Loan Participations Sold (Tables)

12 Months Ended

Dec. 31, 2015

Summary of Statistics for Loan Participations Sold

The following table details statistics for our loan participations sold ($ in thousands):


	December 31, 2015						December 31, 2014
	Participations Sold⁽¹⁾			Underlying Loans			Participations Sold⁽¹⁾			Underlying Loans
Number of loans		3			3			4			4
Principal balance⁽²⁾	$	498,992		$	608,554		$	499,433		$	635,701
Book value⁽²⁾	$	497,032		$	604,321		$	496,080		$	628,745
Weighted-average cash coupon⁽³⁾		L+2.38	%		L+3.93	%		L+2.51	%		L+4.10	%
Weighted-average cost / all-in yield⁽³⁾		L+2.49	%		L+4.15	%		L+2.71	%		L+4.71	%

(1)

During the years ended December 31, 2015 and 2014, we recorded $18.3 million and $12.4 million, respectively, of interest expense related to our loan participations sold, of which $16.9 million and $11.7 million, respectively, was paid in cash.

(2)

The difference between principal balance and book value of loan participations sold is due to deferred financing costs of $2.0 million and $3.4 million as of December 31, 2015 and 2014, respectively.

(3)

Our floating rate loans and related liabilities were indexed to the various benchmark rates relevant in each arrangement in terms of currency and payment frequency. Therefore the net exposure to each benchmark rate is in direct proportion to our net assets indexed to that rate. In addition to cash coupon, all-in cost / yield includes the amortization of deferred origination fees / financing costs.