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SHARE-BASED COMPENSATION AND EMPLOYEE BENEFITS (Tables)

12 Months Ended

Dec. 31, 2016

Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]

SARs activity of 2012 IAP

A summary of the SARs activity of the 2012 IAP is presented below.

	2016					2015					2014
	SARs			Weighted Average Exercise Price		SARs			Weighted Average Exercise Price		SARs			Weighted Average Exercise Price
Outstanding, January 1,		3,620,700		$	7.01		2,780,242		$	6.92		2,689,458		$	6.18
Granted		895,000			2.38		1,177,500			7.23		895,100			8.29
Expired		(126,499	)		7.14		(106,500	)		6.17		—			—
Exercised		—			—		(61,667	)		6.30		(711,750	)		5.74
Forfeited		(338,217	)		5.55		(168,875	)		7.53		(92,566	)		7.67
Outstanding, December 31,		4,050,984		$	6.06		3,620,700		$	7.01		2,780,242		$	6.92
SARs exercisable at December 31,		2,373,462		6.82			1,649,643		6.52			647,958			6.30

Weighted Average Grant Date Fair Value of SARs and Assumptions used in Computing Fair Values

The weighted average grant date fair values of the SARs and the assumptions used in computing those fair values at the dates of their respective awards, using the Black-Scholes Option Pricing Model, were as follows:

	For the Years Ended December 31
	2016			2015			2014
Weighted average grant date fair value	$	0.23		$	0.96		$	1.32
Stock Price		2.38			7.23			8.29
Strike Price		2.38			7.23			8.29
Risk-free interest rate		1.0	%		1.2	%		1.5	%
Dividend yield		15.1	%		10.0	%		7.7	%
Volatility		38	%		32	%		31	%
Expected term	3.5 years			3.5 years			5.0 years

Summary of Information about the SARs Outstanding and Exercisable

The following table summarizes information about the SARs outstanding and exercisable as of December 31, 2016:

SARs Outstanding

SARs Exercisable

Range of

Exercise Prices

Number

Outstanding

Weighted

Average

Remaining

Contractual

Life

Number

Exercisable

Weighted

Average

Remaining

Contractual

Life

$2.38—8.29

4,050,984

2.2 years

2,373,462

1.2 years

Summary of the SARs activity of 2012 IAP and 2015 LTIP

A summary of the restricted common share awards of the 2012 IAP and 2015 LTIP as of December 31, 2016, 2015, and 2014 is presented below.

	2016					2015					2014
	Number of Shares			Weighted Average Grant Date Fair Value Per Share		Number of Shares			Weighted Average Grant Date Fair Value Per Share		Number of Shares			Weighted Average Grant Date Fair Value Per Share
Balance, January 1,		559,583		$	7.41		455,917		$	7.67		365,667		$	6.89
Granted		1,356,999			2.84		386,905			7.23		335,917			8.29
Vested		(507,407	)		5.29		(234,197	)		7.46		(165,634	)		7.25
Forfeited		(329,982	)		4.03		(49,042	)		7.54		(80,033	)		7.60
Balance, December 31,		1,079,193		$	—		559,583		$	7.41		455,917		$	7.67

Summary of PSUs Granted

The following table summarizes the PSUs granted for the years ended December 31, 2016 and 2015:

Grant Date	Type of PSUs Granted	Number of PSUs Granted		Performance Period Commencement Date	Performance Period End Date	Grant Date Fair Value		Number of PSUs Outstanding as of December 31, 2016
March 31, 2015	3-Year TSR vs Peer Group		136,115	January 1, 2015	December 31, 2017	$	3.35		136,115
March 31, 2015	3-Year TSR vs NAREIT Mortgage Index		68,057	January 1, 2015	December 31, 2017	$	3.26		68,057
March 31, 2015	Absolute 3-Year TSR		68,057	January 1, 2015	December 31, 2017	$	2.17		68,057
March 31, 2015	Strategic Objectives		68,057	January 1, 2015	December 31, 2017	$	6.86		68,057
April 22, 2016	3-Year TSR vs Peer Group		325,348	January 1, 2016	December 31, 2018	$	1.55		325,348
April 22, 2016	3-Year TSR vs NAREIT Mortgage Index		244,011	January 1, 2016	December 31, 2018	$	1.44		244,011
April 22, 2016	Absolute 3-Year TSR		244,011	January 1, 2016	December 31, 2018	$	1.07		244,011

Summary of Assumptions Used in Computing the Fair Value of the PSUs

Our assumptions used in computing the fair value of the PSUs at the dates of their respective awards, using the Monte Carlo method, were as follows:

	For the Years Ended December 31
	2016				2015
Dividend yield		10.6	%	(a)		8.0	%	(c)
Volatility		53.0	%	(b)		39.0	%	(d)
Expected term	2.7 years				2.8 years

(a)

This represents the dividend yield assumption used for RAIT. The dividend yield assumptions used for our peer group and the NAREIT Mortgage Index ranged from 0% to 17.9%.

(b)

This represents the volatility assumption used for RAIT. The volatility assumptions used for our peer group and the NAREIT Mortgage Index ranged from 17% to 48%.

(c)

This represents the dividend yield assumption used for RAIT. The dividend yield assumptions used for our peer group and the NAREIT Mortgage Index ranged from 0% to 17.9%.

(d)

This represents the volatility assumption used for RAIT. The volatility assumptions used for our peer group and the NAREIT Mortgage Index ranged from 17% to 50%.