Financial Data and Key Metrics Changes - For Q3 2025, the company reported a net income of $1.12 per diluted share, an increase from $0.74 per diluted share in Q3 2024, attributed to unrealized gains on preferred stock and stock warrant investments [4] - Earnings available for distribution decreased to $0.51 per diluted share in Q3 2025 from $0.75 per diluted share in Q3 2024 [4] - Cash available for distribution also declined to $0.53 per diluted share in Q3 2025 from $0.67 per diluted share in Q3 2024 [5] - The company declared a regular dividend of $0.50 per share for Q3 2025, which was 1.06 times covered by cash available for distribution [5] - Book value per share increased by 8% from Q2 2025 to $18.79 per diluted share, primarily due to unrealized gains on preferred stock investments and stock warrants [5] Business Line Data and Key Metrics Changes - The portfolio consists of 88 investments with a total outstanding balance of $1.1 billion, allocated as follows: 47.3% multifamily, 33.9% life sciences, 15.9% single-family rental, 1.8% storage, and 1.1% marina [6] - The fixed income portfolio is allocated as follows: 27% CMBS B pieces, 26.5% mezzanine loans, 18.6% preferred equity investments, 12.4% revolving credit facilities, 10% senior loans, 4.2% IO strips, and 1.3% promissory notes [6] Market Data and Key Metrics Changes - The assets collateralizing investments are geographically allocated with 28.1% in Massachusetts, 15.5% in Texas, 8% in Georgia, and smaller percentages in California, Maryland, and Florida, reflecting a preference for Sunbelt markets [7] - The collateral on the portfolio is 87.4% stabilized, with a loan-to-value ratio of 54.9% and a weighted average debt service coverage ratio (DSCR) of 1.41 times [8] Company Strategy and Development Direction - The company is launching a Series C Preferred offering of $200 million at an 8% coupon, continuing to deploy capital at spreads of 400 basis points plus the cost of this capital [9] - The company is focused on maintaining a low leverage profile, which allows for various capital options to pursue growth opportunities [18] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism regarding the rental market outlook, anticipating positive revenue growth in 2026 for the first time in several years [12] - The life sciences sector is showing signs of stabilization with a significant lease signed with Lila Sciences, which is expected to drive leasing momentum [17][22] - The multifamily sector is expected to see new lease growth inflecting in major markets, with optimism for transaction volumes to increase dramatically in 2026 [36] Other Important Information - The company funded $42.5 million on a life sciences preferred and $6.5 million on a loan with a monthly coupon of SOFR +900 basis points during the quarter [5] - The company sold a multifamily property for $60 million, resulting in a $3.7 million gain [6] Q&A Session Summary Question: Updated view on the life sciences sector - Management noted that distress in the life sciences sector primarily affects projects capitalized shortly after COVID, while their investments are focused on first-to-fill assets in strong markets [21][22] Question: Thoughts on multifamily supply and bridge lending - Management acknowledged softness in the bridge lending space due to floating-rate loans originated in 2021-2022 but expressed optimism for new lease growth in constrained supply markets [35][36]

Financial Data and Key Metrics Changes - For Q3 2025, the company reported GAAP net income of $0.37 per share and distributable earnings (DE) of $0.24 per share, with DE prior to charge-offs at $0.48 per share, an increase of $0.03 from the prior quarter [4][15] - The book value remained stable at $20.99 per share, reflecting strong credit performance and loan resolutions executed above carrying values [16][17] - The company repurchased $16 million of common stock in Q3 at an average price of $18.69, and an additional $61 million in Q4, totaling nearly $140 million since the buyback program began in 2024 [16][18] Business Line Data and Key Metrics Changes - The company closed $1 billion in total investments during Q3, with 75% concentrated in multifamily and diversified industrial portfolios, and over 60% in international markets [9][10] - The loan portfolio is now 96% performing, with the impaired loan balance down 71% from last year's peak [13] - The company expects to close over $7 billion in new investments this year, diversifying the portfolio and enhancing credit composition [12] Market Data and Key Metrics Changes - Real estate fundamentals remain strong, with stable or improving demand and constrained new supply [6] - The company collected $1.6 billion in repayments during Q3, including significant repayments from large loans [12] - The San Francisco market is showing signs of recovery, with multifamily rents up 10% and office demand growing [13][14] Company Strategy and Development Direction - The company is focused on optimizing its balance sheet and enhancing competitiveness through improved cost of capital [5][7] - The strategy includes a deliberate rotation into sectors and markets best positioned in the current environment, leveraging a robust investment pipeline [12] - The company aims to capitalize on the recovery in market conditions and the return of liquidity to the CRE markets [6][24] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ongoing recovery of the real estate credit market, noting improved credit quality and a robust pipeline of opportunities [36][42] - The company is not seeing spillover effects from broader economic weaknesses into the CRE market, indicating a more battle-tested environment [36] - Management remains optimistic about the potential for earnings uplift from the REO and impaired loan portfolios [47] Other Important Information - The company has a strong liquidity position of $1.3 billion and over $7 billion of available financing capacity [17] - The company has been active in refinancing and extending corporate debt, taking advantage of favorable capital market conditions [14][18] Q&A Session Summary Question: Can you provide more color on the recovery in transaction activity and liquidity in the CRE markets? - Management noted that liquidity has returned to both the U.S. and Europe, with a stronger recovery in the U.S. driven by a more established CMBS market [24] Question: What is the potential earnings uplift from the REO portfolio? - Management indicated that while specific numbers were not provided, there is significant opportunity to drive additional earnings as the portfolio is turned over [26] Question: How do you see the balance between originating new loans versus share buybacks? - Management stated that they continuously evaluate both options and have been active in buybacks when stock is trading at attractive levels [30] Question: What are the current fundamentals in the office market? - Management reported stability and improvement in the office market, with several upgrades in their office loans driven by increased leasing activity [54]

Financial Data and Key Metrics Changes - The company reported GAAP net income of $0.37 per share and distributable earnings (DE) of $0.24 per share for Q3 2025, with DE prior to charge-offs at $0.48 per share, an increase of $0.03 from the prior quarter [4][15][16] - Book value remained stable at $20.99 per share, reflecting strong credit performance and loan resolutions executed above carrying values [16][17] - The company repurchased $16 million of common stock in Q3 at an average price of $18.69, with an additional $61 million repurchased in Q4 [16][17] Business Line Data and Key Metrics Changes - Total investments in Q3 amounted to $1 billion, with loan originations concentrated in multifamily and diversified industrial portfolios, making up 75% of the total [9][10] - The net lease portfolio grew to $222 million, with $90 million invested across 60 properties in Q3 [10] - The loan portfolio is now 96% performing, with impaired loan balance down 71% from last year's peak [13] Market Data and Key Metrics Changes - The company collected $1.6 billion in repayments during Q3, including significant loans secured by multifamily assets and international properties [12] - Real estate fundamentals remain strong, with stable or improving demand and constrained new supply [6] - The company expects to close over $7 billion in new investments this year, diversifying its portfolio and enhancing credit composition [12] Company Strategy and Development Direction - The company is focused on capitalizing on the recovery in market conditions and optimizing its balance sheet [5][6] - There is a strong emphasis on maintaining a competitive cost of capital and enhancing investment activity across various channels and geographies [5][6] - The leadership transition is expected to continue the momentum of the business, with a focus on capturing opportunities in the current investment environment [21][22] Management's Comments on Operating Environment and Future Outlook - Management noted that the real estate credit market is in recovery mode, with improved credit quality and no new impairments [38] - The company is optimistic about the ongoing recovery in the office market, with stability and improvement observed [55] - Management expressed confidence in the ability to unlock earnings potential from the REO and impaired loan portfolios [49][51] Other Important Information - The company has a strong liquidity position of $1.3 billion and over $7 billion in available financing capacity [17] - The company has been actively optimizing its cost of capital, reducing spreads on corporate term loans and taking advantage of favorable market conditions [19] Q&A Session Summary Question: Can you provide more color on the recovery in transaction activity and liquidity in the CRE markets? - Management indicated that liquidity has returned to both the U.S. and Europe, with a stronger recovery observed in the U.S. due to a more established CMBS market [25][26] Question: What is the potential earnings uplift from the REO portfolio? - Management stated that while specific numbers were not provided, there is significant potential to drive additional earnings as the REO assets are turned over [27] Question: How do you see the balance between originating new loans versus share buybacks? - Management emphasized a dynamic analysis of capital deployment, considering both new loans and share buybacks based on market conditions [30][31] Question: Are there any spillover effects into the CRE market from broader economic weaknesses? - Management noted that the real estate credit market has already been tested and is currently in recovery, with no significant deterioration observed [38] Question: How do you view the pace of net deployment and target leverage levels? - Management expressed confidence in maintaining a healthy pace of repayments and new investments, with current leverage at 3.5 times, which is within their target range [44][46] Question: What are the key levers to cover the dividend? - Management highlighted the importance of unlocking earnings from the REO and impaired loan portfolios as a key driver for covering the dividend [49][51]

Financial Data and Key Metrics Changes - For Q3 2025, the company reported GAAP net income of $0.37 per share and distributable earnings (DE) of $0.24 per share, with DE prior to charge-offs at $0.48 per share, an increase of $0.03 from the prior quarter [15][3][4] - The book value remained stable at $20.99 per share, reflecting strong credit performance and loan resolutions executed above carrying values [16][17] - The company provided an 8% annualized economic return to stockholders this quarter, covering the $0.47 dividend [16] Business Line Data and Key Metrics Changes - The company closed $1 billion in total investments during Q3, with 75% concentrated in multifamily and diversified industrial portfolios, and over 60% in international markets [9][10] - The loan portfolio is now 96% performing, with impaired loan balance down 71% from last year's peak [13] - The company collected $1.6 billion in repayments this quarter, including significant loans secured by multifamily assets and international properties [12] Market Data and Key Metrics Changes - Real estate fundamentals remain strong, with stable or improving demand and constrained new supply [5] - The company noted increasing liquidity and transaction activity, with SASB CMBS on track for a record issuance year [5] - The San Francisco market is showing signs of recovery, with multifamily rents up 10% and office demand growing [13] Company Strategy and Development Direction - The company is focused on optimizing its balance sheet and enhancing competitiveness through improved terms on financing [4] - The strategy includes diversifying the portfolio and enhancing credit composition by rotating into sectors best positioned in the current environment [12] - The company aims to capitalize on the recovery in market conditions and has a robust investment pipeline of $1.7 billion [5][12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ongoing recovery of the real estate credit market, indicating that it has been battle-tested and is now in recovery mode [36] - The company expects earnings to benefit from capital redeployment and resolutions of impaired loans [15] - Management highlighted the importance of maintaining a long-term view on dividends and unlocking earnings potential from the REO and impaired loan portfolio [45] Other Important Information - The company repurchased $16 million of common stock in Q3 at an average price of $18.69, significantly below book value, and has accelerated buybacks in Q4 [16][18] - The company has a strong liquidity position of $1.3 billion and over $7 billion of available financing capacity [17] Q&A Session Summary Question: Can you provide more color on the recovery in transaction activity and liquidity in the CRE markets? - Management noted that liquidity has returned to both U.S. and European markets, with a stronger recovery in the U.S. due to a more established CMBS market [25][26] Question: What is the potential earnings uplift from the REO portfolio? - Management indicated that while specific numbers were not provided, there is significant opportunity to drive additional earnings as the REO assets are turned over [27] Question: How do you see the balance between originating new loans versus share buybacks? - Management stated that they continuously evaluate both options and have been active in buybacks when stock is trading at attractive levels [30] Question: What are the current fundamentals in the office market? - Management reported stability and improvement in the office market, with six office loans upgraded this quarter, driven by increased leasing activity [49]

Financial Data and Key Metrics Changes - The company generated distributable earnings of $32.1 million or $0.25 per share, achieving a return on equity of 8.3% with adjusted leverage of 1.7x [3][10] - The loan portfolio grew by approximately $354 million to $1.9 billion, representing 40% of total assets [4][15] - The securities portfolio totaled $1.9 billion, also representing 40% of total assets, with a weighted average yield of 5.7% [16] Business Line Data and Key Metrics Changes - Loan origination activity accelerated with $511 million of new loans across 17 transactions, marking the highest quarterly origination volume in over three years [3][4] - The real estate portfolio generated $15.1 million in net operating income during the third quarter, primarily consisting of net lease properties with long-term leases [6][16] - The company closed its inaugural $500 million investment-grade bond offering at a rate of 5.5%, which was the tightest new issuance spread in its history [7][10] Market Data and Key Metrics Changes - The company reduced office loan exposure to $652 million, or 14% of total assets, following the full payoff of its third-largest office loan [4][15] - Approximately 50% of the remaining office loan portfolio consists of two well-performing loans secured by prime properties in Miami [4] Company Strategy and Development Direction - The company aims to capitalize on investment opportunities while maintaining prudent credit risk management, expecting fourth-quarter loan originations to exceed third-quarter production [8][20] - The management plans to position the company alongside high-quality peers, including equity REITs, rather than solely within the commercial mortgage REIT space [8][19] - The focus will be on organic growth of the loan portfolio, with expectations of adding $1 billion to $2 billion of assets net on the balance sheet [40] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the stability of credit performance and the potential for continued earnings growth [3][8] - The company anticipates favorable market conditions as it heads into 2026, with expectations of a steeper yield curve and more regular contributions to securitizations [20][21] - The management highlighted the importance of maintaining or improving investment-grade ratings to optimize capital management [18][19] Other Important Information - The company maintains $879 million in liquidity, including $49 million in cash and $830 million of undrawn capacity on its unsecured revolver [7][11] - The undepreciated book value per share was $13.71, net of a $0.41 per share CFO reserve [12] - The company declared a $0.23 per share dividend, with a current dividend yield of approximately 8.5% [13][14] Q&A Session Summary Question: Are there any changes in loan origination since obtaining the investment-grade rating? - Management noted a focus on slightly larger transactions and improved stability in financing, leading to more profitable lending opportunities [24] Question: Were there any construction loans or large CapEx projects in the recent origination? - Management clarified that they generally do not write construction loans and that the portfolio remains focused on industrial and multifamily assets [27][28] Question: What is the outlook for growth in the loan portfolio? - Management expects the loan portfolio to grow by approximately $1 billion, driven by a strong origination pipeline and favorable market conditions [34][35] Question: Is improving ROE part of the strategy for the next one to two years? - Management confirmed that the plan includes writing more loans and optimizing the cost of funds, which should positively impact ROE [38] Question: Will the company consider launching a securities fund? - Management indicated that while they have explored this option in the past, their current focus remains on the commercial mortgage business [58][59] Question: How is the New York office equity investment performing? - Management expressed satisfaction with the investment, noting significant leasing progress and plans for potential future involvement in the debt side of the project [61][63]

Financial Data and Key Metrics Changes - The company generated distributable earnings of $32.1 million or $0.25 per share, achieving a return on equity of 8.3% with adjusted leverage of 1.7 times [3][10] - The loan portfolio grew by approximately $354 million to $1.9 billion, representing 40% of total assets [4][15] - The securities portfolio totaled $1.9 billion, also representing 40% of total assets, with a weighted average yield of 5.7% [16] Business Line Data and Key Metrics Changes - Loan origination activity accelerated with $511 million of new loans across 17 transactions, marking the highest quarterly origination volume in over three years [3][4] - The real estate portfolio generated $15.1 million in net operating income during the third quarter, primarily consisting of net lease properties with long-term leases [6][16] - The company closed its inaugural $500 million investment-grade bond offering at a rate of 5.5%, which was the tightest new issuance spread in its history [7][10] Market Data and Key Metrics Changes - The company reduced office loan exposure to $652 million, or 14% of total assets, following the full payoff of its third-largest office loan [4][15] - Approximately 50% of the remaining office loan portfolio consists of two well-performing loans secured by prime properties in Miami [4] Company Strategy and Development Direction - The company aims to capitalize on investment opportunities while maintaining prudent credit risk management, expecting fourth-quarter loan originations to exceed third-quarter production [8][20] - The management plans to focus on organic growth of the loan portfolio, with expectations to increase the loan portfolio to around $3.4 billion [34][41] - The company is positioning itself alongside high-quality peers, including equity REITs, rather than solely within the commercial mortgage REIT space [8][19] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the strength of the company's investment-grade balance sheet and disciplined use of unsecured debt, which positions it well for future growth [8][11] - The company anticipates that the yield curve will steepen next year, potentially leading to more regular contributions to securitizations [20] - Management noted that the current market conditions favor the company's business model as it heads into 2026 [21] Other Important Information - The company maintains $879 million in liquidity, including $49 million in cash and $830 million of undrawn capacity on its unsecured revolver [7][11] - The company repurchased $1.9 million of common stock in the third quarter, with a total of $9.3 million repurchased year-to-date [12][13] Q&A Session Summary Question: Are there any changes in origination strategy post investment-grade rating? - Management indicated a focus on slightly larger transactions and better quality assets, with no wholesale changes in strategy [24] Question: Any construction loans or large CapEx projects in the recent origination? - Management clarified that there were no construction loans in the recent portfolio, focusing instead on industrial and multifamily assets [27] Question: What is the growth outlook for the $1.9 billion loan portfolio? - Management expects the loan portfolio to grow by approximately $1 billion, with a strong origination quarter leading to increased activity [34] Question: Is improving ROE part of the strategy for the next one to two years? - Management confirmed that the plan includes writing more loans and optimizing the capital structure to improve ROE [38] Question: Will the company consider launching a securities fund? - Management acknowledged past considerations but emphasized a focus on the commercial mortgage business over residential [60] Question: How is the New York office equity investment performing? - Management reported positive developments in the investment, with the building now over 90% leased [63][66]

Financial Data and Key Metrics Changes - Ladder generated distributable earnings of $32.1 million or $0.25 per share, achieving a return on equity of 8.3% with adjusted leverage of 1.7 times [3][10] - The loan portfolio grew by approximately $354 million to $1.9 billion, representing 40% of total assets [4][14] - The company maintained $879 million in liquidity, including $49 million in cash and $830 million of undrawn capacity on its unsecured revolver [8][11] Business Line Data and Key Metrics Changes - Loan origination activity accelerated with $511 million of new loans across 17 transactions, marking the highest quarterly origination volume in over three years [3][4] - The securities portfolio totaled $1.9 billion, with a weighted average yield of 5.7%, of which 99% was investment-grade and 96% was AAA-rated [15] - The real estate portfolio generated $15.1 million in net operating income during the third quarter, primarily consisting of net lease properties with long-term leases [5][15] Market Data and Key Metrics Changes - The company successfully closed its inaugural $500 million investment-grade bond offering at a rate of 5.5%, representing the tightest new issuance spread in Ladder's history [6][10] - As of quarter end, 75% of Ladder's debt consisted of unsecured corporate bonds, with a weighted average remaining term of four years [10][11] Company Strategy and Development Direction - Ladder aims to capitalize on investment opportunities while maintaining prudent credit risk management, expecting fourth quarter loan originations to exceed third quarter production [8][9] - The company plans to position itself alongside high-quality peers, including equity REITs, rather than solely within the commercial mortgage REIT space [8][9] - The focus will be on organic growth of the loan portfolio, with expectations of adding $1 billion to $2 billion of assets net on the balance sheet [32][39] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the stability of credit performance and the quality of assets being originated, indicating a favorable lending environment [40] - The company anticipates that the yield curve will steepen next year, which could lead to more regular contributions to securitizations [19] - Management noted that the stock price has been affected by broader market concerns around private credit, but they believe the dividend remains stable and the asset base continues to improve [13][19] Other Important Information - Ladder's undepreciated book value per share was $13.71, net of a $0.41 per share CFO reserve [12] - The company repurchased $1.9 million of common stock in the third quarter, with $91.5 million remaining outstanding on its stock repurchase program [12] Q&A Session Summary Question: Are there any changes in origination strategy post investment-grade rating? - Management indicated they are looking at slightly larger transactions and noted improved stability in financing, leading to more profitable outcomes [22][23] Question: Is there growth expected in the $1.9 billion loan portfolio? - Management expects the loan portfolio to grow by approximately $1 billion, with a strong origination quarter leading to increased borrower interest [30][32] Question: Will improving ROE be part of the strategy in the next one to two years? - Management confirmed that the plan includes writing more loans and optimizing the capital structure to improve ROE [35][36] Question: Are there plans to launch a securities fund? - Management acknowledged past considerations for launching a securities fund but emphasized a focus on the commercial mortgage business over residential [57][59] Question: How is the New York office equity investment performing? - Management reported positive developments in the investment, with the building now over 90% leased and plans for further similar investments [61][63]

Financial Data and Key Metrics Changes - Ladder generated distributable earnings of $32.1 million or $0.25 per share, achieving a return on equity of 8.3% with adjusted leverage of 1.7 times [4][12] - The loan portfolio grew by approximately $354 million to $1.9 billion, representing 40% of total assets [5][17] - The company maintained $879 million in liquidity, including $49 million in cash and $830 million of undrawn capacity on its unsecured revolver [10][14] Business Line Data and Key Metrics Changes - Loan origination activity accelerated with $511 million of new loans across 17 transactions, marking the highest quarterly origination volume in over three years [5][6] - The securities portfolio totaled $1.9 billion, with a weighted average yield of 5.7%, of which 99% was investment grade and 96% was AAA rated [19] - The real estate portfolio generated $15.1 million in net operating income during the third quarter, primarily consisting of net lease properties with long-term leases [7][19] Market Data and Key Metrics Changes - Office loan exposure was reduced to $652 million, or 14% of total assets, following the full payoff of a $63 million office loan [5][6] - The company closed its inaugural $500 million investment grade bond offering at a rate of 5.5%, which was the tightest new issuance spread in Ladder's history [8][9] Company Strategy and Development Direction - Ladder aims to capitalize on investment opportunities while maintaining prudent credit risk management, with expectations for fourth quarter loan originations to exceed third quarter production [10][11] - The company plans to position itself alongside high-quality peers, including equity REITs, rather than solely within the commercial mortgage REIT space [11][12] - The focus will be on organic growth of the loan portfolio, with expectations of significant growth in the coming year [23][41] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the strength of the balance sheet and the ability to deliver strong, stable returns for shareholders across market cycles [11][12] - The company anticipates that the yield curve will steepen next year, which could lead to more regular contributions to securitizations [23] - Management noted that the quality of borrowers remains strong, with no new loans added to nonaccrual in the third quarter [18][51] Other Important Information - The company repurchased $1.9 million of common stock in the third quarter, with a total of $9.3 million repurchased year-to-date [14][15] - The dividend declared was $0.23 per share, with a current dividend yield of approximately 8.5% [15][16] Q&A Session Summary Question: Are there any changes in origination strategy since obtaining the investment grade rating? - Management indicated they are looking at slightly larger transactions and noted improved stability in financing [26][27] Question: Is there growth expected in the $1.9 billion loan portfolio? - Management expects the loan portfolio to grow by approximately $1 billion, driven by a strong origination quarter and a larger revolver [41][42] Question: Will improving ROE be part of the strategy in the next one to two years? - Management confirmed that the plan is to write more loans and improve ROE through better capital allocation [45][46] Question: What is the outlook for the office equity investment made? - Management expressed satisfaction with the investment, noting it has performed well and is expected to be a long-term hold [78][80]

Company Overview - Advanced Flower Capital (AFCG) aims to provide attractive risk-adjusted returns through investments with significant collateral, targeting an average portfolio gross yield of 12%-20%[14,15] - The company's management and investment team have collectively structured over $15 billion in loan transactions and taken four companies public[14,54] - AFC's loan portfolio includes 15 loans to borrowers with operations and/or collateral across 16 states[22] Market Opportunity - The U S legal cannabis market is expected to reach $63 billion by 2030, with a total economic impact surpassing $200 billion[28] - Cannabis growth is expected to continue, potentially cutting into alcohol purchases, with alcohol sales in legal cannabis states underperforming by 1-1 5% over the past 5 years[33] - Cannabis is a $35 billion legal market projected to grow to $63 billion by 2030[37] Financial Performance & Portfolio - The company's total commitments since inception are $917 million[58] - The outstanding principal balance is $358 million, with current commitments of $370 million[25,58] - Deal selectivity is 3 9%, representing the ratio of closed deals to deals sourced/reviewed since January 1, 2020[58] - The weighted average yield-to-maturity (YTM) of the portfolio loans is approximately 17% as of August 1, 2025[49,64]

Company Overview - Chicago Atlantic is a commercial mortgage REIT and lender focused on state-licensed cannabis operators[11] - The company has closed over 100 cannabis loans across its platform[9] - Since its inception in 2019, the origination team has closed over $28 billion in credit facilities, with $22 billion to cannabis operators[11] - The company is evaluating a near-term pipeline of approximately $650 million in potential loans[9] Portfolio Highlights - The outstanding loan principal is $4219 million with a gross portfolio yield of 168%[9] - The real estate collateral coverage in the current portfolio is 12x[9] - The top 10 loans account for 616% of the total principal outstanding[28] - Floating-rate loans constitute 407% of the portfolio, while fixed-rate loans make up 593%[29] Financial Performance - For the three months ended June 30, 2025, net income was $887 million, or $042 per basic share[75] - Distributable Earnings for the quarter were $1085 million, or $052 per basic share[76] - The company's total assets as of June 30, 2025, were $4552 million[71] Market Opportunity - The U S cannabis industry is estimated to reach $35 billion in retail revenue in 2025 and is projected to grow to $69 billion by 2031[55] - Chicago Atlantic estimates the current value of the U S cannabis debt market to be $12 billion, with the company holding approximately 18% market share[57] - Assuming the company maintains its 18% debt market share, the private credit opportunity could grow to over $4 billion by 2031[58]