Company: ABR-PF
Filing Date: 2025-08-01
Form Type: 10-Q
Source: 0001253986-25-000014
Chunk: 53

Company: ARBOR REALTY TRUST INC
Filing Date: 2025-08-01
Form: 10-Q
Item: Part I, Item 1
Chunk 53
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 underlying collateral to determine the point at which we will initially absorb a loss.(5)At June 30, 2025 and December 31, 2024, bridge loans included 364 and 423, respectively, of SFR loans with a total gross loan commitment of $4.45 billion and $4.18 billion, respectively, of which $2.53 billion and $1.99 billion, respectively, was funded.(6)Excludes exit fee receivables of $44.3 million and $46.6 million at June 30, 2025 and December 31, 2024, respectively, which is included in other assets on the consolidated balance sheets.Concentration of Credit RiskWe are subject to concentration risk in that, at June 30, 2025, the UPB related to 70 loans with 5 different borrowers represented 11% of total assets. At December 31, 2024, the UPB related to 83 loans with five different borrowers represented 10% of total assets. During both the three and six months ended June 30, 2025 and the year ended December 31, 2024, no single loan or investment represented more than 

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Table of ContentsARBOR REALTY TRUST, INC. AND SUBSIDIARIESNOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)

10% of our total assets and no single investor group generated over 10% of our revenue. See Note 18 for details on our concentration of related party loans and investments.We assign a credit risk rating of pass, pass/watch, special mention, substandard or doubtful to each loan and investment, with a pass rating being the lowest risk and a doubtful rating being the highest risk. Each credit risk rating has benchmark guidelines that pertain to debt-service coverage ratios, LTV ratios, borrower strength, asset quality, payment status in accordance with current contractual terms, and funded cash reserves. Other factors such as guarantees, market strength, and remaining loan term and borrower equity are also reviewed and factored into determining the credit risk rating assigned to each loan. This metric provides a helpful snapshot of portfolio quality and credit risk. All portfolio assets are subject to, at a minimum, a thorough quarterly financial evaluation in which historical operating performance and forward-looking projections are reviewed; however, we maintain a higher level of scrutiny and focus on loans that we consider “high risk” and that possess deteriorating credit quality.Generally speaking, given our typical loan