8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 8-K

CURRENT REPORT

PURSUANT TO SECTION 13 OR 15(d)

OF THE SECURITIES EXCHANGE ACT OF 1934

Date of Report (Date of earliest event reported): April 29, 2014

Blackstone Mortgage Trust, Inc.

(Exact name of registrant as specified in its charter)

Maryland	1-14788	94-6181186
(State or Other Jurisdiction of Incorporation)	(Commission File Number)	(I.R.S. Employer Identification No.)

345 Park Avenue, 42nd Floor

New York, New York 10154

(Address of Principal Executive Offices) (Zip Code)

Registrant’s telephone number, including area code: (212) 655-0220

Not Applicable

(Former Name or Address, if Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

¨ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

¨ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 2.02 Results of Operations and Financial Condition.

On April 29, 2014, Blackstone Mortgage Trust, Inc. (the “Company”) issued a press release and detailed presentation announcing its financial results for the first quarter ended March 31, 2014. The press release and full detailed presentation are furnished as Exhibit 99.1 and Exhibit 99.2, respectively, to this Current Report on Form 8-K report and are incorporated herein by reference.

In accordance with General Instruction B.2 of Form 8-K, the information contained under Item 2.02 in this Current Report on Form 8-K, including Exhibit 99.1 and Exhibit 99.2, is being furnished and shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liability of that section, and will not be incorporated by reference into any registration statement or other document filed under the Securities Act of 1933, as amended, or the Exchange Act, except as expressly set forth by specific reference in that filing.

Item 9.01 Financial Statements and Exhibits.

(d) Exhibits

Exhibit No.	Description
99.1	Press Release of Blackstone Mortgage Trust, Inc. dated April 29, 2014.
99.2	Presentation of Blackstone Mortgage Trust, Inc. dated April 29, 2014.

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	BLACKSTONE MORTGAGE TRUST, INC.
Date: April 29, 2014
	By:	/s/ Paul D. Quinlan
	Name:	Paul D. Quinlan
	Title:	Chief Financial Officer

EX-99.1

Exhibit 99.1

Blackstone Mortgage Trust Reports

First Quarter 2014 Results

New York, April 29, 2014: Blackstone Mortgage Trust, Inc. (NYSE:BXMT) (the “Company”) today reported its first quarter 2014 results. Net income for the first quarter was $13.1 million, or $0.34 per share.

Stephen D. Plavin, Chief Executive Officer, said, “We are pleased with our momentum as we approach the one-year anniversary of the launch of our mortgage lending business as part of the Blackstone real estate platform. Strong originations volume drove an increase in Core Earnings to $0.43 per share during the first quarter as we continued to scale the business with two accretive equity offerings and two new credit facilities.”

Blackstone Mortgage Trust issued a full detailed presentation of its first quarter 2014 results, which can be viewed at www.bxmt.com.

Quarterly Investor Call Details

Blackstone Mortgage Trust will host a conference call on Wednesday, April 30, 2014 at 10:00 am ET to discuss first quarter 2014 results. The conference call can be accessed by dialing +1 (888) 268-4178 (U.S. domestic) or +1 (617) 597-5494 (international), with the passcode 245 054 61# or by webcast at www.bxmt.com (listen only). For those unable to listen to the live broadcast, a recorded replay will be available on the Company’s website or by telephone beginning approximately two hours after the event. The replay call number is +1 (888) 286-8010 (U.S. domestic) or +1 (617) 801-6888 (international), with the passcode 329 572 99#.

About Blackstone Mortgage Trust

Blackstone Mortgage Trust, Inc. (NYSE:BXMT) is a real estate finance company that primarily originates senior mortgage loans collateralized by properties in the United States and Europe. The Company is externally managed by BXMT Advisors L.L.C., a subsidiary of Blackstone, and is a real estate investment trust traded on the NYSE under the symbol “BXMT.” Blackstone Mortgage Trust, Inc. is headquartered in New York City. Further information is available at www.bxmt.com.

About Blackstone

Blackstone (NYSE:BX) is one of the world’s leading investment and advisory firms. Blackstone seeks to create positive economic impact and long-term value for its investors, the companies it invests in, the companies it advises and the broader global economy. Blackstone does this through the commitment of its extraordinary people and flexible capital. Blackstone’s asset management

Blackstone Mortgage Trust, Inc.

345 Park Avenue

New York, New York 10154

T 212 655 0220

businesses include investment vehicles focused on private equity, real estate, hedge fund solutions, non-investment grade credit, secondary funds, and multi asset class exposures falling outside of other funds’ mandates. Blackstone also provides various financial advisory services, including financial and strategic advisory, restructuring and reorganization advisory and fund placement services. Further information is available at www.blackstone.com. Follow Blackstone on Twitter @Blackstone.

Forward-Looking Statements and Other Matters

This release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which reflect Blackstone Mortgage Trust’s current views with respect to, among other things, Blackstone Mortgage Trust’s operations and financial performance. You can identify these forward-looking statements by the use of words such as “outlook,” “believes,” “expects,” “potential,” “continues,” “may,” “will,” “should,” “seeks,” “approximately,” “predicts,” “intends,” “plans,” “estimates,” “anticipates” or the negative version of these words or other comparable words. Such forward-looking statements are subject to various risks and uncertainties. Accordingly, there are or will be important factors that could cause actual outcomes or results to differ materially from those indicated in these statements. Blackstone Mortgage Trust believes these factors include but are not limited to those described under the section entitled “Risk Factors” in its Annual Report on Form 10-K for the fiscal year ended December 31, 2013, as such factors may be updated from time to time in its periodic filings with the Securities and Exchange Commission which are accessible on the SEC’s website at www.sec.gov. These factors should not be construed as exhaustive and should be read in conjunction with the other cautionary statements that are included in this release and in the filings. Blackstone Mortgage Trust assumes no obligation to update or supplement forward-looking statements that become untrue because of subsequent events or circumstances.

We refer to “Core Earnings”, which is a non-GAAP financial measure, in this release. A reconciliation to net income attributable to Blackstone Mortgage Trust, the most directly comparable GAAP measure, is included in our full detailed presentation of first quarter 2014 results and is available on our website at www.bxmt.com.

Investor and Media Relations Contact

Weston Tucker

Blackstone

+1 (888) 756-8443

tucker@blackstone.com

2

EX-99.2

Blackstone Mortgage Trust, Inc.

April 29, 2014

First Quarter 2014 Results

Exhibit 99.2

First Quarter 2014 Highlights

Core

Earnings

(a)

of

$0.43

per

share

for

the

quarter

driven

by

a

32%

increase

in

net

interest

margin

in

our Loan Origination portfolio over the fourth quarter of 2013.

BXMT

closed

10

floating-rate

senior

mortgage

loans

during

the

quarter

representing

total

commitments of $892 million, including its second loan in the U.K.

Total

Loan

Origination

portfolio

of

$2.7

billion

as

of

March

31,

2014,

with

a

weighted

average

LTV

of

63%.

Closed

two

new

revolving

credit

facilities

during

the

quarter,

including

a

£250

million

pound

sterling

denominated

credit

facility,

bringing

total

credit

capacity

to

$2.7

billion.

Net

income

of

$13

million,

or

$0.34

per

share,

for

the

quarter

and

consolidated

book

value

of

$970

million, or $24.63 per share, as of March 31, 2014.

First quarter dividend of $0.48 per share, up from $0.45 per share in the fourth quarter of 2013.

Issued

9.8

million

shares

of

common

stock

in

January

generating

net

proceeds

of

$256

million;

and

in

April,

issued

an

additional

9.2

million

shares

of

common

stock

at

a re-offer

price

of

$28.15

per

share,

generating

net

proceeds

of

$255

million

and

increasing

book

value

by

$0.58 to a pro forma $25.21

per share.

________________________________________________

Blackstone Mortgage Trust

1

(a)

See page 2, First Quarter 2014 Balance Sheet, Results, and Core Earnings, for a reconciliation of Core Earnings to GAAP net income.

Blackstone Mortgage Trust

2

Totals may not add due to rounding.

(a)

See pages 9-10, Consolidated and Segment Balance Sheets; pages 11-12, Consolidated and Segment Statements of Operations; and page 15, Definitions.

(b)

Includes stockholders’ equity of $970.1 million, less the net of (i) cash and cash equivalents of $70.8 million, (ii) accrued interest receivable, prepaid expenses, and other assets of

$22.2 million, and (iii) accounts payable, accrued expenses, and other liabilities of $29.9 million.

(c)

Adjustment represents non-cash amortization of the deemed issue discount on convertible notes resultingfromthe conversionoptionvalueaccountingunderGAAP.

First

Quarter

2014

Balance

Sheet,

Results,

and

Core

Earnings

(a)

________________________________________________

($ in Millions)

CT Legacy Portfolio

($1.0)

Secured debt

obligations

($11.6)

Equity

and

other

(b)

($1.8)

($4.4)

Loan Origination

portfolio

$32.0

$13.1

$1.0

$0.4

(c)

$1.8

$-

$-

Interest income

Interest expense

Non-cash comp.

G&A expenses

Net results

$32.0

$-

($11.2)

$-

($4.4)

Core

Earnings

Net

Income

$16.3

+

+

+

+

Convertible notes,

net

Balance Sheet

$907

$160

$24

$1,620

$2,663

Blackstone Mortgage Trust

3

Loan Origination Portfolio

Loan Origination Portfolio Statistics

($ in Millions)

Loan Origination Portfolio

(Net Book Value, $ in Millions)

Mar. 31, 2014

Number of loans

38

Principal balance

2,686

$           

Net book value

2,663

$           

Wtd. avg. LTV

63%

Wtd. avg. cash coupon

(a)

L + 4.59%

Wtd. avg. all-in yield

(a)

L + 5.16%

Wtd. avg. gross return on investment

(a)(b)

L + 12.7%

Wtd. avg. maximum maturity

(c)

4.0 yrs.

(a)

As of March 31, 2014, 95% of BXMT’s loans are indexed to one-month LIBOR and 5% are indexed to three-month LIBOR. In addition, 26% of BXMT’s loans have LIBOR floors, with an

average floor of 0.35% as of March 31, 2014.

(b)

Weighted average gross return on investment is based on each asset’s all-in yield, assuming current pay rates with no dispositions, early payments, or defaults, and all-in cost of secured

debt, assuming full leverage at the asset level based on the maximum available leverage in place or in negotiation with respect to each investment, notwithstanding the amount actually

borrowed in a given period. Gross return on investment excludes costs related to BXMT’s convertible notes, management fees, and corporate-level expenses.

(c)

Maximum maturity assumes all extension options are exercised, however BXMT’s loans may be repaid prior to such date.

$753

$1,286

$2,000

$2,663

2Q'13

3Q'13

4Q'13

1Q'14

________________________________________________

Loan

Origination

portfolio

totaled

$2.7

billion

of

floating-rate

loans

as

of

March

31,

2014,

with

a

weighted

average LTV of 63%.

During

the

quarter,

BXMT

closed

10

new

loans

with

total

commitments

of

$892.0

million.

BXMT

funded

$740.2

million

of

new

and

existing

loan

commitments,

and

received

$72.8

million

of

partial

repayments

from four loans. 

Blackstone Mortgage Trust

4

Portfolio Diversification

Geographic

Diversification

(Net Book Value, $ in Millions)

2.6%

3.2%

OH

0.2%

1.7%

1.7%

3.4%

4.4%

$316,934,052

$416,559,099

Collateral Diversification

(Net Book Value, $ in Millions)

Floating-rate Loans

(Net Book Value, % of Total)

100.0%

Office

Multifamily

Hotel

Other

Senior Mortgage Loans

(Net Book Value, % of Total)

92.4%

$1,080

MI

0.3%

NV

0.4%

1.2%

OR

RI

VA

AZ

IL

3.4%

CO

FL

TX

U.K.

4.5%

GA

4.9%

WA

7.8%

CA

19.3%

NY

41.0%

$1,080

$692

$275

$616

________________________________________________

Information as of March 31, 2014.

(a)

Includes only loans in the Loan Origination portfolio.

(b)

Includes senior mortgage loans, related contiguous subordinate loans with a net book value of $53.7 million, and pari passu participations in senior mortgages.

(a)

(a)

(a)(b)

(a)

BXMT’s floating-rate portfolio is diversified by collateral property type and geographic location, and is

primarily comprised of senior mortgages and similar credit quality loans.

Blackstone Mortgage Trust

5

Secured Credit Facilities

(a)

and Liquidity

________________________________________________

`

$220.9 million

Available Borrowings

L + 2.36%

Wtd. Avg. All-in Cost of Secured Credit

$2.7 billion

Total

Credit

Capacity

(a)

(a)

Excludes $90.0 million of loan participations sold as of March 31, 2014.

(b)

Potential borrowings represent the total amount that could be drawn under each facility based on collateral already approved and pledged. When undrawn, 

these amounts are immediately available to BXMT at its sole discretion under the terms of each revolving credit facility.

(c)

The maximum facility size is composed of a $250.0 million facility, a £153.0 million ($252.5 million) facility, and $71.6 million related solely to a specific asset with 

a repurchase date of June 27, 2014.

(d)

The maximum facility size is composed of a $500.0 million revolving facility and three asset-specific financings totaling $253.5 million.

(e)

The maximum facility size represents a £250.0 million ($412.6 million) facility.

Collateral Asset

Maximum

Principal

Debt Obligations

(a)(b)

($ in Thousands)

Facility Size

Balance

Potential

Outstanding

Available

Lender 1

500,000

$        

461,041

$        

364,813

$        

364,813

$        

-

$                  

Lender 2

500,000

654,924

489,340

307,175

182,165

Lender 3

(c)

574,130

567,368

437,867

429,978

7,889

Lender 4

(d)

753,479

522,507

392,681

361,806

30,875

Lender 5

(e)

412,600

83,335

66,016

66,016

-

Total

2,740,209

$     

2,289,175

$     

1,750,717

$     

1,529,788

$     

220,929

$        

During

the

quarter,

BXMT

closed

two

additional

credit

facilities,

totaling

$912.6

million,

including

a

£250.0

million

pound

sterling

denominated

credit

facility,

bringing

total

credit

capacity

to

$2.7

billion.

Total

liquidity

was

$291.8

million

as

of

March

31,

2014,

including

cash

and

available

borrowings.

•

Undrawn

revolving

debt

does

not

incur

interest,

but

represents

immediately

accessible

liquidity.

Blackstone Mortgage Trust

6

As of March 31, 2014:

•

$2.7

billion

of

floating-rate

loans,

indexed

to

LIBOR.

•

$1.6

billion

of

floating-rate

liabilities,

also

indexed to LIBOR.

•

Return

on

net

investment

of

$1.1

billion

increases with increasing LIBOR.

–

All

else

equal,

as

of

March

31,

2014,

a

100bp

increase

in

LIBOR

would

increase

net

interest

income

by

$9.6

million

(b)

per

year, or $0.25 per share.

Floating-Rate Business Model

Loan Capitalization

(a)

(Principal Balance, $ in Millions)

________________________________________________

Floating-rate

loans

Floating-rate

borrowings

Floating-rate

Net investment

$1,066

$1,620

$2,686

(a)

Includes only the Loan Origination portfolio with an aggregate principal balance of $2.7 billion, capitalized with $1.6 billion of secured borrowings, and with a 

$1.1 billion net investment as of March 31, 2014. Excludes the assets, liabilities, and equity of the CT Legacy Portfolio.

(b)

Includes the impact of LIBOR floors for loan receivable investments, where such floors are paying relative to LIBOR of 0.15% as of March 31, 2014.

Because of BXMT’s LIBOR-based lending and funding business model, its returns increase with rising

short-term interest rates.

CT Legacy Portfolio

The

CT

Legacy

Portfolio

primarily

consists

of

BXMT’s

carried

interest

in

CT

Opportunity

Partners

I,

LP

(“CTOPI”), its investment in CT Legacy Partners, and its residual interests in CT CDO I.

CTOPI’s

net

unrealized

promote

allocable

to

BXMT

increased

to

$18.5

million.

Deferred

revenue

from

this

investment

produced

a

negative

component

book

value

due

to

prior

tax-advance

distributions.

CT Legacy Portfolio’s taxable income contributes to BXMT’s quarterly dividends.

CT

Legacy

Portfolio

loss

during

the

quarter

due

to

continued

volatility

in

the

recovery

of

legacy

assets,

and

the resultant $1.3 million loss on investments at fair value.

Book Value

(a)

($ per share)

________________________________________________

(a)

For calculation of segment Book Value per share, refer to BXMT’s Form 10-Q for the three months ended March 31, 2014.

(b)

Represents the net unrealized promote allocable to BXMT, after amounts payable under legacy compensation plans.

Unrealized CTOPI

Promote

(b)

($ in Millions)

CT Legacy Portfolio

Component Book Value

($ in Millions)

$0.60

$24.03

Loan

Origination

CT Legacy

Blackstone Mortgage Trust

7

$13.5

$14.9

$18.0

$18.5

2Q'13

3Q'13

4Q'13

1Q'14

1Q'14

CTOPI

CT Legacy

Partners

CT CDO I

and other

Total

($10.2)

$23.5

$10.4

$23.7

Appendix

Blackstone Mortgage Trust

9

Consolidated Balance Sheet

($ in Thousands, Except per Share Data)

Mar. 31, 2014

Dec. 31, 2013

Assets

Cash and cash equivalents

70,834

$         

52,342

$         

Restricted cash

10,677

10,096

Loans receivable, net

2,710,159

2,047,223

Equity investments in unconsolidated subsidiaries

23,394

22,480

Accrued interest receivable, prepaid expenses, and other assets

79,323

80,639

Total assets

2,894,387

$   

2,212,780

$   

Liabilities and equity

Accounts payable, accrued expenses, and other liabilities

66,711

$         

56,972

$         

Repurchase obligations

1,529,788

1,109,353

Convertible notes, net

160,094

159,524

Securitized debt obligations

39,394

40,181

Participations sold

90,000

90,000

Total liabilities

1,885,987

1,456,030

Equity

Class A common stock, $0.01 par value

387

$              

288

$              

Restricted class A common stock, $0.01 par value

6

7

Additional paid-in capital

1,510,860

1,252,986

Accumulated other comprehensive income

834

798

Accumulated deficit

(542,004)

(536,170)

Total Blackstone Mortgage Trust, Inc. stockholders' equity

970,083

717,909

Non-controlling interests

38,317

38,841

Total equity

1,008,400

756,750

Total liabilities and equity

2,894,387

$   

2,212,780

$   

Blackstone Mortgage Trust

10

Consolidated Balance Sheet: Segment Allocation

March 31, 2014

($ in Thousands)

Loan

Origination

CT Legacy

Portfolio

Total

Assets

Cash and cash equivalents

70,834

$          

-

$                 

70,834

$       

Restricted cash

-

10,677

10,677

Loans receivable, net

2,663,159

47,000

2,710,159

Equity investments in unconsolidated subsidiaries

-

23,394

23,394

Accrued interest receivable, prepaid expenses, and other assets

22,163

57,160

79,323

Total assets

2,756,156

$    

138,231

$       

2,894,387

$ 

Liabilities and equity

Accounts payable, accrued expenses, and other liabilities

29,922

$          

36,789

$          

66,711

$       

Repurchase obligations

1,529,788

-

1,529,788

Convertible notes, net

160,094

-

160,094

Securitized debt obligations

-

39,394

39,394

Participations sold

90,000

-

90,000

Total liabilities

1,809,804

76,183

1,885,987

Equity

Total Blackstone Mortgage Trust, Inc. stockholders' equity

946,352

23,731

970,083

Non-controlling interests

-

38,317

38,317

Total equity

946,352

62,048

1,008,400

Total liabilities and equity

2,756,156

$    

138,231

$       

2,894,387

$ 

Blackstone Mortgage Trust

11

Consolidated Statement of Operations

Three Months Ended March 31,

($ in Thousands, Except per Share Data)

2014

2013

Income from loans and other investments

Interest and related income

33,656

$            

1,456

$              

Less: Interest and related expenses

12,074

777

Income from loans and other investments, net

21,582

679

Other expenses

Management fees

3,397

63

General and administrative

3,199

1,975

Total other expenses

6,596

2,038

Impairments, provisions, and valuation adjustments

(1,339)

(200)

Income (loss) before income taxes

13,647

(1,559)

Income tax provision

531

38

Net income (loss)

13,116

$            

(1,597)

$             

Net income attributable to non-controlling interests

(51)

(1,518)

Net income (loss) attributable to Blackstone Mortgage Trust, Inc.

13,065

$            

(3,115)

$             

Per share information (basic)

Weighted-average shares of common stock outstanding

37,967,365

3,016,425

Net income (loss) per share of common stock

0.34

$                 

(1.03)

$               

Per share information (diluted)

Weighted-average shares of common stock outstanding

37,967,365

3,016,425

Net income (loss) per share of common stock

0.34

$                 

(1.03)

$               

Blackstone Mortgage Trust

12

Consolidated Statement of Operations: Segment Allocation

Three Months Ended March 31, 2014

($ in Thousands)

Loan

Origination

CT Legacy

Portfolio

Total

Income from loans and other investments

Interest and related income

32,035

$    

1,621

$       

33,656

$    

Less: Interest and related expenses

11,626

448

12,074

Income from loans and other investments, net

20,409

1,173

21,582

Other expenses

Management fees

3,397

-

3,397

General and administrative expenses

2,846

353

3,199

Total other expenses

6,243

353

6,596

Loss on investments at fair value

-

(1,339)

(1,339)

Income (loss) before income taxes

14,166

(519)

13,647

Income tax provision

131

400

531

Net income (loss)

14,035

$    

(919)

$         

13,116

$    

Net income attributable to non-controlling interests

-

(51)

(51)

Net income (loss) attributable to Blackstone Mortgage Trust, Inc.

14,035

$    

(970)

$         

13,065

$    

Blackstone Mortgage Trust

13

Consolidated Statement of Operations: Loan Origination Segment

Three Months Ended

($ in Thousands)

Mar 31, 2014

Dec 31, 2013

$ Change

% Change

Income from loans and other investments

Interest and related income

32,035

$             

24,570

$             

7,465

$       

30.4%

Less: Interest and related expenses

11,626

9,063

2,563

28.3%

Income from loans and other investments, net

20,409

15,507

4,902

31.6%

Other expenses

Management fees

3,397

2,521

876

34.7%

General and administrative expenses

2,846

2,225

621

27.9%

Total other expenses

6,243

4,746

1,497

31.5%

Income before income taxes

14,166

10,761

3,405

31.6%

Income tax provision

131

12

119

N/M

Net income

14,035

$             

10,749

$             

3,286

$       

30.6%

Blackstone Mortgage Trust

14

Loan Origination Segment Portfolio Details

The following table provides details of BXMT’s Loan Origination Segment portfolio as of March 31, 2014:

________________________________________________

(a)

Includes senior mortgage loans, related contiguous subordinate loans with a net book value of $53.7 million, and pari passu participations in mortgages.

(b)

As of March 31, 2014, 95% of BXMT’s loans are indexed to one-month LIBOR and 5% are indexed to three-month LIBOR. In addition, 26% of BXMT’s loans have LIBOR floors,

with an average floor of 0.35% as of March 31, 2014.

(c)

Maximum maturity date assumes all extension options are exercised, however BXMT’s loans may be repaid prior to such date.

(d)

Includes 22 senior mortgage loans with an aggregate principal balance of $988.9 million and one mezzanine loan with a principal balance of $33.6 million. BXMT also

originated the loan directly senior to this mezzanine loan, but sold the senior loan to finance its overall investment.

($ in Millions)

Origination Date

Loan Type

(a)

Principal

Balance

Book

Value

Cash

Coupon

(b)

All-In

Yield

(b)

Maximum

Maturity

(c)

Geographic

Location

Property

Type

Origination

LTV

Loan 1

6/7/13

Senior mortgage loan

194.0

$ 

193.3

$       

L + 3.80%

L + 3.97%

6/15/18

CA

Office

51%

Loan 2

11/21/13

Senior mortgage loan

181.0

179.4

L + 4.50%

L + 4.86%

11/9/18

NY

Multifamily

68%

Loan 3

10/23/13

Sub. mortgage part.

173.8

167.6

L + 5.66%

L + 9.25%

4/9/15

WA

Office

67%

Loan 4

12/17/13

Senior mortgage loan

140.0

138.8

L + 4.75%

L + 5.27%

1/9/19

NY

Office

70%

Loan 5

1/30/14

Senior mortgage loan

125.0

124.3

L + 4.30%

L + 4.63%

12/1/17

NY

Hotel

38%

Loan 6

2/25/14

Senior mortgage loan

101.0

99.5

L + 4.40%

L + 4.81%

3/9/19

Diversified

Hotel

49%

Loan 7

2/20/14

Senior mortgage loan

93.2

92.8

L + 4.40%

L + 4.59%

3/9/19

NY

Office

68%

Loan 8

10/30/13

Senior mortgage loan

91.8

91.3

L + 4.38%

L + 4.62%

11/9/18

CA

Hotel

71%

Loan 9

9/30/13

Senior mortgage loan

89.5

89.4

L + 3.70%

L + 3.83%

9/30/20

NY

Multifamily

62%

Loan 10

8/8/13

Senior mortgage loan

86.0

85.5

L + 4.25%

L + 4.64%

8/10/18

Diversified

60%

Loan 11

3/4/14

Senior mortgage loan

83.3

81.1

L + 4.00%

L + 4.63%

3/4/18

UK

Office

50%

Loan 12

6/27/13

Senior mortgage loan

80.6

80.3

L + 3.85%

L + 4.03%

7/9/18

GA

Multifamily

75%

Loan 13

10/2/13

Senior mortgage loan

78.2

77.5

L + 5.00%

L + 5.38%

9/14/18

Diversified

64%

Loan 14

3/17/14

Senior mortgage loan

73.3

73.1

L + 4.75%

L + 4.95%

12/28/16

NY

Multifamily

66%

Loan 15

5/21/13

Senior mortgage loan

73.0

72.9

L + 3.95%

L + 3.89%

6/9/18

CA

Office

72%

Loans 16-38

Various

Various

(d)

1,022.5

1,016.4

L + 4.85%

L + 5.32%

Various

Various

Various

65%

Total/Wtd. avg.

2,686.2

$    

2,663.2

$    

L + 4.59%

L + 5.16%

4.0 years

63%

Diversified

Other

Blackstone Mortgage Trust

15

Definitions

Core

Earnings

is

an

adjusted

measure

that

helps

BXMT

to

evaluate

its

performance

excluding

the

effects

of

certain

transactions

and

GAAP

adjustments

that

it

believes

are

not

necessarily

indicative

of

its

current

loan

origination

portfolio

and

operations.

BXMT

also

uses

Core

Earnings

to

calculate

the

incentive

and

base

management

fees

due

to

its

manager

under

its

management

agreement

and,

as

such,

BXMT

believes

that

the

disclosure

of

Core

Earnings

is useful to investors.

Core

Earnings

is

defined

as

GAAP

net

income

(loss),

including

realized

losses

not

otherwise

included

in

GAAP

net

income

(loss),

and

excluding

(i)

net

income

(loss)

attributable

to

CT

Legacy

Portfolio

segment,

(ii)

non-cash

equity

compensation

expense,

(iii)

incentive

management

fees,

(iv)

depreciation

and

amortization,

and

(v)

unrealized

gains

(losses)

or

similar

non-cash

items,

including

the

amortization

of

the

deemed

issue

discount

on

BXMT’s

convertible

notes

resulting

from

the

conversion

option

value

accounting

under

GAAP.

Core

Earnings

may

also

be

adjusted

from

time

to

time

to

exclude

one-time

events

pursuant

to

changes

in

GAAP

and

certain

other

non-cash

charges as determined by BXMT’s manager, subject to approval by a majority of its independent directors.

Core

Earnings

does

not

represent

net

income

or

cash

generated

from

operating

activities

and

should

not

be

considered

as

an

alternative

to

GAAP

net

income,

or

an

indication

of

cash

flow

from

GAAP

operating

activities,

a

measure

of

BXMT’s

liquidity,

or

an

indication

of

funds

available

for

its

cash

needs.

In

addition,

BXMT’s

methodology

for

calculating

Core

Earnings

may

differ

from

the

methodologies

employed

by

other

companies

to

calculate

the

same

or

similar

supplemental

performance

measures,

and

accordingly,

its

reported

Core

Earnings

may

not

be

comparable to the Core Earnings reported by other companies.

Blackstone

Mortgage

Trust

discloses

the

following

financial

measures

that

are

calculated

and

presented

on

the

basis

of

methodologies

other

than

in

accordance

with

generally

accepted

accounting

principles

in

the

United

States

of

America (“GAAP”) in this presentation:

Blackstone Mortgage Trust

Forward-Looking Statements

16

This

presentation

may

contain

forward-looking

statements

within

the

meaning

of

Section

27A

of

the

Securities

Act

of

1933,

as

amended,

and

Section

21E

of

the

Securities

Exchange

Act

of

1934,

as

amended,

which

reflect

Blackstone

Mortgage

Trust’s

current

views

with

respect

to,

among

other

things,

Blackstone

Mortgage

Trust’s

operations

and

financial

performance.

You

can

identify

these

forward-looking

statements

by

the

use

of

words

such

as

“outlook,”

“believes,”

“expects,”

“potential,”

“continues,”

“may,”

“will,”

“should,”

“seeks,”

“approximately,”

“predicts,”

“intends,”

“plans,”

“estimates,”

“anticipates”

or

the

negative

version

of

these

words

or

other

comparable

words.

Such

forward-

looking

statements

are

subject

to

various

risks

and

uncertainties.

Accordingly,

there

are

or

will

be

important

factors

that

could

cause

actual

outcomes

or

results

to

differ

materially

from

those

indicated

in

these

statements.

Blackstone

Mortgage

Trust

believes

these

factors

include

but

are

not

limited

to

those

described

under

the

section

entitled

“Risk

Factors”

in

its

Annual

Report

on

Form

10-K

for

the

fiscal

year

ended

December

31,

2013,

as

such

factors

may

be

updated

from

time

to

time

in

its

periodic

filings

with

the

Securities

and

Exchange

Commission

which

are

accessible

on

the

SEC’s

website

at

www.sec.gov.

These

factors

should

not

be

construed

as

exhaustive

and

should

be

read

in

conjunction

with

the

other

cautionary

statements

that

are

included

in

this

presentation

and

in

the

filings.

Blackstone

Mortgage

Trust

assumes

no

obligation

to

update

or

supplement

forward-looking

statements

that

become

untrue

because of subsequent events or circumstances.