STARWOOD PROPERTY TRUST, INC.

Previous wording

◦$160.0 million first mortgage loan for the construction of a data center pre-leased to an investment grade tenant located in Virginia, of which the Company funded $30.1 million. Refer to Note 16 to the condensed consolidated financial statements for further discussion.

Current wording

◦$160.0 million first mortgage loan for the construction of a data center pre-leased to an investment grade tenant located in Virginia, of which the Company funded $30.7 million. Refer to Note 16 to the condensed consolidated financial statements for further discussion.

Previous wording

•Acquired the additional remaining $143.8 million senior mortgage loan interest secured by an industrial complex in Long Island City, New York, for which we have an existing $270.7 million first mortgage and mezzanine loan interest, in order to preserve our rights as the mezzanine lender.

Current wording

•Acquired the additional remaining $143.8 million senior mortgage loan interest secured by an industrial complex in Long Island City, New York, for which we have an existing $274.3 million first mortgage and mezzanine loan interest, in order to preserve our rights as the mezzanine lender.

Previous wording

•Acquired 32 additional net lease properties for cash of $129.6 million and sold one portfolio and two single-asset net lease properties for $22.4 million, recognizing a total net gain of $0.5 million.

Current wording

•Acquired 32 additional net lease properties for $129.6 million and sold nine properties subject to two master leases for $22.4 million, recognizing a total net gain of $0.5 million.

Previous wording

•Obtained one new special servicing assignment for CMBS trusts with a total unpaid principal balance of $250.0 million, while $2.8 billion matured and $351.8 million transferred, bringing our total named special servicing portfolio to $94.6 billion.

Current wording

•Obtained one new special servicing assignment for CMBS trusts with a total unpaid principal balance of $250.0 million, while $2.8 billion matured and $351.8 million transferred, bringing our total named special servicing portfolio to $94.6 billion as of March 31. 2026.

Previous wording

Refer to Note 24 to the Condensed Consolidated Financial Statements for disclosure regarding significant transactions that occurred subsequent to March 31, 2026.

Current wording

Refer to Note 24 to the Consolidated Financial Statements for disclosure regarding significant transactions that occurred subsequent to June 30, 2026.

Previous wording

The following table compares our summarized results of operations for the three months ended March 31, 2026, December 31, 2025 and March 31, 2025 by business segment (amounts in thousands):

Current wording

The following table compares our summarized results of operations for the three months ended June 30, 2026 and March 31, 2026 and for the six months ended June 30, 2026 and 2025 by business segment (amounts in thousands):

Previous wording

For the three months ended March 31, 2026, revenues of our Commercial and Residential Lending Segment increased $9.4 million to $344.6 million, compared to $335.2 million for the three months ended December 31, 2025. This was primarily due to a $10.0 million increase in rental income from foreclosed properties (substantially offset by the increase in rental costs and expenses noted below), partially offset by a decrease in interest income from loans of $1.2 million. The decrease in interest income from loans was comprised of a $1.6 million decrease from residential loans, partially offset by a $0.4 million increase from commercial loans.

Current wording

For the three months ended June 30, 2026, revenues of our Commercial and Residential Lending Segment increased $19.6 million to $364.2 million, compared to $344.6 million for the three months ended March 31, 2026. This was primarily due to a $16.8 million increase in interest income from loans and a $3.5 million increase in rental income from foreclosed properties (substantially offset by the increase in rental costs and expenses noted below). The increase in interest income from loans was comprised of a $17.1 million increase from commercial loans, primarily reflecting higher average loan balances, slightly offset by a $0.3 million decrease from residential loans.

Previous wording

For the three months ended March 31, 2026, costs and expenses of our Commercial and Residential Lending Segment increased $0.5 million to $189.9 million, compared to $189.4 million for the three months ended December 31, 2025. This increase was primarily due to increases of $9.8 million in rental costs and expenses and $1.6 million in general and administrative expenses, partially offset by a $10.6 million decrease in the credit loss provision. The decrease in the credit loss provision primarily reflects improved macroeconomic forecasts in the first quarter of 2026.

Current wording

For the three months ended June 30, 2026, costs and expenses of our Commercial and Residential Lending Segment increased $36.8 million to $226.7 million, compared to $189.9 million for the three months ended March 31, 2026. This was primarily due to increases of $29.2 million in credit loss provision, $5.8 million in interest expense and $3.5 million in rental costs and expenses. The increase in the credit loss provision primarily reflects a deterioration in macroeconomic forecasts in the second quarter of 2026. The increase in interest expense associated with the various financing facilities used to fund a portion of this segment’s investment portfolio was primarily due to higher average borrowings outstanding.

Previous wording

For the three months ended March 31, 2026, net interest income of our Commercial and Residential Lending Segment increased $22.4 million to $171.0 million, compared to $148.6 million for the three months ended March 31, 2025. This increase reflects the net increase in interest income and the decrease in interest expense on our secured financing facilities, both as discussed in the sections above.

Current wording

For the three months ended June 30, 2026, net interest income of our Commercial and Residential Lending Segment increased $10.7 million to $181.7 million, compared to $171.0 million for the three months ended March 31, 2026. This reflects the increase in interest income, partially offset by the increase in interest expense on our secured financing facilities, both as discussed in the sections above.

Previous wording

During the three months ended March 31, 2026 and December 31, 2025, the Commercial and Residential Lending Segment’s weighted average secured borrowing rates, inclusive of the amortization of deferred financing fees, were 5.6% and 6.0%, respectively. The decrease in borrowing rates primarily reflects lower average index rates and spreads. Interest rate hedges had the effect of reducing these weighted average borrowing costs to 5.2% and 5.6% during the three months ended March 31, 2026 and December 31, 2025, respectively.

Current wording

During both the three months ended June 30, 2026 and March 31, 2026, the Commercial and Residential Lending Segment’s weighted average secured borrowing rate, inclusive of the amortization of deferred financing fees, was 5.6%. Interest rate hedges had the effect of reducing the weighted average borrowing costs to 5.3% and 5.2% during the three months ended June 30, 2026 and March 31, 2026, respectively.

Previous wording

For the three months ended March 31, 2026, other income of our Commercial and Residential Lending Segment decreased $35.9 million to a loss of $12.9 million compared to income of $23.0 million for the three months ended December 31, 2025. This was primarily due to (i) a $51.6 million unfavorable change in fair value of residential loans and (ii) a $13.0 million unfavorable change in foreign currency gain (loss), partially offset by (iii) the nonrecurrence of $26.8 million of impairments recognized on four foreclosed properties in the fourth quarter of 2025 and (iv) a $3.7 million increased net gain on derivatives. The increased net gain on derivatives in the first quarter of 2026 reflects (i) an $8.0 million favorable change in gain (loss) on foreign currency hedges, partially offset by (ii) a $4.3 million lower gain on interest rate swaps principally related to residential loans. The interest rate swaps are used primarily to hedge our interest rate risk on residential loans held-for-sale and to fix our interest rate payments on certain variable rate borrowings which fund fixed rate investments. The foreign currency hedges are used to fix the U.S. dollar amounts of cash flows (both interest and principal payments) we expect to receive from our foreign currency denominated loans and investments. The unfavorable change in foreign currency gain (loss) and the favorable change in gain (loss) on foreign currency hedges reflect the strengthening of the U.S. dollar against the pound sterling (“GBP”) and Euro (“EUR”), partially offset by a weakening against the Australian dollar (“AUD”), in the first quarter of 2026, compared to a weakening of the U.S. dollar against each of those currencies in the fourth quarter of 2025.

Current wording

For the three months ended June 30, 2026, other loss of our Commercial and Residential Lending Segment decreased $11.9 million to $1.0 million compared to $12.9 million for the three months ended March 31, 2026. This was primarily due to (i) an $8.3 million lesser decrease in fair value of residential loans and (ii) a $5.2 million increased net gain on derivatives, partially offset by (iii) a $2.0 million unfavorable change in fair value of RMBS investments. The increased net gain on derivatives in the second quarter of 2026 reflects (i) a $17.5 million higher gain on interest rate swaps principally related to residential loans, partially offset by (ii) a $12.3 million unfavorable change in gain (loss) on foreign currency hedges. The interest rate swaps are used primarily to hedge our interest rate risk on residential loans held-for-sale and to fix our interest rate payments on certain variable rate borrowings which fund fixed rate investments. The foreign currency hedges are used to fix the U.S. dollar amounts of cash flows (both interest and principal payments) we expect to receive from our foreign currency denominated loans and investments. The unfavorable change in gain (loss) on foreign currency hedges reflects the weakening of the U.S. dollar against the pound sterling (“GBP”) and Australian dollar (“AUD”), partially offset by a strengthening against the Euro (“EUR”), in the second quarter of 2026, compared to a strengthening of the U.S. dollar against the GBP and EUR, partially offset by a weakening against the AUD, in the first quarter of 2026.

Previous wording

For the three months ended March 31, 2026 and December 31, 2025, costs and expenses of our Infrastructure Lending Segment decreased $2.5 million to $41.8 million, compared to $44.3 million for the three months ended December 31, 2025. This was primarily due to a $2.9 million decrease in interest expense, primarily reflecting lower average index rates and spreads in the first quarter of 2026.

Current wording

For the three months ended June 30, 2026, costs and expenses of our Infrastructure Lending Segment increased $4.0 million to $45.8 million, compared to $41.8 million for the three months ended March 31, 2026. This was primarily due to (i) a $1.9 million increase in interest expense, primarily reflecting higher average borrowings outstanding, and (ii) a $1.3 million increase in credit loss provision to a provision of $0.3 million in the second quarter compared to a reversal of $1.0 million in the first quarter.

Previous wording

For the three months ended March 31, 2026, net interest income of our Infrastructure Lending Segment decreased $4.7 million to $25.1 million, compared to $29.8 million for the three months ended December 31, 2025. The decrease reflects the decrease in interest income from loans, partially offset by the decrease in interest expense on the secured financing facilities used to fund this segment’s investment portfolio, both as discussed above.

Current wording

For the three months ended June 30, 2026, net interest income of our Infrastructure Lending Segment increased $3.7 million to $28.8 million, compared to $25.1 million for the three months ended March 31, 2026. The increase reflects the increase in interest income from loans, partially offset by the increase in interest expense on the secured financing facilities used to fund this segment’s investment portfolio, both as discussed in the sections above.

Previous wording

During the three months ended March 31, 2026 and December 31, 2025, the weighted average unlevered yield on the Infrastructure Lending Segment’s loans and investment securities, excluding those for which interest income is not recognized, was 8.4% and 8.7%, respectively, primarily reflecting lower average index rates and lower prepayment related income in the first quarter of 2026.

Current wording

During both the three months ended June 30, 2026 and March 31, 2026, the weighted average unlevered yield on the Infrastructure Lending Segment’s loans and investment securities, excluding those for which interest income is not recognized, was 8.4%.

Previous wording

During the three months ended March 31, 2026 and December 31, 2025, the Infrastructure Lending Segment’s weighted average secured borrowing rate, inclusive of the amortization of deferred financing fees, were 6.2% and 6.8%, respectively, reflecting lower average index rates and spreads in the first quarter of 2026.

Current wording

During both the three months ended June 30, 2026 and March 31, 2026, the Infrastructure Lending Segment’s weighted average secured borrowing rate, inclusive of the amortization of deferred financing fees, was 6.2%.

Previous wording

For the three months ended March 31, 2026, revenues of our Property Segment increased $3.5 million to $61.3 million, compared to $57.8 million for the three months ended December 31, 2025, primarily due to Fundamental’s acquisition of additional net lease properties.

Current wording

For the three months ended June 30, 2026, revenues of our Property Segment increased $2.9 million to $64.2 million, compared to $61.3 million for the three months ended March 31, 2026, primarily due to Fundamental’s acquisition of additional net lease properties.

Previous wording

For the three months ended March 31, 2026, costs and expenses of our Property Segment increased $0.4 million to $72.2 million, compared to $71.8 million for the three months ended December 31, 2025. This was primarily due to an increase in depreciation and amortization of properties acquired by Fundamental, partially offset by a decrease in interest expense of the Medical Office Portfolio primarily due to repayment of its $39.5 million mezzanine debt in February 2026.

Current wording

For the three months ended June 30, 2026, costs and expenses of our Property Segment increased $1.1 million to $73.3 million, compared to $72.2 million for the three months ended March 31, 2026. This was primarily due to an increase in depreciation and amortization of properties acquired by Fundamental.

Previous wording

For the three months ended March 31, 2026, other income of our Property Segment decreased $26.1 million to $14.6 million compared to $40.7 million for the three months ended December 31, 2025. This was primarily due to a $25.1 million decrease in income attributable to investments of the Woodstar Fund, primarily related to lower unrealized fair value increases.

Current wording

For the three months ended June 30, 2026, other income of our Property Segment decreased $2.4 million to $12.2 million compared to $14.6 million for the three months ended March 31, 2026. This was primarily due to a $7.5 million decrease in income attributable to investments of the Woodstar Fund, primarily related to unrealized fair value changes, partially offset by a $6.1 million increased gain on interest rate derivatives which primarily hedge the timing of securitizations on Fundamental collateral while on a warehouse line.

Previous wording

For the three months ended March 31, 2026, corporate expenses increased $2.3 million to $143.9 million, compared to $141.6 million for the three months ended December 31, 2025. This was primarily due to a $2.9 million increase in management fees, principally reflecting higher incentive fees and stock compensation expense.

Current wording

For the three months ended June 30, 2026, corporate expenses decreased $1.6 million to $142.3 million, compared to $143.9 million for the three months ended March 31, 2026. This was primarily due to a $5.8 million decrease in management fees (principally incentive fees), partially offset by a $4.9 million increase in interest expense, primarily due to higher average secured and unsecured borrowings outstanding.

Previous wording

For the three months ended March 31, 2026, corporate other loss increased $13.0 million to $21.4 million, compared to $8.4 million for the three months ended December 31, 2025. This was due to a greater loss on our fixed-to-floating interest rate swaps which hedge a portion of our unsecured senior notes.

Current wording

For the three months ended June 30, 2026, corporate other loss increased $12.8 million to $34.2 million, compared to $21.4 million for the three months ended March 31, 2026. This was due to an increased loss on our fixed-to-floating interest rate swaps which hedge a portion of our unsecured senior notes.

Previous wording

Our consolidated income taxes principally relate to the taxable nature of our loan servicing and loan securitization businesses which are housed in taxable REIT subsidiaries (“TRSs”). For the three months ended March 31, 2026, our income tax provision decreased $22.8 million to a benefit of $3.9 million compared to a provision of $18.9 million for the three months ended December 31, 2025. This was primarily due to tax benefit recognition of intra-entity asset transfers in the first quarter of 2026 compared to the fourth quarter of 2025 provision on taxable income of our TRSs.

Current wording

Our consolidated income taxes principally relate to the taxable nature of our loan servicing and loan securitization businesses which are housed in taxable REIT subsidiaries (“TRSs”). For the three months ended June 30, 2026, our income tax provision increased $10.1 million to a provision of $6.2 million compared to a benefit of $3.9 million for the three months ended March 31, 2026. This was primarily due to a provision on taxable income of our TRSs in the second quarter of 2026 compared to the tax benefit recognition of intra-entity asset transfers in the first quarter of 2026.

Previous wording

During the three months ended March 31, 2026, net income attributable to non-controlling interests decreased $10.0 million to $5.5 million, compared to $15.5 million during the three months ended December 31, 2025. This was primarily due to non-controlling interests in an unfavorable change in unrealized gains (losses) of a consolidated CMBS joint venture and lower income of the Woodstar Fund in the first quarter of 2026.

Current wording

During the three months ended June 30, 2026, net income attributable to non-controlling interests increased $2.9 million to $8.4 million, compared to $5.5 million during the three months ended March 31, 2026. This was primarily due to non-controlling interests in a favorable change in unrealized gains (losses) of a consolidated CMBS joint venture, partially offset by lower income of the Woodstar Fund in the second quarter of 2026.

Previous wording

For the three months ended March 31, 2026, revenues of our Commercial and Residential Lending Segment increased $19.1 million to $344.6 million, compared to $325.5 million for the three months ended March 31, 2025. This was primarily due to increases in interest income from loans of $20.0 million and rental income from foreclosed properties of $8.1 million, partially offset by a decrease in interest income from investment securities of $8.3 million. The increase in interest income from loans reflects (i) a $23.2 million increase from commercial loans, reflecting higher average balances, partially offset by lower average index rates and spreads and additional loans placed on nonaccrual, and (ii) a $3.2 million decrease from residential loans principally due to lower average balances. The decrease in interest income from investment securities was primarily due to lower average commercial and residential investment balances due to repayments.

Current wording

For the six months ended June 30, 2026, revenues of our Commercial and Residential Lending Segment increased $39.4 million to $708.8 million, compared to $669.4 million for the six months ended June 30, 2025. This was primarily due to increases in interest income from loans of $33.6 million and rental income from foreclosed properties of $21.4 million, partially offset by a decrease in interest income from investment securities of $14.2 million. The increase in interest income from loans reflects (i) a $39.0 million increase from commercial loans, reflecting higher average balances, partially offset by lower average index rates and spreads and additional loans placed on nonaccrual, and (ii) a $5.4 million decrease from residential loans principally due to lower average balances. The decrease in interest income from investment securities was primarily due to lower average commercial and residential investment balances due to repayments.

Previous wording

For the three months ended March 31, 2026, costs and expenses of our Commercial and Residential Lending Segment increased $26.2 million to $189.9 million, compared to $163.7 million for the three months ended March 31, 2025. This was primarily due to increases of $26.3 million in credit loss provision, $8.3 million in rental costs and expenses and $2.2 million in general and administrative expenses, partially offset by a $10.6 million decrease in interest expense associated with the various secured financing facilities used to fund a portion of this segment’s investment portfolio. The credit loss provision increased to $0.5 million in the first quarter of 2026 compared to a reversal of $25.8 million in the first quarter of 2025 primarily due to a more significant improvement in the macroeconomic forecasts in the first quarter of 2025. The decrease in interest expense was primarily due to lower average index rates and spreads.

Current wording

For the six months ended June 30, 2026, costs and expenses of our Commercial and Residential Lending Segment increased $45.6 million to $416.6 million, compared to $371.0 million for the six months ended June 30, 2025. This was primarily due to increases of $52.5 million in credit loss provision and $21.8 million in rental costs and expenses, partially offset by a $30.4 million decrease in interest expense associated with the various secured financing facilities used to fund a portion of this segment’s investment portfolio. The increase in the credit loss provision primarily reflects a deterioration in macroeconomic forecasts in the second half of 2026. The decrease in interest expense was primarily due to lower average index rates and spreads, partially offset by higher average borrowings outstanding.

Previous wording

During the three months ended March 31, 2026 and 2025, the weighted average unlevered yields on the Commercial and Residential Lending Segment’s loans and investment securities, excluding retained RMBS and loans for which interest income is not recognized, were as follows:

Current wording

During the six months ended June 30, 2026 and 2025, the weighted average unlevered yields on the Commercial and Residential Lending Segment’s loans and investment securities, excluding retained RMBS and loans for which interest income is not recognized, were as follows:

Previous wording

The weighted average unlevered yield on our commercial loans decreased primarily due to lower average index rates and spreads and lower prepayment related income. The unlevered yield on our residential loans declined primarily due to higher interest recoveries on former nonaccrual loans during the first quarter of 2025 and increased fair values of loans in the first quarter of 2026.

Current wording

The weighted average unlevered yield on our commercial loans decreased primarily due to lower average index rates and spreads. The unlevered yield on our residential loans declined primarily due to an increase in the fair value of those loans.

Previous wording

During the three months ended March 31, 2026 and 2025, the Commercial and Residential Lending Segment’s weighted average secured borrowing rates, inclusive of the amortization of deferred financing fees, were 5.6% and 6.6%, respectively. The decrease in borrowing rates primarily reflects lower average index rates and spreads. Interest rate hedges had the effect of adjusting these weighted average borrowing costs to 5.2% and 5.9% during the three months ended March 31, 2026 and 2025, respectively.

Current wording

During the six months ended June 30, 2026 and 2025, the Commercial and Residential Lending Segment’s weighted average secured borrowing rates, inclusive of the amortization of deferred financing fees, were 5.6% and 6.5%, respectively. The decrease in borrowing rates primarily reflects lower average index rates and spreads. Interest rate hedges had the effect of adjusting these weighted average borrowing costs to 5.3% and 5.9% during the six months ended June 30, 2026 and 2025, respectively.

Previous wording

For the three months ended March 31, 2026, other income of our Commercial and Residential Lending Segment decreased $32.5 million to a loss of $12.9 million, compared to income of $19.6 million for the three months ended March 31, 2025. This was primarily due to (i) a $63.6 unfavorable change in fair value of residential loans, (ii) a $40.7 million unfavorable change in foreign currency gain (loss) and (iii) a $6.9 million lesser increase in fair value of RMBS investments, partially offset by (iv) an $82.2 million favorable change in gain (loss) on derivatives. The favorable change in gain (loss) on derivatives during the three months ended March 31, 2026 reflects (i) a $43.1 million favorable change in gain (loss) on interest rate swaps principally related to residential loans and (ii) a $39.1 million favorable change in gain (loss) on foreign currency hedges. The interest rate swaps are used primarily to hedge our interest rate risk on residential loans held-for-sale and to fix our interest rate payments on certain variable rate borrowings which fund fixed rate investments. The foreign currency hedges are used to fix the U.S. dollar amounts of cash flows (both interest and principal payments) we expect to receive from our foreign currency denominated loans and investments. The unfavorable change in foreign currency gain (loss) and the favorable change in gain (loss) on foreign currency hedges reflect the strengthening of the U.S. dollar against the GBP and EUR, partially offset by a weakening against the AUD, during the first quarter of 2026, compared to a weakening of the U.S. dollar against each of those currencies in the first quarter of 2025.

Current wording

For the six months ended June 30, 2026, other income of our Commercial and Residential Lending Segment decreased $60.1 million to a loss of $13.9 million, compared to income of $46.2 million for the six months ended June 30, 2025. This was primarily due to (ii) a $129.7 million unfavorable change in foreign currency gain (loss), (ii) an $84.7 million unfavorable change in fair value of residential loans, (iii) a $31.4 million decrease in gain on sale of investments and other assets, (iv) the nonrecurrence of a $20.8 million gain on extinguishment of debt in the first half of 2025 and (v) a $6.5 million unfavorable change in fair value of RMBS investments, all partially offset by (vi) a $219.8 million favorable change in gain (loss) on derivatives. The favorable change in gain (loss) on derivatives during the six months ended June 30, 2026 reflects (i) a $128.9 million favorable change in gain (loss) on foreign currency hedges and (ii) a $90.9 million favorable change in gain (loss) on interest rate swaps principally related to residential loans. The foreign currency hedges are used to fix the U.S. dollar amounts of cash flows (both interest and principal payments) we expect to receive from our foreign currency denominated loans and investments. The interest rate swaps are used primarily to hedge our interest rate risk on residential loans held-for-sale and to fix our interest rate payments on certain variable rate borrowings which fund fixed rate investments. The unfavorable change in foreign currency gain (loss) and the favorable change in gain (loss) on foreign currency hedges reflect the strengthening of the U.S. dollar against the GBP and EUR, partially offset by a weakening against the AUD, during the first half of 2026, compared to a weakening of the U.S. dollar against each of those currencies in the first half of 2025.

Previous wording

For the three months ended March 31, 2026, costs and expenses of our Infrastructure Lending Segment decreased $1.1 million to $41.8 million, compared to $42.9 million for the three months ended March 31, 2025. This was primarily due to (i) a $1.7 million decrease in credit loss provision to a reversal of $1.0 million in the first quarter of 2026 due to improved macroeconomic forecasts and (ii) a $0.9 million net decrease in general, administrative and other expenses, partially offset by (iii) a $1.5 million increase in interest expense, reflecting higher average borrowings outstanding, partially offset by the effects of lower average index rates and spreads.

Current wording

For the six months ended June 30, 2026, costs and expenses of our Infrastructure Lending Segment decreased $3.6 million to $87.6 million, compared to $91.2 million for the six months ended June 30, 2025. This was primarily due to (i) a $3.4 million decrease in credit loss provision to a reversal of $0.6 million in the first half of 2026 compared to a provision of $2.8 million in the first half of 2025, reflecting lower net fundings, and (ii) a $1.3 million net decrease in general, administrative and other expenses, partially offset by (iii) a $1.1 million increase in interest expense, reflecting higher average borrowings outstanding, partially offset by the effects of lower average index rates and spreads.

Previous wording

For the three months ended March 31, 2026, net interest income of our Infrastructure Lending Segment decreased $0.3 million to $25.1 million, compared to $25.5 million for the three months ended March 31, 2025. The decrease reflects the increase in interest expense on the secured financing facilities, partially offset by the increase in interest income from loans, both as discussed in the sections above.

Current wording

For the six months ended June 30, 2026, net interest income of our Infrastructure Lending Segment increased $1.5 million to $54.0 million, compared to $52.4 million for the six months ended June 30, 2025. This reflects the increase in interest income from loans and investment securities, partially offset by the increase in interest expense on the secured financing facilities, both as discussed in the sections above.

Previous wording

During the three months ended March 31, 2026 and 2025, the weighted average unlevered yields on the Infrastructure Lending Segment’s loans and investment securities, excluding those for which interest income is not recognized, were 8.4% and 9.3%, respectively, reflecting lower average index rates and spreads and lower prepayment related income in the three months of 2026.

Current wording

During the six months ended June 30, 2026 and 2025, the weighted average unlevered yields on the Infrastructure Lending Segment’s loans and investment securities, excluding those for which interest income is not recognized, were 8.5% and 9.3%, respectively, reflecting lower average index rates and spreads in the first half of 2026.

Previous wording

During the three months ended March 31, 2026 and 2025, the Infrastructure Lending Segment’s weighted average secured borrowing rates, inclusive of the amortization of deferred financing fees, were 6.2% and 7.0%, respectively, reflecting lower average index rates and spreads in the three months of 2026.

Current wording

During the six months ended June 30, 2026 and 2025, the Infrastructure Lending Segment’s weighted average secured borrowing rates, inclusive of the amortization of deferred financing fees, were 6.2% and 7.0%, respectively, reflecting lower average index rates and spreads in the first half of 2026.

Previous wording

For the three months ended March 31, 2026, revenues of our Property Segment increased $44.8 million to $61.3 million, compared to $16.5 million for the three months ended March 31, 2025. This was primarily due to our acquisition of Fundamental in July 2025, which provided $44.0 million of net lease rental income during the first quarter of 2026.

Current wording

For the six months ended June 30, 2026, revenues of our Property Segment increased $92.5 million to $125.5 million, compared to $33.0 million for the six months ended June 30, 2025. This was primarily due to our acquisition of Fundamental in July 2025, which provided $91.1 million of net lease rental income during the first half of 2026.

Previous wording

For the three months ended March 31, 2026, costs and expenses of our Property Segment increased $50.0 million to $72.2 million, compared to $22.2 million for the three months ended March 31, 2025. This was primarily due to the acquisition of Fundamental in July 2025, which introduced (i) higher interest expense, general and administrative expenses and costs of rental operations totaling $28.8 million and (ii) higher asset depreciation and amortization of $22.2 million, during the first quarter of 2026, the effect of which was partially offset by (iii) a $1.3 million decrease in interest expense on variable rate borrowings of the Medical Office Portfolio, primarily due to repayment of its $39.5 million mezzanine debt in February 2026.

Current wording

For the six months ended June 30, 2026, costs and expenses of our Property Segment increased $101.2 million to $145.5 million, compared to $44.3 million for the six months ended June 30, 2025. This was primarily due to the acquisition of Fundamental in July 2025, which introduced (i) higher interest expense, general and administrative expenses and costs of rental operations totaling $58.3 million and (ii) higher asset depreciation and amortization of $45.5 million, during the first half of 2026, the effect of which was partially offset by (iii) a $3.1 million decrease in interest expense on variable rate borrowings of the Medical Office Portfolio, primarily due to repayment of its $39.5 million mezzanine debt in February 2026 and lower average index rates.

Previous wording

For the three months ended March 31, 2026, other income of our Property Segment increased $11.7 million to $14.6 million, compared to $2.9 million for the three months ended March 31, 2025. This was primarily due to (i) an $8.6 million increase in income attributable to investments of the Woodstar Fund, primarily related to favorable unrealized fair value changes and (ii) a $2.3 million gain on derivatives which hedge the timing of securitizations on Fundamental collateral while on a warehouse line.

Current wording

For the six months ended June 30, 2026, other income of our Property Segment increased $19.6 million to $26.9 million, compared to $7.3 million for the six months ended June 30, 2025. This was primarily due to (i) a $10.7 million gain on derivatives which hedge the timing of securitizations on Fundamental collateral while on a warehouse line and (ii) an $8.4 million increase in income attributable to investments of the Woodstar Fund, primarily related to unrealized fair value changes.

Previous wording

For the three months ended March 31, 2026, revenues of our Investing and Servicing Segment increased $21.9 million to $80.8 million, compared to $58.9 million for the three months ended March 31, 2025. This was primarily due to (i) a $29.8 million increase in servicing fees principally related to default interest, partially offset by (ii) a $5.4 million decrease in interest income from CMBS investments and conduit loans primarily due to lower interest recoveries on CMBS investments and lower average loan balances held during the first quarter of 2026 and (iii) a $1.8 million decrease in rental income on fewer properties held.

Current wording

For the six months ended June 30, 2026, revenues of our Investing and Servicing Segment increased $20.8 million to $133.5 million, compared to $112.7 million for the six months ended June 30, 2025. This was primarily due to (i) a $31.6 million increase in servicing fees principally related to default interest, partially offset by (ii) a $6.4 million decrease in interest income from CMBS investments and conduit loans primarily due to lower interest recoveries on CMBS investments and lower average loan balances held during the first half of 2026 and (iii) a $3.1 million decrease in rental income on fewer properties held.

Previous wording

For the three months ended March 31, 2026, costs and expenses of our Investing and Servicing Segment decreased $3.0 million to $32.7 million, compared to $35.7 million for the three months ended March 31, 2025. This was primarily due to decreases of (i) $1.3 million in interest expense principally related to the financing of conduit loan balances and (ii) $1.2 million in rental costs and expenses.

Current wording

For the six months ended June 30, 2026, costs and expenses of our Investing and Servicing Segment decreased $3.8 million to $69.6 million, compared to $73.4 million for the six months ended June 30, 2025. This was primarily due to decreases of (i) $2.4 million in rental costs and expenses and (ii) $1.3 million in general and administrative expenses, principally related to lower loan securitization activity.

Previous wording

For the three months ended March 31, 2026, other income (loss) of our Investing and Servicing Segment improved $9.7 million to income of $2.0 million, compared to a loss of $7.7 million for the three months ended March 31, 2025. This was primarily due to (i) a $14.7 million lesser decrease in fair value of CMBS investments and (ii) a $1.3 million favorable change in gain (loss) on derivatives which primarily hedge our interest rate risk on conduit loans and CMBS investments, partially offset by (iii) a $7.5 million lesser increase in fair value of conduit loans.

Current wording

For the six months ended June 30, 2026, other income of our Investing and Servicing Segment decreased $10.9 million to $17.4 million, compared to $28.3 million for the six months ended June 30, 2025. This was primarily due to (i) a $16.3 million lesser increase in fair value of conduit loans and (ii) a $5.3 million decrease in earnings from unconsolidated entities, partially offset by (iii) a $9.3 million lesser decrease in fair value of CMBS investments and (iv) a $3.6 million favorable change in gain (loss) on derivatives which primarily hedge our interest rate risk on conduit loans and CMBS investments.

Previous wording

For the three months ended March 31, 2026, corporate expenses increased $23.9 million to $143.9 million, compared to $120.0 million for the three months ended March 31, 2025. This was primarily due to (i) a $28.1 million increase in interest expense reflecting higher average balances of unsecured senior notes and secured term loans outstanding, partially offset by lower spreads and index rates on the secured term loans, partially offset by (ii) a $4.4 million decrease in management fees, principally reflecting lower incentive fees and stock compensation expense.

Current wording

For the six months ended June 30, 2026, corporate expenses increased $51.0 million to $286.2 million, compared to $235.2 million for the six months ended June 30, 2025. This was primarily due to (i) a $55.8 million increase in interest expense reflecting higher average balances of unsecured senior notes and secured term loans outstanding, partially offset by lower spreads and index rates on the secured term loans, and (ii) a $4.7 million decrease in management fees, principally reflecting lower incentive fees and stock compensation expense.

Previous wording

For the three months ended March 31, 2026, corporate other income decreased $48.7 million to a loss of $21.4 million, compared to income of $27.3 million for the three months ended March 31, 2025. This was due to an unfavorable change in gain (loss) on fixed-to-floating interest rate swaps which hedge a portion of our unsecured senior notes.

Current wording

For the six months ended June 30, 2026, corporate other income decreased $99.2 million to a loss of $55.7 million, compared to income of $43.5 million for the six months ended June 30, 2025. This was due to an unfavorable change in gain (loss) on fixed-to-floating interest rate swaps which hedge a portion of our unsecured senior notes.