KKR Real Estate Finance Trust Inc.

Previous wording

Although the Federal Reserve lowered interest rates by 50 basis points in September 2024, by 25 basis points in November 2024 and by 25 basis points in December 2024, interest rates remain elevated and the timing, direction and extent of any future interest rate changes remain uncertain. Although higher interest rates will generally correlate to increases in our net income, increases in interest rates may adversely affect our existing borrowers and the cost of financing their properties and lead to nonperformance. Higher interest rates may also adversely impact real estate asset values and increase our interest expense, which expense may not be fully offset by any resulting increase in interest income.

Current wording

Although the Federal Reserve lowered interest rates by 50 basis points in September 2024, by 25 basis points in November 2024, by 25 basis points in December 2024 and by 25 basis points in September 2025, interest rates remain elevated and the timing, direction and extent of any future interest rate changes remain uncertain. Although higher interest rates will generally correlate to increases in our net income, increases in interest rates may adversely affect our existing borrowers and the cost of financing their properties and lead to nonperformance. Higher interest rates may also adversely impact real estate asset values and increase our interest expense, which expense may not be fully offset by any resulting increase in interest income.

Previous wording

Book value as of June 30, 2025 included the impact of an estimated CECL allowance of $173.9 million, or ($2.64) per share. See Note 2 — Summary of Significant Accounting Policies, to our condensed consolidated financial statements included in this Form 10-Q for detailed discussion of allowance for credit losses.

Current wording

Book value as of September 30, 2025 included the impact of an estimated CECL allowance of $160.4 million, or ($2.45) per share. See Note 2 — Summary of Significant Accounting Policies, to our condensed consolidated financial statements included in this Form 10-Q for detailed discussion of allowance for credit losses.

Previous wording

We have established a $6,242.5 million portfolio of diversified investments, consisting primarily of senior commercial real estate loans as of June 30, 2025.

Current wording

We have established a $5,850.8 million portfolio of diversified investments, consisting primarily of senior commercial real estate loans as of September 30, 2025.

Previous wording

During the three months ended June 30, 2025, we collected 99.9% of interest payments due on our loan portfolio. As of June 30, 2025, the average risk rating of our loan portfolio was 3.1, weighted by loan outstanding principal. As of June 30, 2025, the average loan commitment in our portfolio was $116.6 million and multifamily and industrial loans comprised 62% of our loan portfolio.

Current wording

During the three months ended September 30, 2025, we collected 100% of interest payments due on our loan portfolio. As of September 30, 2025, the average risk rating of our loan portfolio was 3.1, weighted by loan outstanding principal. As of September 30, 2025, the average loan commitment in our portfolio was $110.3 million and multifamily and industrial loans comprised 58% of our loan portfolio.

Previous wording

In addition, we owned Real Estate Assets with an investment amount of $407.0 million, comprised of the acquired properties (directly or indirectly) and capitalized redevelopment costs, as of June 30, 2025. These properties are reflected on our Condensed Consolidated Balance Sheets.

Current wording

In addition, we owned Real Estate Assets with an investment amount of $495.8 million, comprised of the acquired properties (directly or indirectly) and capitalized redevelopment costs, as of September 30, 2025. These properties are reflected on our Condensed Consolidated Balance Sheets.

Previous wording

For Senior Loan 7, the total whole loan is $199.4 million, including (i) a fully funded senior mortgage loan of $120.0 million, at an interest rate of S+2.25% and (ii) a mezzanine note with a commitment of $79.4 million, of which $74.4 million was funded as of June 30, 2025, at a fixed interest rate of 4.5%. The mezzanine note interest is payment-in-kind (“PIK Interest”), which is capitalized, compounded, and added to the outstanding principal balance of the respective loan.

Current wording

For Senior Loan 6, the total whole loan is $199.4 million, including (i) a fully funded senior mortgage loan of $120.0 million, at an interest rate of S+2.25% and (ii) a mezzanine note with a commitment of $79.4 million, of which $74.4 million was funded as of September 30, 2025, at a fixed interest rate of 4.5%. The mezzanine note interest is payment-in-kind (“PIK Interest”), which is capitalized, compounded, and added to the outstanding principal balance of the respective loan.

Previous wording

(G) Loan Per SF / Unit / Key is based on the current principal amount divided by the current SF / Unit / Key. For Senior Loans 2, 3, 5, 13 and 17, Loan Per SF / Unit / Key is calculated as the total commitment amount of the loan divided by the proposed SF / Unit / Key.

Current wording

(G) Loan Per SF / Unit / Key is based on the current principal amount divided by the current SF / Unit / Key. For Senior Loans 1, 2, 4, 11, 16 and 38, Loan Per SF / Unit / Key is calculated as the total commitment amount of the loan divided by the proposed SF / Unit / Key.

Previous wording

For Senior Loans 2, 3, 5, 13 and 17, LTV is calculated as the total commitment amount of the loan divided by the as-stabilized value as of the date the loan was originated. For senior loans where an appraisal has been obtained post origination, the LTV, presented as follows, is calculated based on the current principal amount divided by the as-is appraised value as of the new appraisal date: Senior Loan 14 (77%); Senior Loan 16 (78%); Senior Loan 19 (64%); Senior Loan 21 (57%); Senior Loan 22 (75%); Senior Loan 26 (83%); Senior Loan 28 (70%); Senior Loan 30 (81%); Senior Loan 31 (63%); and Senior Loan 40 (81%).

Current wording

For Senior Loans 1, 2, 4, 11, 16 and 38, LTV is calculated as the total commitment amount of the loan divided by the as-stabilized value as of the date the loan was originated.

Previous wording

In December 2024, we modified a risk-rated 5 senior life science loan located in San Carlos, CA, with an outstanding principal balance of $103.2 million. The terms of the modification included a $13.1 million principal repayment, and a restructure of the $90.1 million senior loan (after the $13.1 million repayment) into (i) a $89.1 million committed senior mortgage loan (with $34.9 million in unfunded commitment), and (ii) a $35.9 million subordinated note which is subordinate to a new $20.0 million sponsor interest. The restructured senior loan earns a coupon rate of S+1.00% and has a new term of three years. The $35.9 million subordinated note was deemed uncollectible and written off in December 2024. The loan modification was accounted for as a new loan for GAAP purposes. The restructured senior loan with an outstanding principal balance of $58.6 million was risk-rated 3 as of June 30, 2025.

Current wording

In December 2024, we modified a risk-rated 5 senior life science loan located in San Carlos, CA, with an outstanding principal balance of $103.2 million. The terms of the modification included a $13.1 million principal repayment, and a restructure of the $90.1 million senior loan (after the $13.1 million repayment) into (i) a $89.1 million committed senior mortgage loan (with $34.9 million in unfunded commitment), and (ii) a $35.9 million subordinated note which is subordinate to a new $20.0 million sponsor interest. The restructured senior loan earns a coupon rate of S+1.00% and has a new term of three years. The $35.9 million subordinated note was deemed uncollectible and written off in December 2024. The loan modification was accounted for as a new loan for GAAP purposes. The restructured senior loan with an outstanding principal balance of $60.1 million was risk-rated 3 as of September 30, 2025.

Previous wording

Our Non-Mark-to-Market Financing Sources, which accounted for 78% of our total financing as of June 30, 2025, are not subject to credit or capital markets mark-to-market provisions. The remaining 22% of our total financing, which is comprised of three master repurchase agreements, are only subject to credit marks.

Current wording

Our Non-Mark-to-Market Financing Sources, which accounted for 77% of our total financing as of September 30, 2025, are not subject to credit or capital markets mark-to-market provisions. The remaining 23% of our total financing, which is comprised of three master repurchase agreements, are only subject to credit marks.

Previous wording

Each of our existing master repurchase facilities includes "credit mark-to-market" features. "Credit mark-to-market" provisions in repurchase facilities are designed to keep the lenders' credit exposure generally constant as a percentage of the underlying collateral value of the assets pledged as security to them. If the credit underlying collateral value decreases, the gross amount of leverage available to us will be reduced as our assets are marked-to-market, which would reduce our liquidity. The lender under the applicable repurchase facility sets the valuation and any revaluation of the collateral assets in its sole, good faith discretion. As a contractual matter, the lender has the right to reset the value of the assets at any time based on then-current market conditions, but the market convention is to reassess valuations on a monthly, quarterly and annual basis using the financial information delivered pursuant to the facility documentation regarding the real property, borrower and guarantor under such underlying loans. Generally, if the lender determines (subject to certain conditions) that the market value of the collateral in a repurchase transaction has decreased by more than a defined minimum amount, the lender may require us to provide additional collateral or lead to margin calls that may require us to repay all or a portion of the funds advanced. We closely monitor our liquidity and intend to maintain sufficient liquidity on our balance sheet in order to meet any margin calls in the event of any significant decreases in asset values. As of June 30, 2025, the weighted average haircut under our repurchase agreements was 33.0% (or 31.4%, if we had borrowed the maximum amount approved by its repurchase agreement counterparties as of such dates). In addition, our existing master repurchase facilities are not entirely term-matched financings and may mature before our CRE debt investments that represent underlying collateral to those financings. As we negotiate renewals and extensions of these liabilities, we may experience lower advance rates and higher pricing under the renewed or extended agreements.

Current wording

Each of our existing master repurchase facilities includes "credit mark-to-market" features. "Credit mark-to-market" provisions in repurchase facilities are designed to keep the lenders' credit exposure generally constant as a percentage of the underlying collateral value of the assets pledged as security to them. If the credit underlying collateral value decreases, the gross amount of leverage available to us will be reduced as our assets are marked-to-market, which would reduce our liquidity. The lender under the applicable repurchase facility sets the valuation and any revaluation of the collateral assets in its sole, good faith discretion. As a contractual matter, the lender has the right to reset the value of the assets at any time based on then-current market conditions, but the market convention is to reassess valuations on a monthly, quarterly and annual basis using the financial information delivered pursuant to the facility documentation regarding the real property, borrower and guarantor under such underlying loans. Generally, if the lender determines (subject to certain conditions) that the market value of the collateral in a repurchase transaction has decreased by more than a defined minimum amount, the lender may require us to provide additional collateral or lead to margin calls that may require us to repay all or a portion of the funds advanced. We closely monitor our liquidity and intend to maintain sufficient liquidity on our balance sheet in order to meet any margin calls in the event of any significant decreases in asset values. As of September 30, 2025, the weighted average haircut under our repurchase agreements was 36.0% (or 34.5%, if we had borrowed the maximum amount approved by its repurchase agreement counterparties as of such dates). In addition, our existing master repurchase facilities are not entirely term-matched financings and may mature before our CRE debt investments that represent underlying collateral to those financings. As we negotiate renewals and extensions of these liabilities, we may experience lower advance rates and higher pricing under the renewed or extended agreements.

Previous wording

In March 2025, we upsized our corporate revolving credit agreement (“Revolver”), administered by Morgan Stanley Senior Funding, Inc., to $660.0 million and extended the maturity date to March 2030. We may use our Revolver as a source of financing, which is designed to provide short-term liquidity to originate or de-lever loans, pay operating expenses and borrow amounts for general corporate purposes. Our Revolver is secured by corporate level guarantees and includes net equity interests in the investment portfolio.

Current wording

In March 2025, we upsized our corporate revolving credit agreement (“Revolver”), administered by Morgan Stanley Senior Funding, Inc., to $660.0 million and extended the maturity date to March 2030. In September 2025, we further upsized our Revolver to $700.0 million. We may use our Revolver as a source of financing, which is designed to provide short-term liquidity to originate or de-lever loans, pay operating expenses and borrow amounts for general corporate purposes. Our Revolver is secured by corporate level guarantees and includes net equity interests in the investment portfolio.

Previous wording

In March 2025, we refinanced our existing term loan of $339.5 million with a new $550.0 million secured term loan due March 2032. The secured term loan is partially amortizing, with an amount equal to 1.0% per annum of the principal balance due in quarterly installments starting June 30, 2025. The secured term loan contains restrictions relating to liens, asset sales, indebtedness, investments and transactions with affiliates, and is secured by corporate level guarantees and does not include asset-based collateral.

Current wording

In March 2025, we refinanced our existing term loan of $339.5 million with a new $550.0 million secured term loan due March 2032. In September 2025, we upsized our secured term loan to $650.0 million and reduced the spread by 0.75% to S+2.5%. The secured term loan is partially amortizing, with an amount equal to 1.0% per annum of the principal balance due in quarterly installments. The secured term loan contains restrictions relating to liens, asset sales, indebtedness, investments and transactions with affiliates, and is secured by corporate level guarantees and does not include asset-based collateral.

Previous wording

Portland, OR Retail /Redevelopment—In December 2021, we took title a Portland retail property and recorded the property and its net assets on the Condensed Consolidated Balance Sheets based on the estimated fair value of acquired assets and assumed liabilities. We contributed a portion of the REO asset to a joint venture (the "REO JV") with a third party local developer (“JV Partner”), whereby we had a 90% interest and the JV Partner had a 10% interest. The JV Partner's interest in the property was presented within "Noncontrolling interests in equity of consolidated joint ventures" on the Condensed Consolidated Balance Sheets. In June 2025, we sold a portion of the property for $6.0 million and recognized a realized gain of $0.7 million after closing costs. As of June 30, 2025, we have a priority of distributions up to $77.7 million before the JV Partner can participate in the economics of the REO JV.

Current wording

Portland, OR Retail /Redevelopment—In December 2021, we took title a Portland retail property and recorded the property and its net assets on the Condensed Consolidated Balance Sheets based on the estimated fair value of acquired assets and assumed liabilities. We contributed a portion of the REO asset to a joint venture (the "REO JV") with a third party local developer (“JV Partner”), whereby we had a 90% interest and the JV Partner had a 10% interest. The JV Partner's interest in the property was presented within "Noncontrolling interests in equity of consolidated joint ventures" on the Condensed Consolidated Balance Sheets. In June 2025, we sold a portion of the property for $6.0 million and recognized a realized gain of $0.7 million after closing costs. As of September 30, 2025, we have a priority of distributions up to $79.7 million before the JV Partner can participate in the economics of the REO JV.

Previous wording

Mountain View, CA Office —In June 2024, we and the KKR affiliate took title to a Mountain View office property through a DIL and we accounted for the property on a consolidated basis. Ours and the KKR affiliate's interest in the property were 68.9% and 31.1%, respectively. We recorded the property and its net assets on the Condensed Consolidated Balance Sheets based on the estimated fair value of acquired assets and assumed liabilities. The KKR affiliate's interest in the property was presented within "Noncontrolling interests in equity of consolidated joint ventures" on the Condensed Consolidated Balance Sheets.

Current wording

Mountain View, CA Office —In June 2024, we and the KKR affiliate took title to a Mountain View office property through a deed-in-lieu of foreclosure ("DIL") and we accounted for the property on a consolidated basis. Ours and the KKR affiliate's interest in the property were 68.9% and 31.1%, respectively. We recorded the property and its net assets on the Condensed Consolidated Balance Sheets based on the estimated fair value of acquired assets and assumed liabilities. The KKR affiliate's interest in the property was presented within "Noncontrolling interests in equity of consolidated joint ventures" on the Condensed Consolidated Balance Sheets.

Previous wording

Philadelphia, PA Office —In December 2023, we took title to a Philadelphia office portfolio through a deed-in-lieu of foreclosure ("DIL") and recorded the portfolio and its net assets on the Condensed Consolidated Balance Sheets based on the estimated fair value of acquired assets and assumed liabilities.

Current wording

Philadelphia, PA Office —In December 2023, we took title to a Philadelphia office portfolio through a DIL and recorded the portfolio and its net assets on the Condensed Consolidated Balance Sheets based on the estimated fair value of acquired assets and assumed liabilities.

Previous wording

West Hollywood, CA Condo — In April 2025, we took title to a West Hollywood multifamily property through an assignment-in-lieu of foreclosure. We recorded the property and its net assets on the Condensed Consolidated Balance Sheets based on the estimated fair value of acquired assets and assumed liabilities.

Current wording

West Hollywood, CA Condo — In April 2025, we took title to a West Hollywood multifamily property through an AIL. We recorded the property and its net assets on the Condensed Consolidated Balance Sheets based on the estimated fair value of acquired assets and assumed liabilities.

Previous wording

Net interest income decreased by $1.2 million during the three months ended June 30, 2025, as compared to the preceding three-month period. This decrease was due primarily to additional loans placed on nonaccrual status and a decline in overall portfolio size. We recorded $4.4 million of deferred loan fees and origination discounts accreted into interest income during the three months ended June 30, 2025, as compared to $3.4 million during the preceding period. In addition, we recorded $3.0 million of deferred financing costs amortization into interest expense during the three months ended June 30, 2025, as compared to $3.1 million for the preceding period.

Current wording

Net interest income decreased by $4.8 million during the three months ended September 30, 2025, as compared to the preceding three-month period. This decrease was due primarily to loans on nonaccrual status and a decline in overall portfolio size. We recorded $4.3 million of deferred loan fees and origination discounts accreted into interest income during the three months ended September 30, 2025, as compared to $4.4 million during the preceding period. In addition, we recorded $4.7 million of deferred financing costs amortization into interest expense during the three months ended September 30, 2025, as compared to $3.0 million for the preceding period.

Previous wording

Total other income increased by $1.8 million during the three months ended June 30, 2025, as compared to the preceding period. This increase was due primarily to a $1.2 million gain on sale of REO investments.

Current wording

Total other income increased by $0.4 million during the three months ended September 30, 2025, as compared to the preceding period.

Previous wording

Total operating expenses increased by $25.5 million during the three months ended June 30, 2025, as compared to the preceding period. This increase was primarily due to a $25.0 million change in the provision for credit losses. The provision for credit losses during the three months ended June 30, 2025 was due primarily to additional reserves for risk-rated 5 loans in the office and life science sectors.

Current wording

Total operating expenses decreased by $47.8 million during the three months ended September 30, 2025, as compared to the preceding period. This decrease was primarily due to a $48.9 million change in the provision for credit losses. The provision for credit losses during the three months ended June 30, 2025 was due primarily to additional reserves for risk-rated 5 loans in the office and life science sectors.

Previous wording

Six Months Ended June 30, 2025 Compared to Six Months Ended June 30, 2024

Current wording

Nine Months Ended September 30, 2025 Compared to Nine Months Ended September 30, 2024

Previous wording

The following table summarizes the changes in our results of operations for the six months ended June 30, 2025 and 2024 (amounts in thousands, except per share data):

Current wording

The following table summarizes the changes in our results of operations for the nine months ended September 30, 2025 and 2024 (amounts in thousands, except per share data):

Previous wording

Net interest income decreased by $18.1 million during the six months ended June 30, 2025, as compared to the corresponding period in the prior year. This decrease was due primarily to a reduced loan portfolio size as a result of repayments or other resolutions and lower index rates. We recorded $7.8 million of deferred loan fees and origination discounts accreted into interest income during the six months ended June 30, 2025, as compared to $9.6 million during the prior year period. In addition, we recorded $6.1 million of deferred financing costs amortization into interest expense during the six months ended June 30, 2025, as compared to $9.3 million during the prior year period.

Current wording

Net interest income decreased by $29.7 million during the nine months ended September 30, 2025, as compared to the corresponding period in the prior year. This decrease was due primarily to a reduced loan portfolio size as a result of repayments or other resolutions and lower index rates. We recorded $12.1 million of deferred loan fees and origination discounts accreted into interest income during the nine months ended September 30, 2025, as compared to $13.5 million during the prior year period. In addition, we recorded $10.8 million of deferred financing costs amortization into interest expense during the nine months ended September 30, 2025, as compared to $13.1 million during the prior year period.

Previous wording

Total other income decreased by $5.3 million during the six months ended June 30, 2025, as compared to the prior year period. This decrease was due primarily to a $3.8 million decrease in revenue from REO operations and a $2.1 million operating loss related to our real estate asset equity method investment, which was partially offset by a $1.2 million gain on sale of REO investments during the current period.

Current wording

Total other income decreased by $9.2 million during the nine months ended September 30, 2025, as compared to the prior year period. This decrease was due primarily to a $7.6 million decrease in revenue from REO operations and a $3.0 million operating loss related to our real estate asset equity method investment, which was partially offset by a $1.2 million gain on sale of REO investments during the current period.

Previous wording

Total operating expenses increased by $35.2 million during the six months ended June 30, 2025, as compared to the prior year period. This increase was due primarily to a $36.9 million change in the provision for credit losses. This change was due primarily to a higher provision for credit losses on risk-rated 5 loans in the office and life science sectors during the current period.

Current wording

Total operating expenses increased by $0.4 million during the nine months ended September 30, 2025, as compared to the prior year period.

Previous wording

We have capitalized our business to date primarily through the issuance and sale of our common stock and preferred stock, borrowings from three master repurchase agreements, and borrowings from our Non-Mark-to-Market Financing Sources, which were comprised of collateralized loan obligations, term lending agreements, term loan facility, secured term loan, asset specific financing, warehouse facility, and corporate Revolver. Our Non-Mark-to-Market Financing Sources, which accounted for 78% of our total financing as of June 30, 2025, are not subject to credit or capital markets mark-to-market provisions. The remaining 22% of our total financing, which are comprised of three master repurchase agreements, are only subject to credit marks.

Current wording

We have capitalized our business to date primarily through the issuance and sale of our common stock and preferred stock, borrowings from three master repurchase agreements, and borrowings from our Non-Mark-to-Market Financing Sources, which were comprised of collateralized loan obligations, term lending agreements, term loan facility, secured term loan, asset specific financing, warehouse facility, and corporate Revolver. Our Non-Mark-to-Market Financing Sources, which accounted for 77% of our total financing as of September 30, 2025, are not subject to credit or capital markets mark-to-market provisions. The remaining 23% of our total financing, which are comprised of three master repurchase agreements, are only subject to credit marks.

Previous wording

Our primary sources of liquidity include $107.7 million of cash on our Condensed Consolidated Balance Sheets, $620.0 million of available capacity on our corporate Revolver, $29.0 million of available borrowings under our financing arrangements based on existing collateral, and cash flows from operations. In addition, we had $253.0 million of total unencumbered assets, including $206.3 million of real estate owned assets, $44.6 million of CMBS investments and $2.1 million of unencumbered senior loans, that can be financed, as of June 30, 2025. Our corporate Revolver and secured term loan are secured by corporate level guarantees and include net equity interests in the investment portfolio. We may seek additional sources of liquidity from syndicated financing, other borrowings (including borrowings not related to a specific investment) and future offerings of equity and debt securities.

Current wording

Our primary sources of liquidity include $204.1 million of cash on our Condensed Consolidated Balance Sheets, $700.0 million of available capacity on our corporate Revolver, $28.9 million of available borrowings under our financing arrangements based on existing collateral, and cash flows from operations. In addition, we had $300.6 million of total unencumbered assets, including $215.5 million of real estate owned assets, $44.6 million of CMBS investments and $40.5 million of unencumbered senior loans, that can be financed, as of September 30, 2025. Our corporate Revolver and secured term loan are secured by corporate level guarantees and include net equity interests in the investment portfolio. We may seek additional sources of liquidity from syndicated financing, other borrowings (including borrowings not related to a specific investment) and future offerings of equity and debt securities.

Previous wording

We have also entered into an equity distribution agreement with certain sales agents, pursuant to which we may sell, from time to time, up to an aggregate sales price of $100.0 million of our common stock, pursuant to a continuous offering program (the “ATM”), under the Shelf. Sales of our common stock made pursuant to the ATM may be made in negotiated transactions or transactions that are deemed to be “at the market” offerings as defined in Rule 415 under the Securities Act. During the six months ended June 30, 2025, we did not sell any shares of common stock under the ATM. As of June 30, 2025, $93.2 million remained available for issuance under the ATM.

Current wording

We have also entered into an equity distribution agreement with certain sales agents, pursuant to which we may sell, from time to time, up to an aggregate sales price of $100.0 million of our common stock, pursuant to a continuous offering program (the “ATM”), under the Shelf. Sales of our common stock made pursuant to the ATM may be made in negotiated transactions or transactions that are deemed to be “at the market” offerings as defined in Rule 415 under the Securities Act. During the nine months ended September 30, 2025, we did not sell any shares of common stock under the ATM. As of September 30, 2025, $93.2 million remained available for issuance under the ATM.

Previous wording

We also had $253.0 million of total unencumbered assets, including $206.3 million of real estate owned assets, $44.6 million of CMBS investments and $2.1 million of unencumbered senior loans as of June 30, 2025. In addition to our primary sources of liquidity, we have the ability to access further liquidity through our ATM program and public offerings of debt and equity securities. Our existing loan portfolio also provides us with liquidity as loans are repaid or sold, in whole or in part, and the proceeds from repayment become available for us to invest.

Current wording

We also had $300.6 million of total unencumbered assets, including $215.5 million of real estate owned assets, $44.6 million of CMBS investments and $40.5 million of unencumbered senior loans as of September 30, 2025. In addition to our primary sources of liquidity, we have the ability to access further liquidity through our ATM program and public offerings of debt and equity securities. Our existing loan portfolio also provides us with liquidity as loans are repaid or sold, in whole or in part, and the proceeds from repayment become available for us to invest.

Previous wording

The following table sets forth changes in cash and cash equivalents for the six months ended June 30, 2025 and 2024 (amounts in thousands):

Current wording

The following table sets forth changes in cash and cash equivalents for the nine months ended September 30, 2025 and 2024 (amounts in thousands):

Previous wording

Our cash flows from investing activities primarily consisted of cash outflows for loan originations and funding commitments under existing loan investments, partially offset by cash inflows from loan repayments and net proceeds from the sale of real estate owned. During the six months ended June 30, 2025, we funded $626.5 million of CRE loans, received $629.8 million from the repayments and sale of CRE loans and received net proceeds of $30.3 million from the sale of REO investments.

Current wording

Our cash flows from investing activities primarily consisted of cash inflows from loan repayments and net proceeds from the sale of real estate owned, partially offset by cash outflows for loan originations and funding commitments under existing loan investments. During the nine months ended September 30, 2025, we received $1,112.5 million from the repayments of CRE loans, received net proceeds of $24.4 million from the sale of REO investments and funded $706.4 million of CRE loans.

Previous wording

During the six months ended June 30, 2024, we funded $186.4 million of CRE loans and received $660.7 million from the repayments of CRE loans.

Current wording

During the nine months ended September 30, 2024, we funded $239.9 million of CRE loans and we received $959.2 million from the repayments of CRE loans.

Previous wording

During the six months ended June 30, 2025, our cash flows from financing activities were primarily driven by borrowing proceeds of $1,003.3 million under our secured financing agreements and proceeds of $209.8 million issued under our secured term loan, partially offset by repayments of $853.2 million on our secured financing agreements and repayments of $318.4 million on our collateralized loan obligations.

Current wording

During the nine months ended September 30, 2025, our cash flows from financing activities were primarily driven by repayments of $1,386.9 million on our secured financing agreements and repayments of $441.8 million on our collateralized loan obligations, partially offset by borrowing proceeds of $1,288.8 million under our secured financing agreements and proceeds of $310.8 million issued under our secured term loan.

Previous wording

During the six months ended June 30, 2024, our cash flows from financing activities were primarily driven by (i) repayments of $771.5 million under our secured financing agreements and (ii) payment of $57.8 million in dividends, partially offset by borrowing proceeds of $266.6 million under our secured financing agreements.

Current wording

During the nine months ended September 30, 2024, our cash flows from financing activities were primarily driven by (i) repayments of $1,238.0 million under our secured financing agreements and (ii) payment of $80.4 million in dividends, partially offset by borrowing proceeds of $464.4 million under our secured financing agreements.