Investments in Unconsolidated Entities (Tables)

6 Months Ended

Jun. 30, 2021

Equity Method Investments and Joint Ventures [Abstract]

Schedule of Investments in Unconsolidated Entities

The following table provides details about the Company's investments in unconsolidated entities as of June 30, 2021 and December 31, 2020:

Percentage Ownership
of Unconsolidated Entity

Investment in Unconsolidated Entity

Form of Investment

June 30, 2021

December 31, 2020

Longbridge Financial, LLC(1)

Preferred shares

49.7%

LendSure Mortgage Corp.(1)(2)

Common shares

49.9%

Elizon TCG SBC 2017-1(1)

Membership Interest

35.8%

36.0%

Jepson Holdings Limited(1)

Membership Interest

30.1%

Elizon DB 2015-1 LLC(1)(3)(4)

Membership Interest

6.1%

8.9%

Elizon NM CRE 2020-1 LLC(1)(3)(5)

Membership Interest

53.0%

—%

Elizon CH CRE 2021-1 LLC(1)(3)(6)

Membership Interest

7.8%

—%

Other(1)(7)(8)(9)

Various

8.0%–56.3%

7.4%–56.3%

(1)See Note 13 for additional details on the Company's related party transactions.

(2)Excludes investment in warrants convertible into non-voting common shares; including such warrants the Company's additional non-voting stake in the entity was 15.0% as of both June 30, 2021 and December 31, 2020. See Note 13 Related Party Transactions—Transactions Involving Certain Loan Originators for additional information.

(3)The Company has evaluated this entity and determined that it meets the definition of a VIE. The Company evaluated its interest in the VIE and determined that the Company does not have the power to direct the activities of the VIE and does not have control of the underlying assets, where applicable. As a result, the Company determined that it is not the primary beneficiary of this VIE and therefore has not consolidated the VIE.

(4)As discussed in Note 13 Related Party Transactions—Participation in Multi-Borrower Financing Facilities, the Company and the Affiliated Entities (as defined in Note 13) each consolidate their segregated silos of the Joint Entity (as defined in Note 13). The Company's effective percentage ownership before the effects of consolidation of both its and the Affiliated Entities' respective segregated silos of the Joint Entity, was 54.8% and 58.2% as of June 30, 2021 and December 31, 2020, respectively.

(5)As discussed in Note 13 Related Party Transactions—Participation in Multi-Borrower Financing Facilities, the Company and the Affiliated Entities (as defined in Note 13) each consolidate their segregated silos of the Joint Entity (as defined in Note 13). The Company's effective percentage ownership before the effects of consolidation of both its and the Affiliated Entities' respective segregated silos of the Joint Entity, was 35.6% as of June 30, 2021.

(6)As discussed in Note 13 Related Party Transactions—Participation in Multi-Borrower Financing Facilities, the Company and the Affiliated Entities (as defined in Note 13) each consolidate their segregated silos of the Joint Entity (as defined in Note 13). The Company's effective percentage ownership before the effects of consolidation of both its and the Affiliated Entities' respective segregated silos of the Joint Entity, was 51.9% as of June 30, 2021.

(7)Includes interest in Consumer Risk Retention Vehicle, as defined in Note 10—Participation in Multi-Seller Consumer Loan Securitization. The Company has evaluated this entity and determined that it does not meet the definition of a VIE. The Company evaluated its interest in the entity under the voting interest model outlined in ASC 810, and has determined that the Company does not control this entity. As a result, the Company has not consolidated the entity. See Note 10 for additional details on the Company's securitization transactions.

(8)Includes interest in warehouse facilities; see Note 13—Participation in CLO Transactions, for additional details.

(9)Excludes investment in non-voting common shares of a loan originator; including such shares the Company's additional non-voting stake in such entity was 16.4% as of June 30, 2021. There were no additional non-voting shares held by the Company at December 31, 2020. See Note 13 Related Party Transactions—Transactions Involving Certain Loan Originators for additional information.

The following table provides a summary of the results of operations of this entity for the three- and six-month periods ended June 30, 2021 and 2020.


	Three-Month Period Ended				Six-Month Period Ended
(In thousands)	June 30, 2021		June 30, 2020		June 30, 2021		June 30, 2020
Revenue	$	113,263	$	67,960	$	190,618	$	126,675
Net income (loss)	$	19,186	$	12,020	$	31,712	$	12,939