venture	0	29	0	63
Net Income (Loss) Attributable to KKR Real Estate Finance Trust Inc. and Subsidiaries	17,349	23,953	41,597	47,344
Preferred Stock Dividends and Redemption Value Adjustment	(32)	470	(489)	581
Net Income (Loss) Attributable to Common Stockholders	$ 17,381	$ 23,483	$ 42,086	$ 46,763
Net Income (Loss) Per Share of Common Stock
Basic (usd per share)	$ 0.30	$ 0.44	$ 0.73	$ 0.88
Diluted (usd per share)	$ 0.30	$ 0.44	$ 0.73	$ 0.88
Weighted Average Number of Shares of Common Stock Outstanding
Basic (shares)	57,412,522	53,064,585	57,400,023	53,200,495
Diluted (shares)	57,507,219	53,069,866	57,492,296	53,223,413
Dividends Declared per Share of Common Stock (usd per share)	$ 0.43	$ 0.43	$ 0.86	$ 0.83

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Changes in Equity (Unaudited) - USD ($)	Total		Redeemable Noncontrolling Interests in Equity of Consolidated Joint Venture	Redeemable Preferred Stock	Preferred Stock	Common Stock	Additional Paid-In Capital	Retained Earnings (Accumulated Deficit)	Repurchased Stock	Total KKR Real Estate Finance Trust Inc. Stockholders' Equity
Beginning balance (shares) at Dec. 31, 2017					1	53,685,440
Beginning balance at Dec. 31, 2017					$ 0	$ 537,000	$ 1,052,851,000	$ 6,280,000	$ (523,000)	$ 1,059,145,000
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Repurchase of common stock (shares)						(609,865)
Repurchase of common stock						$ (6,000)			(11,912,000)	(11,918,000)
Common dividends declared								(21,230,000)		(21,230,000)
Stock-based compensation							1,018,000			1,018,000
Net income (loss)								23,280,000		23,280,000
Ending balance (shares) at Mar. 31, 2018					1	53,075,575
Ending balance at Mar. 31, 2018					$ 0	$ 531,000	1,053,869,000	8,330,000	(12,435,000)	1,050,295,000
Beginning balance at Dec. 31, 2017			$ 3,090,000	$ 949,000
Increase (Decrease) in Temporary Equity [Roll Forward]
Preferred dividends declared, per share				(111,000)
Capital distributions and redemptions			(1,795,000)
Net income (loss)			34,000	111,000
Ending balance at Mar. 31, 2018			1,329,000	949,000
Beginning balance (shares) at Dec. 31, 2017					1	53,685,440
Beginning balance at Dec. 31, 2017					$ 0	$ 537,000	1,052,851,000	6,280,000	(523,000)	1,059,145,000
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Common dividends declared	$ (44,034,000)
Ending balance (shares) at Jun. 30, 2018					1	53,031,890
Ending balance at Jun. 30, 2018					$ 0	$ 530,000	1,055,542,000	9,009,000	(13,971,000)	1,051,110,000
Beginning balance at Dec. 31, 2017			3,090,000	949,000
Ending balance at Jun. 30, 2018			0	1,286,000
Beginning balance (shares) at Mar. 31, 2018					1	53,075,575
Beginning balance at Mar. 31, 2018					$ 0	$ 531,000	1,053,869,000	8,330,000	(12,435,000)	1,050,295,000
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Repurchase of common stock (shares)						(77,944)
Repurchase of common stock						$ (1,000)			(1,536,000)	(1,537,000)
Equity component of convertible notes							1,800,000			1,800,000
Common dividends declared								(22,804,000)		(22,804,000)
Adjustment of redeemable preferred stock to redemption value								(337,000)		(337,000)
Stock-based compensation (shares)						34,259
Stock-based compensation							(127,000)			(127,000)
Net income (loss)								23,820,000		23,820,000
Ending balance (shares) at Jun. 30, 2018					1	53,031,890
Ending balance at Jun. 30, 2018					$ 0	$ 530,000	1,055,542,000	9,009,000	(13,971,000)	1,051,110,000
Beginning balance at Mar. 31, 2018			1,329,000	949,000
Increase (Decrease) in Temporary Equity [Roll Forward]
Preferred dividends declared, per share				(133,000)
Adjustment of redeemable preferred stock to redemption value				337,000
Capital distributions and redemptions			(1,358,000)
Net income (loss)			29,000	133,000
Ending balance at Jun. 30, 2018			0	1,286,000
Beginning balance (shares) at Dec. 31, 2018					1	57,596,217
Beginning balance at Dec. 31, 2018	1,132,342,000	[1]			$ 0	$ 576,000	1,163,845,000	(225,000)	(31,854,000)	1,132,342,000
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Repurchase of common stock (shares)						(212,809)
Repurchase of common stock						$ (2,000)			(4,104,000)	(4,106,000)
Offering costs							(518,000)			(518,000)
Common dividends declared								(24,761,000)		(24,761,000)
Adjustment of redeemable preferred stock to redemption value								618,000		618,000
Stock-based compensation							991,000			991,000
Net income (loss)								24,087,000		24,087,000
Ending balance (shares) at Mar. 31, 2019					1	57,383,408
Ending balance at Mar. 31, 2019					$ 0	$ 574,000	1,164,318,000	(281,000)	(35,958,000)	1,128,653,000
Beginning balance at Dec. 31, 2018	2,846,000	[1]	0	2,846,000
Increase (Decrease) in Temporary Equity [Roll Forward]
Preferred dividends declared, per share				(161,000)
Adjustment of redeemable preferred stock to redemption value				(618,000)
Net income (loss)				161,000
Ending balance at Mar. 31, 2019			0	2,228,000
Beginning balance (shares) at Dec. 31, 2018					1	57,596,217
Beginning balance at Dec. 31, 2018	$ 1,132,342,000	[1]			$ 0	$ 576,000	1,163,845,000	(225,000)	(31,854,000)	1,132,342,000
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Repurchase of common stock (shares)	(212,809)
Repurchase of common stock	$ (4,100,000)
Common dividends declared	(49,449,000)
Ending balance (shares) at Jun. 30, 2019					1	57,413,069
Ending balance at Jun. 30, 2019	1,122,004,000				$ 0	$ 574,000	1,164,976,000	(7,588,000)	(35,958,000)	1,122,004,000
Beginning balance at Dec. 31, 2018	2,846,000	[1]	0	2,846,000
Increase (Decrease) in Temporary Equity [Roll Forward]
Adjustment of redeemable preferred stock to redemption value				(800,000)
Ending balance at Jun. 30, 2019	2,031,000		0	2,031,000
Beginning balance (shares) at Mar. 31, 2019					1	57,383,408
Beginning balance at Mar. 31, 2019					$ 0	$ 574,000	1,164,318,000	(281,000)	(35,958,000)	1,128,653,000
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Common dividends declared								(24,688,000)		(24,688,000)
Adjustment of redeemable preferred stock to redemption value								197,000		197,000
Stock-based compensation (shares)						29,661
Stock-based compensation							658,000			658,000
Net income (loss)								17,184,000		17,184,000
Ending balance (shares) at Jun. 30, 2019					1	57,413,069
Ending balance at Jun. 30, 2019	1,122,004,000				$ 0	$ 574,000	$ 1,164,976,000	$ (7,588,000)	$ (35,958,000)	$ 1,122,004,000
Beginning balance at Mar. 31, 2019			0	2,228,000
Increase (Decrease) in Temporary Equity [Roll Forward]
Preferred dividends declared, per share				(165,000)
Adjustment of redeemable preferred stock to redemption value				(197,000)
Net income (loss)				165,000
Ending balance at Jun. 30, 2019	$ 2,031,000		$ 0	$ 2,031,000
[1]	Derived from the audited consolidated financial statements as of December 31, 2018.

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Changes in Equity (Unaudited) (Parenthetical) - $ / shares	Jun. 14, 2019	Mar. 19, 2019	May 07, 2018	Mar. 12, 2018	Jun. 30, 2019	Mar. 31, 2019	Jun. 30, 2018	Mar. 31, 2018	Jun. 30, 2019	Jun. 30, 2018
Statement of Stockholders' Equity [Abstract]
Dividends Declared per Share of Common Stock (usd per share)	$ 0.43	$ 0.43	$ 0.43	$ 0.40	$ 0.43	$ 0.43	$ 0.43	$ 0.40	$ 0.86	$ 0.83

Condensed Consolidated Statem_4

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018
Cash Flows From Operating Activities
Net income (loss)	$ 41,597	$ 47,407
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
Amortization of deferred debt issuance costs and discounts	8,496	2,442
Accretion of net deferred loan fees and discounts	(10,545)	(3,177)
Change in non-cash net assets of consolidated variable interest entities	2,330	1,939
(Gain) on sale of investment securities	0	(13,000)
(Income) from equity method investments	(587)	(1,337)
Stock-based compensation expense	2,034	895
Changes in operating assets and liabilities:
Accrued interest receivable, net	(127)	(2,155)
Other assets	(1,135)	(872)
Due to affiliates	6	(393)
Accounts payable, accrued expenses and other liabilities	(199)	24
Accrued interest payable	(1,689)	2,293
Net cash provided by (used in) operating activities	40,181	34,066
Cash Flows From Investing Activities
Proceeds from sales of commercial mortgage-backed securities	0	112,747
Proceeds from sale/syndication and principal repayments of commercial mortgage loans, held-for-investment	968,118	54,060
Origination of commercial mortgage loans, held-for-investment	(1,784,773)	(1,002,490)
Investment in commercial mortgage-backed securities, equity method investee	(6,245)	(8,000)
Proceeds from commercial mortgage-backed securities, equity method investee	0	761
Net cash provided by (used in) investing activities	(822,900)	(842,922)
Cash Flows From Financing Activities
Proceeds from borrowings under secured financing agreements	2,299,598	807,939
Net proceeds from issuance of convertible notes	0	139,438
Payments of common stock dividends	(49,574)	(41,094)
Payments of preferred stock dividends	(384)	(140)
Principal repayments on borrowings under secured financing agreements	(1,359,260)	(137,370)
Payments of debt and collateralized debt obligation issuance costs	(6,168)	(6,066)
Payments of stock issuance costs	(801)	0
Payments of redeemable noncontrolling interest distributions and redemptions	0	(3,153)
Payments to reacquire common stock	(4,106)	(13,456)
Tax withholding on stock-based compensation	(385)	0
Net cash provided by (used in) financing activities	878,920	746,098
Net Increase (Decrease) in Cash, Cash Equivalents, and Restricted Cash	96,201	(62,758)
Cash, Cash Equivalents, and Restricted Cash at Beginning of Period	86,531	103,520
Cash, Cash Equivalents, and Restricted Cash at End of Period	182,732	40,762
Supplemental Disclosure of Cash Flow Information
Cash paid during the period for interest	67,459	23,000
Cash paid during the period for income taxes	336	674
Supplemental Schedule of Non-Cash Investing and Financing Activities
Loan Principal Payments Held by Servicer	7,927	0
Dividend declared, not yet paid	24,915	23,025
Loan Participations Sold, Net (Note 7)	65,798	0
Repayment of commercial loans, held for investment	(65,798)	0
Loan Participations Sold, Net (Note 7)	(86,678)	0
Repayment of commercial loans, held for investment	$ 86,678	$ 0

Business and Organization

Business and Organization	6 Months Ended
	Jun. 30, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Business and Organization	Business and Organization KKR Real Estate Finance Trust Inc. (together with its consolidated subsidiaries, referred to throughout this report as the "Company", " KREF ", "we", "us" and "our") is a Maryland corporation that was formed and commenced operations on October 2, 2014 as a mortgage " real estate investment trust " (" REIT ") that focuses primarily on originating and acquiring senior loans secured by commercial real estate assets. KREF has elected and intends to maintain its qualification to be taxed as a REIT under the requirements of the Internal Revenue Code of 1986, as amended (the " Internal Revenue Code "), for U.S. federal income tax purposes. As such, KREF will generally not be subject to U.S. federal income tax on that portion of its income that it distributes to stockholders if it distributes at least 90% of its REIT taxable income, determined without regard to the deduction for dividends paid and excluding any net capital gains. See Note 14 regarding taxes applicable to KREF . KREF is externally managed by KKR Real Estate Finance Manager LLC (" Manager "), an indirect subsidiary of KKR & Co. Inc. (together with its subsidiaries, " KKR "), through a management agreement (" Management Agreement ") pursuant to which the Manager provides a management team and other professionals who are responsible for implementing KREF ’s business strategy, subject to the supervision of KREF ’s board of directors. For its services, the Manager is entitled to management fees and incentive compensation, both defined in, and in accordance with the terms of, the Management Agreement (Note 12 ). As of June 30, 2019 , KKR beneficially owned 22,008,616 shares of KREF 's common stock, of which 2,008,616 shares were held by KKR on behalf of a third-party investor. As of June 30, 2019 , KREF 's principal business activities related to the origination and purchase of credit investments related to commercial real estate. Management assesses performance of KREF 's current portfolio of leveraged and unleveraged commercial mortgage loans and commercial mortgage-backed securities (" CMBS ") as a whole and makes operating decisions accordingly. As a result, management presents KREF 's operations within a single reporting segment.

Summary of Significant Accounti

Summary of Significant Accounting Policies	6 Months Ended
	Jun. 30, 2019
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Summary of Significant Accounting Policies Basis of Presentation — The accompanying unaudited condensed consolidated financial statements and related notes of KREF are prepared in accordance with accounting principles generally accepted in the United States of America (" GAAP ") for interim financial information and instructions to Form 10-Q. The condensed consolidated financial statements, including these notes, are unaudited and exclude some of the disclosures required in annual financial statements. Accordingly, certain information and footnote disclosures normally included in the consolidated financial statements have been condensed or omitted. The condensed consolidated financial statements include the accounts of KREF and its consolidated subsidiaries, and all intercompany transactions and balances have been eliminated. In the opinion of management, all adjustments considered necessary for a fair presentation of KREF ’s financial position, results of operations and cash flows have been included and are of a normal and recurring nature. The operating results presented for interim periods are not necessarily indicative of the results that may be expected for any other interim period or for the entire year. These condensed consolidated financial statements should be read in conjunction with KREF ’s Annual Report on Form 10-K for the fiscal year ended December 31, 2018 (the "Form 10-K"). Consolidation — KREF consolidates those entities for which (i) it controls significant operating, financial and investing decisions of the entity or (ii) management determines that KREF is the primary beneficiary of entities deemed to be variable interest entities (" VIE s"). Variable Interest Entities — VIE s are defined as entities in which equity investors do not have an interest with the characteristics of a controlling financial interest or do not have sufficient equity at risk for the entity to finance its activities without additional subordinated financial support from other parties. A VIE is required to be consolidated only by its primary beneficiary, which is defined as the party that has the power to direct the activities of the VIE that most significantly impact its economic performance and that has the obligation to absorb losses of, or the right to receive benefits from, the VIE that could be potentially significant to the VIE (Note 8 ). To assess whether KREF has the power to direct the activities of a VIE that most significantly impact the VIE ’s economic performance, KREF considers all the facts and circumstances, including its role in establishing the VIE and its ongoing rights and responsibilities. This assessment includes, first, identifying the activities that most significantly impact the VIE ’s economic performance; and second, identifying which party, if any, has power to direct those activities. To assess whether KREF has the obligation to absorb losses of, or the right to receive benefits from, the VIE that could potentially be significant to the VIE , KREF considers all of its economic interests and applies judgment in determining whether these interests, in the aggregate, are considered potentially significant to the VIE . Collateralized Loan Obligation — KREF consolidates a collateralized loan obligation that closed in November 2018 (“ KREF 2018-FL1” or “CLO”) (Note 5 ). Management determined that KREF 2018-FL1 Ltd. and KREF 2018-FL1 LLC (the "CLO Issuers"), wholly-owned subsidiaries of KREF , were VIEs and that KREF was the primary beneficiary. KREF is the primary beneficiary of the VIEs since it has the ability to control the most significant activities of the CLO Issuers through ownership of non-investment grade rated subordinated controlling tranches, has the obligation to absorb losses, and the right to receive benefits, that could potentially be significant to these entities. As a result, KREF consolidates the CLO Issuers. The collateral assets of the CLO, comprised of a pool of loan participations (Note 5 ) are included in “Commercial mortgage loans, held-for-investment, net” on the accompanying Condensed Consolidated Balance Sheets. The liabilities of KREF 's consolidated CLO Issuers consist solely of obligations to the senior CLO noteholders, excluding subordinated CLO tranches held by KREF as such interests are eliminated in consolidation, are presented in “Collateralized loan obligation, net” in the accompanying Condensed Consolidated Balance Sheets. The collateral assets of the CLO can only be used to settle the obligations of the consolidated CLO. The interest income from the CLO collateral assets and the interest expense on the CLO liabilities are presented on a gross basis in “Interest income” and “Interest expense”, respectively, in KREF 's Condensed Consolidated Statements of Income. CMBS — KREF consolidates those trusts that issue beneficial ownership interests in mortgage loans secured by commercial real estate (commonly known as CMBS ) when KREF holds a variable interest in, and management considers KREF to be the primary beneficiary of, those trusts. Management believes the performance of the assets that underlie CMBS issuances most significantly impacts the economic performance of the trust, and the primary beneficiary is generally the entity that conducts activities that most significantly impact the performance of the underlying assets. In particular, the most subordinate tranches of CMBS expose the holder to the greater variability of economic performance when compared to more senior tranches since the subordinate tranches absorb a disproportionately higher amount of the credit risk related to the underlying assets. Generally, a trust designates the most junior subordinate tranche outstanding as the controlling class, which entitles the holder of the controlling class to unilaterally appoint and remove the special servicer for the trust. The special servicer is responsible for the servicing and administration of delinquent and nonperforming loans as well as real estate owned (" REO ") properties held as collateral delivered on foreclosed loans. While the special servicer cannot prevent losses, its services to the trust are designed to mitigate credit losses to holders of the CMBS . For the trust that KREF consolidates, KREF holds an unrated tranche that represents the most subordinated tranche of the CMBS issued by that trust, which include the controlling class. As the holder of the most subordinate tranche, KREF is in a first loss position and has the right to receive benefits. As the holder of the controlling class, KREF has the ability to unilaterally appoint and remove the special servicer for the trust. In these cases, management considers KREF to be the primary beneficiary and consolidates the CMBS trust. For VIE s in which management determines KREF is the primary beneficiary, all of the underlying assets, liabilities and equity of the trusts are recorded on KREF 's books, and the initial investment, along with any associated unrealized holding gains and losses, are eliminated in consolidation. Similarly, the interest income earned from these trusts is eliminated in consolidation. Management elected the fair value option for KREF 's initial and subsequent recognition of the assets and liabilities of KREF 's consolidated CMBS VIE s in order to provide users of the financial statements with better information regarding the effects of credit risk and other market factors on the CMBS beneficially held by KREF 's stockholders. Since the changes in fair value include the interest income and interest expense associated with these CMBS VIE s, management does not consider the separate presentation of the components of fair value changes to be relevant. Management has elected to present these items in aggregate as " Other Income — Change in net assets related to CMBS consolidated variable interest entities " in the accompanying Condensed Consolidated Statements of Income; the residual difference between the fair value of the trust's assets and liabilities represents KREF 's beneficial interest in the CMBS VIE s. Management separately presents the assets and liabilities of KREF 's consolidated VIE s as individual line items on KREF 's Condensed Consolidated Balance Sheets for entities in which the VIE s assets can only be used to settle the VIE ’s obligations. The liabilities of KREF 's consolidated VIE s consist solely of obligations to the CMBS holders of the consolidated trust, excluding CMBS held by KREF as such interests are eliminated in consolidation, and the interest accrued thereon, presented as "Liabilities — Variable interest entity liabilities, at fair value ." The assets of KREF 's consolidated VIEs consist principally of commercial mortgage loans and the interest accrued thereon, and are likewise presented as a single line item entitled " Assets — Commercial mortgage loans held in variable interest entities, at fair value ." Assets of a CMBS trust, as a whole, can only be used to settle the obligations of the consolidated CMBS VIE . The assets of KREF 's CMBS VIE s are not individually accessible by, and obligations of the CMBS VIE s are not recourse to, the bondholders. REO assets generally represent a small percentage of the overall asset pool of a CMBS trust. No REO existed in KREF 's consolidated VIE assets as of June 30, 2019 . KREF derives the fair value of its Level 3 CMBS VIE assets from its Level 3 CMBS VIE liabilities, which management considers to possess more observable market value data than the CMBS VIE assets. See "— Fair Value — Valuation of CMBS Consolidated VIEs " for additional discussion regarding management's valuation of consolidated CMBS VIE s. Noncontrolling Interests — Noncontrolling interests represent the ownership interests in certain consolidated subsidiaries held by entities or persons other than KREF . Those noncontrolling interests that allow the holder to redeem before liquidation or termination of the entity that issued those interests are considered redeemable noncontrolling interests. The redeemable noncontrolling interests issued by subsidiaries of KREF are subject to certain restrictions and require KREF to transfer assets or issue equity to satisfy the redemption. As KREF does not control the circumstances under which the noncontrolling interests may redeem their interests, management considers these redeemable noncontrolling interests as temporary equity, presented as " Temporary Equity — Redeemable noncontrolling interests in equity of consolidated joint venture " in the accompanying Condensed Consolidated Balance Sheets and their share of " Net Income (Loss) " as " Redeemable Noncontrolling Interests in Income (Loss) of Consolidated Joint Venture " in the Condensed Consolidated Statements of Income. KREF recorded the redeemable noncontrolling interests at fair value upon issuance by subsidiaries of KREF , and adjusts the carrying value of such interests to equal their respective redemption values at each subsequent reporting period date if KREF determines the noncontrolling interests are redeemable or probable to become redeemable. Temporary Equity — KREF determined that the Special Non-Voting Preferred Stock (“SNVPS”) became redeemable in the second quarter of 2018. As a result, starting with the second quarter of 2018, KREF adjusts the carrying value of the SNVPS to its redemption value quarterly. Accordingly, KREF adjusted the carrying value of the SNVPS to its redemption value of $2.0 million as of June 30, 2019 and recorded a ($0.2) million and ($0.8) million non-cash redemption value adjustment to the SNVPS (“SNVPS Redemption Value Adjustment”) during the three and six months ended June 30, 2019 , respectively. Such adjustment is treated similar to a dividend on preferred stock for GAAP purposes, accordingly, the SNVPS Redemption Value Adjustment is therefore deducted from (or added back to) “Net Income (loss) Attributable to KKR Real Estate Finance Trust Inc. and Subsidiaries” to arrive at “Net Income (Loss) Attributable to Common Stockholders” on KREF 's Condensed Consolidated Statements of Income. Equity method investments, at fair value — Investments are accounted for under the equity method when KREF has significant influence over the operations of an investee, but KREF does not consolidate that investment. Equity method investments, for which management has not elected a fair value option, are initially recorded at cost and subsequently adjusted for KREF 's share of net income or loss and cash contributions and distributions each period. Management determined that KREF 's investment in the Manager is an interest in a VIE as KREF did not have substantive participating or kick-out rights. KREF does not have the power to direct activities and the obligation to absorb losses of the Manager that could be significant to the Manager . KREF accounts for its investment in the Manager using the equity method since KREF is not the primary beneficiary of the Manager (Note 8 ). Management determined that its investment in an aggregator vehicle alongside KKR Real Estate Credit Opportunity Partners L.P. (" RECOP ") is an interest in a VIE , however KREF is not the primary beneficiary and does not have substantive participating or kick-out rights. Management elected the fair value option for KREF 's investment in RECOP . KREF records its share of net asset value in RECOP as “ Equity method investments, at fair value ” in its Condensed Consolidated Balance Sheets and its share of unrealized gains or losses in " Income from equity method investments " in its Condensed Consolidated Statements of Income. Use of Estimates — The preparation of condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. Management makes subjective estimates to project cash flows KREF expects to receive on its investments in loans and securities as well as the related market discount rates, which significantly impacts the interest income, impairments, allowance for loan loss and fair values recorded or disclosed. Actual results could differ from those estimates. Fair Value — GAAP requires the categorization of the fair value of financial instruments into three broad levels that form a hierarchy based on the transparency of inputs to the valuation. Level 1 - Inputs are unadjusted, quoted prices in active markets for identical assets or liabilities at the measurement date. Level 2 - Inputs are other than quoted prices that are observable for the asset or liability, either directly or indirectly. Level 2 inputs include quoted prices for similar instruments in active markets, and inputs other than quoted prices that are observable for the asset or liability. Level 3 - Inputs are unobservable for the asset or liability, and include situations where there is little, if any, market activity for the asset or liability. KREF follows this hierarchy for its financial instruments. The classifications are based on the lowest level of input that is significant to the fair value measurement. Estimates of fair value for cash and cash equivalents, restricted cash, and convertible notes are measured using observable, quoted market prices, or Level 1 inputs. Valuation Process — The Manager reviews the valuation of Level 3 financial instruments as part of KKR 's quarterly process. As of June 30, 2019 , KKR’s valuation process for Level 3 measurements, as described below, subjected valuations to the review and oversight of various committees. KKR has a global valuation committee assisted by the asset class-specific valuation committees, including a real estate valuation committee that reviews and approves all preliminary Level 3 valuations for real estate assets, including the financial instruments held by KREF . The global valuation committee is responsible for coordinating and implementing KKR ’s valuation process to ensure consistency in the application of valuation principles across portfolio investments and between periods. All Level 3 valuations are also subject to approval by the global valuation committee. Valuation of Commercial Mortgage Loans and Participation Sold — Management generally considers KREF 's commercial mortgage loans Level 3 assets in the fair value hierarchy as such assets are illiquid, structured investments that are specific to the property and its operating performance. These loans are valued using a discounted cash flow model using discount rates derived from observable market data applied to the capital structure of the respective sponsor and estimated property value. On a quarterly basis, management engages an independent valuation firm to express an opinion on the fair value of each loan categorized as a Level 3 asset in the form of a range. Management selects a value within the range provided by the independent valuation firm to assess the reasonableness of the fair value as determined by management. In the event that management's estimate of fair value differs from the opinion of fair value provided by the independent valuation firm, KREF ultimately relies solely upon the valuation prepared by the investment personnel of the Manager. Valuation of CLO Consolidated VIEs — Management estimates the fair value of the CLO liabilities using prices obtained from an independent valuation firm. If prices received from the independent valuation firm are inconsistent with values determined in connection with management’s independent review, management makes inquiries to the independent valuation firm about the prices received and related methods. In the event management determines the price obtained from an independent valuation firm to be unreliable or an inaccurate representation of the fair value of the CLO liabilities (based on considerations given to observable market data), management then compiles evidence independently and presents the independent valuation firm with such evidence supporting a different value. As a result, the independent valuation firm may revise their price accordingly. However, if management continues to disagree with the price from the independent valuation firm, in light of evidence presented that management compiled independently and believes to be compelling, management considers the independent valuation firm's quotation unreliable or inaccurate representation of the fair value of the CLO liabilities. In the event that the quotation from the independent valuation firm is not available or determined to be unreliable or an inadequate representation of the fair value of the CLO liabilities, valuations are prepared using inputs based on non-binding broker quotes obtained from independent, well-known, major financial brokers that are CLO market makers. In validating any non-binding broker quote used in this circumstance, management compares the non-binding quote to the observable market data points at such time and used to validate prices received from the independent valuation firm in addition to understanding the valuation methodologies used by the market makers. These market participants utilize a similar methodology as the independent valuation firm to value the CLO liabilities, with the key input of expected yield determined independently based on both observable and unobservable factors (as described above). To avoid reliance on any single broker-dealer, management receives a minimum of two non-binding quotes, of which the average is used. Valuation of CMBS Consolidated VIEs — Management categorizes the financial assets and liabilities of the CMBS trusts that KREF consolidates as Level 3 assets and liabilities in the fair value hierarchy and has elected the fair value option for financial assets and liabilities of each CMBS trust. Management has adopted the measurement alternative included in Accounting Standards Update (" ASU ") No. 2014-13, Measuring the Financial Assets and the Financial Liabilities of a Consolidated Collateralized Financing Entity (" ASU 2014-13"). Pursuant to ASU 2014-13, management measures both the financial assets and financial liabilities of the CMBS trusts consolidated by KREF using the fair value of the financial liabilities, which management considers more observable than the fair value of the financial assets. As a result, KREF presents the CMBS issued by the consolidated trust, but not beneficially owned by KREF 's stockholders, as financial liabilities in KREF 's condensed consolidated financial statements, measured at their estimated fair value; KREF measures the financial assets as the total estimated fair value of the CMBS issued by the consolidated trust, regardless of whether such CMBS represent interests beneficially owned by KREF 's stockholders. Under the measurement alternative prescribed by ASU 2014-13, KREF 's " Net Income (Loss) " reflects the economic interests in the consolidated CMBS beneficially owned by KREF 's stockholders, presented as " Change in net assets related to CMBS consolidated variable interest entities " in the Condensed Consolidated Statements of Income, which includes applicable (i) changes in the fair value of CMBS beneficially owned by KREF , (ii) interest and servicing fees earned from the CMBS trust and (iii) other residual returns or losses of the CMBS trust, if any (Note 8 ). Other Valuation Matters — For Level 3 financial assets originated, or otherwise acquired, and financial liabilities assumed during the calendar month immediately preceding a quarter end that were conducted in an orderly transaction with an unrelated party, management generally believes that the transaction price provides the most observable indication of fair value given the illiquid nature of these financial instruments, unless management is aware of any circumstances that may cause a material change in the fair value through the remainder of the reporting period. For instance, significant changes to the underlying property or its planned operations may cause material changes in the fair value of commercial mortgage loans acquired, or originated, by KREF . KREF ’s determination of fair value is based upon the best information available for a given circumstance and may incorporate assumptions that are management’s best estimates after consideration of a variety of internal and external factors. When an independent valuation firm expresses an opinion on the fair value of a financial instrument in the form of a range, management selects a value within the range provided by the independent valuation firm, generally the midpoint, to assess the reasonableness of management’s estimated fair value for that financial instrument. See Note 13 for additional information regarding the valuation of KREF 's financial assets and liabilities. Sales of Financial Assets and Financing Agreements — KREF will, from time to time, sell loans, securities and other assets as well as finance assets in the form of secured borrowings. In each case, management evaluates whether the transaction constitutes a sale through legal isolation of the transferred financial asset from KREF , the ability of the transferee to pledge or exchange the transferred asset without constraint and the transfer of control of the transferred asset. For transfers that constitute sales, KREF (i) recognizes the financial assets it retains and liabilities it has incurred, if any, (ii) derecognizes the financial assets it has sold, and derecognizes liabilities when extinguished and (iii) recognizes a realized gain, or loss, based upon the excess, or deficient, proceeds received over the carrying value of the transferred asset. KREF does not recognize a gain, or loss, on interests retained, if any, where management elected the fair value option prior to sale. Balance Sheet Measurement Cash and Cash Equivalents and Restricted Cash — KREF considers cash equivalents as highly liquid short-term investments with maturities of 90 days or less when purchased. Substantially all amounts on deposit with major financial institutions exceed insured limits. KREF must also maintain sufficient cash and cash equivalents to satisfy liquidity covenants related to its secured financing agreements. However, such amounts are not restricted from use in KREF 's current operations, and KREF does not present these cash and cash equivalents as restricted. As of June 30, 2019 and December 31, 2018 , KREF was required to maintain unrestricted cash and cash equivalents of at least $26.1 million and $15.2 million , respectively, to satisfy its liquidity covenants (Note 4 ). Commercial Mortgage Loans Held‑For‑Investment and Provision for Loan Losses — KREF recognizes its investments in commercial mortgage loans based on management's intent, and KREF 's ability, to hold those investments through their contractual maturity. Management classifies those loans that management does not intend to sell in the foreseeable future, and KREF is able to hold until maturity, as held-for-investment. Loans that are held‑for‑investment are carried at their aggregate outstanding face amount, net of applicable (i) unamortized origination or acquisition premiums and discounts, (ii) unamortized deferred nonrefundable fees and other direct loan origination costs, (iii) allowance for loan losses and (iv) charge-offs or write-downs of impaired loans. If a loan is determined to be impaired, management writes down the loan through a charge to the provision for loan losses. See "— Expense Recognition — Loan Impairment — Commercial Mortgage Loans, Held-For-Investment " for additional discussion regarding management’s determination for loan losses. KREF applies the interest method to amortize origination or acquisition premiums and discounts and deferred nonrefundable fees or other direct loan origination costs, or on a straight line basis when it approximates the interest method. Loans for which management elects the fair value option at the time of origination, or acquisition, are carried at fair value on a recurring basis (Note 3 ). Commercial Mortgage Loans Held‑For‑Sale — Loans that KREF originates, or acquires, which KREF is unable to hold, or management intends to sell or otherwise dispose of, in the foreseeable future are classified as held‑for‑sale and are carried at the lower of amortized cost or fair value. Secured Financing Agreements — KREF 's secured financing agreements, including uncommitted repurchase facilities, Term Lending Agreement, Asset Specific Financings and Term Loan Financings, are treated as floating-rate collateralized financing arrangements carried at their contractual amounts, net of unamortized debt issuance costs (Note 4 ). Included within KREF 's secured financing agreements is KREF 's corporate revolving credit facility ("Revolver"), which is full recourse to certain guarantor wholly-owned subsidiaries of KREF . Convertible Notes, Net — KREF accounts for its convertible debt with a cash conversion feature in accordance with ASC 470-20 “Debt with Conversion and Other Options” which 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. The initial proceeds from the sale of convertible notes are allocated between a liability component and an equity component in a manner that reflects interest expense at the rate of similar nonconvertible debt that could have been issued at such time. The equity component represents the excess initial proceeds received over the fair value of the liability component of the notes as of the date of issuance. KREF measured the estimated fair value of the debt component of the 6.125% convertible senior notes due May 15, 2023 (“Convertible Notes”) as of the issuance date based on KREF ’s nonconvertible debt borrowing rate. The equity component of the Convertible Notes is reflected within additional paid-in capital on our Condensed Consolidated Balance Sheets, and the resulting debt discount is amortized over the period during which such Convertible Notes are expected to be outstanding (through the maturity date) as additional non-cash interest expense using the interest method, or on a straight line basis when it approximates the interest method. The additional non-cash interest expense attributable to such convertible notes will increase in subsequent periods through the maturity date as the notes accrete to their par value over the same period (Note 6 ). Loan Participations Sold, Net — In connection with its investments in commercial real estate loans, KREF finances certain investments through the syndication of non-recourse, or limited-recourse, loan participation to unaffiliated third parties. KREF ’s presentation of the senior loan and related financing involved in the syndication depends upon whether GAAP recognized the transaction as a sale, though such differences in presentation do not generally impact KREF ’s net stockholders’ equity or net income aside from timing differences in the recognition of certain transaction costs. To the extent that GAAP recognizes a sale resulting from the syndication, KREF derecognizes the participation in the senior/whole loan that KREF sold and continues to carry the retained portion of the loan as an investment. While KREF does not generally expect to recognize a material gain or loss on these sales, KREF would realize a gain or loss in an amount equal to the difference between the net proceeds received from the third party purchaser and its carrying value of the loan participation that KREF sold at time of sale. Furthermore, KREF recognizes interest income only on the portion of the loan that it retains as a result of the sale. To the extent that GAAP does not recognize a sale resulting from the syndication, KREF does not derecognize the participation in the senior/whole loan that it sold. Instead, KREF recognizes a loan participation sold liability in an amount equal to the principal of the loan participation syndicated less any unamortized discounts or financing costs resulting from the syndication. KREF continues to recognize interest income on the entire senior loan, including the interest attributable to the loan participation sold, as well as interest expense on the loan participation sold liability (Note 7 ). Other Assets and Accounts Payable, Accrued Expenses and Other Liabilities — As of June 30, 2019 , other assets primarily included a $7.9 million loan principal payment receivable from a third-party servicer and $2.7 million of deferred financing costs related to KREF 's corporate revolving credit facility (Note 4 ). As of December 31, 2018 , other assets included $1.4 million of deferred financing costs related to KREF 's revolving credit facility and $1.3 million of collateralized loan obligations interest receivable on collateral assets held by a third-party servicer. As of June 30, 2019 , accounts payable, accrued expenses and other liabilities mainly consisted of $3.3 million of accrued expenses and $0.5 million of good faith deposits. As of December 31, 2018 , accounts payable, accrued expenses and other liabilities included $2.0 million of accrued share buybacks and $1.0 million of accrued deferred financing costs and offering costs. Special Non-Voting Preferred Stock — Equity instruments that are redeemable for cash or other assets are classified as temporary equity if the instrument is redeemable, at the option of the holder, at a fixed or determinable price on a fixed or determinable date or upon the occurrence of an event that is not solely within the control of the issuer. Redeemable equity instruments are initially carried at the fair value of the equity instrument at the issuance date, which is subsequently adjusted at each balance sheet date if the instrument is currently redeemable or probable of becoming redeemable. KREF accounted for the SNVPS as redeemable preferred stock since a third party holds a redemption option, exercisable after May 5, 2018, and such redemption is not solely within KREF 's control. The SNVPS became redeemable in the second quarter of 2018. As a result, starting with the second quarter of 2018, KREF adjusts the carrying value of the SNVPS to its redemption value quarterly. Accordingly, KREF adjusted the carrying value of the SNVPS to its redemption value of $2.0 million as of June 30, 2019 and recorded a ($0.2) million and ($0.8) million non-

Commercial Mortgage Loans

Commercial Mortgage Loans	6 Months Ended
	Jun. 30, 2019
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Abstract]
Commercial Mortgage Loans	Commercial Mortgage Loans The following table summarizes KREF 's investments in commercial mortgage loans as of June 30, 2019 and December 31, 2018 : Weighted Average Loan Type Outstanding Face Amount Carrying Value Loan Count Floating Rate Loan % (A) Coupon (A) Life (Years) (B) June 30, 2019 Loans held-for-investment Senior loans (C) $ 4,787,004 $ 4,759,977 34 100.0 % 5.6 % 3.8 Mezzanine loans 41,200 40,236 2 86.7 9.7 4.3 $ 4,828,204 $ 4,800,213 36 99.9 % 5.7 % 3.8 December 31, 2018 Loans held-for-investment Senior loans (C) $ 3,970,856 $ 3,946,086 33 100.0 % 6.0 % 3.7 Mezzanine loans 55,857 55,734 8 53.0 12.0 4.1 $ 4,026,713 $ 4,001,820 41 99.3 % 6.0 % 3.7 (A) Average weighted by outstanding face amount of loan. Weighted average coupon assumes applicable one-month LIBOR rates of 2.40% and 2.50% as of June 30, 2019 and December 31, 2018 , respectively. (B) The weighted average life of each loan is based on the expected timing of the receipt of contractual cash flows assuming all extension options are exercised by the borrower. (C) Senior loans may include accommodation mezzanine loans in connection with the senior mortgage financing. Also, includes loan participations sold with a face amount of $65.0 million and $85.9 million , and a carrying value of $65.0 million and $85.6 million as of June 30, 2019 and December 31, 2018 , respectively. Includes CLO loan participations of $958.0 million and $1.0 billion as of June 30, 2019 and December 31, 2018 , respectively. Activity — For the six months ended June 30, 2019 , the loan portfolio activity was as follows: Held-for-Investment Held-for-Sale Total Balance at December 31, 2018 $ 4,001,820 $ — $ 4,001,820 Purchases and originations, net (A) 1,850,571 — 1,850,571 Proceeds from sales and principal repayments (B) (1,062,723 ) — (1,062,723 ) Accretion of loan discount and other amortization, net (C) 10,545 — 10,545 Balance at June 30, 2019 $ 4,800,213 $ — $ 4,800,213 (A) Net of applicable premiums, discounts and deferred loan origination costs. Includes fundings on previously originated loans. (B) Includes $142.8 million in net proceeds from non-recourse sale of senior interests and $65.0 million in proceeds from pari passu loan syndication. (C) Includes accretion of applicable discounts and deferred loan origination costs. As of June 30, 2019 and December 31, 2018 , there was $28.0 million and $24.9 million , respectively, of unamortized deferred loan fees and discounts included in commercial mortgage loans, held-for-investment, net on the Condensed Consolidated Balance Sheets. We recognized prepayment fee income and net accelerated fees of $0.0 million and $0.5 million , respectively, during the three months ended June 30, 2019 ; and $0.2 million and $2.8 million , respectively, during the six months ended June 30, 2019 . Loan Risk Ratings — As further described in Note 2 , our Manager evaluates KREF 's commercial mortgage loan portfolio on a quarterly basis. In conjunction with the quarterly commercial mortgage loan portfolio review, KREF 's Manager assesses the risk factors of each loan, and assigns a risk rating based on a variety of factors. Loans are rated “1” (very low risk) through “5” Impaired/Loss Likely), which ratings are defined in Note 2 . The following table allocates the principal balance and net book value of the loan portfolio based on KREF 's internal risk ratings: June 30, 2019 December 31, 2018 Risk Rating Number of Loans Net Book Value (A) Total Loan Exposure (A)(B) Risk Rating Number of Loans Net Book Value Total Loan Exposure (A)(B) 1 3 $ 271,853 $ 272,571 1 — $ — $ — 2 3 220,767 221,629 2 8 466,742 468,860 3 30 4,242,593 4,411,804 3 33 3,535,078 3,625,008 4 — — — 4 — — — 5 — — — 5 — — — 36 $ 4,735,213 $ 4,906,004 41 $ 4,001,820 $ 4,093,868 (A) Excludes $65.0 million pari passu loan syndication as of June 30, 2019 . (B) In certain instances, we finance our loans through the non-recourse sale of a senior interest that is not included in our condensed consolidated financial statements. Total loan exposure includes the entire loan we originated and financed, including $142.8 million and $67.2 million of such non-consolidated interests as of June 30, 2019 and December 31, 2018 , respectively. As of June 30, 2019 , the average risk rating of KREF 's portfolio was 2.8 (Average Risk) , weighted by total loan exposure, with 100.0% of commercial mortgage loans held-for-investment, rated 3 (Average Risk) or better by KREF 's Manager as compared to 2.9 (Average Risk) as of December 31, 2018 . Concentration of Credit Risk — The following tables present the geographies and property types of collateral underlying KREF 's commercial mortgage loans as a percentage of the loans' face amounts: June 30, 2019 December 31, 2018 June 30, 2019 December 31, 2018 Geography Collateral Property Type New York 30.2 % 30.3 % Multifamily 52.5 % 41.0 % California 8.2 9.7 Office 34.3 44.6 Pennsylvania 7.5 5.4 Hospitality 4.5 3.7 Florida 7.0 11.3 Condo(Residential) 3.3 4.3 Washington 7.0 8.3 Industrial 2.8 3.3 Massachusetts 6.9 4.9 Retail 2.6 3.1 Virginia 6.8 — Total 100.0 % 100.0 % Illinois 6.8 — Minnesota 5.1 5.7 New Jersey 3.1 3.7 Georgia 2.9 11.1 Oregon 2.6 3.1 Washington D.C. 2.1 2.4 Colorado 1.7 2.4 Alabama 1.1 — Texas 1.0 0.1 Tennessee — 1.3 Other U.S. — 0.3 Total 100.0 % 100.0 %

Debt Obligations

Debt Obligations	6 Months Ended
	Jun. 30, 2019
Debt Disclosure [Abstract]
Debt Obligations	Debt Obligations The following table summarizes KREF 's secured master repurchase agreements and other financing arrangements in place as of June 30, 2019 and December 31, 2018 : June 30, 2019 December 31, 2018 Facility Collateral Facility Month Issued Outstanding Face Amount Carrying Value (A) Maximum Facility Size Final Stated Maturity Weighted Average Funding Cost (B) Weighted Average Life (Years) (B) Outstanding Face Amount Amortized Cost Basis Carrying Value Weighted Average Life (Years) (C) Carrying Value (A) Master Repurchase Agreements (D) Wells Fargo (E) Oct 2015 $ 425,134 $ 422,138 $ 1,000,000 Nov 2023 4.5 % 1.9 $ 612,923 $ 610,144 $ 610,144 3.4 $ 508,523 Morgan Stanley (F) Dec 2016 491,012 489,423 750,000 Dec 2022 4.5 2.2 673,875 670,921 670,921 4.2 300,081 Goldman Sachs (G) Sep 2016 143,016 142,738 400,000 Oct 2020 4.5 0.6 192,000 191,729 191,729 3.1 340,671 Term Lending Agreement KREF Lending V (H) Jun 2019 745,918 743,946 900,000 Jun 2026 4.5 2.5 909,029 899,498 899,498 4.7 — Asset Specific Financing BMO Facility (I) Aug 2018 142,267 140,814 300,000 n.a 4.7 4.2 197,558 195,956 195,956 4.5 58,815 Revolving Credit Agreement Revolver (J) Dec 2018 — — 250,000 Dec 2023 1.1 0 n.a n.a n.a n.a — Total / Weighted Average $ 1,947,347 $ 1,939,059 $ 3,600,000 4.5 % 2.3 $ 1,208,090 (A) Net of $8.3 million and $9.2 million unamortized debt issuance costs as of June 30, 2019 and December 31, 2018 , respectively. (B) Average weighted by the outstanding face amount of borrowings. (C) Average based on the fully extended loan maturity, weighted by the outstanding face amount of the collateral. (D) Borrowings under these repurchase agreements are collateralized by senior loans, held-for-investment, and bear interest equal to the sum of (i) a floating rate index, equal to one-month LIBOR, or an index approximating LIBOR, and (ii) a margin, based on the collateral. As of June 30, 2019 and December 31, 2018 , the percentage of the outstanding face amount of the collateral sold and not borrowed under these repurchase agreements, or average "haircut" weighted by outstanding face amount of collateral, was 28.4% and 25.8% , respectively (or 26.1% and 23.4% , respectively, if KREF had borrowed the maximum amount approved by its repurchase agreement counterparties as of such dates). (E) In November 2018, KREF and Wells Fargo Bank, National Association (“Wells Fargo”) amended the September 2018 amended and restated master repurchase agreement to extend the facility maturity date. The current stated maturity date is November 2021 , which does not reflect two , twelve -month facility term extensions available to KREF , which is contingent upon certain covenants and thresholds. As of June 30, 2019 , the collateral-based margin was between 1.40% and 2.15% . (F) In November 2017, KREF and Morgan Stanley Bank, N.A. (" Morgan Stanley ") amended and restated the master repurchase agreement to extend the facility maturity date and to increase the maximum facility size from $500.0 million to $600.0 million and, subject to customary conditions, permits KREF to request the facility be further increased to $750.0 million . In March 2019, the Morgan Stanley repurchase agreement was amended to extend the current stated maturity of the facility to December 2021 , which does not reflect one , twelve -month facility term extension available to KREF , which is contingent upon certain covenants and thresholds. In June 2019, the Morgan Stanley repurchase agreement was amended to increase the facility amount to $750.0 million . As of June 30, 2019 , the collateral-based margin was between 1.75% and 2.25% . (G) In October 2018, KREF and Goldman Sachs Bank USA (“Goldman Sachs”) amended the July 2018 amended and restated master repurchase agreement to modify certain terms and provisions. The amended and restated facility includes a $400.0 million term facility with a maturity of October 2020. As of June 30, 2019 , the collateral-based margin was 2.00% . (H) In June 2019, KREF Lending V LLC, a wholly-owned indirect subsidiary of KREF , entered into a Master Repurchase and Securities Contract Agreement (the "Term Lending Agreement") with Morgan Stanley Mortgage Capital Holdings LLC ("Administrative Agent"), as administrative agent on behalf of Morgan Stanley Bank, N.A. ("Initial Buyer"), which provides for current and future financings of up to $900.0 million on a non-mark-to-market basis. Borrowings under the Term Lending Agreement are collateralized by certain loans, held for investment, and bear interest equal to one-month LIBOR, plus a 1.9% margin, inclusive of an ongoing administrative fee. The Term Lending Agreement has an initial maturity of June 2021, subject to five one -year extension options, which may be exercised by KREF upon the satisfaction of certain customary conditions and thresholds. (I) In August 2018, KREF entered into a $200.0 million loan financing facility with BMO Harris Bank ("BMO Facility"). The facility provides asset-based financing on a non-mark to market basis with matched-term up to five years with partial recourse to KREF . During May 2019, KREF increased the borrowing capacity to $300.0 million . As of June 30, 2019 , the collateral-based margin was between 1.50% and 1.70% . (J) In December 2018, KREF entered into a $100.0 million corporate revolving credit facility (“Revolver”) administered by Morgan Stanley Senior Funding, Inc. In March 2019, KREF added new lenders under the Revolver increasing the borrowing capacity to $140.0 million . Additional lenders were added in April and May 2019, further increasing the borrowing capacity under the Revolver to $250.0 million . The current stated maturity of the facility is December 2023. Borrowings under the facility bear interest at a per annum rate equal to the sum of (i) a floating rate index and (ii) a fixed margin. Borrowings under this facility are full recourse to certain guarantor wholly-owned subsidiaries of KREF . As of June 30, 2019 , the carrying value excluded $2.7 million unamortized debt issuance costs presented as " — Other assets" in KREF 's Condensed Consolidated Balance Sheets. The preceding table excludes loan participations sold (Note 7 ). As of June 30, 2019 and December 31, 2018 , KREF had outstanding repurchase agreements and a Term Lending Agreement where the amount at risk with any individual counterparty, or group of related counterparties, exceeded 10.0% of KREF ’s stockholders' equity. The amount at risk under these agreements is the net counterparty exposure, defined as the excess of the carrying amount (or market value, if higher than the carrying amount, for repurchase agreements) of the assets sold under agreement to repurchase, including accrued interest plus any cash or other assets on deposit to secure the repurchase obligation, over the amount of the repurchase liability, adjusted for accrued interest. The following table summarizes certain characteristics of KREF 's repurchase agreements where the amount at risk with any individual counterparty, or group of related counterparties, exceeded 10.0% of KREF ’s stockholders' equity as of June 30, 2019 and December 31, 2018 : Outstanding Face Amount Net Counterparty Exposure Percent of Stockholders' Equity Weighted Average Life (Years) (A) June 30, 2019 Wells Fargo $ 425,134 $ 187,629 16.7 % 1.9 Morgan Stanley 491,012 181,421 16.2 2.2 Term Lending Agreement (B) 745,918 153,626 13.7 2.5 Total / Weighted Average $ 1,662,064 $ 522,676 46.6 % 2.2 December 31, 2018 Wells Fargo $ 512,298 $ 223,780 19.8 % 1.5 Morgan Stanley 302,595 145,066 12.8 1.2 Goldman Sachs 342,368 122,461 10.8 1.4 Total / Weighted Average $ 1,157,261 $ 491,307 43.7 % 1.4 (A) Average weighted by the outstanding face amount of borrowings under the secured financing agreement. (B) The counterparty under the Term Lending Agreement as of June 30, 2019 is Morgan Stanley Bank, N.A. Debt obligations included in the tables above are obligations of KREF ’s consolidated subsidiaries, which own the related collateral, and such collateral is generally not available to other creditors of KREF . While KREF is generally not required to post margin under certain repurchase agreement terms for changes in general capital market conditions such as changes in credit spreads or interest rates, KREF may be required to post margin for changes in conditions to specific loans that serve as collateral for those repurchase agreements. Such changes may include declines in the appraised value of property that secures a loan or a negative change in the borrower's ability or willingness to repay a loan. To the extent that KREF is required to post margin, KREF 's liquidity could be significantly impacted. Both KREF and its lenders work cooperatively to monitor the performance of the properties and operations related to KREF 's loan investments to mitigate investment-specific credit risks. Additionally, KREF incorporates terms in the loans it originates to further mitigate risks related to loan nonperformance. Term Loan Financing In April 2018, KREF , through its consolidated subsidiaries, entered into a term loan financing agreement (“Term Loan Facility”) with third party lenders for an initial borrowing capacity of $200.0 million that was subsequently increased to $1.0 billion in October 2018. The facility provides asset-based financing on a non-mark-to-market basis with matched term up to five years and is non-recourse to KREF . Borrowings under the facility are collateralized by senior loans, held-for-investment, and bear interest equal to one-month LIBOR plus a margin. As of June 30, 2019 and December 31, 2018 , the weighted average margin and interest rate on the facility were 1.5% and 3.9% and 1.4% and 3.9% , respectively. The following tables summarize our borrowings under the Term Loan Facility: June 30, 2019 Term Loan Facility Count Outstanding Face Amount Carrying Value Wtd. Avg. Yield/Cost (A) Guarantee (B) Wtd. Avg. Term (C) Collateral assets 13 $ 1,178,618 $ 1,168,885 L + 3.1% n.a. October 2023 Financing provided n.a. 958,666 953,140 L + 1.8% n.a. October 2023 December 31, 2018 Term Loan Facility Count Outstanding Face Amount Carrying Value Wtd. Avg. Yield/Cost (A) Guarantee (B) Wtd. Avg. Term (C) Collateral assets 10 $ 941,905 $ 933,179 L + 3.1% n.a. August 2023 Financing provided n.a. 748,414 742,959 L + 1.8% n.a. August 2023 (A) Floating rate loans and related liabilities are indexed to one-month LIBOR. KREF's net interest rate exposure is in direct proportion to its interest in the net assets indexed to that rate. In addition to cash coupon, yield/cost includes the amortization of deferred origination/financing costs. (B) Financing under the Term Loan Facility is non-recourse to KREF. (C) The weighted-average term is determined using the maximum maturity date of the corresponding loans, assuming all extension options are exercised by the borrower. Activity — For the six months ended June 30, 2019 , the activity related to the carrying value of KREF ’s secured financing agreements were as follows: Balance as of December 31, 2018 $ 1,951,049 Principal borrowings 2,299,598 Principal repayments (1,359,260 ) Deferred debt issuance costs (4,698 ) Amortization of deferred debt issuance costs 5,510 Balance as of June 30, 2019 $ 2,892,199 Maturities — KREF ’s secured financing agreements, term loan financing and other consolidated debt obligations in place as of June 30, 2019 had current contractual maturities as follows: Year Nonrecourse Recourse (A) Total 2019 $ — $ 315,300 $ 315,300 2020 82,481 587,375 669,856 2021 674,777 — 674,777 2022 121,083 818,178 939,261 2023 80,325 — 80,325 Thereafter — 226,494 226,494 $ 958,666 $ 1,947,347 $ 2,906,013 (A) Except for the Revolver, which is full recourse, amounts borrowed subject to a maximum 25.0% recourse limit. Covenants — KREF is required to comply with customary loan covenants and event of default provisions related to its secured financing agreements and Revolver, including, but not limited to, negative covenants relating to restrictions on operations with respect to KREF ’s status as a REIT , and financial covenants. Such financial covenants include an interest income to interest expense ratio covenant ( 1.5 to 1.0); a minimum consolidated tangible net worth covenant ( 75.0% of the aggregate cash proceeds of any equity issuances made and any capital contributions received by KREF and certain subsidiaries or up to approximately $880.2 million depending upon the facility); a cash liquidity covenant (the greater of $10.0 million or 5.0% of KREF 's recourse indebtedness); and a total indebtedness covenant ( 75.0% of KREF 's total assets, net of VIE liabilities and non-recourse indebtedness). As of June 30, 2019 and December 31, 2018 , KREF was in compliance with its financial debt covenants.

Collateralized Loan Obligation

Collateralized Loan Obligation	6 Months Ended
	Jun. 30, 2019
Transfers and Servicing [Abstract]
Collateralized Loan Obligation	Collateralized Loan Obligation In November 2018, KREF financed a pool of loan participations from our existing loan portfolio through a managed CLO. KREF 2018-FL1 provides KREF with match-term financing on a non-mark-to-market and non-recourse basis. KREF 2018-FL1 has a two -year reinvestment feature that allows principal proceeds of the collateral assets to be reinvested in qualifying replacement assets, subject to the satisfaction of certain conditions set forth in the indenture. The following table outlines KREF 2018-FL1 collateral assets and respective borrowing: June 30, 2019 Collateralized Loan Obligation Count Face Amount Carrying Value Wtd. Avg. (B) Wtd. Avg. Term (C) Collateral assets (A) 23 $ 1,000,000 $ 1,000,000 L + 3.2% April 2023 Financing provided 1 810,000 801,860 L + 1.8% June 2036 December 31, 2018 Collateralized Loan Obligation Count Face Amount Carrying Value Wtd. Avg. (B) Wtd. Avg. Term (C) Collateral assets (A) 24 $ 1,000,000 $ 1,000,000 L + 3.5% December 2022 Financing provided 1 810,000 800,346 L + 1.8% June 2036 (A) Excluding $42.0 million and $0.0 million of cash, collateral assets represent 19.8% and 24.8% of the face amount of KREF 's commercial mortgage loans as of June 30, 2019 and December 31, 2018 , respectively. As of June 30, 2019 and December 31, 2018 , 100% of KREF loans financed through the CLO are floating rate loans. (B) Yield on collateral assets is based on cash coupon. Financing cost includes amortization of deferred financing costs incurred in connection with the CLO. (C) Loan term represents weighted-average final maturity, assuming extension options are exercised by the borrower. Repayments of CLO notes are dependent on timing of related collateral loan asset repayments post reinvestment period. The term of the CLO notes represents the rated final distribution date. The following table presents the KREF 2018-FL1 Assets and Liabilities included in KREF ’s Condensed Consolidated Balance Sheets: Assets June 30, 2019 December 31, 2018 Cash $ 42,000 $ — Commercial mortgage loans, held-for-investment, net 958,000 1,000,000 Accrued interest receivable 3,838 4,263 Other assets 5 1,295 Total $ 1,003,843 $ 1,005,558 Liabilities Collateralized loan obligation, net 801,860 800,346 Accrued interest payable 1,396 3,341 Accounts payable, accrued expenses and other liabilities 113 314 Total $ 803,369 $ 804,001 The following table presents the components of net interest income of KREF 2018-FL1 included in KREF ’s Condensed Consolidated Statements of Income: For the Three Months Ended June 30, For the Six Months Ended June 30, 2019 2018 2019 2018 Net Interest Income Interest income $ 14,162 $ — $ 28,588 $ — Interest expense (A) 10,024 — 19,967 — Net interest income $ 4,138 $ — $ 8,621 $ — (A) Includes $0.8 million and $1.6 million of deferred financing costs amortization for the three and six months ended June 30, 2019 , respectively. KREF 's unamortized deferred financing costs related to KREF 2018-FL1 were $8.1 million as of June 30, 2019 .

Convertible Notes, Net

Convertible Notes, Net	6 Months Ended
	Jun. 30, 2019
Debt Disclosure [Abstract]
Convertible Notes, Net	Convertible Notes, Net In May 2018, the Company issued $143.75 million of Convertible Notes, which bear interest at a rate of 6.125% per year, payable semi-annually in arrears on May 15 and November 15 of each year, beginning on November 15, 2018. The Convertible Notes mature on May 15, 2023, unless earlier repurchased or converted. The Convertible Notes’ issuance costs of $5.1 million are amortized through interest expense over the life of the Convertible Notes. The initial conversion rate for the Convertible Notes is 43.9386 shares of KREF’s common stock per $1,000 principal amount of Notes, which is equivalent to an initial conversion price of approximately $22.76 per share of KREF’s common stock, which represents a 10% conversion premium over the last reported sale price of $20.69 per share of KREF’s common stock on the New York Stock Exchange on May 15, 2018. The conversion rate is subject to adjustment under certain circumstances. In addition, upon a make-whole fundamental change as defined within the indenture governing the Convertible Notes, the Company will, under certain circumstances, increase the applicable conversion rate for a holder that elects to convert its Notes in connection with such make-whole fundamental change. Prior to February 15, 2023, the Convertible Notes will be convertible only upon satisfaction of certain conditions and during certain periods, and thereafter, at any time until the close of business on the second scheduled trading day immediately preceding the maturity date. KREF will satisfy any conversion elections by paying or delivering, as the case may be, cash, shares of KREF’s common stock or a combination of cash and shares of KREF’s common stock, at its election. KREF has the intent and ability to settle the Convertible Notes in cash and, as a result, the Convertible Notes did not have an impact on our diluted earnings per share. Upon the issuance of the Convertible Notes, the Company recorded a $1.8 million discount based on the implied value of the conversion option and an assumed effective interest rate of 6.50% , as well as $5.1 million of initial issuance costs, inclusive of the $0.8 million paid to an affiliate of KREF. Inclusive of the amortization of this discount and the issuance costs, KREF’s total cost of the May 2018 Convertible Notes issuance is 6.92% per annum. The following table details our interest expense related to the Convertible Notes: For the Three Months Ended June 30, For the Six Months Ended June 30, 2019 2018 2019 2018 Cash coupon $ 2,201 $ 1,052 $ 4,402 $ 1,052 Discount and issuance cost amortization 346 163 688 163 Total interest expense $ 2,547 1,215 5,090 1,215 The following table details the net book value of our Convertible Notes on our Condensed Consolidated Balance Sheets: June 30, 2019 December 31, 2018 Face value $ 143,750 $ 143,750 Deferred financing costs (3,977 ) (4,486 ) Unamortized discount (1,397 ) (1,576 ) Net book value $ 138,376 $ 137,688 Accrued interest payable for the Convertible Notes was $1.1 million and $1.1 million as of June 30, 2019 and December 31, 2018 , respectively. Refer to Note 2

Loan Participations Sold

Loan Participations Sold	6 Months Ended
	Jun. 30, 2019
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Abstract]
Loan Participations Sold	Loan Participations Sold KREF finances certain loan investments through the syndication of a non-recourse, or limited-recourse, loan participation to unaffiliated third parties. During the three months ended March 31, 2019 , KREF derecognized the loan participation sold held on its Condensed Consolidated Balance Sheet as of December 31, 2018 , as the underlying loan was fully repaid. In May 2019, KREF syndicated a $65.0 million pari passu participation in one of its loan investments with a principal balance of $286.2 million to an unaffiliated third party, at par value. Such syndication did not qualify for "sale" accounting under GAAP and therefore is consolidated in the condensed consolidated financial statements. The following tables summarize the loan participation sold liabilities that KREF recognized since the corresponding syndications of the respective loan participations were not treated as "sales" as of June 30, 2019 and December 31, 2018 : June 30, 2019 Loan Participations Sold Count Principal Balance Carrying Value Yield/Cost (A) Guarantee Term Total loan 1 $ 286,184 $ 284,651 L + 3.3% n.a. June 2023 Pari passu loan syndication (B)(D) 1 65,000 65,000 L + 2.8% n.a. June 2023 December 31, 2018 Loan Participations Sold Count Principal Balance Carrying Value Yield/Cost (A) Guarantee (C) Term Total loan 1 $ 99,757 $ 99,368 L + 3.0% n.a. September 2022 Senior participation (D) 1 85,880 85,465 L + 1.8% n.a. September 2022 (A) Floating rate loans and related liabilities are indexed to one-month LIBOR. KREF 's net interest rate exposure is in direct proportion to its interest in the net assets of the senior loan. (B) During the three and six months ended June 30, 2019 , KREF recorded $0.4 million of interest income and $0.4 million of interest expense, respectively, related to the loan participation KREF sold, but continue to consolidate under GAAP. (C) As of December 31, 2018 , the loan participation sold was subject to partial recourse of $10.0 million , which amount may be reduced to zero upon achievement of certain property performance metrics. (D) During the three months ended June 30, 2019 and 2018 , KREF recorded $0.0 million and $0.8 million of interest income and $0.0 million and $0.8 million of interest expense, respectively; and during the six months ended June 30, 2019 and 2018 , KREF recorded $0.6 million and $1.5 million of interest income and $0.7 million and $1.5 million of interest expense, respectively, related to the loan participation KREF sold.

Variable Interest Entities

Variable Interest Entities	6 Months Ended
	Jun. 30, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Variable Interest Entities	Variable Interest Entities CMBS — KREF beneficially owned CMBS with an unpaid principal balance and fair value of $34.9 million and $10.2 million , respectively, as of June 30, 2019 . KREF beneficially owned CMBS with an unpaid principal balance and fair value of $34.9 million and $12.5 million , respectively, as of December 31, 2018 . KREF was required to consolidate each of the CMBS trusts acquired from the date of acquisition through the date of sale since KREF retained the controlling class and management determined KREF was the primary beneficiary of those trusts. Further, management irrevocably elected the fair value option for each of the trusts and carries the fair values of the trust's assets and liabilities at fair value in its Condensed Consolidated Balance Sheets; recognizes changes in the trust's net assets, including fair value adjustments and net interest earned, in its Condensed Consolidated Statements of Income; and records cash interest received from the trusts, net of cash interest paid to CMBS not beneficially owned by KREF , as operating cash flows. The following table presents the KREF recognized Trust's Assets and Liabilities: June 30, 2019 December 31, 2018 Trusts' Assets Commercial mortgage loans held in variable interest entities, at fair value (A) $ 1,134,579 $ 1,092,986 Accrued interest receivable 3,922 4,005 Trusts' Liabilities Variable interest entity liabilities, at fair value (B) 1,124,178 1,080,255 Accrued interest payable 3,735 3,818 (A) Includes accrued interest receivable. (B) Includes accrued interest payable. The following table presents "Other Income — Change in net assets related to CMBS consolidated variable interest entities": For the Three Months Ended June 30, For the Six Months Ended June 30, 2019 2018 2019 2018 Net interest earned $ 625 $ 908 $ 1,121 $ 4,020 Reversal of previously unrealized (gain) loss now realized — (5,494 ) — — Unrealized gain (loss) (2,176 ) (1,822 ) (2,330 ) (1,939 ) Change in net assets related to CMBS consolidated variable interest entities $ (1,551 ) $ (6,408 ) $ (1,209 ) $ 2,081 See Note 13 for additional information regarding the valuation of financial assets and liabilities held by KREF 's consolidated VIE s. Concentration of Credit Risk — The following tables present the geographies and property types of collateral underlying the CMBS trusts consolidated by KREF , as a percentage of the collateral unpaid principal balance and weighted by the fair value of the CMBS tranches beneficially owned by KREF 's stockholders: June 30, 2019 December 31, 2018 June 30, 2019 December 31, 2018 Geography Collateral Property Type California 34.9 % 33.4 % Retail 28.0 % 28.3 % Texas 11.1 11.1 Office 27.5 27.4 New York 8.1 8.3 Hospitality 12.9 13.0 Missouri 6.2 5.4 Multifamily 10.3 9.9 Pennsylvania 4.3 5.1 Industrial/ Flex 10.3 9.6 Florida 4.0 4.2 Self Storage 4.7 5.7 Massachusetts 3.5 3.6 Mixed Use 4.3 3.9 Illinois 3.0 2.7 Mobile Home 1.7 1.7 Georgia 2.4 2.6 Other 0.3 0.5 New Hampshire 2.1 2.4 100.0 % 100.0 % Delaware 1.8 1.9 Virginia 1.6 1.7 Other U.S. 17.0 17.6 Total 100.0 % 100.0 % Collateralized Loan Obligation — KREF is the primary beneficiary of a collateralized loan obligation consolidated as a VIE that closed in November 2018 (Note 5 ). Management considers the CLO Issuers, wholly-owned subsidiaries of KREF , to be the primary beneficiary as the CLO Issuers have the ability to control the most significant activities of the CLO, the obligation to absorb losses, and the right to receive benefits of the CLO through the subordinate interests the CLO Issuers own. Equity method investments, at fair value — KREF holds two investments in entities that it records using the equity method. As of June 30, 2019 , KREF held a 3.5% interest in RECOP , an unconsolidated VIE of which KREF is not the primary beneficiary, at its fair value of $36.8 million . The aggregator vehicle in which KREF invests is controlled and advised by affiliates of the Manager . RECOP intends to primarily acquire junior tranches of CMBS newly issued by third parties but may also make purchases on the secondary market. KREF will not pay any fees to RECOP , but KREF bears its pro rata share of RECOP 's expenses. KREF reported its share of the net asset value of RECOP in its Condensed Consolidated Balance Sheets, presented as “ Equity method investments, at fair value ” and its share of net income, presented as “ Income from equity method investments ” in the Condensed Consolidated Statement of Income. As of June 30, 2019 , the non-voting limited liability company interests issued by the Manager , a VIE , and held by a Taxable REIT Subsidiary (" TRS ") of KREF for the benefit of the holder of the SNVPS represented 4.7% of the Manager ’s outstanding limited liability company interests (Note 9 ). KREF reported its allocable percentage of the assets and liabilities of the Manager in its Condensed Consolidated Balance Sheets, presented as “ Equity method investments, at fair value ” and its share of net income, presented as “ Income from equity method investments ” in the Condensed Consolidated Statement of Income.

Equity

Equity	6 Months Ended
	Jun. 30, 2019
Equity [Abstract]
Equity	Equity Authorized Capital — On October 2, 2014, KREF 's board of directors authorized KREF to issue up to 350,000,000 shares of stock, at $0.01 par value per share, consisting of 300,000,000 shares of common stock and 50,000,000 shares of preferred stock, subject to certain restrictions on transfer and ownership of shares. Restrictions placed on the transfer and ownership of shares relate to KREF 's REIT qualification requirements. Common Stock — As further described below, since December 2015, KREF issued the following shares of common stock: Pricing Date Shares Issued Net Proceeds As of December 31, 2015 13,636,416 $ 272,728 February 2016 2,000,000 40,000 May 2016 3,000,138 57,130 June 2016 (A) 21,838 — August 2016 5,500,000 109,875 As of December 31, 2016 24,158,392 479,733 February 2017 7,386,208 147,662 April 2017 10,379,738 207,595 May 2017- Initial Public Offering 11,787,500 219,356 As of December 31, 2017 53,711,838 1,054,346 August 2018 5,000,000 98,326 November 2018 500,000 9,351 As of December 31, 2018 59,211,838 $ 1,162,023 (A) KREF did not receive any proceeds with respect to 21,838 shares of common stock issued to certain current and former employees of, and non-employee consultants to, KKR and third-party investors in the private placement completed in March 2016, in accordance with KREF 's Stockholders Agreement dated as of March 29, 2016 . In March 2016, KREF obtained $277.4 million of capital commitments in connection with the completion of a private placement priced at $20.00 per share. Of these capital commitments, $190.1 million consisted of approximately $178.4 million from third parties and approximately $11.8 million from certain current and former employees of, and non-employee consultants to, KKR . KKR committed a total of $400.0 million and third parties committed a total of $248.0 million subsequent to the private placement completion. In connection with the completion of the private placement, KREF formed an advisory board consisting of certain third-party investors. The advisory board possessed certain protective approval rights over KREF 's activities outside its ordinary course of business, including certain business combinations and equity issuances. The advisory board dissolved upon KREF 's public listing on May 5, 2017. In February 2017 and April 2017, KREF called a portion of capital from investors in the private placements closed during the year ended December 31, 2016 and issued 7,386,208 and 10,379,738 common shares, at $20.00 per share, for net proceeds of $147.7 million and $207.6 million , respectively. In connection with the capital commitments described above, third-party investors and certain current and former employees of, and non-employee consultants to, KKR were allocated non-voting limited liability company interests of the Manager . For each $100.0 million shares of KREF ’s common stock acquired by investors through the private placement, the investors were allocated non-voting limited liability company interests, representing 6.67% of the Manager ’s then-outstanding total limited liability company interests. Each investor was allocated its pro rata share of the non-voting limited liability company interests of the Manager based on the investor’s shares of KREF ’s common stock. In May 2017, KREF completed its initial public offering of 11,787,500 shares of its common stock at a price to the public of $20.50 per share, which included 1,537,500 shares of common stock issued in connection with the underwriters' exercise in full of their option to purchase additional shares. The value of KREF 's common stock prior to its listing on the New York Stock Exchange was based upon its equity value using a combination of net asset value (market) and discounted cash flow (income) approaches. In August 2018, KREF completed an underwritten public offering of 5,000,000 shares of its common stock at $19.90 per share, less applicable transaction costs, resulting in $98.3 million in net proceeds. In November 2018, KREF completed an underwritten offering of 4,500,000 shares of its common stock at $20.00 per share, consisting of 500,000 shares issued and sold by KREF and 4,000,000 shares sold by pre-initial public offering third-party investors, resulting in $9.4 million in net proceeds to KREF . As of June 30, 2019 , KKR beneficially owned 22,008,616 shares of KREF 's common stock, of which 2,008,616 shares were held by KKR on behalf of a third-party investor (Note 1 ). During the six months ended June 30, 2019 and 2018 , 29,661 and 34,259 shares of common stock were issued related to the vesting of restricted stock units. Upon any payment of shares as a result of restricted stock unit vesting, the related tax withholding obligation will generally be satisfied by KREF , reducing the number of shares to be delivered by a number of shares necessary to satisfy the related applicable tax withholding obligation. Refer to Note 10 for further detail. Of the 59,211,838 common shares KREF issued, there were 57,413,069 common shares outstanding as of June 30, 2019 , which includes 63,920 net shares of common stock issued in connection with vested restricted stock units and is net of 1,862,689 common shares repurchased. Share Repurchase Program — In May 2018, KREF 's board of directors approved a $100.0 million share repurchase program, effective June 12, 2018, which was scheduled to expire on June 30, 2019 . On June 14, 2019, KREF 's board of directors approved an extension of the program. The share repurchase program, as extended, permits us to repurchase up to $100.0 million in shares of KREF 's common stock during the period from July 1, 2019 through June 30, 2020. Of this total authorized amount, $50.0 million may be covered by a pre-set trading plan meeting the requirements of Rule 10b5-1 under the Exchange Act that provides for repurchases of our common stock when the market price per share of our common stock is below book value per share (calculated in accordance with GAAP as of the end of the most recent period for which financial statements are available), and the remaining $50.0 million may be used for repurchases in the open market, or pursuant to pre-set trading plans meeting the requirements of Rule 10b5-1 under the Exchange Act, or in privately negotiated transactions, or otherwise. During the six months ended June 30, 2019 , KREF repurchased 212,809 shares of common stock under the repurchase program at an average price per share of $19.25 for a total of $4.1 million . At the Market Stock Offering Program — On February 22, 2019, KREF entered into an equity distribution agreement with certain sales agents, pursuant to which KREF may sell, from time to time, up to an aggregate sales price of $100.0 million of its common stock pursuant to a continuous offering program (the “ATM”). Sales of KREF ’s common stock made pursuant to the ATM may be made in negotiated transactions or transactions that are deemed to be “at the market” offerings as defined in Rule 415 under the Securities Act of 1933, as amended. The timing and amount of actual sales will depend on a variety of factors including market conditions, the trading price of KREF ’s common stock, KREF ’s capital needs, and KREF ’s determination of the appropriate sources of funding to meet such needs. KREF did not sell any shares of its common stock under the ATM during the six months ended June 30, 2019 . Dividends — During the six months ended June 30, 2019 and 2018, KREF 's board of directors declared the following dividends on shares of its common stock and special voting preferred stock: Amount Declaration Date Record Date Payment Date Per Share Total 2019 March 19, 2019 March 29, 2019 April 12, 2019 $ 0.43 $ 24,761 June 14, 2019 June 28, 2019 July 15, 2019 0.43 24,688 $ 49,449 2018 March 12, 2018 March 29, 2018 April 13, 2018 $ 0.40 $ 21,230 May 7, 2018 June 29, 2018 July 13, 2018 0.43 22,804 $ 44,034 Preferred Stock — On January 23, 2015, KREF issued 125 shares of Series A cumulative, non-voting preferred stock with a par value of $0.01 per share and a stated value of $1,000.00 per share ("Series A Preferred Stock ") that were senior to common stock. Holders of Series A Preferred Stock were entitled to cumulative distributions of 12.5% of the stated value per annum, payable semi-annually in arrears on or before June 30 and December 31 of each year, but were unable to convert Series A Preferred Stock into common stock or vote on matters brought to KREF 's stockholders. In May 2017, KREF redeemed all 125 issued and outstanding shares of Series A Preferred Stock for $0.1 million , representing the sum of $1,000.00 per share and all accrued and unpaid dividends. Special Voting Preferred Stock — In March 2016, KREF issued one share of special voting preferred stock to KKR Fund Holdings L.P. (" KKR Fund Holdings ") for $20.00 per share, which KKR Fund Holdings transferred to its subsidiary, KKR REFT Asset Holdings LLC. The holder of the special voting preferred stock has special voting rights related to the election of members to KREF 's board of directors until KKR and its affiliates cease to own at least 25.0% of KREF 's issued and outstanding common stock (of which 2,008,616 shares were held on behalf of a third-party investor). As of June 30, 2019 , KKR and its affiliates beneficially owned 22,008,616 shares of KREF's common stock representing 38% of KREF’s issued and outstanding common stock. Special Non-Voting Preferred Stock — In connection with KREF 's existing investors’ subscription for shares of KREF 's common stock in the private placements prior to the initial public offering of KREF 's equity on May 5, 2017, those investors were also allocated a class of non-voting limited liability company interest in the Manager (" Non-Voting Manager Units "). In February 2017, KREF issued an investor one share of SNVPS , at $0.01 per share, in lieu of that investor receiving Non-Voting Manager Units to facilitate compliance by the investor with regulatory requirements applicable to it. The corresponding Non-Voting Manager Units are held by a wholly-owned TRS of KREF ("KREF TRS"). All distributions received by KREF TRS from these Non-Voting Manager Units are passed through to the investor as preferred distributions on its SNVPS , less applicable taxes and withholdings. Except for the Non-Voting Manager Units , an indirect subsidiary of KKR ("KKR Member"), owns and controls the limited liability company interests of the Manager . Dividends on the SNVPS are payable quarterly, and will accrue whether or not KREF has earnings, there are assets legally available for the payment of those dividends or those dividends have been declared. Any dividend payment made on the SNVPS shall first be credited against the earliest accumulated but unpaid dividend due with respect to the SNVPS. Upon redemption of the SNVPS or liquidation of KREF, the holder of the SNVPS is entitled to payment of $0.01 per share, together with any accumulated but unpaid preferred distributions, including respective call or put amounts (as defined), before any holder of junior security interests, which includes KREF 's common stock. As KREF does not control the circumstances under which the holder of the SNVPS may redeem its interests, management considers the SNVPS as temporary equity (Note 2 ). KREF will redeem the SNVPS at the option of the holder. Upon redemption, KREF will pay a price in cash equal to $0.01 per share of the SNVPS , together with any accumulated but unpaid preferred distributions, including respective call or put amounts (as defined), and the SNVPS will be canceled automatically and cease to be outstanding. Concurrently, upon redemption of the SNVPS, KKR Member will acquire from KREF TRS its respective Non-Voting Manager Units, resulting in a one-time gain, thus substantially eliminating the historical cumulative impact of the SNVPS redemption value adjustments recorded in KREF 's permanent equity. Earnings per Share — The following table illustrates the computation of basic and diluted earnings per share for the three and six months ended June 30, 2019 and 2018 : For the Three Months Ended June 30, For the Six Months Ended June 30, 2019 2018 2019 2018 Numerator Net income (loss) attributable to common stockholders $ 17,381 $ 23,483 $ 42,086 $ 46,763 Denominator Basic weighted average common shares outstanding 57,412,522 53,064,585 57,400,023 53,200,495 Dilutive restricted stock units 94,697 5,281 92,273 22,918 Diluted weighted average common shares outstanding 57,507,219 53,069,866 57,492,296 53,223,413 Net income (loss) attributable to common stockholders, per: Basic common share $ 0.30 $ 0.44 $ 0.73 $ 0.88 Diluted common share $ 0.30 $ 0.44 $ 0.73 $ 0.88

Stock-based Compensation

Stock-based Compensation	6 Months Ended
	Jun. 30, 2019
Share-based Payment Arrangement [Abstract]
Stock-based compensation	Stock-based Compensation KREF is externally managed by the Manager and does not currently have any employees. However, as of June 30, 2019 , the Manager, certain individuals employed by the Manager and affiliates of the Manager, and certain members of KREF 's board of directors were compensated, in part, through the issuance of stock-based awards. As of June 30, 2019 , KREF had restricted stock unit (“RSU”) awards outstanding under the KKR Real Estate Finance Trust Inc. 2016 Omnibus Incentive Plan that was adopted on February 12, 2016 and amended and restated on November 17, 2016 (the " Incentive Plan ") to certain members of KREF ’s board of directors and employees of the Manager or its affiliates, none of whom are KREF employees. RSUs awarded to employees of the Manager or its affiliates, generally vest over three consecutive one -year periods and awards to certain members of KREF 's board of directors vest over a one-year period, pursuant to the terms of the respective award agreements and the terms of the Incentive Plan. RSU awards are not entitled to dividends until KREF issues shares of its common stock, which are issuable on a one-to-one basis upon the RSU award vesting. The following table summarizes the activity in KREF ’s outstanding RSUs and the weighted-average grant date fair value per RSU: Restricted Stock Units Weighted Average Grant Date Fair Value Per RSU (A) Unvested as of December 31, 2018 459,179 $ 19.33 Granted 12,832 20.26 Vested (48,898 ) 20.46 Forfeited/ cancelled (4,861 ) 19.70 Unvested as of June 30, 2019 418,252 $ 19.22 (A) The grant-date fair value is based upon the last sale price of KREF’s common stock at the date of grant. KREF expects the unvested RSUs outstanding to vest during the following years: Year Restricted Stock Units 2019 126,668 2020 175,743 2021 115,841 Total 418,252 Upon adoption of ASU No. 2018-07 in June 2018, KREF recognizes the compensation cost of RSUs awarded to employees of the Manager, or one or more of its affiliates, on a straight-line basis over the awards’ term at their grant date fair value, consistent with the RSUs awarded to certain members of KREF 's board of directors. During the three and six months ended June 30, 2019 , KREF recognized $1.0 million and $2.0 million , respectively, of stock-based compensation expense included in “General and administrative” expense in the Condensed Consolidated Statements of Income. During the three and six months ended June 30, 2018 , KREF recognized $0.3 million and $1.3 million , respectively, of stock-based compensation expense. As of June 30, 2019 , there was $6.1 million of total unrecognized stock-based compensation expense related to unvested share-based compensation arrangements. This cost is expected to be recognized over a weighted average period of 1.1 years. During the six months ended June 30, 2019 , KREF delivered 29,661 shares of common stock for 48,898 vested RSUs. Upon any payment of shares as a result of restricted stock unit vesting, the related tax withholding obligation will generally be satisfied by KREF , reducing the number of shares to be delivered by a number of shares necessary to satisfy the related applicable tax withholding obligation. The amount results in a cash payment related to this tax liability and a corresponding adjustment to additional paid in capital on the Condensed Consolidated Statement of Changes in Stockholders' Equity. The adjustment was $0.4 million for the six months ended June 30, 2019 , and is included as a reduction of capital related to the Company's equity incentive plan in the Condensed Consolidated Statement of Changes in Stockholders' Equity. Refer to Note 12 for additional information regarding the Incentive Plan.

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2019
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies As of June 30, 2019 , KREF was subject to the following commitments and contingencies: Litigation — From time to time, KREF may be involved in various claims and legal actions arising in the ordinary course of business. KREF establishes an accrued liability for legal proceedings only when those matters present loss contingencies that are both probable and reasonably estimable. As of June 30, 2019 , KREF was not involved in any material legal proceedings regarding claims or legal actions against KREF . Indemnifications — In the normal course of business, KREF enters into contracts that contain a variety of representations and warranties that provide general indemnifications and other indemnities relating to contractual performance. In addition, certain of KREF ’s subsidiaries have provided certain indemnities relating to environmental and other matters and has provided nonrecourse carve-out guarantees for fraud, willful misconduct and other customary wrongful acts, each in connection with the financing of certain real estate investments that KREF has made. KREF ’s maximum exposure under these arrangements is unknown as this would involve future claims that may be made against KREF that have not yet occurred. However, KREF expects the risk of material loss to be low. Capital Commitments — As of June 30, 2019 , KREF had future funding requirements of $532.6 million related to its investments in commercial mortgage loans. These future funding commitments primarily relate to construction projects, capital improvements, tenant improvements and leasing commissions. Generally, funding commitments are subject to certain conditions that must be met, such as customary construction draw certifications, minimum credit metrics or executions of new leases before advances are made to the borrower. In January 2017, KREF committed $40.0 million to invest in an aggregator vehicle alongside RECOP . As of June 30, 2019 , KREF had a remaining commitment of $4.1 million to RECOP

Related Party Transactions

Related Party Transactions	6 Months Ended
	Jun. 30, 2019
Related Party Transactions [Abstract]
Related Party Transactions	Related Party Transactions Management Agreement — The Management Agreement between KREF and the Manager is a three -year agreement that provides for automatic one -year renewal periods starting October 8, 2017, subject to certain termination and nonrenewal rights, which in the case of KREF are exercisable by a two-thirds vote by the independent directors of KREF 's board of directors. If the independent directors of KREF 's board of directors decline to renew the Management Agreement other than for cause, KREF is required to pay the Manager a termination fee equal to three times the total 24 -month trailing average annual management fee and incentive compensation earned by the Manager through the most recently completed calendar quarter. Pursuant to the Management Agreement , the Manager , as agent to KREF and under the supervision of KREF 's board of directors, manages the investments, subject to investment guidelines approved by KREF 's board of directors; financing activities; and day-to-day business and affairs of KREF and its subsidiaries. For its services to KREF , the Manager is entitled to a quarterly management fee equal to the greater of $62,500 or 0.375% of a weighted average adjusted equity and quarterly incentive compensation equal to 20.0% of the excess of (a) the trailing 12 -month adjusted earnings over (b) 7.0% of the trailing 12 -month weighted average adjusted equity (“Hurdle Rate”), less incentive compensation KREF already paid to the Manager with respect to the first three calendar quarters of such trailing 12 -month period. The quarterly incentive compensation is calculated and paid in arrears with a three months lag. Adjusted equity generally represents the proceeds received by KREF and its subsidiaries from equity issuances, without duplication and net of offering costs, and adjusted earnings, reduced by distributions, equity repurchases, and incentive compensation paid. Adjusted earnings generally represents the net income, or loss, attributable to equity interests in KREF and its subsidiaries, without duplication, as well as realized losses not otherwise included in such net income, or loss, excluding non-cash equity compensation expense, incentive compensation, depreciation and amortization and unrealized gains or losses, from and after the effective date to the end of the most recently completed calendar quarter. KREF 's board of directors, after majority approval by independent directors, may also exclude one-time events pursuant to changes in GAAP and certain material non-cash income or expense items from adjusted earnings. For purposes of calculating incentive compensation, both adjusted equity and adjusted earnings exclude the effects of equity issued by KREF and its subsidiaries that provides for fixed distributions or other debt characteristics. KREF is also required to reimburse the Manager or its affiliates for documented costs and expenses incurred by it and its affiliates on behalf of KREF except those specifically required to be borne by the Manager under the Management Agreement. The Manager is responsible for, and KREF does not reimburse the Manager or its affiliates for, the expenses related to investment personnel of the Manager and its affiliates who provide services to KREF . However, KREF does reimburse the Manager for KREF 's allocable share of compensation paid to certain of the Manager ’s non-investment personnel, based on the percentage of time devoted by such personnel to KREF 's affairs. Incentive Plan — KREF 's compensation committee or board of directors may administer the Incentive Plan , which provides for awards of stock options; stock appreciation rights ; restricted stock; RSUs; limited partnership interests of KKR Real Estate Finance Holdings L.P. (the " Operating Partnership "), a wholly owned subsidiary of KREF , that are directly or indirectly convertible into or exchangeable or redeemable for shares of KREF 's common stock pursuant to the limited partnership agreement of the Operating Partnership (“OP Interests”); awards payable by (i) delivery of KREF 's common stock or other equity interests, or (ii) reference to the value of KREF 's common stock or other equity interests, including OP Interests; cash-based awards; or performance compensation awards. No more than 7.5% of the issued and outstanding shares of common stock on a fully diluted basis, assuming the exercise of all outstanding stock options granted under the Incentive Plan and the conversion of all warrants and convertible securities into shares of common stock, or a total of 4,440,887 shares of common stock, will be available for awards under the Incentive Plan . In addition, (i) the maximum number of shares of common stock subject to awards granted during a single fiscal year to any non-employee director (as defined in the Incentive Plan ), taken together with any cash fees paid to such non-employee director during the fiscal year, may not exceed $1.0 million and (ii) the maximum amount that can be paid to any participant for a single fiscal year during a performance period (or with respect to each single fiscal year if a performance period extends beyond a single fiscal year) pursuant to a performance compensation award denominated in cash will be $10.0 million . No awards may be granted under the Incentive Plan on and after February 12, 2026. The Incentive Plan will continue to apply to awards granted prior to such date. During the six months ended June 30, 2019 , KREF granted 12,832 RSUs to KREF 's directors. During the year ended December 31, 2018, KREF granted 361,878 RSUs to KREF 's directors and employees of the Manager. As of June 30, 2019 , 3,958,715 shares of common stock remained available for awards under the Incentive Plan . Due to Affiliates — The following table contains the amounts presented in KREF 's Condensed Consolidated Balance Sheets that it owes to affiliates: June 30, December 31, 2019 2018 Management fees $ 4,288 $ 4,330 Expense reimbursements and other 430 382 $ 4,718 $ 4,712 Affiliates Expenses — The following table contains the amounts included in KREF 's Condensed Consolidated Statements of Income that arose from transactions with the Manager: Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Management fees $ 4,288 $ 3,913 $ 8,575 $ 7,852 Incentive compensation 1,145 — 2,098 — Expense reimbursements and other (A) 420 362 785 730 $ 5,853 $ 4,275 $ 11,458 $ 8,582 (A) KREF presents these amounts in " Operating Expenses — General and administrative " in its Condensed Consolidated Statements of Income. Affiliate expense reimbursements presented in the table above exclude the out-of-pocket amounts paid by the Manager to parties unaffiliated with the Manager on behalf of KREF , and for which KREF reimburses the Manager in cash. For the three and six months ended June 30, 2019 , these cash reimbursements totaled $0.6 million and $1.1 million , respectively. For the three and six months ended June 30, 2018 , these cash reimbursement totaled $0.9 million and $2.2 million , respectively. In connection with the Term Loan Facility (Note 4 ), KREF paid KKR Capital Markets ("KCM"), an affiliate of the Manager, a structuring fee equal to 0.75% of the respective committed loan advances, as defined. Such fees are capitalized as deferred financing cost and amortized to interest expense over the life of the facility. During the three and six months ended June 30, 2019 , KREF incurred $0.0 million and $1.5 million , respectively; and during the three and six months ended June 30, 2018 , KREF incurred $4.5 million , in structuring fees in connection with the facility. In connection with the BMO Facility, and in consideration for structuring and sourcing this arrangement, KREF is obligated to pay KCM, a structuring fee equal to 0.35% of the respective committed loan advances under the agreement. Such fees are capitalized as deferred financing cost and amortized to interest expense over the life of the facility. During the three and six months ended June 30, 2019 , KREF incurred $0.0 million and $0.2 million , respectively, in structuring fees in connection with the facility. In connection with the CLO issuance, and in consideration for its services as the co-placement agent, KREF incurred and paid KCM, a $0.9 million placement agent fee equal to 0.105% of the CLO proceeds in the fourth quarter of 2018. The fee was capitalized as deferred financing cost and amortized to interest expense over the weighted average life of the collateral assets. In connection with the Revolver, and in consideration for structuring and sourcing this arrangement, KREF paid KCM, a structuring fee equal to 0.75% of the aggregate amount of commitments first made available. The structuring fees are capitalized as deferred financing cost included within Other Assets in the Condensed Consolidated Balance Sheet and amortized to interest expense over the life of the Revolver. During the three and six months ended June 30, 2019 , KREF incurred $0.8 million and $1.1 million , respectively, in structuring fees in connection with the Revolver. During the year ended December 31, 2018, KREF paid KCM $0.8 million in commissions in connection with the issuance of the Convertible Notes. Such amount is included in the $5.1 million Convertible Notes’ issuance cost and is amortized to interest expense over the life of the Convertible Notes. In connection with the ATM, KCM, in its capacity as one of the sales agents, will receive commissions for the shares of KREF ’s common stock it sells. This amount is not to exceed, but may be less than, 2.0% of the gross sales price per share. KREF did not sell any shares under the ATM during the three and six months ended June 30, 2019 .

Fair Value of Financial Instrum

Fair Value of Financial Instruments	6 Months Ended
	Jun. 30, 2019
Fair Value Disclosures [Abstract]
Fair Value of Financial Instruments	Fair Value of Financial Instruments The carrying values and fair values of KREF ’s financial assets and liabilities recorded at fair value on a recurring basis, as well as other financial instruments not carried at fair value, as of June 30, 2019 were as follows: Fair Value Principal Balance (A) Carrying Value (B) Level 1 Level 2 Level 3 Total Assets Cash and cash equivalents $ 182,732 $ 182,732 $ 182,732 $ — $ — $ 182,732 Commercial mortgage loans, held-for-investment, net (C) 4,828,204 4,800,213 — — 4,803,942 4,803,942 Equity method investments, at fair value 37,070 37,070 — — 37,070 37,070 Commercial mortgage loans held in variable interest entities, at fair value 1,101,156 1,134,579 — — 1,134,579 1,134,579 $ 6,149,162 $ 6,154,594 $ 182,732 $ — $ 5,975,591 $ 6,158,323 Liabilities Secured financing agreements, net $ 2,906,013 $ 2,892,199 $ — $ — $ 2,906,013 $ 2,906,013 Collateralized loan obligation, net 810,000 801,860 — — 812,725 812,725 Convertible notes, net 143,750 138,376 149,036 — — 149,036 Loan participations sold, net 65,000 65,000 — — 65,000 65,000 Variable interest entity liabilities, at fair value 1,066,214 1,124,178 — — 1,124,178 1,124,178 $ 4,990,977 $ 5,021,613 $ 149,036 $ — $ 4,907,916 $ 5,056,952 (A) The principal balance of commercial mortgage loans excludes premiums and unamortized discounts. (B) The carrying value of commercial mortgage loans is presented net of $28.0 million unamortized origination discounts and deferred nonrefundable fees. The carrying value of secured financing agreements is presented net of $13.8 million unamortized debt issuance costs. The carrying value of collateralized loan obligations is presented net of $8.1 million unamortized debt issuance costs. (C) Includes $958.0 million of CLO loan participations as of June 30, 2019 . Includes senior loans for which KREF syndicated a pari passu loan participation that was not treated as a sale under GAAP, with a carrying value and a fair value of $65.0 million as of June 30, 2019 . The carrying values and fair values of KREF ’s financial assets recorded at fair value on a recurring basis, as well as other financial instruments for which fair value is disclosed, as of December 31, 2018 were as follows: Fair Value Principal Balance (A) Carrying Value (B) Level 1 Level 2 Level 3 Total Assets Cash and cash equivalents $ 86,531 $ 86,531 $ 86,531 $ — $ — $ 86,531 Commercial mortgage loans, held-for-investment, net (C) 4,026,713 4,001,820 — — 4,007,316 4,007,316 Equity method investments, at fair value 30,734 30,734 — — 30,734 30,734 Commercial mortgage loans held in variable interest entities, at fair value 1,127,926 1,092,986 — — 1,092,986 1,092,986 $ 5,271,904 $ 5,212,071 $ 86,531 $ — $ 5,131,036 $ 5,217,567 Liabilities Secured financing agreements, net $ 1,965,675 $ 1,951,049 $ — $ — $ 1,965,675 $ 1,965,675 Collateralized loan obligation, net 810,000 800,346 — — 810,000 810,000 Convertible notes, net 143,750 137,688 142,107 — — 142,107 Loan participations sold, net 85,880 85,465 — — 85,295 85,295 Variable interest entity liabilities, at fair value 1,092,984 1,080,255 — — 1,080,255 1,080,255 $ 4,098,289 $ 4,054,803 $ 142,107 $ — $ 3,941,225 $ 4,083,332 (A) The principal balance of commercial mortgage loans excludes premiums and discounts. (B) The carrying value of commercial mortgage loans is presented net of $24.9 million origination discounts and deferred nonrefundable fees. The carrying value of secured financing agreements is presented net of $14.6 million unamortized debt issuance costs. The carrying value of collateralized loan obligations is presented net of $9.7 million unamortized debt issuance costs. (C) Includes $1.0 billion of CLO loan participations as of December 31, 2018 . Includes senior loans for which KREF sold a loan participation that was not treated as a sale under GAAP, with a carrying value of $85.6 million and a fair value of $85.3 million as of December 31, 2018 . KREF reported the following financial assets and liabilities at fair value on a recurring basis using Level 3 inputs as of June 30, 2019 . The following table summarizes the changes in these assets and liabilities. Assets Liabilities Commercial Mortgage Loans Held in Variable Interest Entities, at Fair Value Variable Interest Entity Liabilities, at Fair Value Net Balance as of December 31, 2018 $ 1,092,986 $ 1,080,255 $ 12,731 Gains (losses) included in net income Unrealized gain (loss) included in change in net assets related to CMBS consolidated VIEs 68,446 70,776 (2,330 ) Purchases and sales/repayments Sales/Repayments/Deconsolidation (26,770 ) (26,770 ) — Other (A) (83 ) (83 ) — Balance as of June 30, 2019 $ 1,134,579 $ 1,124,178 $ 10,401 (A) Amounts primarily consist of changes in accrued interest. During the six months ended June 30, 2019 , KREF contributed $6.2 million , received distributions of $1.4 million and recognized income of $1.5 million related to its investment in RECOP. The following table contains the Level 3 inputs used to value assets and liabilities on a recurring and nonrecurring basis or where KREF discloses fair value as of June 30, 2019 : Fair Value Valuation Methodologies Unobservable Inputs (A) Weighted Average (B) Range Assets (C) Commercial mortgage loans, held-for-investment, net $ 4,803,942 Discounted cash flow Loan-to-value ratio 69.0% 31.7% - 89.3% Discount rate 5.9% 3.4% - 12.7% Commercial mortgage loans held in variable interest entities, at fair value (D) 1,134,579 Discounted cash flow Yield 7.5% 2.1% - 55.1% $ 5,938,521 Liabilities (E) Collateralized loan obligation, net $ 812,725 Discounted cash flow Yield 2.9% 2.6% - 4.1% Variable interest entity liabilities, at fair value 1,124,178 Discounted cash flow Yield 4.5% 2.1% - 11.4% $ 1,936,903 (A) An increase (decrease) in the valuation input results in a decrease (increase) in value. (B) Represents the average of the input value, weighted by the unpaid principal balance of the financial instrument. (C) KREF carries a $36.8 million investment in an aggregator vehicle alongside RECOP (Note 8 ) at its pro rata share of the aggregator's net asset value, which management believes approximates fair value. (D) Management measures the fair value of " Commercial mortgage loans held in variable interest entities, at fair value " using the fair value of the CMBS trust liabilities. The Level 3 inputs presented in the table above reflect the inputs used to value the CMBS trust liabilities, including the CMBS beneficially owned by KREF stockholders eliminated in consolidation of the CMBS trusts. (E) Does not include $65.0 million of parri passu loan syndication which was syndicated at par value and included in “Loan participation sold, net” in the accompanying Condensed Consolidated Balance Sheet. Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis Certain assets not measured at fair value on an ongoing basis but subject to fair value adjustments only in certain circumstances, such as when there is evidence of impairment, are measured at fair value on a nonrecurring basis. For commercial mortgage loans held-for-sale, KREF applies the lower of cost or fair value accounting and may be required, from time to time, to record a nonrecurring fair value adjustment. For commercial mortgage loans held-for-investment and preferred interest in joint venture held-to-maturity, KREF applies the amortized cost method of accounting, but may be required, from time to time, to record a nonrecurring fair value adjustment in the form of a valuation provision or impairment. KREF did not report any significant financial assets or liabilities at fair value on a nonrecurring basis as of June 30, 2019 or December 31, 2018 . Assets and Liabilities for Which Fair Value is Only Disclosed KREF does not carry its secured financing agreements at fair value as management did not elect the fair value option for these liabilities. As of June 30, 2019 , the fair value of KREF

Income Taxes

Income Taxes	6 Months Ended
	Jun. 30, 2019
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes KREF has elected to be taxed as a REIT under Sections 856 through 860 of the Internal Revenue Code commencing with its taxable year ended December 31, 2014. A REIT is generally not subject to U.S. federal and state income tax on that portion of its income that is distributed to stockholders if it distributes at least 90% of its REIT taxable income, determined without regard to the deduction for dividends paid and excluding any net capital gains. A REIT will also be subject to a nondeductible excise tax to the extent certain percentages of its taxable income are not distributed within specified dates. KREF expects to distribute 100% of its net taxable income for the foreseeable future, while retaining sufficient capital to support its ongoing needs. KREF consolidates subsidiaries that incur U.S. federal, state and local income taxes, based on the tax jurisdiction in which each subsidiary operates. During each of the six months ended June 30, 2019 and 2018 , KREF recorded a current income tax benefit/provision of $0.3 million and $0.1 million , respectively, related to operations of its taxable REIT subsidiaries and various other state and local taxes. There were no deferred tax assets or liabilities as of June 30, 2019 and December 31, 2018 . As of June 30, 2019

Subsequent Events

Subsequent Events	6 Months Ended
	Jun. 30, 2019
Subsequent Events [Abstract]
Subsequent Events	Subsequent Events The following events occurred subsequent to June 30, 2019 : Investing Activities KREF originated the following senior loan: Description/ Location Property Type Month Originated Maximum Face Amount Initial Face Amount Funded Interest Rate (A) Maturity Date (B) LTV Chicago, IL Office July 2019 $ 170,000 $ 119,100 L + 3.2% August 2024 59% (A) Floating rate based on one-month USD LIBOR. (B) Maturity date assumes all extension options are exercised, if applicable. Funding of Previously Closed Loans KREF funded approximately $32.0 million for previously closed loans. Loan Repayments KREF received approximately $4.4 million from loan paydowns. Financing Activities KREF net borrowed $98.1 million under its secured financing agreements. Corporate Activities Dividends In July 2019 , KREF paid $24.7 million in dividends on its common and special voting preferred stock, or $0.43 per share, with respect to the second quarter of 2019 , to stockholders of record on June 28, 2019 .

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2019
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation — The accompanying unaudited condensed consolidated financial statements and related notes of KREF are prepared in accordance with accounting principles generally accepted in the United States of America (" GAAP ") for interim financial information and instructions to Form 10-Q. The condensed consolidated financial statements, including these notes, are unaudited and exclude some of the disclosures required in annual financial statements. Accordingly, certain information and footnote disclosures normally included in the consolidated financial statements have been condensed or omitted. The condensed consolidated financial statements include the accounts of KREF and its consolidated subsidiaries, and all intercompany transactions and balances have been eliminated. In the opinion of management, all adjustments considered necessary for a fair presentation of KREF ’s financial position, results of operations and cash flows have been included and are of a normal and recurring nature. The operating results presented for interim periods are not necessarily indicative of the results that may be expected for any other interim period or for the entire year. These condensed consolidated financial statements should be read in conjunction with KREF ’s Annual Report on Form 10-K for the fiscal year ended December 31, 2018 (the "Form 10-K").
Consolidation	Consolidation — KREF consolidates those entities for which (i) it controls significant operating, financial and investing decisions of the entity or (ii) management determines that KREF is the primary beneficiary of entities deemed to be variable interest entities (" VIE s"). Variable Interest Entities — VIE s are defined as entities in which equity investors do not have an interest with the characteristics of a controlling financial interest or do not have sufficient equity at risk for the entity to finance its activities without additional subordinated financial support from other parties. A VIE is required to be consolidated only by its primary beneficiary, which is defined as the party that has the power to direct the activities of the VIE that most significantly impact its economic performance and that has the obligation to absorb losses of, or the right to receive benefits from, the VIE that could be potentially significant to the VIE (Note 8 ). To assess whether KREF has the power to direct the activities of a VIE that most significantly impact the VIE ’s economic performance, KREF considers all the facts and circumstances, including its role in establishing the VIE and its ongoing rights and responsibilities. This assessment includes, first, identifying the activities that most significantly impact the VIE ’s economic performance; and second, identifying which party, if any, has power to direct those activities. To assess whether KREF has the obligation to absorb losses of, or the right to receive benefits from, the VIE that could potentially be significant to the VIE , KREF considers all of its economic interests and applies judgment in determining whether these interests, in the aggregate, are considered potentially significant to the VIE . Collateralized Loan Obligation — KREF consolidates a collateralized loan obligation that closed in November 2018 (“ KREF 2018-FL1” or “CLO”) (Note 5 ). Management determined that KREF 2018-FL1 Ltd. and KREF 2018-FL1 LLC (the "CLO Issuers"), wholly-owned subsidiaries of KREF , were VIEs and that KREF was the primary beneficiary. KREF is the primary beneficiary of the VIEs since it has the ability to control the most significant activities of the CLO Issuers through ownership of non-investment grade rated subordinated controlling tranches, has the obligation to absorb losses, and the right to receive benefits, that could potentially be significant to these entities. As a result, KREF consolidates the CLO Issuers. The collateral assets of the CLO, comprised of a pool of loan participations (Note 5 ) are included in “Commercial mortgage loans, held-for-investment, net” on the accompanying Condensed Consolidated Balance Sheets. The liabilities of KREF 's consolidated CLO Issuers consist solely of obligations to the senior CLO noteholders, excluding subordinated CLO tranches held by KREF as such interests are eliminated in consolidation, are presented in “Collateralized loan obligation, net” in the accompanying Condensed Consolidated Balance Sheets. The collateral assets of the CLO can only be used to settle the obligations of the consolidated CLO. The interest income from the CLO collateral assets and the interest expense on the CLO liabilities are presented on a gross basis in “Interest income” and “Interest expense”, respectively, in KREF 's Condensed Consolidated Statements of Income. CMBS — KREF consolidates those trusts that issue beneficial ownership interests in mortgage loans secured by commercial real estate (commonly known as CMBS ) when KREF holds a variable interest in, and management considers KREF to be the primary beneficiary of, those trusts. Management believes the performance of the assets that underlie CMBS issuances most significantly impacts the economic performance of the trust, and the primary beneficiary is generally the entity that conducts activities that most significantly impact the performance of the underlying assets. In particular, the most subordinate tranches of CMBS expose the holder to the greater variability of economic performance when compared to more senior tranches since the subordinate tranches absorb a disproportionately higher amount of the credit risk related to the underlying assets. Generally, a trust designates the most junior subordinate tranche outstanding as the controlling class, which entitles the holder of the controlling class to unilaterally appoint and remove the special servicer for the trust. The special servicer is responsible for the servicing and administration of delinquent and nonperforming loans as well as real estate owned (" REO ") properties held as collateral delivered on foreclosed loans. While the special servicer cannot prevent losses, its services to the trust are designed to mitigate credit losses to holders of the CMBS . For the trust that KREF consolidates, KREF holds an unrated tranche that represents the most subordinated tranche of the CMBS issued by that trust, which include the controlling class. As the holder of the most subordinate tranche, KREF is in a first loss position and has the right to receive benefits. As the holder of the controlling class, KREF has the ability to unilaterally appoint and remove the special servicer for the trust. In these cases, management considers KREF to be the primary beneficiary and consolidates the CMBS trust. For VIE s in which management determines KREF is the primary beneficiary, all of the underlying assets, liabilities and equity of the trusts are recorded on KREF 's books, and the initial investment, along with any associated unrealized holding gains and losses, are eliminated in consolidation. Similarly, the interest income earned from these trusts is eliminated in consolidation. Management elected the fair value option for KREF 's initial and subsequent recognition of the assets and liabilities of KREF 's consolidated CMBS VIE s in order to provide users of the financial statements with better information regarding the effects of credit risk and other market factors on the CMBS beneficially held by KREF 's stockholders. Since the changes in fair value include the interest income and interest expense associated with these CMBS VIE s, management does not consider the separate presentation of the components of fair value changes to be relevant. Management has elected to present these items in aggregate as " Other Income — Change in net assets related to CMBS consolidated variable interest entities " in the accompanying Condensed Consolidated Statements of Income; the residual difference between the fair value of the trust's assets and liabilities represents KREF 's beneficial interest in the CMBS VIE s. Management separately presents the assets and liabilities of KREF 's consolidated VIE s as individual line items on KREF 's Condensed Consolidated Balance Sheets for entities in which the VIE s assets can only be used to settle the VIE ’s obligations. The liabilities of KREF 's consolidated VIE s consist solely of obligations to the CMBS holders of the consolidated trust, excluding CMBS held by KREF as such interests are eliminated in consolidation, and the interest accrued thereon, presented as "Liabilities — Variable interest entity liabilities, at fair value ." The assets of KREF 's consolidated VIEs consist principally of commercial mortgage loans and the interest accrued thereon, and are likewise presented as a single line item entitled " Assets — Commercial mortgage loans held in variable interest entities, at fair value ." Assets of a CMBS trust, as a whole, can only be used to settle the obligations of the consolidated CMBS VIE . The assets of KREF 's CMBS VIE s are not individually accessible by, and obligations of the CMBS VIE s are not recourse to, the bondholders. REO assets generally represent a small percentage of the overall asset pool of a CMBS trust. No REO existed in KREF 's consolidated VIE assets as of June 30, 2019 . KREF derives the fair value of its Level 3 CMBS VIE assets from its Level 3 CMBS VIE liabilities, which management considers to possess more observable market value data than the CMBS VIE assets. See "— Fair Value — Valuation of CMBS Consolidated VIEs " for additional discussion regarding management's valuation of consolidated CMBS VIE s. Noncontrolling Interests — Noncontrolling interests represent the ownership interests in certain consolidated subsidiaries held by entities or persons other than KREF . Those noncontrolling interests that allow the holder to redeem before liquidation or termination of the entity that issued those interests are considered redeemable noncontrolling interests. The redeemable noncontrolling interests issued by subsidiaries of KREF are subject to certain restrictions and require KREF to transfer assets or issue equity to satisfy the redemption. As KREF does not control the circumstances under which the noncontrolling interests may redeem their interests, management considers these redeemable noncontrolling interests as temporary equity, presented as " Temporary Equity — Redeemable noncontrolling interests in equity of consolidated joint venture " in the accompanying Condensed Consolidated Balance Sheets and their share of " Net Income (Loss) " as " Redeemable Noncontrolling Interests in Income (Loss) of Consolidated Joint Venture " in the Condensed Consolidated Statements of Income. KREF recorded the redeemable noncontrolling interests at fair value upon issuance by subsidiaries of KREF , and adjusts the carrying value of such interests to equal their respective redemption values at each subsequent reporting period date if KREF determines the noncontrolling interests are redeemable or probable to become redeemable. Temporary Equity — KREF determined that the Special Non-Voting Preferred Stock (“SNVPS”) became redeemable in the second quarter of 2018. As a result, starting with the second quarter of 2018, KREF adjusts the carrying value of the SNVPS to its redemption value quarterly. Accordingly, KREF adjusted the carrying value of the SNVPS to its redemption value of $2.0 million as of June 30, 2019 and recorded a ($0.2) million and ($0.8) million non-cash redemption value adjustment to the SNVPS (“SNVPS Redemption Value Adjustment”) during the three and six months ended June 30, 2019 , respectively. Such adjustment is treated similar to a dividend on preferred stock for GAAP purposes, accordingly, the SNVPS Redemption Value Adjustment is therefore deducted from (or added back to) “Net Income (loss) Attributable to KKR Real Estate Finance Trust Inc. and Subsidiaries” to arrive at “Net Income (Loss) Attributable to Common Stockholders” on KREF 's Condensed Consolidated Statements of Income. Equity method investments, at fair value — Investments are accounted for under the equity method when KREF has significant influence over the operations of an investee, but KREF does not consolidate that investment. Equity method investments, for which management has not elected a fair value option, are initially recorded at cost and subsequently adjusted for KREF 's share of net income or loss and cash contributions and distributions each period. Management determined that KREF 's investment in the Manager is an interest in a VIE as KREF did not have substantive participating or kick-out rights. KREF does not have the power to direct activities and the obligation to absorb losses of the Manager that could be significant to the Manager . KREF accounts for its investment in the Manager using the equity method since KREF is not the primary beneficiary of the Manager (Note 8 ). Management determined that its investment in an aggregator vehicle alongside KKR Real Estate Credit Opportunity Partners L.P. (" RECOP ") is an interest in a VIE , however KREF is not the primary beneficiary and does not have substantive participating or kick-out rights. Management elected the fair value option for KREF 's investment in RECOP . KREF records its share of net asset value in RECOP as “ Equity method investments, at fair value ” in its Condensed Consolidated Balance Sheets and its share of unrealized gains or losses in " Income from equity method investments " in its Condensed Consolidated Statements of Income.
Equity method investments, at fair value	Equity method investments, at fair value — Investments are accounted for under the equity method when KREF has significant influence over the operations of an investee, but KREF does not consolidate that investment. Equity method investments, for which management has not elected a fair value option, are initially recorded at cost and subsequently adjusted for KREF 's share of net income or loss and cash contributions and distributions each period. Management determined that KREF 's investment in the Manager is an interest in a VIE as KREF did not have substantive participating or kick-out rights. KREF does not have the power to direct activities and the obligation to absorb losses of the Manager that could be significant to the Manager . KREF accounts for its investment in the Manager using the equity method since KREF is not the primary beneficiary of the Manager (Note 8 ). Management determined that its investment in an aggregator vehicle alongside KKR Real Estate Credit Opportunity Partners L.P. (" RECOP ") is an interest in a VIE , however KREF is not the primary beneficiary and does not have substantive participating or kick-out rights. Management elected the fair value option for KREF 's investment in RECOP . KREF records its share of net asset value in RECOP as “ Equity method investments, at fair value ” in its Condensed Consolidated Balance Sheets and its share of unrealized gains or losses in " Income from equity method investments " in its Condensed Consolidated Statements of Income.
Use of Estimates	Use of Estimates — The preparation of condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. Management makes subjective estimates to project cash flows KREF expects to receive on its investments in loans and securities as well as the related market discount rates, which significantly impacts the interest income, impairments, allowance for loan loss and fair values recorded or disclosed. Actual results could differ from those estimates.
Fair Value	Fair Value — GAAP requires the categorization of the fair value of financial instruments into three broad levels that form a hierarchy based on the transparency of inputs to the valuation. Level 1 - Inputs are unadjusted, quoted prices in active markets for identical assets or liabilities at the measurement date. Level 2 - Inputs are other than quoted prices that are observable for the asset or liability, either directly or indirectly. Level 2 inputs include quoted prices for similar instruments in active markets, and inputs other than quoted prices that are observable for the asset or liability. Level 3 - Inputs are unobservable for the asset or liability, and include situations where there is little, if any, market activity for the asset or liability. KREF follows this hierarchy for its financial instruments. The classifications are based on the lowest level of input that is significant to the fair value measurement. Estimates of fair value for cash and cash equivalents, restricted cash, and convertible notes are measured using observable, quoted market prices, or Level 1 inputs. Valuation Process — The Manager reviews the valuation of Level 3 financial instruments as part of KKR 's quarterly process. As of June 30, 2019 , KKR’s valuation process for Level 3 measurements, as described below, subjected valuations to the review and oversight of various committees. KKR has a global valuation committee assisted by the asset class-specific valuation committees, including a real estate valuation committee that reviews and approves all preliminary Level 3 valuations for real estate assets, including the financial instruments held by KREF . The global valuation committee is responsible for coordinating and implementing KKR ’s valuation process to ensure consistency in the application of valuation principles across portfolio investments and between periods. All Level 3 valuations are also subject to approval by the global valuation committee. Valuation of Commercial Mortgage Loans and Participation Sold — Management generally considers KREF 's commercial mortgage loans Level 3 assets in the fair value hierarchy as such assets are illiquid, structured investments that are specific to the property and its operating performance. These loans are valued using a discounted cash flow model using discount rates derived from observable market data applied to the capital structure of the respective sponsor and estimated property value. On a quarterly basis, management engages an independent valuation firm to express an opinion on the fair value of each loan categorized as a Level 3 asset in the form of a range. Management selects a value within the range provided by the independent valuation firm to assess the reasonableness of the fair value as determined by management. In the event that management's estimate of fair value differs from the opinion of fair value provided by the independent valuation firm, KREF ultimately relies solely upon the valuation prepared by the investment personnel of the Manager. Valuation of CLO Consolidated VIEs — Management estimates the fair value of the CLO liabilities using prices obtained from an independent valuation firm. If prices received from the independent valuation firm are inconsistent with values determined in connection with management’s independent review, management makes inquiries to the independent valuation firm about the prices received and related methods. In the event management determines the price obtained from an independent valuation firm to be unreliable or an inaccurate representation of the fair value of the CLO liabilities (based on considerations given to observable market data), management then compiles evidence independently and presents the independent valuation firm with such evidence supporting a different value. As a result, the independent valuation firm may revise their price accordingly. However, if management continues to disagree with the price from the independent valuation firm, in light of evidence presented that management compiled independently and believes to be compelling, management considers the independent valuation firm's quotation unreliable or inaccurate representation of the fair value of the CLO liabilities. In the event that the quotation from the independent valuation firm is not available or determined to be unreliable or an inadequate representation of the fair value of the CLO liabilities, valuations are prepared using inputs based on non-binding broker quotes obtained from independent, well-known, major financial brokers that are CLO market makers. In validating any non-binding broker quote used in this circumstance, management compares the non-binding quote to the observable market data points at such time and used to validate prices received from the independent valuation firm in addition to understanding the valuation methodologies used by the market makers. These market participants utilize a similar methodology as the independent valuation firm to value the CLO liabilities, with the key input of expected yield determined independently based on both observable and unobservable factors (as described above). To avoid reliance on any single broker-dealer, management receives a minimum of two non-binding quotes, of which the average is used. Valuation of CMBS Consolidated VIEs — Management categorizes the financial assets and liabilities of the CMBS trusts that KREF consolidates as Level 3 assets and liabilities in the fair value hierarchy and has elected the fair value option for financial assets and liabilities of each CMBS trust. Management has adopted the measurement alternative included in Accounting Standards Update (" ASU ") No. 2014-13, Measuring the Financial Assets and the Financial Liabilities of a Consolidated Collateralized Financing Entity (" ASU 2014-13"). Pursuant to ASU 2014-13, management measures both the financial assets and financial liabilities of the CMBS trusts consolidated by KREF using the fair value of the financial liabilities, which management considers more observable than the fair value of the financial assets. As a result, KREF presents the CMBS issued by the consolidated trust, but not beneficially owned by KREF 's stockholders, as financial liabilities in KREF 's condensed consolidated financial statements, measured at their estimated fair value; KREF measures the financial assets as the total estimated fair value of the CMBS issued by the consolidated trust, regardless of whether such CMBS represent interests beneficially owned by KREF 's stockholders. Under the measurement alternative prescribed by ASU 2014-13, KREF 's " Net Income (Loss) " reflects the economic interests in the consolidated CMBS beneficially owned by KREF 's stockholders, presented as " Change in net assets related to CMBS consolidated variable interest entities " in the Condensed Consolidated Statements of Income, which includes applicable (i) changes in the fair value of CMBS beneficially owned by KREF , (ii) interest and servicing fees earned from the CMBS trust and (iii) other residual returns or losses of the CMBS trust, if any (Note 8 ). Other Valuation Matters — For Level 3 financial assets originated, or otherwise acquired, and financial liabilities assumed during the calendar month immediately preceding a quarter end that were conducted in an orderly transaction with an unrelated party, management generally believes that the transaction price provides the most observable indication of fair value given the illiquid nature of these financial instruments, unless management is aware of any circumstances that may cause a material change in the fair value through the remainder of the reporting period. For instance, significant changes to the underlying property or its planned operations may cause material changes in the fair value of commercial mortgage loans acquired, or originated, by KREF . KREF ’s determination of fair value is based upon the best information available for a given circumstance and may incorporate assumptions that are management’s best estimates after consideration of a variety of internal and external factors. When an independent valuation firm expresses an opinion on the fair value of a financial instrument in the form of a range, management selects a value within the range provided by the independent valuation firm, generally the midpoint, to assess the reasonableness of management’s estimated fair value for that financial instrument.
Sale of Financial Assets and Financing Agreements	Sales of Financial Assets and Financing Agreements — KREF will, from time to time, sell loans, securities and other assets as well as finance assets in the form of secured borrowings. In each case, management evaluates whether the transaction constitutes a sale through legal isolation of the transferred financial asset from KREF , the ability of the transferee to pledge or exchange the transferred asset without constraint and the transfer of control of the transferred asset. For transfers that constitute sales, KREF (i) recognizes the financial assets it retains and liabilities it has incurred, if any, (ii) derecognizes the financial assets it has sold, and derecognizes liabilities when extinguished and (iii) recognizes a realized gain, or loss, based upon the excess, or deficient, proceeds received over the carrying value of the transferred asset. KREF does not recognize a gain, or loss, on interests retained, if any, where management elected the fair value option prior to sale.
Cash and Cash Equivalents and Restricted Cash	Cash and Cash Equivalents and Restricted Cash — KREF considers cash equivalents as highly liquid short-term investments with maturities of 90 days or less when purchased. Substantially all amounts on deposit with major financial institutions exceed insured limits. KREF must also maintain sufficient cash and cash equivalents to satisfy liquidity covenants related to its secured financing agreements. However, such amounts are not restricted from use in KREF 's current operations, and KREF does not present these cash and cash equivalents as restricted. As of June 30, 2019 and December 31, 2018 , KREF was required to maintain unrestricted cash and cash equivalents of at least $26.1 million and $15.2 million , respectively, to satisfy its liquidity covenants (Note 4 ).
Commercial Mortgage Loans Held-For-Investment and Provision for Loan Losses	Commercial Mortgage Loans Held‑For‑Investment and Provision for Loan Losses — KREF recognizes its investments in commercial mortgage loans based on management's intent, and KREF 's ability, to hold those investments through their contractual maturity. Management classifies those loans that management does not intend to sell in the foreseeable future, and KREF is able to hold until maturity, as held-for-investment. Loans that are held‑for‑investment are carried at their aggregate outstanding face amount, net of applicable (i) unamortized origination or acquisition premiums and discounts, (ii) unamortized deferred nonrefundable fees and other direct loan origination costs, (iii) allowance for loan losses and (iv) charge-offs or write-downs of impaired loans. If a loan is determined to be impaired, management writes down the loan through a charge to the provision for loan losses. See "— Expense Recognition — Loan Impairment — Commercial Mortgage Loans, Held-For-Investment " for additional discussion regarding management’s determination for loan losses. KREF applies the interest method to amortize origination or acquisition premiums and discounts and deferred nonrefundable fees or other direct loan origination costs, or on a straight line basis when it approximates the interest method. Loans for which management elects the fair value option at the time of origination, or acquisition, are carried at fair value on a recurring basis (Note 3 ).
Commercial Mortgage Loans Held-For-Sale	Commercial Mortgage Loans, Held-For-Sale — For commercial mortgage loans held-for-sale, KREF applies the lower of cost or fair value accounting and may be required, from time to time, to record a nonrecurring fair value adjustment. Commercial Mortgage Loans Held‑For‑Sale — Loans that KREF originates, or acquires, which KREF is unable to hold, or management intends to sell or otherwise dispose of, in the foreseeable future are classified as held‑for‑sale and are carried at the lower of amortized cost or fair value.
Secured Financing Agreements and Convertible Notes, Net	Secured Financing Agreements — KREF 's secured financing agreements, including uncommitted repurchase facilities, Term Lending Agreement, Asset Specific Financings and Term Loan Financings, are treated as floating-rate collateralized financing arrangements carried at their contractual amounts, net of unamortized debt issuance costs (Note 4 ). Included within KREF 's secured financing agreements is KREF 's corporate revolving credit facility ("Revolver"), which is full recourse to certain guarantor wholly-owned subsidiaries of KREF . Convertible Notes, Net — KREF accounts for its convertible debt with a cash conversion feature in accordance with ASC 470-20 “Debt with Conversion and Other Options” which 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. The initial proceeds from the sale of convertible notes are allocated between a liability component and an equity component in a manner that reflects interest expense at the rate of similar nonconvertible debt that could have been issued at such time. The equity component represents the excess initial proceeds received over the fair value of the liability component of the notes as of the date of issuance. KREF measured the estimated fair value of the debt component of the 6.125% convertible senior notes due May 15, 2023 (“Convertible Notes”) as of the issuance date based on KREF ’s nonconvertible debt borrowing rate. The equity component of the Convertible Notes is reflected within additional paid-in capital on our Condensed Consolidated Balance Sheets, and the resulting debt discount is amortized over the period during which such Convertible Notes are expected to be outstanding (through the maturity date) as additional non-cash interest expense using the interest method, or on a straight line basis when it approximates the interest method. The additional non-cash interest expense attributable to such convertible notes will increase in subsequent periods through the maturity date as the notes accrete to their par value over the same period (Note 6 ).
Loan Participations Sold, Net	Loan Participations Sold, Net — In connection with its investments in commercial real estate loans, KREF finances certain investments through the syndication of non-recourse, or limited-recourse, loan participation to unaffiliated third parties. KREF ’s presentation of the senior loan and related financing involved in the syndication depends upon whether GAAP recognized the transaction as a sale, though such differences in presentation do not generally impact KREF ’s net stockholders’ equity or net income aside from timing differences in the recognition of certain transaction costs. To the extent that GAAP recognizes a sale resulting from the syndication, KREF derecognizes the participation in the senior/whole loan that KREF sold and continues to carry the retained portion of the loan as an investment. While KREF does not generally expect to recognize a material gain or loss on these sales, KREF would realize a gain or loss in an amount equal to the difference between the net proceeds received from the third party purchaser and its carrying value of the loan participation that KREF sold at time of sale. Furthermore, KREF recognizes interest income only on the portion of the loan that it retains as a result of the sale. To the extent that GAAP does not recognize a sale resulting from the syndication, KREF does not derecognize the participation in the senior/whole loan that it sold. Instead, KREF recognizes a loan participation sold liability in an amount equal to the principal of the loan participation syndicated less any unamortized discounts or financing costs resulting from the syndication. KREF continues to recognize interest income on the entire senior loan, including the interest attributable to the loan participation sold, as well as interest expense on the loan participation sold liability (Note 7 ).
Special Non-Voting Preferred Stock	Special Non-Voting Preferred Stock — Equity instruments that are redeemable for cash or other assets are classified as temporary equity if the instrument is redeemable, at the option of the holder, at a fixed or determinable price on a fixed or determinable date or upon the occurrence of an event that is not solely within the control of the issuer. Redeemable equity instruments are initially carried at the fair value of the equity instrument at the issuance date, which is subsequently adjusted at each balance sheet date if the instrument is currently redeemable or probable of becoming redeemable. KREF accounted for the SNVPS as redeemable preferred stock since a third party holds a redemption option, exercisable after May 5, 2018, and such redemption is not solely within KREF 's control. The SNVPS became redeemable in the second quarter of 2018. As a result, starting with the second quarter of 2018, KREF adjusts the carrying value of the SNVPS
Income Recognition	Income Recognition Interest Income — Loans where management expects to collect all contractually required principal and interest payments are considered performing loans. KREF accrues interest income on performing loans based on the outstanding principal amount and contractual terms of the loan. Interest income also includes origination fees and direct loan origination costs for loans that KREF originates, but where management did not elect the fair value option, as a yield adjustment using the interest method over the loan term, or on a straight line basis when it approximates the interest method. KREF expenses origination fees and direct loan origination costs for loans acquired, but not originated, by KREF as well as loans for which management elected the fair value option, as incurred. Realized Gain (Loss) on Sale of Investments — KREF recognizes the excess, or deficiency, of net proceeds received, less the net carrying value of such investments, as realized gains or losses, respectively. KREF reverses cumulative, unrealized gains or losses previously reported in its Condensed Consolidated Statements of Income with respect to the investment sold at the time of sale.
Loan Impairment	80%), and the loan covenants are unlikely to fully mitigate some risks. Interest payments may come from an interest reserve or sponsor equity. 5—Impaired/Loss Likely: A loan that has a very high risk of realizing a principal loss or has otherwise incurred a principal loss. The underlying property performance is significantly behind underwritten expectations, the sponsor has failed to execute its business plan and/or the sponsor has missed interest payments. The market fundamentals have deteriorated, or property performance has unexpectedly declined or valuations for comparable properties have declined meaningfully since loan origination. Current cash flow does not support debt service payments. With the current capital structure, the sponsor might not be incentivized to protect its equity without a restructuring of the loan. The loan exhibits a very high loan-to-value ratio (>90%), and default may be imminent." id="sjs-B17">Loan Impairment — KREF holds commercial mortgage loans for both investment and sale, which management periodically evaluates for impairment. Commercial Mortgage Loans, Held-For-Investment — For each loan in KREF 's portfolio, management performs a quarterly evaluation of impairment indicators of loans classified as held‑for‑investment using applicable loan, property, market and sponsor information obtained from borrowers, loan servicers and local market participants. Such indicators may include the net present value of the underlying collateral, property operating cash flows, the sponsor’s financial wherewithal and competency in managing the property, macroeconomic trends, and property submarket-specific economic factors. The evaluation of these indicators of impairment requires significant judgment by management to determine whether failure to collect contractual amounts is probable. If management deems that it is probable that KREF will be unable to collect all amounts owed according to the contractual terms of a loan, impairment of that loan is indicated. If management considers a loan to be impaired, management establishes an allowance for loan losses, through a valuation provision in earnings, which reduces the carrying value of the loan to the present value of expected future cash flows discounted at the loan’s contractual effective rate or the fair value of the collateral, if repayment is expected solely from the collateral. Significant judgment is required in determining impairment and in estimating the resulting loss allowance, and actual losses, if any, could materially differ from those estimates. Management considers loans to be past due when a monthly payment is due and unpaid for 60 days or more. Loans are placed on nonaccrual status and considered non-performing when full payment of principal and interest is in doubt, which generally occurs when principal or interest is 120 days or more past due unless the loan is both well secured and in the process of collection. Management may return a loan to accrual status when repayment of principal and interest is reasonably assured under the terms of the restructured loan. As of June 30, 2019 , KREF did not hold any loans that management placed on nonaccrual status or otherwise considered past due. In addition to reviewing commercial mortgage loans held-for-investment for impairment, the Manager evaluates KREF 's commercial mortgage loans to determine if an allowance for loan loss should be established. In conjunction with this review, the Manager assesses the risk factors of each loan, and assigns a risk rating based on a variety of factors, including, without limitation, underlying real estate performance and asset value, values of comparable properties, durability and quality of property cash flows, sponsor experience and financial wherewithal, and the existence of a risk-mitigating loan structure. Additional key considerations include loan-to-value ratios, debt service coverage ratios, loan structure, real estate and credit market dynamics, and risk of default or principal loss. Based on a five-point scale, KREF 's loans are rated "1" through "5," from less risk to greater risk, which ratings are defined as follows: 1—Very Low Risk—The underlying property performance has surpassed underwritten expectations, and the sponsor’s business plan is generally complete. The property demonstrates stabilized occupancy and/or rental rates resulting in strong current cash flow and/or a very low loan-to-value ratio (<65%). At the level of performance, it is very likely that the underlying loan can be refinanced easily in the period’s prevailing capital market conditions. 2—Low Risk—The underlying property performance has matched or exceeded underwritten expectations, and the sponsor’s business plan may be ahead of schedule or has achieved some or many of the major milestones from a risk mitigation perspective. The property has achieved improving occupancy at market rents, resulting in sufficient current cash flow and/or a low loan-to-value ratio (65%-70%). Operating trends are favorable, and the underlying loan can be refinanced in today’s prevailing capital market conditions. The sponsor/manager is well capitalized or has demonstrated a history of success in owning or operating similar real estate. 3—Average Risk—The underlying property performance is in-line with underwritten expectations, or the sponsor may be in the early stages of executing its business plan. Current cash flow supports debt service payments, or there is an ample interest reserve or loan structure in place to provide the sponsor time to execute the value-improvement plan. The property exhibits a moderate loan-to-value ratio (<75%). Loan structure appropriately mitigates additional risks. The sponsor/manager has a stable credit history and experience owning or operating similar real estate. 4—High Risk/Potential for Loss: A loan that has a risk of realizing a principal loss. The underlying property performance is behind underwritten expectations, or the sponsor is behind schedule in executing its business plan. The underlying market fundamentals may have deteriorated, comparable property valuations may be declining or property occupancy has been volatile, resulting in current cash flow that may not support debt service payments. The loan exhibits a high loan-to-value ratio (>80%), and the loan covenants are unlikely to fully mitigate some risks. Interest payments may come from an interest reserve or sponsor equity. 5—Impaired/Loss Likely: A loan that has a very high risk of realizing a principal loss or has otherwise incurred a principal loss. The underlying property performance is significantly behind underwritten expectations, the sponsor has failed to execute its business plan and/or the sponsor has missed interest payments. The market fundamentals have deteriorated, or property performance has unexpectedly declined or valuations for comparable properties have declined meaningfully since loan origination. Current cash flow does not support debt service payments. With the current capital structure, the sponsor might not be incentivized to protect its equity without a restructuring of the loan. The loan exhibits a very high loan-to-value ratio (>90%), and default may be imminent.
Interest Expense	Interest Expense — Management expenses contractual interest due in accordance with KREF 's financing agreements as incurred.
Deferred Debt Issuance Costs	Deferred Debt Issuance Costs — Management capitalizes and amortizes deferred financing costs incurred in connection with financing arrangements over their respective expected term using the interest method, or on a straight line basis when it approximates the interest method. KREF presents such expensed amounts, as well as deferred amounts written off, as additional interest expense in its Condensed Consolidated Statements of Income.
General and Administrative Expenses	General and Administrative Expenses — Management expenses general and administrative costs, including legal, diligence and audit fees; information technology costs; insurance premiums; and other costs as incurred.
Management and Incentive Compensation to Affiliate	Management and Incentive Compensation to Affiliate — Management fees and incentive compensation earned by the Manager on a quarterly basis in accordance with the Management Agreement (Note 12 ).
Income Taxes	Income Taxes — Certain activities of KREF are conducted through joint ventures that are formed as limited liability companies, taxed as partnerships, and consolidated by KREF . Some of these joint ventures are subject to state and local income taxes, based on the tax jurisdictions in which they operate. In addition, certain activities of KREF are conducted through taxable REIT subsidiaries consolidated by KREF . Taxable REIT subsidiaries are subject to federal, state and local income taxes (Note 14 ). As of June 30, 2019 and December 31, 2018 , KREF did not have any material deferred tax assets or liabilities arising from future tax consequences attributable to differences between the carrying amounts of existing assets and liabilities in accordance with GAAP and their respective tax bases. KREF recognizes tax benefits for uncertain tax positions only if it is more likely than not that the position is sustainable based on its technical merits. Interest and penalties on uncertain tax positions are included as a component of the provision for income taxes in KREF 's Condensed Consolidated Statements of Income. As of June 30, 2019 , KREF did not have any material uncertain tax positions.
Stock-Based Compensation	Stock-Based Compensation KREF 's stock-based compensation consists of awards issued to employees of the Manager or its affiliates that vest over the life of the awards, as well as restricted stock units issued to certain members of KREF 's board of directors. The Company early adopted ASU No. 2018-07, Improvement to Nonemployee Share-based Payment Accounting upon its issuance in June 2018. Accordingly, the Company recognizes the compensation cost of stock-based awards to its directors and employees of the Manager or its affiliates on a straight-line basis over the awards’ term at their grant date fair value. Upon the adoption of ASU 2016-09, Improvements to Employee Share-Based Payment Accounting (Topic 718), KREF elected to account for forfeitures as they occur. Refer to Note 10
Earnings per Share	Earnings per Share KREF presents basic and diluted earnings per share (" EPS "). Basic EPS, or Net Income (Loss) Per Share of Common Stock, Basic , is calculated by dividing Net Income (Loss) Attributable to Common Stockholders by the Basic Weighted Average Number of Shares of Common Stock Outstanding, for the period. Diluted EPS , or Net Income (Loss) Per Share of Common Stock, Diluted, is calculated by starting with Basic EPS
Recent Accounting Pronouncements	Recent Accounting Pronouncements Credit Losses In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments - Credit Losses . The standard amends the existing credit loss model to reflect a reporting entity's current estimate of all expected credit losses and requires a financial asset (or a group of financial assets) measured at amortized cost basis to be presented at a net amount expected to be collected through deduction of an allowance for credit losses from the amortized cost basis of the financial asset(s). ASU No. 2016-13 is effective for KREF in the first quarter of 2020. Early adoption is permitted beginning in the first quarter of 2019. While KREF is currently evaluating the impact that ASU 2016-13 will have on KREF 's consolidated financial statements, we expect that the adoption will result in an increased amount of provisions for potential loan losses as well as the recognition of such provisions earlier in the credit cycle. KREF currently does not have any provision for loan losses recorded on the condensed consolidated financial statements.

Commercial Mortgage Loans (Tabl

Commercial Mortgage Loans (Tables)	6 Months Ended
	Jun. 30, 2019
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Abstract]
Summary and Activity of Loans Held-for-investment and Held-for-sale	The following table summarizes KREF 's investments in commercial mortgage loans as of June 30, 2019 and December 31, 2018 : Weighted Average Loan Type Outstanding Face Amount Carrying Value Loan Count Floating Rate Loan % (A) Coupon (A) Life (Years) (B) June 30, 2019 Loans held-for-investment Senior loans (C) $ 4,787,004 $ 4,759,977 34 100.0 % 5.6 % 3.8 Mezzanine loans 41,200 40,236 2 86.7 9.7 4.3 $ 4,828,204 $ 4,800,213 36 99.9 % 5.7 % 3.8 December 31, 2018 Loans held-for-investment Senior loans (C) $ 3,970,856 $ 3,946,086 33 100.0 % 6.0 % 3.7 Mezzanine loans 55,857 55,734 8 53.0 12.0 4.1 $ 4,026,713 $ 4,001,820 41 99.3 % 6.0 % 3.7 (A) Average weighted by outstanding face amount of loan. Weighted average coupon assumes applicable one-month LIBOR rates of 2.40% and 2.50% as of June 30, 2019 and December 31, 2018 , respectively. (B) The weighted average life of each loan is based on the expected timing of the receipt of contractual cash flows assuming all extension options are exercised by the borrower. (C) Senior loans may include accommodation mezzanine loans in connection with the senior mortgage financing. Also, includes loan participations sold with a face amount of $65.0 million and $85.9 million , and a carrying value of $65.0 million and $85.6 million as of June 30, 2019 and December 31, 2018 , respectively. Includes CLO loan participations of $958.0 million and $1.0 billion as of June 30, 2019 and December 31, 2018 , respectively. six months ended June 30, 2019 , the loan portfolio activity was as follows: Held-for-Investment Held-for-Sale Total Balance at December 31, 2018 $ 4,001,820 $ — $ 4,001,820 Purchases and originations, net (A) 1,850,571 — 1,850,571 Proceeds from sales and principal repayments (B) (1,062,723 ) — (1,062,723 ) Accretion of loan discount and other amortization, net (C) 10,545 — 10,545 Balance at June 30, 2019 $ 4,800,213 $ — $ 4,800,213 (A) Net of applicable premiums, discounts and deferred loan origination costs. Includes fundings on previously originated loans. (B) Includes $142.8 million in net proceeds from non-recourse sale of senior interests and $65.0 million in proceeds from pari passu loan syndication. (C) Includes accretion of applicable discounts and deferred loan origination costs. KREF 's internal risk ratings: June 30, 2019 December 31, 2018 Risk Rating Number of Loans Net Book Value (A) Total Loan Exposure (A)(B) Risk Rating Number of Loans Net Book Value Total Loan Exposure (A)(B) 1 3 $ 271,853 $ 272,571 1 — $ — $ — 2 3 220,767 221,629 2 8 466,742 468,860 3 30 4,242,593 4,411,804 3 33 3,535,078 3,625,008 4 — — — 4 — — — 5 — — — 5 — — — 36 $ 4,735,213 $ 4,906,004 41 $ 4,001,820 $ 4,093,868 (A) Excludes $65.0 million pari passu loan syndication as of June 30, 2019 . (B) In certain instances, we finance our loans through the non-recourse sale of a senior interest that is not included in our condensed consolidated financial statements. Total loan exposure includes the entire loan we originated and financed, including $142.8 million and $67.2 million of such non-consolidated interests as of June 30, 2019 and December 31, 2018 , respectively.
Concentration of Risk, by Risk Factor	The following tables present the geographies and property types of collateral underlying KREF 's commercial mortgage loans as a percentage of the loans' face amounts: June 30, 2019 December 31, 2018 June 30, 2019 December 31, 2018 Geography Collateral Property Type New York 30.2 % 30.3 % Multifamily 52.5 % 41.0 % California 8.2 9.7 Office 34.3 44.6 Pennsylvania 7.5 5.4 Hospitality 4.5 3.7 Florida 7.0 11.3 Condo(Residential) 3.3 4.3 Washington 7.0 8.3 Industrial 2.8 3.3 Massachusetts 6.9 4.9 Retail 2.6 3.1 Virginia 6.8 — Total 100.0 % 100.0 % Illinois 6.8 — Minnesota 5.1 5.7 New Jersey 3.1 3.7 Georgia 2.9 11.1 Oregon 2.6 3.1 Washington D.C. 2.1 2.4 Colorado 1.7 2.4 Alabama 1.1 — Texas 1.0 0.1 Tennessee — 1.3 Other U.S. — 0.3 Total 100.0 % 100.0 %

Debt Obligations (Tables)

Debt Obligations (Tables)	6 Months Ended
	Jun. 30, 2019
Debt Disclosure [Abstract]
Schedule of Debt Instruments	The following table summarizes KREF 's secured master repurchase agreements and other financing arrangements in place as of June 30, 2019 and December 31, 2018 : June 30, 2019 December 31, 2018 Facility Collateral Facility Month Issued Outstanding Face Amount Carrying Value (A) Maximum Facility Size Final Stated Maturity Weighted Average Funding Cost (B) Weighted Average Life (Years) (B) Outstanding Face Amount Amortized Cost Basis Carrying Value Weighted Average Life (Years) (C) Carrying Value (A) Master Repurchase Agreements (D) Wells Fargo (E) Oct 2015 $ 425,134 $ 422,138 $ 1,000,000 Nov 2023 4.5 % 1.9 $ 612,923 $ 610,144 $ 610,144 3.4 $ 508,523 Morgan Stanley (F) Dec 2016 491,012 489,423 750,000 Dec 2022 4.5 2.2 673,875 670,921 670,921 4.2 300,081 Goldman Sachs (G) Sep 2016 143,016 142,738 400,000 Oct 2020 4.5 0.6 192,000 191,729 191,729 3.1 340,671 Term Lending Agreement KREF Lending V (H) Jun 2019 745,918 743,946 900,000 Jun 2026 4.5 2.5 909,029 899,498 899,498 4.7 — Asset Specific Financing BMO Facility (I) Aug 2018 142,267 140,814 300,000 n.a 4.7 4.2 197,558 195,956 195,956 4.5 58,815 Revolving Credit Agreement Revolver (J) Dec 2018 — — 250,000 Dec 2023 1.1 0 n.a n.a n.a n.a — Total / Weighted Average $ 1,947,347 $ 1,939,059 $ 3,600,000 4.5 % 2.3 $ 1,208,090 (A) Net of $8.3 million and $9.2 million unamortized debt issuance costs as of June 30, 2019 and December 31, 2018 , respectively. (B) Average weighted by the outstanding face amount of borrowings. (C) Average based on the fully extended loan maturity, weighted by the outstanding face amount of the collateral. (D) Borrowings under these repurchase agreements are collateralized by senior loans, held-for-investment, and bear interest equal to the sum of (i) a floating rate index, equal to one-month LIBOR, or an index approximating LIBOR, and (ii) a margin, based on the collateral. As of June 30, 2019 and December 31, 2018 , the percentage of the outstanding face amount of the collateral sold and not borrowed under these repurchase agreements, or average "haircut" weighted by outstanding face amount of collateral, was 28.4% and 25.8% , respectively (or 26.1% and 23.4% , respectively, if KREF had borrowed the maximum amount approved by its repurchase agreement counterparties as of such dates). (E) In November 2018, KREF and Wells Fargo Bank, National Association (“Wells Fargo”) amended the September 2018 amended and restated master repurchase agreement to extend the facility maturity date. The current stated maturity date is November 2021 , which does not reflect two , twelve -month facility term extensions available to KREF , which is contingent upon certain covenants and thresholds. As of June 30, 2019 , the collateral-based margin was between 1.40% and 2.15% . (F) In November 2017, KREF and Morgan Stanley Bank, N.A. (" Morgan Stanley ") amended and restated the master repurchase agreement to extend the facility maturity date and to increase the maximum facility size from $500.0 million to $600.0 million and, subject to customary conditions, permits KREF to request the facility be further increased to $750.0 million . In March 2019, the Morgan Stanley repurchase agreement was amended to extend the current stated maturity of the facility to December 2021 , which does not reflect one , twelve -month facility term extension available to KREF , which is contingent upon certain covenants and thresholds. In June 2019, the Morgan Stanley repurchase agreement was amended to increase the facility amount to $750.0 million . As of June 30, 2019 , the collateral-based margin was between 1.75% and 2.25% . (G) In October 2018, KREF and Goldman Sachs Bank USA (“Goldman Sachs”) amended the July 2018 amended and restated master repurchase agreement to modify certain terms and provisions. The amended and restated facility includes a $400.0 million term facility with a maturity of October 2020. As of June 30, 2019 , the collateral-based margin was 2.00% . (H) In June 2019, KREF Lending V LLC, a wholly-owned indirect subsidiary of KREF , entered into a Master Repurchase and Securities Contract Agreement (the "Term Lending Agreement") with Morgan Stanley Mortgage Capital Holdings LLC ("Administrative Agent"), as administrative agent on behalf of Morgan Stanley Bank, N.A. ("Initial Buyer"), which provides for current and future financings of up to $900.0 million on a non-mark-to-market basis. Borrowings under the Term Lending Agreement are collateralized by certain loans, held for investment, and bear interest equal to one-month LIBOR, plus a 1.9% margin, inclusive of an ongoing administrative fee. The Term Lending Agreement has an initial maturity of June 2021, subject to five one -year extension options, which may be exercised by KREF upon the satisfaction of certain customary conditions and thresholds. (I) In August 2018, KREF entered into a $200.0 million loan financing facility with BMO Harris Bank ("BMO Facility"). The facility provides asset-based financing on a non-mark to market basis with matched-term up to five years with partial recourse to KREF . During May 2019, KREF increased the borrowing capacity to $300.0 million . As of June 30, 2019 , the collateral-based margin was between 1.50% and 1.70% . (J) In December 2018, KREF entered into a $100.0 million corporate revolving credit facility (“Revolver”) administered by Morgan Stanley Senior Funding, Inc. In March 2019, KREF added new lenders under the Revolver increasing the borrowing capacity to $140.0 million . Additional lenders were added in April and May 2019, further increasing the borrowing capacity under the Revolver to $250.0 million . The current stated maturity of the facility is December 2023. Borrowings under the facility bear interest at a per annum rate equal to the sum of (i) a floating rate index and (ii) a fixed margin. Borrowings under this facility are full recourse to certain guarantor wholly-owned subsidiaries of KREF . As of June 30, 2019 , the carrying value excluded $2.7 million unamortized debt issuance costs presented as " — Other assets" in KREF 's Condensed Consolidated Balance Sheets. six months ended June 30, 2019 , the activity related to the carrying value of KREF ’s secured financing agreements were as follows: Balance as of December 31, 2018 $ 1,951,049 Principal borrowings 2,299,598 Principal repayments (1,359,260 ) Deferred debt issuance costs (4,698 ) Amortization of deferred debt issuance costs 5,510 Balance as of June 30, 2019 $ 2,892,199 June 30, 2019 Term Loan Facility Count Outstanding Face Amount Carrying Value Wtd. Avg. Yield/Cost (A) Guarantee (B) Wtd. Avg. Term (C) Collateral assets 13 $ 1,178,618 $ 1,168,885 L + 3.1% n.a. October 2023 Financing provided n.a. 958,666 953,140 L + 1.8% n.a. October 2023 December 31, 2018 Term Loan Facility Count Outstanding Face Amount Carrying Value Wtd. Avg. Yield/Cost (A) Guarantee (B) Wtd. Avg. Term (C) Collateral assets 10 $ 941,905 $ 933,179 L + 3.1% n.a. August 2023 Financing provided n.a. 748,414 742,959 L + 1.8% n.a. August 2023 (A) Floating rate loans and related liabilities are indexed to one-month LIBOR. KREF's net interest rate exposure is in direct proportion to its interest in the net assets indexed to that rate. In addition to cash coupon, yield/cost includes the amortization of deferred origination/financing costs. (B) Financing under the Term Loan Facility is non-recourse to KREF. (C) The weighted-average term is determined using the maximum maturity date of the corresponding loans, assuming all extension options are exercised by the borrower.
Schedule of Repurchase Agreements	The following table summarizes certain characteristics of KREF 's repurchase agreements where the amount at risk with any individual counterparty, or group of related counterparties, exceeded 10.0% of KREF ’s stockholders' equity as of June 30, 2019 and December 31, 2018 : Outstanding Face Amount Net Counterparty Exposure Percent of Stockholders' Equity Weighted Average Life (Years) (A) June 30, 2019 Wells Fargo $ 425,134 $ 187,629 16.7 % 1.9 Morgan Stanley 491,012 181,421 16.2 2.2 Term Lending Agreement (B) 745,918 153,626 13.7 2.5 Total / Weighted Average $ 1,662,064 $ 522,676 46.6 % 2.2 December 31, 2018 Wells Fargo $ 512,298 $ 223,780 19.8 % 1.5 Morgan Stanley 302,595 145,066 12.8 1.2 Goldman Sachs 342,368 122,461 10.8 1.4 Total / Weighted Average $ 1,157,261 $ 491,307 43.7 % 1.4 (A) Average weighted by the outstanding face amount of borrowings under the secured financing agreement. (B) The counterparty under the Term Lending Agreement as of June 30, 2019 is Morgan Stanley Bank, N.A.
Schedule of Maturities of Debt Obligations	KREF ’s secured financing agreements, term loan financing and other consolidated debt obligations in place as of June 30, 2019 had current contractual maturities as follows: Year Nonrecourse Recourse (A) Total 2019 $ — $ 315,300 $ 315,300 2020 82,481 587,375 669,856 2021 674,777 — 674,777 2022 121,083 818,178 939,261 2023 80,325 — 80,325 Thereafter — 226,494 226,494 $ 958,666 $ 1,947,347 $ 2,906,013 (A) Except for the Revolver, which is full recourse, amounts borrowed subject to a maximum 25.0% recourse limit.

Collateralized Loan Obligation

Collateralized Loan Obligation (Tables)	6 Months Ended
	Jun. 30, 2019
Transfers and Servicing [Abstract]
Schedule of Collateral Assets and Respective Borrowings	The following table outlines KREF 2018-FL1 collateral assets and respective borrowing: June 30, 2019 Collateralized Loan Obligation Count Face Amount Carrying Value Wtd. Avg. (B) Wtd. Avg. Term (C) Collateral assets (A) 23 $ 1,000,000 $ 1,000,000 L + 3.2% April 2023 Financing provided 1 810,000 801,860 L + 1.8% June 2036 December 31, 2018 Collateralized Loan Obligation Count Face Amount Carrying Value Wtd. Avg. (B) Wtd. Avg. Term (C) Collateral assets (A) 24 $ 1,000,000 $ 1,000,000 L + 3.5% December 2022 Financing provided 1 810,000 800,346 L + 1.8% June 2036 (A) Excluding $42.0 million and $0.0 million of cash, collateral assets represent 19.8% and 24.8% of the face amount of KREF 's commercial mortgage loans as of June 30, 2019 and December 31, 2018 , respectively. As of June 30, 2019 and December 31, 2018 , 100% of KREF loans financed through the CLO are floating rate loans. (B) Yield on collateral assets is based on cash coupon. Financing cost includes amortization of deferred financing costs incurred in connection with the CLO. (C) Loan term represents weighted-average final maturity, assuming extension options are exercised by the borrower. Repayments of CLO notes are dependent on timing of related collateral loan asset repayments post reinvestment period. The term of the CLO notes represents the rated final distribution date.
Schedule of Assets and Liabilities Included in Consolidated Balance Sheet	The following table presents the KREF 2018-FL1 Assets and Liabilities included in KREF ’s Condensed Consolidated Balance Sheets: Assets June 30, 2019 December 31, 2018 Cash $ 42,000 $ — Commercial mortgage loans, held-for-investment, net 958,000 1,000,000 Accrued interest receivable 3,838 4,263 Other assets 5 1,295 Total $ 1,003,843 $ 1,005,558 Liabilities Collateralized loan obligation, net 801,860 800,346 Accrued interest payable 1,396 3,341 Accounts payable, accrued expenses and other liabilities 113 314 Total $ 803,369 $ 804,001
Schedule of Net Interest Income Included in Consolidated Statement of Income	The following table presents the components of net interest income of KREF 2018-FL1 included in KREF ’s Condensed Consolidated Statements of Income: For the Three Months Ended June 30, For the Six Months Ended June 30, 2019 2018 2019 2018 Net Interest Income Interest income $ 14,162 $ — $ 28,588 $ — Interest expense (A) 10,024 — 19,967 — Net interest income $ 4,138 $ — $ 8,621 $ — (A) Includes $0.8 million and $1.6 million of deferred financing costs amortization for the three and six months ended June 30, 2019 , respectively. KREF 's unamortized deferred financing costs related to KREF 2018-FL1 were $8.1 million as of June 30, 2019 .

Convertible Notes, Net (Tables)

Convertible Notes, Net (Tables)	6 Months Ended
	Jun. 30, 2019
Debt Disclosure [Abstract]
Interest Expense, Debt	The following table details our interest expense related to the Convertible Notes: For the Three Months Ended June 30, For the Six Months Ended June 30, 2019 2018 2019 2018 Cash coupon $ 2,201 $ 1,052 $ 4,402 $ 1,052 Discount and issuance cost amortization 346 163 688 163 Total interest expense $ 2,547 1,215 5,090 1,215
Net Book Value	The following table details the net book value of our Convertible Notes on our Condensed Consolidated Balance Sheets: June 30, 2019 December 31, 2018 Face value $ 143,750 $ 143,750 Deferred financing costs (3,977 ) (4,486 ) Unamortized discount (1,397 ) (1,576 ) Net book value $ 138,376 $ 137,688

Loan Participations Sold (Table

Loan Participations Sold (Tables)	6 Months Ended
	Jun. 30, 2019
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Abstract]
Schedule of Participating Mortgage Loans	The following tables summarize the loan participation sold liabilities that KREF recognized since the corresponding syndications of the respective loan participations were not treated as "sales" as of June 30, 2019 and December 31, 2018 : June 30, 2019 Loan Participations Sold Count Principal Balance Carrying Value Yield/Cost (A) Guarantee Term Total loan 1 $ 286,184 $ 284,651 L + 3.3% n.a. June 2023 Pari passu loan syndication (B)(D) 1 65,000 65,000 L + 2.8% n.a. June 2023 December 31, 2018 Loan Participations Sold Count Principal Balance Carrying Value Yield/Cost (A) Guarantee (C) Term Total loan 1 $ 99,757 $ 99,368 L + 3.0% n.a. September 2022 Senior participation (D) 1 85,880 85,465 L + 1.8% n.a. September 2022 (A) Floating rate loans and related liabilities are indexed to one-month LIBOR. KREF 's net interest rate exposure is in direct proportion to its interest in the net assets of the senior loan. (B) During the three and six months ended June 30, 2019 , KREF recorded $0.4 million of interest income and $0.4 million of interest expense, respectively, related to the loan participation KREF sold, but continue to consolidate under GAAP. (C) As of December 31, 2018 , the loan participation sold was subject to partial recourse of $10.0 million , which amount may be reduced to zero upon achievement of certain property performance metrics. (D) During the three months ended June 30, 2019 and 2018 , KREF recorded $0.0 million and $0.8 million of interest income and $0.0 million and $0.8 million of interest expense, respectively; and during the six months ended June 30, 2019 and 2018 , KREF recorded $0.6 million and $1.5 million of interest income and $0.7 million and $1.5 million of interest expense, respectively, related to the loan participation KREF sold.

Variable Interest Entities (Tab

Variable Interest Entities (Tables)	6 Months Ended
	Jun. 30, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Schedule of Variable Interest Entities	The following table presents the KREF recognized Trust's Assets and Liabilities: June 30, 2019 December 31, 2018 Trusts' Assets Commercial mortgage loans held in variable interest entities, at fair value (A) $ 1,134,579 $ 1,092,986 Accrued interest receivable 3,922 4,005 Trusts' Liabilities Variable interest entity liabilities, at fair value (B) 1,124,178 1,080,255 Accrued interest payable 3,735 3,818 (A) Includes accrued interest receivable. (B) Includes accrued interest payable. CMBS trusts consolidated by KREF , as a percentage of the collateral unpaid principal balance and weighted by the fair value of the CMBS tranches beneficially owned by KREF 's stockholders: June 30, 2019 December 31, 2018 June 30, 2019 December 31, 2018 Geography Collateral Property Type California 34.9 % 33.4 % Retail 28.0 % 28.3 % Texas 11.1 11.1 Office 27.5 27.4 New York 8.1 8.3 Hospitality 12.9 13.0 Missouri 6.2 5.4 Multifamily 10.3 9.9 Pennsylvania 4.3 5.1 Industrial/ Flex 10.3 9.6 Florida 4.0 4.2 Self Storage 4.7 5.7 Massachusetts 3.5 3.6 Mixed Use 4.3 3.9 Illinois 3.0 2.7 Mobile Home 1.7 1.7 Georgia 2.4 2.6 Other 0.3 0.5 New Hampshire 2.1 2.4 100.0 % 100.0 % Delaware 1.8 1.9 Virginia 1.6 1.7 Other U.S. 17.0 17.6 Total 100.0 % 100.0 %
Change In Net Assets Related to Consolidated Variable Interest Entities	The following table presents "Other Income — Change in net assets related to CMBS consolidated variable interest entities": For the Three Months Ended June 30, For the Six Months Ended June 30, 2019 2018 2019 2018 Net interest earned $ 625 $ 908 $ 1,121 $ 4,020 Reversal of previously unrealized (gain) loss now realized — (5,494 ) — — Unrealized gain (loss) (2,176 ) (1,822 ) (2,330 ) (1,939 ) Change in net assets related to CMBS consolidated variable interest entities $ (1,551 ) $ (6,408 ) $ (1,209 ) $ 2,081

Equity (Tables)

Equity (Tables)	6 Months Ended
	Jun. 30, 2019
Equity [Abstract]
Schedule of Common Stock Issued	As further described below, since December 2015, KREF issued the following shares of common stock: Pricing Date Shares Issued Net Proceeds As of December 31, 2015 13,636,416 $ 272,728 February 2016 2,000,000 40,000 May 2016 3,000,138 57,130 June 2016 (A) 21,838 — August 2016 5,500,000 109,875 As of December 31, 2016 24,158,392 479,733 February 2017 7,386,208 147,662 April 2017 10,379,738 207,595 May 2017- Initial Public Offering 11,787,500 219,356 As of December 31, 2017 53,711,838 1,054,346 August 2018 5,000,000 98,326 November 2018 500,000 9,351 As of December 31, 2018 59,211,838 $ 1,162,023 (A) KREF did not receive any proceeds with respect to 21,838 shares of common stock issued to certain current and former employees of, and non-employee consultants to, KKR and third-party investors in the private placement completed in March 2016, in accordance with KREF 's Stockholders Agreement dated as of March 29, 2016 .
Dividends Declared	During the six months ended June 30, 2019 and 2018, KREF 's board of directors declared the following dividends on shares of its common stock and special voting preferred stock: Amount Declaration Date Record Date Payment Date Per Share Total 2019 March 19, 2019 March 29, 2019 April 12, 2019 $ 0.43 $ 24,761 June 14, 2019 June 28, 2019 July 15, 2019 0.43 24,688 $ 49,449 2018 March 12, 2018 March 29, 2018 April 13, 2018 $ 0.40 $ 21,230 May 7, 2018 June 29, 2018 July 13, 2018 0.43 22,804 $ 44,034
Schedule of Earnings Per Share, Basic and Diluted	The following table illustrates the computation of basic and diluted earnings per share for the three and six months ended June 30, 2019 and 2018 : For the Three Months Ended June 30, For the Six Months Ended June 30, 2019 2018 2019 2018 Numerator Net income (loss) attributable to common stockholders $ 17,381 $ 23,483 $ 42,086 $ 46,763 Denominator Basic weighted average common shares outstanding 57,412,522 53,064,585 57,400,023 53,200,495 Dilutive restricted stock units 94,697 5,281 92,273 22,918 Diluted weighted average common shares outstanding 57,507,219 53,069,866 57,492,296 53,223,413 Net income (loss) attributable to common stockholders, per: Basic common share $ 0.30 $ 0.44 $ 0.73 $ 0.88 Diluted common share $ 0.30 $ 0.44 $ 0.73 $ 0.88

Stock-based Compensation (Table

Stock-based Compensation (Tables)	6 Months Ended
	Jun. 30, 2019
Share-based Payment Arrangement [Abstract]
Schedule of Restricted Stock Units activity	The following table summarizes the activity in KREF ’s outstanding RSUs and the weighted-average grant date fair value per RSU: Restricted Stock Units Weighted Average Grant Date Fair Value Per RSU (A) Unvested as of December 31, 2018 459,179 $ 19.33 Granted 12,832 20.26 Vested (48,898 ) 20.46 Forfeited/ cancelled (4,861 ) 19.70 Unvested as of June 30, 2019 418,252 $ 19.22 (A) The grant-date fair value is based upon the last sale price of KREF’s common stock at the date of grant.
Schedule of RSUs Outstanding to Vest	KREF expects the unvested RSUs outstanding to vest during the following years: Year Restricted Stock Units 2019 126,668 2020 175,743 2021 115,841 Total 418,252

Related Party Transactions (Tab

Related Party Transactions (Tables)	6 Months Ended
	Jun. 30, 2019
Related Party Transactions [Abstract]
Amounts Due to Affiliates	Due to Affiliates — The following table contains the amounts presented in KREF 's Condensed Consolidated Balance Sheets that it owes to affiliates: June 30, December 31, 2019 2018 Management fees $ 4,288 $ 4,330 Expense reimbursements and other 430 382 $ 4,718 $ 4,712 Affiliates Expenses — The following table contains the amounts included in KREF 's Condensed Consolidated Statements of Income that arose from transactions with the Manager: Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Management fees $ 4,288 $ 3,913 $ 8,575 $ 7,852 Incentive compensation 1,145 — 2,098 — Expense reimbursements and other (A) 420 362 785 730 $ 5,853 $ 4,275 $ 11,458 $ 8,582 (A) KREF presents these amounts in " Operating Expenses — General and administrative " in its Condensed Consolidated Statements of Income. Affiliate expense reimbursements presented in the table above exclude the out-of-pocket amounts paid by the Manager to parties unaffiliated with the Manager on behalf of KREF , and for which KREF reimburses the Manager in cash. For the three and six months ended June 30, 2019 , these cash reimbursements totaled $0.6 million and $1.1 million , respectively. For the three and six months ended June 30, 2018 , these cash reimbursement totaled $0.9 million and $2.2 million , respectively.

Fair Value of Financial Instr_2

Fair Value of Financial Instruments (Tables)	6 Months Ended
	Jun. 30, 2019
Fair Value Disclosures [Abstract]
Assets and Liabilities Recorded at Fair Value on Recurring Basis	The carrying values and fair values of KREF ’s financial assets and liabilities recorded at fair value on a recurring basis, as well as other financial instruments not carried at fair value, as of June 30, 2019 were as follows: Fair Value Principal Balance (A) Carrying Value (B) Level 1 Level 2 Level 3 Total Assets Cash and cash equivalents $ 182,732 $ 182,732 $ 182,732 $ — $ — $ 182,732 Commercial mortgage loans, held-for-investment, net (C) 4,828,204 4,800,213 — — 4,803,942 4,803,942 Equity method investments, at fair value 37,070 37,070 — — 37,070 37,070 Commercial mortgage loans held in variable interest entities, at fair value 1,101,156 1,134,579 — — 1,134,579 1,134,579 $ 6,149,162 $ 6,154,594 $ 182,732 $ — $ 5,975,591 $ 6,158,323 Liabilities Secured financing agreements, net $ 2,906,013 $ 2,892,199 $ — $ — $ 2,906,013 $ 2,906,013 Collateralized loan obligation, net 810,000 801,860 — — 812,725 812,725 Convertible notes, net 143,750 138,376 149,036 — — 149,036 Loan participations sold, net 65,000 65,000 — — 65,000 65,000 Variable interest entity liabilities, at fair value 1,066,214 1,124,178 — — 1,124,178 1,124,178 $ 4,990,977 $ 5,021,613 $ 149,036 $ — $ 4,907,916 $ 5,056,952 (A) The principal balance of commercial mortgage loans excludes premiums and unamortized discounts. (B) The carrying value of commercial mortgage loans is presented net of $28.0 million unamortized origination discounts and deferred nonrefundable fees. The carrying value of secured financing agreements is presented net of $13.8 million unamortized debt issuance costs. The carrying value of collateralized loan obligations is presented net of $8.1 million unamortized debt issuance costs. (C) Includes $958.0 million of CLO loan participations as of June 30, 2019 . Includes senior loans for which KREF syndicated a pari passu loan participation that was not treated as a sale under GAAP, with a carrying value and a fair value of $65.0 million as of June 30, 2019 . The carrying values and fair values of KREF ’s financial assets recorded at fair value on a recurring basis, as well as other financial instruments for which fair value is disclosed, as of December 31, 2018 were as follows: Fair Value Principal Balance (A) Carrying Value (B) Level 1 Level 2 Level 3 Total Assets Cash and cash equivalents $ 86,531 $ 86,531 $ 86,531 $ — $ — $ 86,531 Commercial mortgage loans, held-for-investment, net (C) 4,026,713 4,001,820 — — 4,007,316 4,007,316 Equity method investments, at fair value 30,734 30,734 — — 30,734 30,734 Commercial mortgage loans held in variable interest entities, at fair value 1,127,926 1,092,986 — — 1,092,986 1,092,986 $ 5,271,904 $ 5,212,071 $ 86,531 $ — $ 5,131,036 $ 5,217,567 Liabilities Secured financing agreements, net $ 1,965,675 $ 1,951,049 $ — $ — $ 1,965,675 $ 1,965,675 Collateralized loan obligation, net 810,000 800,346 — — 810,000 810,000 Convertible notes, net 143,750 137,688 142,107 — — 142,107 Loan participations sold, net 85,880 85,465 — — 85,295 85,295 Variable interest entity liabilities, at fair value 1,092,984 1,080,255 — — 1,080,255 1,080,255 $ 4,098,289 $ 4,054,803 $ 142,107 $ — $ 3,941,225 $ 4,083,332 (A) The principal balance of commercial mortgage loans excludes premiums and discounts. (B) The carrying value of commercial mortgage loans is presented net of $24.9 million origination discounts and deferred nonrefundable fees. The carrying value of secured financing agreements is presented net of $14.6 million unamortized debt issuance costs. The carrying value of collateralized loan obligations is presented net of $9.7 million unamortized debt issuance costs. (C) Includes $1.0 billion of CLO loan participations as of December 31, 2018 . Includes senior loans for which KREF sold a loan participation that was not treated as a sale under GAAP, with a carrying value of $85.6 million and a fair value of $85.3 million as of December 31, 2018 .
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation	KREF reported the following financial assets and liabilities at fair value on a recurring basis using Level 3 inputs as of June 30, 2019 . The following table summarizes the changes in these assets and liabilities. Assets Liabilities Commercial Mortgage Loans Held in Variable Interest Entities, at Fair Value Variable Interest Entity Liabilities, at Fair Value Net Balance as of December 31, 2018 $ 1,092,986 $ 1,080,255 $ 12,731 Gains (losses) included in net income Unrealized gain (loss) included in change in net assets related to CMBS consolidated VIEs 68,446 70,776 (2,330 ) Purchases and sales/repayments Sales/Repayments/Deconsolidation (26,770 ) (26,770 ) — Other (A) (83 ) (83 ) — Balance as of June 30, 2019 $ 1,134,579 $ 1,124,178 $ 10,401 (A) Amounts primarily consist of changes in accrued interest.
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation	KREF reported the following financial assets and liabilities at fair value on a recurring basis using Level 3 inputs as of June 30, 2019 . The following table summarizes the changes in these assets and liabilities. Assets Liabilities Commercial Mortgage Loans Held in Variable Interest Entities, at Fair Value Variable Interest Entity Liabilities, at Fair Value Net Balance as of December 31, 2018 $ 1,092,986 $ 1,080,255 $ 12,731 Gains (losses) included in net income Unrealized gain (loss) included in change in net assets related to CMBS consolidated VIEs 68,446 70,776 (2,330 ) Purchases and sales/repayments Sales/Repayments/Deconsolidation (26,770 ) (26,770 ) — Other (A) (83 ) (83 ) — Balance as of June 30, 2019 $ 1,134,579 $ 1,124,178 $ 10,401 (A) Amounts primarily consist of changes in accrued interest.
Fair Value Inputs, Liabilities, Level 3 Inputs	The following table contains the Level 3 inputs used to value assets and liabilities on a recurring and nonrecurring basis or where KREF discloses fair value as of June 30, 2019 : Fair Value Valuation Methodologies Unobservable Inputs (A) Weighted Average (B) Range Assets (C) Commercial mortgage loans, held-for-investment, net $ 4,803,942 Discounted cash flow Loan-to-value ratio 69.0% 31.7% - 89.3% Discount rate 5.9% 3.4% - 12.7% Commercial mortgage loans held in variable interest entities, at fair value (D) 1,134,579 Discounted cash flow Yield 7.5% 2.1% - 55.1% $ 5,938,521 Liabilities (E) Collateralized loan obligation, net $ 812,725 Discounted cash flow Yield 2.9% 2.6% - 4.1% Variable interest entity liabilities, at fair value 1,124,178 Discounted cash flow Yield 4.5% 2.1% - 11.4% $ 1,936,903 (A) An increase (decrease) in the valuation input results in a decrease (increase) in value. (B) Represents the average of the input value, weighted by the unpaid principal balance of the financial instrument. (C) KREF carries a $36.8 million investment in an aggregator vehicle alongside RECOP (Note 8 ) at its pro rata share of the aggregator's net asset value, which management believes approximates fair value. (D) Management measures the fair value of " Commercial mortgage loans held in variable interest entities, at fair value " using the fair value of the CMBS trust liabilities. The Level 3 inputs presented in the table above reflect the inputs used to value the CMBS trust liabilities, including the CMBS beneficially owned by KREF stockholders eliminated in consolidation of the CMBS trusts. (E) Does not include $65.0 million of parri passu loan syndication which was syndicated at par value and included in “Loan participation sold, net” in the accompanying Condensed Consolidated Balance Sheet.

Subsequent Events (Tables)

Subsequent Events (Tables)	6 Months Ended
	Jun. 30, 2019
Subsequent Events [Abstract]
Schedule of Senior Notes	KREF originated the following senior loan: Description/ Location Property Type Month Originated Maximum Face Amount Initial Face Amount Funded Interest Rate (A) Maturity Date (B) LTV Chicago, IL Office July 2019 $ 170,000 $ 119,100 L + 3.2% August 2024 59% (A) Floating rate based on one-month USD LIBOR. (B) Maturity date assumes all extension options are exercised, if applicable.

Business and Organization (Deta

Business and Organization (Details) - KKR	Jun. 30, 2019shares
KREF
Related Party Transaction [Line Items]
Common stock (shares)	22,008,616
KKR Real Estate FInance Trust Inc. on Behalf of Third Party
Related Party Transaction [Line Items]
Common stock (shares)	2,008,616

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Details) - USD ($) $ in Thousands	3 Months Ended			6 Months Ended
	Jun. 30, 2019	Mar. 31, 2019	Jun. 30, 2018	Jun. 30, 2019	Dec. 31, 2018		May 31, 2018	Mar. 31, 2018	Dec. 31, 2017
Related Party Transaction [Line Items]
Redeemable preferred stock	$ 2,031			$ 2,031	$ 2,846	[1]
Unrestricted cash and cash equivalents balance to satisfy liquidity covenants	26,100			26,100	15,200
Loan principal payment receivable	14,006			14,006	3,596	[1]
Deferred financing/debt issuance costs	2,700			2,700	1,400
Interest receivable	16,305			16,305	16,178	[1]
Accrued expenses	3,300			3,300
Good faith deposits	500			500
Accrued share buybacks					2,000
Accrued deferred financing and offering costs					1,000
Redeemable Preferred Stock
Related Party Transaction [Line Items]
Redeemable preferred stock	2,031	$ 2,228	$ 1,286	2,031	2,846			$ 949	$ 949
Adjustment of redeemable preferred stock to redemption value	(197)	$ (618)	$ 337	(800)
Collateralized Loan Obligations
Related Party Transaction [Line Items]
Interest receivable					$ 1,300
Other assets
Related Party Transaction [Line Items]
Loan principal payment receivable	$ 7,900			$ 7,900
Convertible Notes Payable | Notes Due in 2023
Related Party Transaction [Line Items]
Debt instrument, interest rate, stated percentage							6.125%
[1]	Derived from the audited consolidated financial statements as of December 31, 2018.

Commercial Mortgage Loans - Loa

Commercial Mortgage Loans - Loans Held-for-investment and Loans Held-for-sale (Details) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2019USD ($)loan	Dec. 31, 2018USD ($)loan
Investment Holdings [Line Items]
Carrying Value	$ 4,800,213	$ 4,001,820
Loans held-for-investment
Investment Holdings [Line Items]
Outstanding Face Amount	4,828,204	4,026,713
Carrying Value	$ 4,800,213	$ 4,001,820
Loan Count | loan	36	41
Floating Rate Loan	99.90%	99.30%
Coupon	5.70%	6.00%
Life	3 years 9 months 18 days	3 years 8 months 12 days
Loans held-for-investment | Senior loans
Investment Holdings [Line Items]
Outstanding Face Amount	$ 4,787,004	$ 3,970,856
Carrying Value	$ 4,759,977	$ 3,946,086
Loan Count | loan	34	33
Floating Rate Loan	100.00%	100.00%
Coupon	5.60%	6.00%
Life	3 years 9 months 18 days	3 years 8 months 12 days
Loans held-for-investment | Mezzanine loans
Investment Holdings [Line Items]
Outstanding Face Amount	$ 41,200	$ 55,857
Carrying Value	$ 40,236	$ 55,734
Loan Count | loan	2	8
Floating Rate Loan	86.70%	53.00%
Coupon	9.70%	12.00%
Life	4 years 3 months 18 days	4 years 1 month 6 days
Senior Participation Loan
Investment Holdings [Line Items]
Carrying Value		$ 85,600
Senior Participation Loan | Loans held-for-investment | Senior loans
Investment Holdings [Line Items]
Outstanding Face Amount	$ 65,000	85,900
Carrying Value	65,000	85,600
Collateralized Loan Obligations | Loans held-for-investment | Senior loans
Investment Holdings [Line Items]
Outstanding Face Amount	$ 958,000	$ 1,000,000
LIBOR
Investment Holdings [Line Items]
Interest rate	2.40%	2.50%

Commercial Mortgage Loans - Act

Commercial Mortgage Loans - Activities Related to Carrying Value of Mortgage Loans (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2019USD ($)
SEC Schedule, 12-29, Real Estate Companies, Investment in Movement in Mortgage Loans on Real Estate [Roll Forward]
Beginning balance	$ 4,001,820
Purchases and originations, net	1,850,571
Proceeds from principal repayments	1,062,723
Accretion of loan discount and other amortization, net	10,545
Ending balance	4,800,213
Loans held-for-investment
SEC Schedule, 12-29, Real Estate Companies, Investment in Movement in Mortgage Loans on Real Estate [Roll Forward]
Beginning balance	4,001,820
Purchases and originations, net	1,850,571
Proceeds from principal repayments	1,062,723
Accretion of loan discount and other amortization, net	10,545
Ending balance	4,800,213
Loans held-for-sale
SEC Schedule, 12-29, Real Estate Companies, Investment in Movement in Mortgage Loans on Real Estate [Roll Forward]
Beginning balance	0
Purchases and originations, net	0
Proceeds from principal repayments	0
Accretion of loan discount and other amortization, net	0
Ending balance	0
Senior Participation Loan
SEC Schedule, 12-29, Real Estate Companies, Investment in Movement in Mortgage Loans on Real Estate [Roll Forward]
Beginning balance	85,600
Proceeds from principal repayments	142,800
Pari Passu Loan Syndication
SEC Schedule, 12-29, Real Estate Companies, Investment in Movement in Mortgage Loans on Real Estate [Roll Forward]
Proceeds from principal repayments	$ 65,000

Commercial Mortgage Loans - Nar

Commercial Mortgage Loans - Narrative (Details) $ in Millions	3 Months Ended	6 Months Ended
	Jun. 30, 2019USD ($)	Jun. 30, 2019USD ($)	Dec. 31, 2018USD ($)
Investment Holdings [Line Items]
Weighted Average Loan Risk Rating	2.8	2.8	2.9
Unamortized origination discounts and deferred nonrefundable fees	$ 28	$ 28	$ 24.9
Prepayment penalties	0	0.2
Net accelerated fees	0.5	2.8
Loans held-for-investment
Investment Holdings [Line Items]
Unamortized origination discounts and deferred nonrefundable fees	$ 28	$ 28	$ 24.9
Loans held-for-investment | Credit Concentration Risk
Investment Holdings [Line Items]
Concentration of credit risk		100.00%

Commercial Mortgage Loans - L_2

Commercial Mortgage Loans - Loan Risk Ratings (Details) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2019USD ($)loan	Dec. 31, 2018USD ($)loan		May 31, 2019USD ($)
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items]
Carrying Value	$ 4,800,213	$ 4,001,820
Total Loan Exposure	142,800	67,200
Mortgage loan syndicated	$ 65,000	$ 85,465	[1]
Commercial Mortgage Loan
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items]
Number of Loans | loan	36	41
Carrying Value	$ 4,735,213	$ 4,001,820
Total Loan Exposure	$ 4,906,004	$ 4,093,868
Commercial Mortgage Loan | 1
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items]
Number of Loans | loan	3	0
Carrying Value	$ 271,853	$ 0
Total Loan Exposure	$ 272,571	$ 0
Commercial Mortgage Loan | 2
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items]
Number of Loans | loan	3	8
Carrying Value	$ 220,767	$ 466,742
Total Loan Exposure	$ 221,629	$ 468,860
Commercial Mortgage Loan | 3
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items]
Number of Loans | loan	30	33
Carrying Value	$ 4,242,593	$ 3,535,078
Total Loan Exposure	$ 4,411,804	$ 3,625,008
Commercial Mortgage Loan | 4
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items]
Number of Loans | loan	0	0
Carrying Value	$ 0	$ 0
Total Loan Exposure	$ 0	$ 0
Commercial Mortgage Loan | 5
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items]
Number of Loans | loan	0	0
Carrying Value	$ 0	$ 0
Total Loan Exposure	0	$ 0
Pari Passu Loan Syndication
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items]
Mortgage loan syndicated	$ 65,000			$ 65,000
[1]	Derived from the audited consolidated financial statements as of December 31, 2018.

Commercial Mortgage Loans - Con

Commercial Mortgage Loans - Concentration of Credit Risk (Details) - Loans held-for-investment	6 Months Ended	12 Months Ended
	Jun. 30, 2019	Dec. 31, 2018
Geography
Concentration Risk [Line Items]
Concentration of credit risk	100.00%	100.00%
Geography | New York
Concentration Risk [Line Items]
Concentration of credit risk	30.20%	30.30%
Geography | California
Concentration Risk [Line Items]
Concentration of credit risk	8.20%	9.70%
Geography | Pennsylvania
Concentration Risk [Line Items]
Concentration of credit risk	7.50%	5.40%
Geography | Florida
Concentration Risk [Line Items]
Concentration of credit risk	7.00%	11.30%
Geography | Washington
Concentration Risk [Line Items]
Concentration of credit risk	7.00%	8.30%
Geography | Massachusetts
Concentration Risk [Line Items]
Concentration of credit risk	6.90%	4.90%
Geography | Virginia
Concentration Risk [Line Items]
Concentration of credit risk	6.80%	0.00%
Geography | Illinois
Concentration Risk [Line Items]
Concentration of credit risk	6.80%	0.00%
Geography | Minnesota
Concentration Risk [Line Items]
Concentration of credit risk	5.10%	5.70%
Geography | New Jersey
Concentration Risk [Line Items]
Concentration of credit risk	3.10%	3.70%
Geography | Georgia
Concentration Risk [Line Items]
Concentration of credit risk	2.90%	11.10%
Geography | Oregon
Concentration Risk [Line Items]
Concentration of credit risk	2.60%	3.10%
Geography | Washington D.C.
Concentration Risk [Line Items]
Concentration of credit risk	2.10%	2.40%
Geography | Colorado
Concentration Risk [Line Items]
Concentration of credit risk	1.70%	2.40%
Geography | Alabama
Concentration Risk [Line Items]
Concentration of credit risk	1.10%	0.00%
Geography | Texas
Concentration Risk [Line Items]
Concentration of credit risk	1.00%	0.10%
Geography | Tennessee
Concentration Risk [Line Items]
Concentration of credit risk	0.00%	1.30%
Geography | Other U.S.
Concentration Risk [Line Items]
Concentration of credit risk	0.00%	0.30%
Collateral Property Type
Concentration Risk [Line Items]
Concentration of credit risk	100.00%	100.00%
Collateral Property Type | Multifamily
Concentration Risk [Line Items]
Concentration of credit risk	52.50%	41.00%
Collateral Property Type | Office
Concentration Risk [Line Items]
Concentration of credit risk	34.30%	44.60%
Collateral Property Type | Hospitality
Concentration Risk [Line Items]
Concentration of credit risk	4.50%	3.70%
Collateral Property Type | Condo(Residential)
Concentration Risk [Line Items]
Concentration of credit risk	3.30%	4.30%
Collateral Property Type | Industrial
Concentration Risk [Line Items]
Concentration of credit risk	2.80%	3.30%
Collateral Property Type | Retail
Concentration Risk [Line Items]
Concentration of credit risk	2.60%	3.10%

Debt Obligations - Summary of D

Debt Obligations - Summary of Debt (Details)	1 Months Ended				6 Months Ended	12 Months Ended
	Jun. 30, 2019USD ($)extension	Mar. 31, 2019USD ($)extension	Nov. 30, 2018extension	Nov. 30, 2017	Jun. 30, 2019USD ($)	Dec. 31, 2018USD ($)	May 31, 2019USD ($)	Oct. 31, 2018USD ($)	Aug. 31, 2018USD ($)	Nov. 01, 2017USD ($)	Oct. 31, 2017USD ($)
Debt Instrument [Line Items]
Outstanding Face Amount	$ 2,906,013,000				$ 2,906,013,000
Carrying Value	4,800,213,000				4,800,213,000	$ 4,001,820,000
Unamortized debt issuance costs	$ 8,300,000				$ 8,300,000	$ 9,200,000
Average haircut weighted by outstanding face amount of collateral	28.40%				28.40%	25.80%
Average haircut weighted by outstanding face amount of collateral if maximum amount is borrowed	26.10%				26.10%	23.40%
Deferred financing/debt issuance costs	$ 2,700,000				$ 2,700,000	$ 1,400,000
BMO[Member] | Minimum
Debt Instrument [Line Items]
Collateral based margin	1.50%				1.50%
BMO[Member] | Maximum
Debt Instrument [Line Items]
Collateral based margin	1.70%				1.70%
Secured Financing Agreements | Facility
Debt Instrument [Line Items]
Carrying Value	$ 2,892,199,000				$ 2,892,199,000	1,951,049,000
Secured Financing Agreements | Wells Fargo | Facility
Debt Instrument [Line Items]
Outstanding Face Amount	425,134,000				425,134,000
Carrying Value	422,138,000				422,138,000	508,523,000
Maximum Facility Size	$ 1,000,000,000				$ 1,000,000,000
Weighted Average Funding Cost	4.50%				4.50%
Weighted Average Life					1 year 10 months 24 days
Outstanding Face Amount	$ 612,923,000				$ 612,923,000
Carrying Value	$ 610,144,000				$ 610,144,000
Weighted Average Life					3 years 4 months 24 days
Number of extensions | extension			2
Extension term			12 months
Secured Financing Agreements | Wells Fargo | Facility | Minimum
Debt Instrument [Line Items]
Collateral based margin	1.40%				1.40%
Secured Financing Agreements | Wells Fargo | Facility | Maximum
Debt Instrument [Line Items]
Collateral based margin	2.15%				2.15%
Secured Financing Agreements | Morgan Stanley | Facility
Debt Instrument [Line Items]
Outstanding Face Amount	$ 491,012,000				$ 491,012,000
Carrying Value	489,423,000				489,423,000	300,081,000
Maximum Facility Size	$ 750,000,000				$ 750,000,000					$ 600,000,000	$ 500,000,000
Weighted Average Funding Cost	4.50%				4.50%
Weighted Average Life					2 years 2 months 12 days
Outstanding Face Amount	$ 673,875,000				$ 673,875,000
Carrying Value	$ 670,921,000				$ 670,921,000
Weighted Average Life					4 years 2 months 12 days
Number of extensions | extension		1
Extension term				12 months
Additional borrowing capacity										$ 750,000,000
Secured Financing Agreements | Morgan Stanley | Facility | Minimum
Debt Instrument [Line Items]
Collateral based margin	1.75%				1.75%
Secured Financing Agreements | Morgan Stanley | Facility | Maximum
Debt Instrument [Line Items]
Collateral based margin	2.25%				2.25%
Secured Financing Agreements | Goldman Sachs | Facility
Debt Instrument [Line Items]
Outstanding Face Amount	$ 143,016,000				$ 143,016,000
Carrying Value	142,738,000				142,738,000	340,671,000
Maximum Facility Size	$ 400,000,000				$ 400,000,000			$ 400,000,000
Weighted Average Funding Cost	4.50%				4.50%
Weighted Average Life					18 days
Outstanding Face Amount	$ 192,000,000				$ 192,000,000
Carrying Value	$ 191,729,000				$ 191,729,000
Weighted Average Life					3 years 1 month 6 days
Collateral based margin	2.00%				2.00%
Secured Financing Agreements | BMO[Member] | Facility
Debt Instrument [Line Items]
Outstanding Face Amount	$ 142,267,000				$ 142,267,000
Carrying Value	140,814,000				140,814,000	58,815,000
Maximum Facility Size	$ 300,000,000				$ 300,000,000
Weighted Average Funding Cost	4.70%				4.70%
Weighted Average Life					4 years 2 months 12 days
Outstanding Face Amount	$ 197,558,000				$ 197,558,000
Carrying Value	195,956,000				$ 195,956,000
Weighted Average Life					4 years 6 months
Revolving Credit Facility | Facility
Debt Instrument [Line Items]
Outstanding Face Amount	0				$ 0		$ 250,000,000
Carrying Value	0				0	0
Maximum Facility Size	$ 250,000,000				$ 250,000,000
Weighted Average Funding Cost	1.10%				1.10%
Weighted Average Life					0 years
Revolving Credit Facility | Morgan Stanley | Facility
Debt Instrument [Line Items]
Maximum Facility Size		$ 140,000,000				100,000,000
Deferred financing/debt issuance costs	$ 2,700,000				$ 2,700,000
Loan Facility | BMO[Member] | Facility
Debt Instrument [Line Items]
Maximum Facility Size							$ 300,000,000		$ 200,000,000
Total Debt
Debt Instrument [Line Items]
Outstanding Face Amount	1,947,347,000				1,947,347,000
Carrying Value	1,939,059,000				1,939,059,000	1,208,090,000
Maximum Facility Size	$ 3,600,000,000				$ 3,600,000,000
Weighted Average Funding Cost	4.50%				4.50%
Weighted Average Life					2 years 3 months 18 days
KREF Lending V LLC | Secured Financing Agreements | Facility
Debt Instrument [Line Items]
Outstanding Face Amount	$ 745,918,000				$ 745,918,000
Carrying Value	743,946,000				743,946,000	$ 0
Maximum Facility Size	$ 900,000,000				$ 900,000,000
Weighted Average Funding Cost	4.50%				4.50%
Weighted Average Life					2 years 6 months
Outstanding Face Amount	$ 909,029,000				$ 909,029,000
Carrying Value	$ 899,498,000				$ 899,498,000
Weighted Average Life					4 years 8 months 12 days
Number of extensions | extension	5
Extension term	1 year
LIBOR
Debt Instrument [Line Items]
Interest rate					2.40%	2.50%
LIBOR | KREF Lending V LLC | Secured Financing Agreements | Facility
Debt Instrument [Line Items]
Interest rate	1.90%

Debt Obligations - Repurchase A

Debt Obligations - Repurchase Agreement (Details) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Repurchase Agreement Counterparty [Line Items]
Outstanding Face Amount	$ 2,906,013
Wells Fargo
Repurchase Agreement Counterparty [Line Items]
Outstanding Face Amount	425,134	$ 512,298
Net Counterparty Exposure	$ 187,629	$ 223,780
Percent of Stockholders' Equity	16.70%	19.80%
Weighted Average Life	1 year 10 months 24 days	1 year 6 months
Morgan Stanley
Repurchase Agreement Counterparty [Line Items]
Outstanding Face Amount	$ 491,012	$ 302,595
Net Counterparty Exposure	$ 181,421	$ 145,066
Percent of Stockholders' Equity	16.20%	12.80%
Weighted Average Life	2 years 2 months 12 days	1 year 2 months 12 days
Goldman Sachs Bank USA
Repurchase Agreement Counterparty [Line Items]
Outstanding Face Amount		$ 342,368
Net Counterparty Exposure		$ 122,461
Percent of Stockholders' Equity		10.80%
Weighted Average Life		1 year 4 months 24 days
Total
Repurchase Agreement Counterparty [Line Items]
Outstanding Face Amount	$ 1,662,064
Net Counterparty Exposure	$ 522,676
Percent of Stockholders' Equity	46.60%
Weighted Average Life	2 years 2 months 12 days
Total
Repurchase Agreement Counterparty [Line Items]
Outstanding Face Amount		$ 1,157,261
Net Counterparty Exposure		$ 491,307
Percent of Stockholders' Equity		43.70%
Weighted Average Life		1 year 4 months 24 days
KREF Lending V LLC | Morgan Stanley
Repurchase Agreement Counterparty [Line Items]
Outstanding Face Amount	$ 745,918
Net Counterparty Exposure	$ 153,626
Percent of Stockholders' Equity	13.70%
Weighted Average Life	2 years 6 months

Debt Obligations - Term Loan Fa

Debt Obligations - Term Loan Facility (Details) - Facility - Term Loan Facility I	6 Months Ended	12 Months Ended
	Jun. 30, 2019USD ($)loan	Dec. 31, 2018USD ($)loan	Oct. 31, 2018USD ($)	Apr. 30, 2018USD ($)
Debt Instrument [Line Items]
Borrowing capacity			$ 1,000,000,000	$ 200,000,000
Term (in years)	5 years
Weighted average yield, financing provided	1.50%	1.40%
Debt instrument, interest rate, stated percentage	3.90%	3.90%
Number of collateralized loans | loan	13	10
Outstanding face amount	$ 1,178,618,000	$ 941,905,000
Carrying value, collateral assets	1,168,885,000	933,179,000
Face value	958,666,000	748,414,000
Carrying value	$ 953,140,000	$ 742,959,000
Interest rate spread	1.80%	1.80%
Collateralized Assets
Debt Instrument [Line Items]
Interest rate spread	3.10%	3.10%

Debt Obligations - Debt Activit

Debt Obligations - Debt Activity (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018
Debt Instrument, Increase (Decrease), Net [Roll Forward]
Deferred debt issuance costs	$ (6,168)	$ (6,066)
Facility | Secured Financing Agreements
Debt Instrument, Increase (Decrease), Net [Roll Forward]
Beginning balance	1,951,049
Principal borrowings	2,299,598
Principal repayments	(1,359,260)
Deferred debt issuance costs	(4,698)
Amortization of deferred debt issuance costs and premium/discount on debt obligations	5,510
Ending balance	$ 2,892,199

Debt Obligations - Maturities (

Debt Obligations - Maturities (Details) $ in Thousands	Jun. 30, 2019USD ($)
Debt Instrument [Line Items]
2019	$ 315,300
2020	669,856
2021	674,777
2022	939,261
2023	80,325
Thereafter	226,494
Total	2,906,013
Nonrecourse
Debt Instrument [Line Items]
2019	0
2020	82,481
2021	674,777
2022	121,083
2023	80,325
Thereafter	0
Total	958,666
Recourse
Debt Instrument [Line Items]
2019	315,300
2020	587,375
2021	0
2022	818,178
2023	0
Thereafter	226,494
Total	$ 1,947,347
Maximum
Debt Instrument [Line Items]
Recourse limit	25.00%

Debt Obligations - Covenants (D

Debt Obligations - Covenants (Details)	6 Months Ended
	Jun. 30, 2019USD ($)
Debt Disclosure [Abstract]
Interest income to interest expense ratio	1.5
Percent of aggregate cash proceeds and any capital contributions	75.00%
Amount of aggregate cash proceeds and any capital contributions	$ 880,200,000
Cash liquidity covenant amount (greater of)	$ 10,000,000
Cash liquidity covenant, percent of recourse indebtedness (greater of)	5.00%
Total indebtedness covenant, percent of total assets, net of VIE liabilities	75.00%

Collateralized Loan Obligatio_2

Collateralized Loan Obligation - Schedule of Collateral Assets and Respective Borrowings (Details)	1 Months Ended	6 Months Ended	12 Months Ended
	Nov. 30, 2018	Jun. 30, 2019USD ($)collateral_assetborrowing	Dec. 31, 2018USD ($)collateral_assetborrowing
Assets and Associated Liabilities of Transfers Accounted for as Secured Borrowings [Line Items]
Term of reinvestment feature	2 years
Percentage of commercial mortgage loans		19.80%	24.80%
Percentage of collateralized loan obligations under floating rate loans		100.00%	100.00%
Collateralized loan obligation, net | Variable Interest Entity, Primary Beneficiary
Assets and Associated Liabilities of Transfers Accounted for as Secured Borrowings [Line Items]
Financing provided, Count | borrowing		1	1
Face amount, Financing provided		$ 810,000,000	$ 810,000,000
Carrying value, Financing provided		$ 801,860,000	$ 800,346,000
Weighted average yield, financing provided		1.80%	1.80%
Collateralized Loan Obligations | Variable Interest Entity, Primary Beneficiary
Assets and Associated Liabilities of Transfers Accounted for as Secured Borrowings [Line Items]
Collateral assets, count | collateral_asset		23	24
Face amount, Collateral assets		$ 1,000,000,000	$ 1,000,000,000
Carrying value, Collateral assets		$ 1,003,843,000	$ 1,005,558,000
Weighted average yield, collateral assets		3.20%	3.50%
Commercial Mortgage Loans, Held-For-Investment and Cash | Collateralized Loan Obligations | Variable Interest Entity, Primary Beneficiary
Assets and Associated Liabilities of Transfers Accounted for as Secured Borrowings [Line Items]
Carrying value, Collateral assets		$ 1,000,000,000	$ 1,000,000,000
Cash | Collateralized Loan Obligations | Variable Interest Entity, Primary Beneficiary
Assets and Associated Liabilities of Transfers Accounted for as Secured Borrowings [Line Items]
Carrying value, Collateral assets		$ 42,000,000	$ 0

Collateralized Loan Obligatio_3

Collateralized Loan Obligation - Schedule of Assets and Liabilities Included in Consolidated Balance Sheet (Details) - Collateralized Loan Obligations - Variable Interest Entity, Primary Beneficiary - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Assets and Associated Liabilities of Transfers Accounted for as Secured Borrowings [Line Items]
Assets	$ 1,003,843	$ 1,005,558
Liabilities	803,369	804,001
Cash
Assets and Associated Liabilities of Transfers Accounted for as Secured Borrowings [Line Items]
Assets	42,000	0
Commercial mortgage loans, held-for-investment, net
Assets and Associated Liabilities of Transfers Accounted for as Secured Borrowings [Line Items]
Assets	958,000	1,000,000
Accrued interest receivable
Assets and Associated Liabilities of Transfers Accounted for as Secured Borrowings [Line Items]
Assets	3,838	4,263
Other assets
Assets and Associated Liabilities of Transfers Accounted for as Secured Borrowings [Line Items]
Assets	5	1,295
Collateralized loan obligation, net
Assets and Associated Liabilities of Transfers Accounted for as Secured Borrowings [Line Items]
Liabilities	801,860	800,346
Accrued interest payable
Assets and Associated Liabilities of Transfers Accounted for as Secured Borrowings [Line Items]
Liabilities	1,396	3,341
Accounts payable, accrued expenses and other liabilities
Assets and Associated Liabilities of Transfers Accounted for as Secured Borrowings [Line Items]
Liabilities	$ 113	$ 314

Collateralized Loan Obligatio_4

Collateralized Loan Obligation - Schedule of Net Interest Income Included in Consolidated Statement of Income (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018	Dec. 31, 2018
Variable Interest Entity [Line Items]
Interest income	$ 62,944	$ 40,363	$ 127,695	$ 72,057
Interest expense	37,089	18,798	71,931	29,488
Total net interest income	25,855	21,565	55,764	42,569
Unamortized debt issuance costs	8,300		8,300		$ 9,200
Collateralized Loan Obligations
Variable Interest Entity [Line Items]
Unamortized debt issuance costs	8,100		8,100		$ 9,700
Collateralized Loan Obligations | Variable Interest Entity, Primary Beneficiary
Variable Interest Entity [Line Items]
Interest income	14,162	0	28,588	0
Interest expense	10,024	0	19,967	0
Total net interest income	4,138	$ 0	8,621	$ 0
Deferred financing costs amortization	800		1,600
Unamortized debt issuance costs	$ 8,100		$ 8,100

Convertible Notes, Net - Narrat

Convertible Notes, Net - Narrative (Details)	May 15, 2018$ / shares	May 31, 2018USD ($)	Jun. 30, 2019USD ($)	Jun. 30, 2018USD ($)	Jun. 30, 2019USD ($)	Jun. 30, 2018USD ($)	Dec. 31, 2018USD ($)
Debt Instrument [Line Items]
Amortization of debt discount					$ (10,545,000)	$ (3,177,000)
Affiliate expenses			$ 5,853,000	$ 4,275,000	11,458,000	8,582,000
Accrued interest payable			5,827,000		5,827,000		$ 7,516,000	[1]
Convertible Debt
Debt Instrument [Line Items]
Affiliate expenses			0		1,500,000	$ 4,500,000
Convertible Notes Payable
Debt Instrument [Line Items]
Face value			143,750,000		143,750,000		143,750,000
Debt issuance costs, gross			$ 3,977,000		$ 3,977,000		4,486,000
Convertible Notes Payable | Notes Due in 2023
Debt Instrument [Line Items]
Face value		$ 143,750,000
Debt instrument, interest rate, stated percentage		6.125%
Debt issuance costs, gross		$ 5,100,000
Debt instrument, conversion ratio	0.0439386
Debt Instrument, convertible, conversion price (usd per share) | $ / shares	$ 22.76
Debt instrument, convertible, conversion premium	10.00%
Debt instrument, convertible, conversion price less premium (usd per share) | $ / shares	$ 20.69
Amortization of debt discount		$ 1,800,000
Debt instrument, interest rate, effective percentage		6.50%	6.92%		6.92%
Accrued interest payable			$ 1,100,000		$ 1,100,000		1,100,000
KKR Credit & Markets | Convertible Debt
Debt Instrument [Line Items]
Affiliate expenses		$ 800,000					$ 800,000
[1]	Derived from the audited consolidated financial statements as of December 31, 2018.

Convertible Notes, Net - Intere

Convertible Notes, Net - Interest Expense, Debt (Details) - Convertible Notes Payable - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Debt Instrument [Line Items]
Cash coupon	$ 2,201	$ 1,052	$ 4,402	$ 1,052
Discount and issuance cost amortization	346	163	688	163
Total interest expense	$ 2,547	$ 1,215	$ 5,090	$ 1,215

Convertible Notes, Net - Net Bo

Convertible Notes, Net - Net Book Value (Details) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Debt Instrument [Line Items]
Net book value	$ 138,376	$ 137,688	[1]
Convertible Notes Payable
Debt Instrument [Line Items]
Face value	143,750	143,750
Deferred financing costs	(3,977)	(4,486)
Unamortized discount	(1,397)	(1,576)
Net book value	$ 138,376	$ 137,688
[1]	Derived from the audited consolidated financial statements as of December 31, 2018.

Loan Participations Sold - Narr

Loan Participations Sold - Narrative (Details) - USD ($) $ in Thousands	Jun. 30, 2019	May 31, 2019	Dec. 31, 2018
Participating Mortgage Loans [Line Items]
Mortgage loan syndicated	$ 65,000		$ 85,465	[1]
Pari Passu Loan Syndication
Participating Mortgage Loans [Line Items]
Mortgage loan syndicated	65,000	$ 65,000
Principal balance	65,000
Total loan
Participating Mortgage Loans [Line Items]
Mortgage loan syndicated	284,651		99,368
Principal balance	$ 286,184	$ 286,200	$ 99,757
[1]	Derived from the audited consolidated financial statements as of December 31, 2018.

Loan Participations Sold (Detai

Loan Participations Sold (Details) $ in Thousands	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2019USD ($)	Jun. 30, 2018USD ($)	Jun. 30, 2019USD ($)loan	Jun. 30, 2018USD ($)	Dec. 31, 2018USD ($)loan		May 31, 2019USD ($)
Participating Mortgage Loans [Line Items]
Mortgage loan syndicated	$ 65,000		$ 65,000		$ 85,465	[1]
Interest income	25,855	$ 21,565	$ 55,764	$ 42,569
Total loan
Participating Mortgage Loans [Line Items]
Number of loans sold | loan			1		1
Principal Balance	286,184		$ 286,184		$ 99,757		$ 286,200
Mortgage loan syndicated	$ 284,651		$ 284,651		$ 99,368
Yield/cost	3.30%		3.30%		3.00%
Pari Passu Loan Syndication
Participating Mortgage Loans [Line Items]
Number of loans sold | loan			1
Principal Balance	$ 65,000		$ 65,000
Mortgage loan syndicated	$ 65,000		$ 65,000				$ 65,000
Yield/cost	2.80%		2.80%
Interest income	$ 400
Interest expense			$ 400
Senior Participation Loan
Participating Mortgage Loans [Line Items]
Number of loans sold | loan					1
Principal Balance					$ 85,880
Mortgage loan syndicated					$ 85,465
Yield/cost					1.80%
Interest income	0	800	600	1,500
Interest expense	$ 0	$ 800	$ 700	$ 1,500
Partial recourse, amount					$ 10,000
[1]	Derived from the audited consolidated financial statements as of December 31, 2018.

Variable Interest Entities - Na

Variable Interest Entities - Narrative (Details) $ in Millions	6 Months Ended
	Jun. 30, 2019USD ($)investment	Dec. 31, 2018USD ($)
Variable Interest Entity [Line Items]
Number of equity method investments | investment	2
CMBS | Primary Beneficiary
Variable Interest Entity [Line Items]
Unpaid principal balance	$ 34.9	$ 34.9
Fair value	10.2	$ 12.5
RECOP [Member] | Not Primary Beneficiary
Variable Interest Entity [Line Items]
Fair value	$ 36.8
Ownership percentage in VIE	3.50%
KKR Manager | Not Primary Beneficiary
Variable Interest Entity [Line Items]
Ownership percentage in VIE	4.70%

Variable Interest Entities - Re

Variable Interest Entities - Recognized Trusts' Assets and Liabilities (Details) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Variable Interest Entity [Line Items]
Accrued interest receivable	$ 16,305	$ 16,178	[1]
Accrued interest payable	5,827	7,516	[1]
Primary Beneficiary
Variable Interest Entity [Line Items]
Commercial mortgage loans held in variable interest entities, at fair value	1,134,579	1,092,986
Accrued interest receivable	3,922	4,005
Variable interest entity liabilities, at fair value	1,124,178	1,080,255
Accrued interest payable	$ 3,735	$ 3,818
[1]	Derived from the audited consolidated financial statements as of December 31, 2018.

Variable Interest Entities - Ch

Variable Interest Entities - Change in Net Assets Related to Consolidated Variable Interest Entities (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Variable Interest Entity [Line Items]
Net interest earned	$ 25,855	$ 21,565	$ 55,764	$ 42,569
Change in net assets related to CMBS consolidated variable interest entities	(1,551)	(6,408)	(1,209)	2,081
Commercial Mortgage Backed Securities [Member] | Primary Beneficiary
Variable Interest Entity [Line Items]
Net interest earned	625	908	1,121	4,020
Reversal of previously unrealized (gain) loss now realized	0	(5,494)	0	0
Unrealized gain (loss)	(2,176)	(1,822)	(2,330)	(1,939)
Change in net assets related to CMBS consolidated variable interest entities	$ (1,551)	$ (6,408)	$ (1,209)	$ 2,081

Variable Interest Entities - Co

Variable Interest Entities - Concentration of Credit Risk (Details) - Variable Interest Entities, CMBS	6 Months Ended	12 Months Ended
	Jun. 30, 2019	Dec. 31, 2018
Geography
Concentration Risk [Line Items]
Concentration of credit risk	100.00%	100.00%
Geography | California
Concentration Risk [Line Items]
Concentration of credit risk	34.90%	33.40%
Geography | Texas
Concentration Risk [Line Items]
Concentration of credit risk	11.10%	11.10%
Geography | New York
Concentration Risk [Line Items]
Concentration of credit risk	8.10%	8.30%
Geography | Missouri
Concentration Risk [Line Items]
Concentration of credit risk	6.20%	5.40%
Geography | Pennsylvania
Concentration Risk [Line Items]
Concentration of credit risk	4.30%	5.10%
Geography | Florida
Concentration Risk [Line Items]
Concentration of credit risk	4.00%	4.20%
Geography | Massachusetts
Concentration Risk [Line Items]
Concentration of credit risk	3.50%	3.60%
Geography | Illinois
Concentration Risk [Line Items]
Concentration of credit risk	3.00%	2.70%
Geography | Georgia
Concentration Risk [Line Items]
Concentration of credit risk	2.40%	2.60%
Geography | New Hampshire
Concentration Risk [Line Items]
Concentration of credit risk	2.10%	2.40%
Geography | Delaware
Concentration Risk [Line Items]
Concentration of credit risk	1.80%	1.90%
Geography | Virginia
Concentration Risk [Line Items]
Concentration of credit risk	1.60%	1.70%
Geography | Other U.S.
Concentration Risk [Line Items]
Concentration of credit risk	17.00%	17.60%
Collateral Property Type
Concentration Risk [Line Items]
Concentration of credit risk	100.00%	100.00%
Collateral Property Type | Retail
Concentration Risk [Line Items]
Concentration of credit risk	28.00%	28.30%
Collateral Property Type | Office
Concentration Risk [Line Items]
Concentration of credit risk	27.50%	27.40%
Collateral Property Type | Hospitality
Concentration Risk [Line Items]
Concentration of credit risk	12.90%	13.00%
Collateral Property Type | Multifamily
Concentration Risk [Line Items]
Concentration of credit risk	10.30%	9.90%
Collateral Property Type | Industrial/ Flex
Concentration Risk [Line Items]
Concentration of credit risk	10.30%	9.60%
Collateral Property Type | Self Storage
Concentration Risk [Line Items]
Concentration of credit risk	4.70%	5.70%
Collateral Property Type | Mixed Use
Concentration Risk [Line Items]
Concentration of credit risk	4.30%	3.90%
Collateral Property Type | Mobile Home
Concentration Risk [Line Items]
Concentration of credit risk	1.70%	1.70%
Collateral Property Type | Other
Concentration Risk [Line Items]
Concentration of credit risk	0.30%	0.50%

Equity - Narrative (Details)

Equity - Narrative (Details) - USD ($)	Jan. 23, 2015	Nov. 30, 2018	Aug. 31, 2018	May 31, 2017	Apr. 30, 2017	Feb. 28, 2017	Mar. 31, 2016	Mar. 31, 2019	Jun. 30, 2018	Mar. 31, 2018	Jun. 30, 2019	Jun. 30, 2018	Jun. 14, 2019	Feb. 22, 2019	Dec. 31, 2018	May 31, 2018	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015	Oct. 02, 2014
Subsidiary, Sale of Stock [Line Items]
Common stock and preferred stock, shares authorized (shares)																				350,000,000
Common stock par value (usd per share)											$ 0.01				$ 0.01					$ 0.01
Common stock authorized (shares)											300,000,000				300,000,000					300,000,000
Preferred stock authorized (shares)											50,000,000				50,000,000					50,000,000
Value of stock acquired per transaction for LLC interest allocation							$ 100,000,000
Common stock issued (shares)											57,413,069				57,596,217
Common stock outstanding (shares)											57,413,069				57,596,217
Accumulated shares repurchased (shares)											1,862,689
Stock repurchase program, authorized amount (up to)													$ 100,000,000			$ 100,000,000
Stock repurchase program, remaining authorized repurchase amount																$ 50,000,000
Treasury stock, shares, acquired (in shares)											212,809
Treasury stock acquired, average cost per share (dollars per share)											$ 19.25
Treasury stock, value, acquired											$ 4,100,000
Preferred stock par or stated value (usd per share)											$ 0.01				$ 0.01
Common Stock
Subsidiary, Sale of Stock [Line Items]
Share price (usd per share)			$ 19.90
Sale of stock, number of shares issued in transaction			5,000,000
Stock issued in connection with vested restricted stock units (shares)											63,920
Cumulative Preferred Stock
Subsidiary, Sale of Stock [Line Items]
Issuance of stock (shares)	125
Preferred stock par or stated value (usd per share)	$ 1,000			$ 1,000
Dividend rate	12.50%
Stock redeemed (shares)				125
Value of stock redeemed				$ 100,000
Redeemable Preferred Stock
Subsidiary, Sale of Stock [Line Items]
Issuance of stock (shares)						1
Preferred stock par or stated value (usd per share)	$ 0.01
Preferred stock share price (usd per share)						$ 0.01
Liquidation preference (usd per share)											$ 0.01
Redemption price (usd per share)											$ 0.01
Voting Preferred Stock
Subsidiary, Sale of Stock [Line Items]
Issuance of stock (shares)							1
Preferred stock share price (usd per share)							$ 20
Ownership percentage to retain voting rights							25.00%
Common Stock
Subsidiary, Sale of Stock [Line Items]
Common stock issued related to vesting of restricted stock units (shares)											29,661	34,259
Treasury stock, shares, acquired (in shares)								212,809	77,944	609,865
Treasury stock, value, acquired								$ 2,000	$ 1,000	$ 6,000
Common Stock, Net
Subsidiary, Sale of Stock [Line Items]
Common stock issued (shares)											59,211,838				59,211,838		53,711,838	24,158,392	13,636,416
KKR Real Estate FInance Manager L.L.C
Subsidiary, Sale of Stock [Line Items]
Common stock, percent of limited liability company interest							6.67%
KREF | KKR
Subsidiary, Sale of Stock [Line Items]
Common stock (shares)											22,008,616
Issued and outstanding common stock owned, percentage											38.00%
KKR Real Estate FInance Trust Inc. on Behalf of Third Party | KKR
Subsidiary, Sale of Stock [Line Items]
Common stock (shares)											2,008,616
Private Placement
Subsidiary, Sale of Stock [Line Items]
Capital commitment							$ 277,400,000
Share price (usd per share)							$ 20
Common stock issued (shares)							21,838
Private Placement | Common Stock
Subsidiary, Sale of Stock [Line Items]
Share price (usd per share)						$ 20
Sale of stock, number of shares issued in transaction					10,379,738	7,386,208
Sale of stock, consideration received on transaction					$ 207,600,000	$ 147,700,000
Private Placement, Third-parties and Current and Former Employees of, and Consultants to, KKR
Subsidiary, Sale of Stock [Line Items]
Capital commitment							$ 190,100,000
Private Placement, Third-parties
Subsidiary, Sale of Stock [Line Items]
Capital commitment							178,400,000
Private Placement, Current and Former Employees of, and Consultants to, KKR
Subsidiary, Sale of Stock [Line Items]
Capital commitment							11,800,000
Private Placement. KKR Fund Holdings
Subsidiary, Sale of Stock [Line Items]
Capital commitment							400,000,000
Private Placement, Third-parties Subsequent to Private Placement Completion
Subsidiary, Sale of Stock [Line Items]
Capital commitment							$ 248,000,000
IPO | Common Stock
Subsidiary, Sale of Stock [Line Items]
Share price (usd per share)				$ 20.50
Sale of stock, number of shares issued in transaction				11,787,500
Underwritten offering | Common Stock
Subsidiary, Sale of Stock [Line Items]
Share price (usd per share)		$ 20
Sale of stock, number of shares issued in transaction		4,500,000		1,537,500
Sale of stock, consideration received on transaction		$ 9,400,000	$ 98,300,000
Underwritten offering sold by the Company | Common Stock
Subsidiary, Sale of Stock [Line Items]
Sale of stock, number of shares issued in transaction		500,000
Underwritten offering sold by third-party investors | Common Stock
Subsidiary, Sale of Stock [Line Items]
Sale of stock, number of shares issued in transaction		4,000,000
ATM
Subsidiary, Sale of Stock [Line Items]
Stock repurchase program, authorized amount (up to)														$ 100,000,000

Equity - Schedule of Common Sto

Equity - Schedule of Common Stock Issued (Details) - USD ($) $ in Thousands		1 Months Ended	12 Months Ended
		Mar. 31, 2016	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Common Stock Issuance [Roll Forward]
Ending balance (shares)			57,596,217
Ending balance	[1]		$ 1,132,342
Common Stock, Net
Common Stock Issuance [Roll Forward]
Beginning balance (shares)			53,711,838	24,158,392	13,636,416
Ending balance (shares)			59,211,838	53,711,838	24,158,392
Common Stock Including Additional Paid in Capital & Offering Costs
Common Stock Issuance [Roll Forward]
Beginning balance			$ 1,054,346	$ 479,733	$ 272,728
Ending balance			$ 1,162,023	$ 1,054,346	$ 479,733
Private Placement
Common Stock Issuance [Roll Forward]
Ending balance (shares)		21,838
February 2016 | Common Stock, Net
Common Stock Issuance [Roll Forward]
Issuance of stock (shares)					2,000,000
February 2016 | Common Stock Including Additional Paid in Capital & Offering Costs
Common Stock Issuance [Roll Forward]
Issuance of stock					$ 40,000
May 2016 | Common Stock, Net
Common Stock Issuance [Roll Forward]
Issuance of stock (shares)					3,000,138
May 2016 | Common Stock Including Additional Paid in Capital & Offering Costs
Common Stock Issuance [Roll Forward]
Issuance of stock					$ 57,130
June 2016 | Common Stock, Net
Common Stock Issuance [Roll Forward]
Issuance of stock (shares)					21,838
June 2016 | Common Stock Including Additional Paid in Capital & Offering Costs
Common Stock Issuance [Roll Forward]
Issuance of stock					$ 0
August 2016 | Common Stock, Net
Common Stock Issuance [Roll Forward]
Issuance of stock (shares)					5,500,000
August 2016 | Common Stock Including Additional Paid in Capital & Offering Costs
Common Stock Issuance [Roll Forward]
Issuance of stock					$ 109,875
February 2017 | Common Stock, Net
Common Stock Issuance [Roll Forward]
Issuance of stock (shares)				7,386,208
February 2017 | Common Stock Including Additional Paid in Capital & Offering Costs
Common Stock Issuance [Roll Forward]
Issuance of stock				$ 147,662
April 2017 | Common Stock, Net
Common Stock Issuance [Roll Forward]
Issuance of stock (shares)				10,379,738
April 2017 | Common Stock Including Additional Paid in Capital & Offering Costs
Common Stock Issuance [Roll Forward]
Issuance of stock				$ 207,595
May 2017- Initial Public Offering | Common Stock, Net
Common Stock Issuance [Roll Forward]
Issuance of stock (shares)				11,787,500
May 2017- Initial Public Offering | Common Stock Including Additional Paid in Capital & Offering Costs
Common Stock Issuance [Roll Forward]
Issuance of stock				$ 219,356
August 2018 | Common Stock, Net
Common Stock Issuance [Roll Forward]
Issuance of stock (shares)			5,000,000
August 2018 | Common Stock Including Additional Paid in Capital & Offering Costs
Common Stock Issuance [Roll Forward]
Issuance of stock			$ 98,326
November 2018 | Common Stock, Net
Common Stock Issuance [Roll Forward]
Issuance of stock (shares)			500,000
November 2018 | Common Stock Including Additional Paid in Capital & Offering Costs
Common Stock Issuance [Roll Forward]
Issuance of stock			$ 9,351
[1]	Derived from the audited consolidated financial statements as of December 31, 2018.

Equity - Schedule of Dividends

Equity - Schedule of Dividends Declared (Details) - USD ($) $ / shares in Units, $ in Thousands

Jul. 15, 2019

Jun. 28, 2019

Jun. 14, 2019

Apr. 12, 2019

Mar. 29, 2019

Mar. 19, 2019

Jul. 13, 2018

Jun. 29, 2018

May 07, 2018

Apr. 13, 2018

Mar. 29, 2018

Mar. 12, 2018

Jul. 31, 2019

Jun. 30, 2019

Mar. 31, 2019

Jun. 30, 2018

Mar. 31, 2018

Jun. 30, 2019

Jun. 30, 2018

Dividends Payable [Line Items]

Dividend Declared per Share of Common Stock (usd per share)

$ 0.43

$ 0.43

$ 0.43

$ 0.40

$ 0.43

$ 0.43

$ 0.43

$ 0.40

$ 0.86

$ 0.83

Dividends declared

$ 24,688

$ 24,761

$ 22,804

$ 21,230

$ 49,449

$ 44,034

Dividends Payable, Date Declared

Jun. 14, 2019

Mar. 19, 2019

May 7, 2018

Mar. 12, 2018

Dividends Payable, Date of Record

Jun. 28, 2019

Mar. 29, 2019

Jun. 29, 2018

Mar. 29, 2018

Dividends Payable, Date to be Paid

Apr. 12, 2019

Jul. 13, 2018

Apr. 13, 2018

Subsequent Event

Dividends Payable [Line Items]

Dividends declared

$ 24,700

Dividends Payable, Date to be Paid

Jul. 15, 2019

Equity - Earnings Per Share (De

Equity - Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Numerator
Net income (loss) attributable to common stockholders	$ 17,381	$ 23,483	$ 42,086	$ 46,763
Denominator
Basic weighted average common shares outstanding (shares)	57,412,522	53,064,585	57,400,023	53,200,495
Dilutive restricted stock units (shares)	94,697	5,281	92,273	22,918
Diluted weighted average common shares outstanding (shares)	57,507,219	53,069,866	57,492,296	53,223,413
Net Income (Loss) Attributable to Common Stockholders
Basic common share (usd per share)	$ 0.30	$ 0.44	$ 0.73	$ 0.88
Diluted common share (usd per share)	$ 0.30	$ 0.44	$ 0.73	$ 0.88

Stock-based Compensation - Narr

Stock-based Compensation - Narrative (Details) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2019USD ($)	Jun. 30, 2018USD ($)	Jun. 30, 2019USD ($)periodshares	Jun. 30, 2018USD ($)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Weighted average period			1 year 1 month 6 days
Reduction of capital			$ 0.4
Common Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized stock based compensation expense	$ 6.1		$ 6.1
Shares delivered | shares			29,661
Restricted Stock Units (RSUs)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of consecutive vesting periods | period			3
Vesting period			1 year
Shares delivered | shares			48,898
General and Administrative Expense
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation expense	$ 1	$ 0.3	$ 2	$ 1.3
Director | Restricted Stock Units (RSUs)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period			1 year

Stock-based Compensation - Rest

Stock-based Compensation - Restricted Stock Unit Activity (Details) - Restricted Stock Units	6 Months Ended
	Jun. 30, 2019$ / sharesshares
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward]
Unvested, beginning balance (in shares) | shares	459,179
Units granted (in shares) | shares	12,832
Units vested (in shares) | shares	(48,898)
Units Forfeited/ cancelled (in shares) | shares	(4,861)
Unvested, ending balance (in shares) | shares	418,252
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract]
Unvested, beginning balance, weighted average grant date fair value (usd per share) | $ / shares	$ 19.33
Units granted, weighted average grant date fair value (usd per share) | $ / shares	20.26
Units vested, weighted average grant date fair value (usd per share) | $ / shares	20.46
Units Forfeited/ cancelled, weighted average grant date fair value (usd per share) | $ / shares	19.70
Unvested. ending balance, weighted average grant date fair value (usd per share) | $ / shares	$ 19.22

Stock-based Compensation - RSU

Stock-based Compensation - RSU Vesting (Details) - Restricted Stock Units - shares	Jun. 30, 2019	Dec. 31, 2018
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
2019	126,668
2020	175,743
2021	115,841
Total	418,252	459,179

Commitments and Contingencies (

Commitments and Contingencies (Details) - USD ($) $ in Millions	1 Months Ended	6 Months Ended
	Jan. 31, 2017	Jun. 30, 2019
Future Funding Commitment Related to Commercial Mortgage Loan Investments
Long-term Purchase Commitment [Line Items]
Capital commitment		$ 532.6
RECOP [Member] | Variable Interest Entity, Not Primary Beneficiary | Commitment to Invest in Aggregator Vehicle
Long-term Purchase Commitment [Line Items]
Capital commitment	$ 40	$ 4.1

Related Party Transactions - Na

Related Party Transactions - Narrative (Details)	1 Months Ended	3 Months Ended			6 Months Ended		12 Months Ended
	May 31, 2018USD ($)	Jun. 30, 2019USD ($)shares	Dec. 31, 2018USD ($)	Jun. 30, 2018USD ($)	Jun. 30, 2019USD ($)quartershares	Jun. 30, 2018USD ($)	Dec. 31, 2018USD ($)shares
Related Party Transaction [Line Items]
Affiliate fee		$ 5,853,000		$ 4,275,000	$ 11,458,000	$ 8,582,000
Management Incentive Plan
Related Party Transaction [Line Items]
Percent of issued and outstanding shares of common stock available for awards (no more than)					7.50%
Number of shares available for awards (shares) | shares		4,440,887			4,440,887
Non-Employee Director | Management Incentive Plan
Related Party Transaction [Line Items]
Maximum number of shares subject to award grants together with cash fees paid					$ 1,000,000
Maximum amount that can be paid to any participant pursuant to a performance compensation award					$ 10,000,000
Management Agreement
Related Party Transaction [Line Items]
Management agreement term					3 years
Period of automatic renewal under management agreement					1 year
Trailing average period applied to termination fee multiple under management agreement					24 months
Termination fee					3
Quarterly Management Fee
Related Party Transaction [Line Items]
Affiliate fee					$ 62,500
Management fee as a percent of weighted average adjusted equity (greater of)					0.375%
Quarterly Incentive Compensation
Related Party Transaction [Line Items]
Incentive compensation fee percent					20.00%
Period of adjusted earnings					12 months
Percent of trailing 12 month weighted average adjusted equity					7.00%
Period of weighted average adjusted equity					12 months
Number of quarters worth of compensation already paid | quarter					3
Restricted Stock Units
Related Party Transaction [Line Items]
Units granted (in shares) | shares					12,832
Restricted Stock Units | Management Incentive Plan
Related Party Transaction [Line Items]
Units granted (in shares) | shares					12,832		361,878
Common Stock | Management Incentive Plan
Related Party Transaction [Line Items]
Number of shares available for awards (shares) | shares		3,958,715			3,958,715
KCM | Structuring Fees in Connection with Revolver
Related Party Transaction [Line Items]
Affiliate fee		$ 800,000			$ 1,100,000
Structuring fee, percent					0.75%
Convertible Debt
Related Party Transaction [Line Items]
Affiliate fee		0			$ 1,500,000	$ 4,500,000
Convertible Debt | KCM
Related Party Transaction [Line Items]
Affiliate fee	$ 800,000						$ 800,000
Structuring fee, percent					0.75%
Amortization of deferred debt issuance costs and premium/discount on debt obligations							$ 5,100,000
Maximum commissions to be paid to sales agent as a percentage of gross sales price per share					2.00%
BMO[Member]
Related Party Transaction [Line Items]
Affiliate fee		$ 0			$ 200,000
Structuring fee, percent					0.35%
Collateralized Loan Obligations
Related Party Transaction [Line Items]
Placement agent fee			$ 900,000
Placement agent fee, percent			0.105%

Related Party Transactions - Ex

Related Party Transactions - Expenses Incurred and Amounts Owed to Affiliates (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018	Dec. 31, 2018
Related Party Transaction [Line Items]
Due to affiliates	$ 4,718		$ 4,718		$ 4,712
Affiliate expenses	5,853	$ 4,275	11,458	$ 8,582
Management fees
Related Party Transaction [Line Items]
Due to affiliates	4,288		4,288		4,330
Affiliate expenses	4,288	3,913	8,575	7,852
Incentive compensation
Related Party Transaction [Line Items]
Affiliate expenses	1,145	0	2,098	0
Expense reimbursements and other
Related Party Transaction [Line Items]
Due to affiliates	430		430		$ 382
Affiliate expenses	420	362	785	730
Out-of-pocket costs reimbursed
Related Party Transaction [Line Items]
Affiliate expenses	$ 600	$ 900	$ 1,100	$ 2,200

Fair Value of Financial Instr_3

Fair Value of Financial Instruments - Assets and Liabilities Recorded at Fair Value on Recurring Basis (Details) - USD ($) $ in Thousands	Jun. 30, 2019		Dec. 31, 2018
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents	$ 182,732	[1]	$ 86,531	[2]
Commercial mortgage loans, held-for-investment, net, carrying value	4,800,213		4,001,820	[2]
Equity method investments, at fair value	37,070		30,734	[2]
Commercial mortgage loans held in variable interest entities, carrying value	1,134,579		1,092,986	[2]
Total Assets	6,184,905		5,231,845	[2]
Secured financing agreements, net, principal balance	2,906,013
Secured financing agreements, net, carrying value	2,892,199		1,951,049	[2]
Collateralized loan obligation, net, carrying value	801,860		800,346	[2]
Convertible notes, net	138,376		137,688	[2]
Loan participations sold, net, carrying value	65,000		85,465	[2]
Variable interest entity liabilities, carrying value	1,124,178		1,080,255	[2]
Total Liabilities	5,060,870		4,096,657	[2]
Liabilities, fair value	1,936,903
Unamortized origination discounts and deferred nonrefundable fees	28,000		24,900
Unamortized debt issuance costs	8,300		9,200
CLO loan participation	4,800,213		4,001,820
Fair Value, Measurements, Recurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents	182,732		86,531
Cash and cash equivalents, fair value	182,732		86,531
Commercial mortgage loans, held-for-investment, net, principal balance	4,828,204		4,026,713
Commercial mortgage loans, held-for-investment, net, carrying value	4,800,213		4,001,820
Commercial mortgage loans, held-for-investment, net, fair value	4,803,942		4,007,316
Equity method investments	37,070		30,734
Equity method investments, at fair value	37,070		30,734
Commercial mortgage loans held in variable interest entities, principal balance	1,101,156		1,127,926
Commercial mortgage loans held in variable interest entities, carrying value	1,134,579		1,092,986
Commercial mortgage loans held in variable interest entities, fair value	1,134,579		1,092,986
Assets, principal balance	6,149,162		5,271,904
Total Assets	6,154,594		5,212,071
Assets, fair value	6,158,323		5,217,567
Secured financing agreements, net, principal balance	2,906,013		1,965,675
Secured financing agreements, net, carrying value	2,892,199		1,951,049
Secured financing agreements, net, fair value	2,906,013		1,965,675
Collateralized loan obligation, net, principal balance	810,000
Collateralized loan obligation, net, carrying value	801,860
Collateralized loan obligation, net, fair value	812,725		810,000
Convertible notes, principal balance	143,750		143,750
Convertible notes, net	138,376		137,688
Convertible notes, net, fair value	149,036		142,107
Loan participations sold, net, principal balance			85,880
Loan participations sold, net, carrying value			85,465
Loan participations sold, net, fair value	65,000		85,295
Variable interest entity liabilities, principal balance	1,066,214		1,092,984
Variable interest entity liabilities, carrying value	1,124,178		1,080,255
Variable interest entity liabilities, fair value	1,124,178		1,080,255
Liabilities, principal balance	4,990,977		4,098,289
Total Liabilities	5,021,613		4,054,803
Liabilities, fair value	5,056,952		4,083,332
Fair Value, Measurements, Recurring | Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents, fair value	182,732		86,531
Commercial mortgage loans, held-for-investment, net, fair value	0		0
Equity method investments, at fair value	0		0
Commercial mortgage loans held in variable interest entities, fair value	0		0
Assets, fair value	182,732		86,531
Secured financing agreements, net, fair value	0		0
Collateralized loan obligation, net, fair value	0		0
Convertible notes, net, fair value	149,036		142,107
Loan participations sold, net, fair value	0		0
Variable interest entity liabilities, fair value	0		0
Liabilities, fair value	149,036		142,107
Fair Value, Measurements, Recurring | Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents, fair value	0		0
Commercial mortgage loans, held-for-investment, net, fair value	0		0
Equity method investments, at fair value	0		0
Commercial mortgage loans held in variable interest entities, fair value	0		0
Assets, fair value	0		0
Secured financing agreements, net, fair value	0		0
Collateralized loan obligation, net, fair value	0		0
Convertible notes, net, fair value	0		0
Loan participations sold, net, fair value	0		0
Variable interest entity liabilities, fair value	0		0
Liabilities, fair value	0		0
Fair Value, Measurements, Recurring | Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents, fair value	0		0
Commercial mortgage loans, held-for-investment, net, fair value	4,803,942		4,007,316
Equity method investments, at fair value	37,070		30,734
Commercial mortgage loans held in variable interest entities, fair value	1,134,579		1,092,986
Assets, fair value	5,975,591		5,131,036
Secured financing agreements, net, fair value	2,906,013		1,965,675
Collateralized loan obligation, net, fair value	812,725		810,000
Convertible notes, net, fair value	0		0
Loan participations sold, net, fair value	65,000		85,295
Variable interest entity liabilities, fair value	1,124,178		1,080,255
Liabilities, fair value	4,907,916		3,941,225
Collateralized Mortgage Obligations [Member] | Fair Value, Measurements, Recurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Collateralized loan obligation, net, principal balance			810,000
Collateralized loan obligation, net, carrying value			800,346
Commercial Mortgage Loan
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Unamortized debt issuance costs	13,800		14,600
Collateralized Loan Obligations
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Commercial mortgage loans, held-for-investment, net, carrying value	958,000		1,000,000
Unamortized debt issuance costs	8,100		9,700
Pari Passu Loan Syndication
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Commercial mortgage loans, held-for-investment, net, carrying value	65,000
Commercial mortgage loans, held-for-investment, net, fair value	65,000
Loan participations sold, net, principal balance	65,000
Loan participations sold, net, carrying value	$ 65,000
Senior Participation Loan
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Loan participations sold, net, carrying value			85,465
CLO loan participation			85,600
Mortgage loans on real estate, fair value			$ 85,300
[1]	Includes $42.0 million held in collateralized loan obligation as of June 30, 2019 (See Note 5 ).
[2]	Derived from the audited consolidated financial statements as of December 31, 2018.

Fair Value of Financial Instr_4

Fair Value of Financial Instruments - Unobservable Input Reconciliation (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2019USD ($)
Net
Beginning balance	$ 12,731
Unrealized gain (loss) included in change in net assets related to CMBS consolidated VIEs	(2,330)
Sales/Repayments/Deconsolidation	0
Other	0
Ending balance	10,401
Variable Interest Entity, Primary Beneficiary
Liabilities
Beginning balance	1,080,255
Unrealized gain (loss) included in change in net assets related to CMBS consolidated VIEs	70,776
Sales/Repayments/Deconsolidation	(26,770)
Other	(83)
Ending balance	1,124,178
Variable Interest Entity, Primary Beneficiary | Commercial Mortgage Loans Held in Variable Interest Entities, at Fair Value
Assets
Beginning balance	1,092,986
Unrealized gain (loss) included in change in net assets related to CMBS consolidated VIEs	68,446
Sales/Repayments/Deconsolidation	(26,770)
Other	(83)
Ending balance	$ 1,134,579

Fair Value of Financial Instr_5

Fair Value of Financial Instruments - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Schedule of Equity Method Investments [Line Items]
Contributions to equity method investment			$ 6,245	$ 8,000
Income from equity method investments	$ 868	$ 789	1,993	$ 1,337
RECOP [Member]
Schedule of Equity Method Investments [Line Items]
Contributions to equity method investment			6,200
Proceeds received on distributions			1,400
Income from equity method investments			$ 1,500

Fair Value of Financial Instr_6

Fair Value of Financial Instruments - Unobservable Inputs (Details) $ in Thousands	Jun. 30, 2019USD ($)	May 31, 2019USD ($)	Dec. 31, 2018USD ($)	[1]
Fair Value Inputs, Assets, Quantitative Information [Line Items] (Deprecated 2018-01-31)
Liabilities, fair value	$ 1,936,903
Equity method investments, at fair value	37,070		$ 30,734
Mortgage loan syndicated	65,000		$ 85,465
Level 3 | Discounted Cash Flow
Fair Value Inputs, Assets, Quantitative Information [Line Items] (Deprecated 2018-01-31)
Equity method investments, at fair value	36,800
CMBS
Fair Value Inputs, Assets, Quantitative Information [Line Items] (Deprecated 2018-01-31)
Assets, fair value	5,938,521
CMBS | Loans held-for-investment
Fair Value Inputs, Assets, Quantitative Information [Line Items] (Deprecated 2018-01-31)
Commercial mortgage loans, held-for-investment, net	4,803,942
CMBS | Variable Interest Entities, CMBS
Fair Value Inputs, Assets, Quantitative Information [Line Items] (Deprecated 2018-01-31)
Commercial mortgage loans held in variable interest entities, at fair value	$ 1,134,579
CMBS | Loan-to-Value Ratio | Level 3 | Minimum | Discounted Cash Flow | Loans held-for-investment
Fair Value Inputs, Assets, Quantitative Information [Line Items] (Deprecated 2018-01-31)
Weighted average, measurement	0.317
CMBS | Loan-to-Value Ratio | Level 3 | Maximum | Discounted Cash Flow | Loans held-for-investment
Fair Value Inputs, Assets, Quantitative Information [Line Items] (Deprecated 2018-01-31)
Weighted average, measurement	0.893
CMBS | Loan-to-Value Ratio | Level 3 | Weighted Average | Discounted Cash Flow | Loans held-for-investment
Fair Value Inputs, Assets, Quantitative Information [Line Items] (Deprecated 2018-01-31)
Weighted average, measurement	0.690
CMBS | Discount Rate | Level 3 | Minimum | Discounted Cash Flow | Loans held-for-investment
Fair Value Inputs, Assets, Quantitative Information [Line Items] (Deprecated 2018-01-31)
Weighted average, measurement	0.034
CMBS | Discount Rate | Level 3 | Maximum | Discounted Cash Flow | Loans held-for-investment
Fair Value Inputs, Assets, Quantitative Information [Line Items] (Deprecated 2018-01-31)
Weighted average, measurement	0.127
CMBS | Discount Rate | Level 3 | Weighted Average | Discounted Cash Flow | Loans held-for-investment
Fair Value Inputs, Assets, Quantitative Information [Line Items] (Deprecated 2018-01-31)
Weighted average, measurement	0.059
CMBS | Yield | Level 3 | Minimum | Discounted Cash Flow | Variable Interest Entities, CMBS
Fair Value Inputs, Assets, Quantitative Information [Line Items] (Deprecated 2018-01-31)
Weighted average, measurement	0.021
CMBS | Yield | Level 3 | Maximum | Discounted Cash Flow | Variable Interest Entities, CMBS
Fair Value Inputs, Assets, Quantitative Information [Line Items] (Deprecated 2018-01-31)
Weighted average, measurement	0.551
CMBS | Yield | Level 3 | Weighted Average | Discounted Cash Flow | Variable Interest Entities, CMBS
Fair Value Inputs, Assets, Quantitative Information [Line Items] (Deprecated 2018-01-31)
Weighted average, measurement	0.075
Collateralized Loan Obligation, Net | Long-term Debt
Fair Value Inputs, Assets, Quantitative Information [Line Items] (Deprecated 2018-01-31)
Collateralized loan obligation, net, fair value	$ 812,725
Collateralized Loan Obligation, Net | Yield | Level 3 | Minimum | Discounted Cash Flow | Long-term Debt
Fair Value Inputs, Assets, Quantitative Information [Line Items] (Deprecated 2018-01-31)
Weighted average, measurement	0.026
Collateralized Loan Obligation, Net | Yield | Level 3 | Maximum | Discounted Cash Flow | Long-term Debt
Fair Value Inputs, Assets, Quantitative Information [Line Items] (Deprecated 2018-01-31)
Weighted average, measurement	0.041
Collateralized Loan Obligation, Net | Yield | Level 3 | Weighted Average | Discounted Cash Flow | Long-term Debt
Fair Value Inputs, Assets, Quantitative Information [Line Items] (Deprecated 2018-01-31)
Weighted average, measurement	0.029
Variable Interest Entities, Liabilities | Variable Interest Entities, Liabilities
Fair Value Inputs, Assets, Quantitative Information [Line Items] (Deprecated 2018-01-31)
Variable interest entity liabilities, fair value	$ 1,124,178
Variable Interest Entities, Liabilities | Yield | Level 3 | Minimum | Discounted Cash Flow | Variable Interest Entities, Liabilities
Fair Value Inputs, Assets, Quantitative Information [Line Items] (Deprecated 2018-01-31)
Weighted average, measurement	0.021
Variable Interest Entities, Liabilities | Yield | Level 3 | Maximum | Discounted Cash Flow | Variable Interest Entities, Liabilities
Fair Value Inputs, Assets, Quantitative Information [Line Items] (Deprecated 2018-01-31)
Weighted average, measurement	0.114
Variable Interest Entities, Liabilities | Yield | Level 3 | Weighted Average | Discounted Cash Flow | Variable Interest Entities, Liabilities
Fair Value Inputs, Assets, Quantitative Information [Line Items] (Deprecated 2018-01-31)
Weighted average, measurement	0.045
Pari Passu Loan Syndication
Fair Value Inputs, Assets, Quantitative Information [Line Items] (Deprecated 2018-01-31)
Mortgage loan syndicated	$ 65,000	$ 65,000
[1]	Derived from the audited consolidated financial statements as of December 31, 2018.

Income Taxes (Details)

Income Taxes (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018	Dec. 31, 2018
Income Tax Disclosure [Abstract]
Income tax expense (benefit)	$ 280,000	$ (33,000)	$ 289,000	$ 142,000
Deferred tax assets, net	0		0		$ 0
Deferred tax liabilities, net	$ 0		$ 0		$ 0

Subsequent Events - Schedule of

Subsequent Events - Schedule of Senior Notes (Details) - USD ($) $ in Thousands	Aug. 01, 2019	Jun. 30, 2019	Dec. 31, 2018
Subsequent Event [Line Items]
Initial Face Amount Funded		$ 4,800,213	$ 4,001,820
Chicago, IL | Senior loans | Subsequent Event
Subsequent Event [Line Items]
Maximum Face Amount	$ 170,000
Initial Face Amount Funded	$ 119,100
LTV	59.00%
LIBOR
Subsequent Event [Line Items]
Interest rate spread		2.40%	2.50%
LIBOR | Chicago, IL | Senior loans | Subsequent Event
Subsequent Event [Line Items]
Interest rate spread	3.20%

Subsequent Events - Narrative (

Subsequent Events - Narrative (Details) - USD ($) $ / shares in Units, $ in Thousands

Aug. 01, 2019

Jun. 28, 2019

Jun. 14, 2019

Mar. 29, 2019

Mar. 19, 2019

Jun. 29, 2018

May 07, 2018

Mar. 29, 2018

Mar. 12, 2018

Jul. 31, 2019

Jun. 30, 2019

Jun. 30, 2018

Subsequent Event [Line Items]

Funding for loans

$ 1,784,773

$ 1,002,490

Proceeds from sale/syndication and principal repayments of commercial mortgage loans, held-for-investment

968,118

54,060

Dividends paid

$ 24,688

$ 24,761

$ 22,804

$ 21,230

$ 49,449

$ 44,034

Dividends Payable, Date of Record

Jun. 28, 2019

Mar. 29, 2019

Jun. 29, 2018

Mar. 29, 2018

Subsequent Event

Subsequent Event [Line Items]

Proceeds from sale/syndication and principal repayments of commercial mortgage loans, held-for-investment

$ 4,400

Dividends paid

$ 24,700

Dividend paid (usd per share)

$ 0.43

Senior loans | Subsequent Event

Subsequent Event [Line Items]

Funding for loans

32,000

Secured Financing Agreements | Subsequent Event

Subsequent Event [Line Items]

Principal borrowings

$ 98,100