Segment Reporting

9 Months Ended

Sep. 30, 2020

Segment Reporting [Abstract]

Segment Reporting

Segment Reporting

The Company conducts its business through the following reporting segments:

• The real estate debt business focuses on originating, acquiring and asset managing commercial real estate debt investments, including first mortgage loans, subordinate mortgages, mezzanine loans and participations in such loans.

• The real estate securities business focuses on investing in and asset managing commercial real estate securities primarily consisting of CMBS and may include unsecured REIT debt, CDO notes and other securities.

• The commercial real estate conduit business operated through the Company's TRS, which is focused on generating risk-adjusted returns by originating and subsequently selling fixed-rate commercial real estate loans into the CMBS securitization market at a profit.

• The real estate owned business represents real estate acquired by the Company through foreclosure, deed in lieu of foreclosure, or purchase.

The following table represents the Company's operations by segment for the three and nine months ended September 30, 2020 and September 30, 2019 (dollars in thousands):

Three Months Ended September 30, 2020	Total		Real Estate Debt and Other Real Estate Investments		Real Estate Securities			TRS			Real Estate Owned
Interest income	$	44,414	$	39,944	$	3,996		$	474		$	—
Revenue from real estate owned	1,017		—		—			—			1,017
Interest expense	15,113		10,194		3,393			494			1,032
Net income/(loss)	21,497		25,158		(3,797		)	(162		)	298
Total assets as of September 30, 2020	3,110,968		2,791,762		170,720			66,750			81,736
Three Months Ended September 30, 2019
Interest income	$	50,445	$	47,068	$	1,791		$	1,586		$	—
Revenue from real estate owned	1,064		—		—			—			1,064
Interest expense	22,160		20,108		1,466			586			—
Net income/(loss)	25,913		17,734		325			7,854			—
Total assets as of December 31, 2019	3,540,620		2,964,233		388,170			131,193			57,024
Nine Months Ended September 30, 2020	Total		Real Estate Debt and Other Real Estate Investments		Real Estate Securities			TRS			Real Estate Owned
Interest income	$	135,509	$	123,284	$	9,870		$	2,355		$	—
Revenue from real estate owned	3,474		—		—			—			3,474
Interest expense	54,740		43,735		7,670			1,735			1,600
Net income/(loss)	21,911		40,273		(7,947		)	(8,290		)	(2,125		)
Total assets as of September 30, 2020	3,110,968		2,791,762		170,720			66,750			81,736
Nine Months Ended September 30, 2019
Interest income	$	145,181	$	136,451	$	3,332		$	5,398		$	—
Revenue from real estate owned	1,064		—		—			—			1,064
Interest expense	68,395		63,411		2,714			2,270			—
Net income/(loss)	60,329		44,963		618			14,748			—
Total assets as of December 31, 2019	3,540,620		2,964,233		388,170			131,193			57,024

For the purposes of the table above, any expenses not associated with a specific segment have been allocated to the business segments using a percentage derived by using the sum of commercial mortgage loans originated during the year as the denominator and commercial mortgage loans, held for investment, net of allowance and commercial mortgage loans, held-for-sale, measured at fair value as numerator.