Transactions with Related Parties

3 Months Ended

Mar. 31, 2017

Related Party Transactions [Abstract]

Transactions with Related Parties

15. TRANSACTIONS WITH RELATED PARTIES

We are managed by our Manager pursuant to the Management Agreement, the current term of which expires on December 19, 2017, and will be automatically renewed for a one-year term each anniversary thereafter unless earlier terminated.

As of March 31, 2017 and December 31, 2016, our consolidated balance sheet included $12.9 million and $12.8 million of accrued management and incentive fees payable to our Manager, respectively. During the three months ended March 31, 2017, we paid $12.8 million, of management and incentive fees to our Manager, compared to $14.4 million during the same period of 2016. In addition, during the three months ended March 31, 2017, we reimbursed our Manager for $93,000 of expenses incurred on our behalf compared to $320,000 during the same period of 2016. During the three months ended March 31, 2016, CT Legacy Partners made aggregate preferred distributions of $224,000 to an affiliate of our Manager.

As of March 31, 2017, our Manager held 719,903 shares of unvested restricted class A common stock, which had an aggregate grant date fair value of $20.9 million. The shares vest in installments over three years from the date of issuance. During the three months ended March 31, 2017 and 2016, we recorded non-cash expense related to shares held by our Manager of $2.9 million and $2.1 million, respectively. We did not issue any shares of restricted class A common stock to our Manager during the three months ended March 31, 2017 or 2016, respectively. Refer to Note 13 for further details.

During the three months ended March 31, 2017, we originated two loans whereby each respective borrower engaged an affiliate of our Manager to act as title insurance agent in connection with each transaction. We did not incur any expenses or receive any revenues as a result of this transaction. We did not have any similar transactions during the three months ended March 31, 2016.

During the three months ended March 31, 2017 and 2016, we incurred $88,000 and $90,000, respectively, of expenses for various administrative and capital market data services to third-party service providers that are affiliates of our Manager.